Tolin Tyres IPO: Core Details About Upcoming IPO

Tolin Tyres IPO is offering a 100% book-built public issue. This upcoming IPO is offering a fresh issue of up to Rs 200 Crore of worth equity shares and an offer for sale of worth Rs 30 Crore equity shares. The face value is reported as Rs. 5 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 Non-Institutional Investors and the remaining 35% or more reserved for Retail Individuals. Application for public issue and subscription opening/closing dates and other important dates will be announced soon; however, keep in mind that the public offering is proposed to be listed on the NSE and BSE exchanges.

About the Company

Tolin Tyres is a leading player in the Tyre & Treads industry with all India presence with a diverse product range. They are one of the companies that are present in both verticals – manufacturing of new tyres and tread rubber. The Company has established itself as a major tyre retreading solutions provider across India and exported to 40 foreign countries, including the Middle East, East Africa, Jordan, Kenya and Egypt. The major products of the Company include twowheeler, three- wheelers, light commercial vehicle and agricultural tyres, precured tread rubber and other accessories including bonding gum, tyre flap, vulcanizing solutions, etc. They are primarily engaged in manufacturing of bias tyres for comprehensive array of vehicles (including light commercial, agricultural and two/three-wheeler vehicles) and precured tread rubber and are also involved in manufacturing of ancillary products like bonding gum, vulcanizing solution, tyre flaps and tubes. The company commenced operations in 1982 as a proprietorship concern for manufacture of tread rubber.

Objectives of the Public Offering

Company proposes to utilize the Net Proceeds towards Repayment and / or prepayment, in full, of certain outstanding loans (including foreclosure charges, if any) availed by our Company, next augmentation of long-term working capital requirements of our Company, investment in our wholly owned subsidiary; Tolin Rubbers Private Limited to repay and/ or prepay, in full, certain of its short term and long term borrowings and augmentation of its working capital requirements and in general corporate purposes, however the amount utilized for general corporate purposes shall not exceed 25% of the Gross Proceed.

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Financials of the Company (Amt in Crores)

The Company reported net revenue of Rs 119.68 Crore, assets worth Rs 99.14 Crore, and profit after tax reported as Rs 4.99 Crore for the FY 22-23. It is clear that the PAT increased by 692.06%, and revenue rose by 4.62%.

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