Aequs Inches Towards IPO Launch with SEBI Approval

Aequs, a leading contract manufacturer specializing in consumer durables and aerospace components, has taken a significant step forward by filing updated draft papers with SEBI to launch an initial public offering (IPO). The company aims to raise a fresh issue of equity shares worth Rs 720 crore as part of its fundraising strategy.

This IPO will not only involve new equity shares but also an offer for the sale of 3.17 crore shares by current promoters and investors, as revealed in the latest draft red herring prospectus filed on Tuesday. The proceeds from the IPO are slated to repay existing loans and finance the acquisition of new machinery and equipment, particularly for Aequs and its subsidiaries AeroStructures Manufacturing India and Aequs Consumer Products, alongside supporting future strategic initiatives and corporate needs.

Aequs, which initially submitted confidential draft papers in June, received regulatory approval in September to proceed. This method allows Aequs to keep IPO details under wraps until late stages, a growing trend among Indian firms for enhanced flexibility. With a diversified portfolio spanning aerospace, consumer electronics, and plastic products, Aequs boasts an impressive client roster including industry giants like Airbus and Boeing, operating across India, France, and the USA.