Unimech Aerospace and Manufacturing Limited’s Initial Public Offering

Unimech Aerospace and Manufacturing Limited’s Initial Public Offering to open on Monday, December 23, 2024, price band set at ₹745/- to ₹785- per Equity Share

Price Band of ₹745/– ₹785- per Equity Share bearing face value of ₹5/- each (“Equity Shares”)

Bid/Offer Opening Date – Monday, December 23 2024 and Bid/Offer Closing Date – Thursday, December 26 2024.

Minimum Bid Lot is 19 Equity Shares and in multiples of 19 Equity Shares thereafter.

The Floor Price is 149 times the face value of the Equity Share and the Cap Price is 157 times the face value of the Equity Share.

RISK TO INVESTORS

Bangalore, December 18, 2024: Unimech Aerospace and Manufacturing Limited, has fixed the price band of ₹745/- to ₹785- per Equity Share of face value ₹5/- each for its maiden initial public offer. 

The Initial Public Offering (“IPO” or “Offer”) of the Company will open on Monday, December 23, 2024, for subscription and close on Thursday, December 26, 2024. Investors can bid for a minimum of 19 Equity Shares and in multiples of 19 Equity Shares thereafter.

The IPO is a mix of fresh issue of up to ₹ 2,500 million and an offer of sale of up to ₹ 2,500 million  

The proceeds from the fresh issue to the extent of ₹363.66 million will be used for funding of capital expenditure for expansion through purchase of machineries and equipment by the Company; ₹ 252.85 million for funding working capital requirements of the Company; ₹ 438.91 million for funding of capital expenditure of the material subsidiary for expansion through purchase of machineries and equipment; ₹ 447.15 million for funding working capital requirements of the material subsidiary; and ₹ 400 million for repayment / prepayment of borrowings by the material subsidiary, in full or part, of certain borrowings; and general corporate purposes. 

Incorporated in the year 2016, Unimech Aerospace and Manufacturing Limited is an engineering solutions company specializing in manufacturing and supply of critical parts such as aero tooling, ground support equipment, electro-mechanical sub-assemblies and other precision engineered components for aerospace, defence, energy, and semiconductor industries. 

The company possess “build to print” capabilities and “build to specifications” capabilities and supply high precision and critical components to major OEMs and their licensees around the globe.

Unimech’s product range includes engine lifting and balancing beams, assembly, disassembly and calibration tooling, ground support equipment, airframe assembly platforms, engine transportation stands, mechanical and electro-mechanical turnkey systems, as well as precision components.

Based in Bengaluru, the Company is a key link in the global supply chain for global aerospace, defence, semi-conductor and energy OEMs and their licensees for the supply of critical parts like aero tooling, ground support equipment, electro-mechanical sub-assemblies and other precision engineered components. Its key clients include some of the world’s top airframe and aero-engine OEMs and their approved licensees.

Anand Rathi Advisors Limited, and Equirus Capital Private Limited are the book-running lead managers, and KFin Technologies Limited is the registrar of the issue.

The Offer is being made through the book-building process, wherein not more than 50% of the net offer shall be available for allocation on a proportionate basis to qualified institutional buyers, not less than 15% of the net offer shall be available for allocation to non-institutional bidders, and not less than 35% of the net offer shall be available for allocation to retail individual investors. The offer also includes a reservation for a subscription by eligible employees bidding in the employee reservation portion.

DISCLAIMERS: UNIMECH AEROSPACE AND MANUFACTURING LIMITED D is proposing, subject to receipt of requisite approvals, market conditions and other considerations, to undertake an initial public offer of its Equity Shares and has filed the RHPwith the RoC. The RHPis made available on the website of the SEBI at www.sebi.gov.in as well as on the websites of the BRLMs i.e., Anand Rathi Advisors Limited at www.anandrathiib.com and Equirus Capital Private Limited at www.equirus.com, the website of the NSE at www.nseindia.com and the website of the BSE at www.bseindia.com and the website of the Company at Website: www.unimechaerospace.com. Any potential investor should note that investment in equity shares involves a high degree of risk and for details relating to such risks, please see the section titled “Risk Factors” beginning on page 28 of the RHP. Potential investors should not rely on the Draft Red Herring Prospectus dated August 19, 2024 filed with SEBI for making any investment decision and instead should place reliance on the RHP. This announcement does not constitute an offer of the Equity Shares for sale in any jurisdiction, including the United States, and the Equity Shares may not be offered or sold in the United States absent registration under the US Securities Act of 1933 or an exemption from registration. Any public offering of the Equity Shares to be made in the United States will be made by means of a prospectus that may be obtained from the Company and that will contain detailed information about the Company and management, as well as financial statements. However, the Equity Shares are not being offered or sold in the United States.

DISCLAIMER CLAUSE OF SEBI: SEBI only gives its observations on the offer documents and this does not constitute approval of either the Offer or the specified securities stated in the Offer Document. The investors are advised to refer to page 377 of the RHP for the full text of the disclaimer clause of SEBI.

DISCLAIMER CLAUSE OF BSE (The Designated Stock Exchange): It is to be distinctly understood that the permission given by BSE Limited should not in any way be deemed or construed that the RHP has been cleared or approved by BSE Limited nor does it certify the correctness or completeness of any of the contents of the RHP. The investors are advised to refer to the page 379 of the RHP for the full text of the disclaimer clause of BSE.

DISCLAIMER CLAUSE OF NSE: It is to be distinctly understood that the permission given by NSE should not in any way be deemed or construed that the Offer Document has been cleared or approved by NSE nor does it certify the correctness or completeness of any of the contents of the Offer Document. The investors are advised to refer to page 380 of the RHP for the full text of the disclaimer clause of NSE.