JK Files India Ltd IPO

Last Updated: 24 July 2023 4:27 PM by 5Paisa

JK Files and Engineering Ltd has filed its DRHP with SEBI on December 9, 2021. The issue is entirely an offer for sale of equity shares worth Rs.800 crore. The shares are being offloaded by Raymond Ltd. 
The book running lead managers to the issue are SBI Capital Markets Ltd, HDFC Bank Ltd and DAM Capital Advisors Ltd. 

Objective of the offer The main objective of the offer is to carry out the sale of equity shares of the promoter and achieve the benefits of being listed on the stock exchanges.
 

JK Files Engineering Ltd is engaged in the business of manufacturing, sale and distribution of precision engineering components for tools and hardware like steel files and drills. They also engage in the marketing, sale and distribution of power tools, hand tools and power tool machines. In FY20 JK Files had the largest installed manufacturing capacity of steel files with the market share standing at 25-27% of the global capacity. They have a very strong presence in African, Asian and Latin American regions and it is a big brand in the African Market. 52.99% of the revenue is from exports, as at Q1 ended 30 June 2021. 
JK Files’s power tool machines have a pan-India distribution network of 730 active distributors and retail capacity of more than 150,000 outlets spread across 600 towns in the country. The company also exports drills and files to more than 55 countries across the globe. As of 30 June 2021, the company has had 135 active distributors internationally. They provide files and drills to companies like Apex Tools Group and LLC. JK Files and Engineering is the only manufacturer of flexplates in India and it caters to approximately 25-27% of the flexplate volume demand for domestic production in FY21.