Dhoot Transmission Raises ₹918 Cr from Anchor Investors Ahead of IPO

Dhoot Transmission Limited secured Rs 918.27 crore from 72 anchor investors on August 7, successfully completing its pre-IPO fundraising round. The auto components manufacturer allocated over 10.5 million equity shares at Rs 871 each.

Anchor Round Details

• Raised Rs 918.27 crore.
• Involved 72 anchor investors.
• Allocated over 10.5 million equity shares at Rs 871 per share.
• Approximately 61.27% of the total allocation went to domestic mutual funds.
• Eight domestic mutual funds participated via 46 schemes.

Major investors in this anchor issue included SBI Mutual Fund, ICICI Prudential Mutual Fund, HDFC Mutual Fund, BlackRock, WhiteOak, and Abu Dhabi Investment Authority.

Upcoming IPO Structure

The company’s upcoming initial public offering will feature both fresh issues and an offer for sale.

• Fresh issues of shares worth Rs 1,400 crore.
• An offer for sale of up to 1.63 crore shares.

Fund Utilization Breakdown

Net proceeds from the IPO are earmarked for several key initiatives, focusing on debt reduction and expansion.

• Repayment or prepayment of outstanding borrowings: Rs 494 crore.
• Investment in subsidiaries for debt payments: Rs 272.59 crore.
• Establishment of new wiring harness manufacturing plants in Haryana and Tamil Nadu: Rs 150 crore.
• Remaining funds will support inorganic growth through acquisitions and general corporate purposes.

Kotak Mahindra Capital Company Ltd., Nomura Financial Advisory and Securities (India) Pvt., Axis Capital Ltd., Jefferies India Pvt., SBI Capital Markets Ltd., and 360 One WAM Ltd. are serving as the book-running lead managers for the issue.