Kross Share Price: Kross Ltd made its debut in the stock market on Monday and began trading on a muted note. The company listed at Rs 240 per share on the stock exchanges, the same as the issue price of the maiden offer. The company ended trading at Rs 259.50 apiece on the BSE.
The initial public offering of the firm was open for subscription from September 9-11, 2024 and was priced in the range of Rs 228-240 apiece. The IPO worth Rs 500 crore emerged popular amongst investors and received 17.66 times bids, reported The Financial Express.
Retail category investors subscribed for the issue 11.26 times, while the quota reserved for the non-institutional investors got 23.40 times bids. The maiden offer comprised a fresh issue of 1.04 crore shares coming up to Rs 250 crore and an offer-for-sale of 1.04 crore shares worth Rs 250 crore. The promoters behind the OFS are Sudhir Rai and Anita Rai. The issue included a minimum lot of 62 shares and investors could place bids for multiple lots thereafter.
The firm intends to utilise the funds raised from the issue towards several purposes such as funding its capital expenditures for the purchase of machinery and equipment. Further, it aims to set aside funds for repayment or prepayment of a portion or all of its debt from banks and financial institutions. The remaining proceeds would be reserved for the working capital needs of the company and general corporate purposes.
Founded in 1991, the company, earlier known as Kross Manufacturers (India) Private Limited, deals in manufacturing and supplying trailer axles, high performance forged and precision-machined safety-critical parts for medium and heavy duty commercial vehicles (M&HCV), suspensions, and agricultural equipment.
In the 2023-24 fiscal year (FY24), the company clocked a 45.1 per cent surge in net profit to Rs 44.9 crore, while its revenue climbed by 27 per cent to Rs 620.3 crore. Meanwhile, its EBITDA jumped 40.4 per cent to Rs 80.8 crore in the period.
