IPO Details
Bidding Dates
09 Sept 24 - 11 Sept 24
Price Range ₹
228 - 240
Total Equity
₹ 500.00Cr
Lot Size
62
Exchange Status
BSE,NSE
IPO Doc
Subscription Rate
Non-Institutional Investor
10.76×
Qualified Institutional Buyers
23.32×
Employees
0.00×
Retail Investors
10.76×
Total subscription Rate
16.81×
IPO Timeline
Offer start
09 Sept 2024
Offer end
11 Sept 2024
Allotment
12 Sept 2024
Refund initiation
13 Sept 2024
Demat transfer
13 Sept 2024
Listing
16 Sept 2024
Offer start
09 Sept 2024
Offer end
11 Sept 2024
Allotment
12 Sept 2024
Refund initiation
13 Sept 2024
Demat transfer
13 Sept 2024
Listing
16 Sept 2024
About Company
Kross Limited, formerly Kross Manufacturers (India) Private Limited, was founded in 1991 and specializes in manufacturing and supplying trailer axles, suspensions, and a broad range of high-performance forged and precision machined safety-critical components for medium and heavy-duty commercial vehicles (M&HCV) and agricultural equipment. The company’s product portfolio includes axle shafts, companion flanges, anti-roll bars, stabilizer bar assemblies, suspension linkages, differential spiders, bevel gears, planet carriers, inter-axle kits, rear-end spindles, pole wheels, and tractor components such as hydraulic lift parts, PTO shafts, and front axle spindles. Kross Limited supplies these products to major original equipment manufacturers (OEMs) in the M&HCV and tractor segments, as well as to domestic dealers and trailer axle and suspension manufacturers serving OEMs. With five ISO 9001:2015 certified manufacturing plants in Jamshedpur, Jharkhand, Kross has the capacity to produce forgings up to 40 kg. Its facilities are equipped with forging presses, billet heating systems, high-pressure moulding lines, precision machining equipment, robot welding systems, CED painting, powder coating, spray painting, and heat treatment and induction hardening systems. As of June 30, 2024, the company employed 528 permanent staff.
Year Founded
09-05-1991
Promotor Details
Sudhir Rai
Promoter Holdings Details
| Particular | Pre-IPO | Post-IPO |
|---|---|---|
| Percentage | 99.99 | 67.7 |
| Share Capital | 54091956 | 43675290 |
Offer to Public
2,08,33,332.00 Cr
Project Details
- Funding of capital expenditure requirements of our Company - 700cr
- General corporate purposes - 461.92cr
- Gross proceeds of the Fresh Issue - 250cr
- Funding working capital requirements of the Company - 300cr
- Repayment or prepayment, in full or in part, of all or a portion of - 900cr
Objectives
- Funding of capital expenditure requirements of our Company towards purchase of machinery andequipment
- Repayment or prepayment, in full or in part, of all or a portion of certain outstanding borrowings availed by our Company, from banks and financial institutions
- Funding working capital requirements of the Company
- General corporate purposes
Highlights
- Kross serves major OEMs like Ashok Leyland, Tata International DLT, and international clients from Sweden and Japan.
- Equipped with state-of-the-art machinery for forging, machining, and finishing, ensuring high-quality production.
- All five units are ISO 9001:2015 certified, with additional ISO 14001:2015 and ISO 45001:2018 certifications for environmental and safety management.
- Manufactures a wide variety of critical components for commercial vehicles and agricultural equipment.
- Achieved significant revenue and profit growth over the past few years, showcasing strong business performance.
Challenges
- A significant portion of Kross’s revenue comes from its top five customers, contributing Rs 409.52 crore (66.02%) in FY24, Rs 334.09 crore (68.37%) in FY23, and Rs 209.63 crore (70.47%) in FY22. The loss of any of these customers or a reduction in their demand could negatively impact the company's financial stability.
- Kross's revenue is heavily reliant on the sale of trailer axles and suspension assemblies for medium and heavy commercial vehicles (M&HCVs). Changes in regulations or shifts towards renewable energy technologies could reduce demand for these products, potentially harming the company's finances.
- All of Kross's manufacturing facilities are based in Jamshedpur, Jharkhand. Adverse political or economic developments in this region could impact the company's operations and growth prospects.
- As of June 30, 2024, Kross had long-term borrowings of Rs 33.14 crore and short-term borrowings of Rs 90.41 crore. Failure to service or repay these debts could adversely affect the company’s financial health.
- Kross’s sales are closely tied to the sales of vehicles manufactured by its customers. A decline in the sales of these vehicles would likely result in reduced demand for Kross’s products, adversely affecting the company's business.
Financials
| Years | Total Assets | Share Capital | Profit After Tax | Consolidated Net Profit | Adjusted EPS |
|---|---|---|---|---|---|
| 2023 | 2,505.72 | 135.23 | 229.36 | 229.36 | 0.4319 |
| 2024 | 3,520.04 | 270.46 | 121.69 | 121.69 | 2.2497 |
| 2020 | 15,838.83 | 1,352.32 | 195.23 | 195.23 | 0.3609 |
| 2021 | 17,361.33 | 1,352.32 | 309.31 | 309.31 | 5.7182 |
| 2022 | 2,011.49 | 135.23 | 448.81 | 448.81 | 8.2972 |
