Standard Glass Lining Technology Filed DRHP with SEBI

• Standard Glass Lining Technology manufactures engineering equipment for the pharmaceutical and chemical sectors.
• The company is looking for Rs 250 Crore of Equity Shares as a fresh issue
• Promoters of the company are offering up to 18,444,000 equity shares for sale

Standard Glass Lining Technology Private Limited submits DRHP with SEBI and will be coming up with its public issue in the upcoming time; the public issue will be offering a 100% book-built offer. This upcoming IPO is offering a fresh issue worth up to Rs 250 Crore of equity shares and an offer for sale worth up to 18,444,000 equity shares. The face value is reported as Re 10 for each share. This new IPO issue is being made through the book-building process with a reservation of not more than 50% of the new offer reserved for Qualified Institutional Investors, not less than 15% reserved for NII and the remaining 35% or more reserved for Retail Individuals. The opening & closing dates of this IPO have not yet been disclosed, and the company will announce the price band soon.

Also Read | Sai Life Sciences Filed DRHP with SEBI: Know More About Upcoming IPO

About Standard Glass Lining Technology Private Limited

Standard Glass Lining Technology Private Limited is one of India’s top five specialized engineering equipment manufacturers for the pharmaceutical and chemical sectors, based on revenue in Fiscal 2024. They offer end-to-end solutions, including design, engineering, manufacturing, and installation of core equipment for pharmaceutical and chemical processes. Their product range includes reaction systems, storage and separation systems, and plant engineering services. Notably, they are among the top three manufacturers of glass-lined, stainless steel, and nickel alloy equipment, as well as PTFE-lined pipelines and fittings. The company operates from eight manufacturing facilities in Hyderabad and maintains a strong presence with sales and distribution networks in India and abroad.

Standard Glass Lining Technology Private Limited IPO Objectives

The funds are proposed to be utilised for the following: funding of capital expenditure requirements of the company towards the purchase of machinery and equipment worth Rs 10 Crore. Rs 130 Crore will be utilised for repayment or prepayment, in full or in part, of certain outstanding borrowings availed by their company and investment in the wholly owned Material Subsidiary, S2 Engineering Industry Private Limited, for repayment or prepayment, in full or in part, of certain outstanding borrowings availed by S2 Engineering Industry Private Limited from banks and financial institutions. Investment in the wholly owned Material Subsidiary, S2 Engineering Industry Private Limited, for funding its capital expenditure requirements towards the purchase of machinery and equipment worth Rs 30 Crore, and Rs 20 Crore will be allocated for inorganic growth through strategic investments and/or acquisitions (As per DRHP).

Financials of the Company

For the FY year ended March 2024, compared to March 2023, the company's assets increased by 91.32% to Rs 665.38 Crore. However, revenue increased by 9.26% to Rs 543.67 crore, and profit after tax rose by 12.33% to Rs 60.01 crore for the same period. Total borrowings increased to Rs 129.32 crore from Rs 81.96 crore as compared to FY24 from FY23. These numbers show how the company's finances have been and where exactly there is a need to make strategic changes.

Lead manager(s), Registrar of IPO & Promoter(s) of the Company

The IPO is managed by IIFL Securities Limited, Motilal Oswal Investment Advisors Limited which are the book-running lead managers for this IPO. The company has appointed KFin Technologies Limited as the registrar for the issue, while the company has Nageswara Rao Kandula, Kandula Krishna Veni, Kandula Ramakrishna, Venkata Mohana Rao Katragadda, Kudaravalli Punna Rao, and M/s S2 Engineering Services as their promoter(s).

Also Read | Zinka Logistics Solutions Filed DRHP with SEBI: Know More About Upcoming IPO