SEBI gives permission to Bonbloc Technologies, Eastman Auto and Power, Milestone Gears IPO projects

Securities and Exchange Board of India (SEBI), the market controlling body in India, has given permission to companies like Bonbloc Technologies, Eastman Auto and Power, Milestone Gears to launch Initial Public Offering (IPO). These companies plan to raise thousands of crores of rupees through the public market.

This is considered an important development for investors in the stock market. Despite the continuous ups and downs in the market, many companies are preparing to enter the public market. In this background, SEBI gave permission to companies like Bonbloc Technologies, Eastman Auto and Power, Milestone Gears to conduct IPO.

These three companies also plan to raise a large amount of capital from the market through IPO. Therefore, it is important to understand the business operations of the companies, the size of the IPO, and the use of the funds raised.

Bonbloc Technologies IPO plans

Bonbloc Technologies, a company related to the IT sector, plans to raise approximately Rs 233 crore through its IPO. This public distribution will consist of two components. The first component will be Fresh Issue of Rs 160 crore, the second will be Offer-for-Sale (OFS).

Existing shareholders will sell approximately 71.86 lakh shares through OFS. Through this, the company will not only collect new capital but will also get the opportunity for existing investors to sell some of their shares.

The company plans to list its shares on the stock exchanges NSE (National Stock Exchange) and BSE (Bombay Stock Exchange). KFin Technologies has been appointed as the issue registrar for this IPO.

According to the structure of the IPO, the company aims to collect new investments through the Fresh Issue. Meanwhile, through OFS, existing shareholders will also get the opportunity to convert some portion of their shares into cash.

IPO of Eastman Auto and Power

Eastman Auto and Power companies have also recently been given permission to launch SEBI IPO. According to the available information, the size of this IPO can be approximately Rs 1800 crore to Rs 2000 crore.

This issue will also include Fresh Issue and Offer-for-Sale (OFS). That is, the company will raise funds by issuing new shares, and some existing shareholders will sell part of their shares.

Eastman Auto and Power is part of JRS Eastman Group. The company mainly works in the areas of battery storage, solar technology, power electronics solutions.

Axis Capital, JM Financial, Motilal Oswal have been appointed as lead managers for this IPO. These institutions will handle the IPO process and issue management among investors.

General Distribution of Milestone Gears

Milestone Gears company is planning to raise approximately Rs 1100 crore from the IPO market. This public offering will include fresh issue of Rs 800 crore. And the promoters have announced that they will sell shares worth Rs 300 crore through Offer-for-Sale.

According to the company, the funds received through IPO will be invested for various purposes. First I will use this amount to repay the existing loans. And the company plans to set up a new manufacturing plant in Solvy district of Himachal Pradesh.

A portion of the fund will be appropriated for general corporate purposes.

Milestone Gears is an engineering company, manufacturing mechanical components required for various industries. The company’s products include bull gears, rear axle, spindle, internal ring gear, bevel gear.

These components are used in tractor, construction equipment, electric vehicle, locomotive, windmill.

The company’s customers include Mahindra & Mahindra, Caterpillar, JCB, John Deere.

Things to consider before investing in IPO

There have been significant ups and downs in the stock market in recent times. Although the IPO pipeline of companies is continuing, many companies try to raise capital through the public market.

Before investing in any IPO, it is necessary to evaluate the company’s business model, revenue growth, profit trend, debt level, future expansion plans. And it is also important to check for what purposes the company will invest the funds collected through IPO.