Karamtara Engineering Limited plans to raise INR 1,750 crore via IPO. The company has filed draft papers with SEBI seeking INR 1,350 crore in fresh equity and INR 400 crore from existing shareholders. The funds will support debt repayment and general corporate initiatives.

Jan 27, 2025

Karamtara Engineering Limited has filed a draft red herring prospectus DRHP with SEBI, to raise INR 1,750 crore through an initial public offering (IPO).

Out of the total amount, INR 1,050 crore will be utilized for the prepayment, repayment, or payment obligations to lenders regarding borrowings. The remaining INR 700 crore will be directed towards general corporate purposes.

Also Read: BPCL Invests INR 95,000 Crore in Refinery-cum-Petrochemical Complex in Andhra Pradesh

The total offer size includes a fresh issue of equity shares amounting to INR 1,350 crore, along with an offer for sale by selling shares totalling INR 400 crore. The company plans to use the net proceeds from the fresh issue primarily for funding initiatives. Specifically, INR 1,050 crore will be allocated towards the prepayment, repayment, or payment obligations to lenders regarding borrowings. The remaining funds will be directed toward general corporate purposes.