Karamtara Engineering is making headlines not just in the financial sector but also in the world of entertainment and sports. As the company prepares for its Initial Public Offering (IPO), a slew of Bollywood celebrities and cricket stars are stepping into the spotlight, investing significant sums into this clean energy venture. This unique blend of star power and innovative technology is capturing the attention of both investors and the public alike.
Celebrity Investments Fuel Karamtara IPO
On April 25, 2024, renowned figures such as Ranbir Kapoor, Aamir Khan, Karan Johar, Rohit Sharma, and Jasprit Bumrah joined forces to acquire nearly Rs 30 crore in shares from Karamtara Engineering through secondary market dealings. Together, they purchased 9.68 lakh shares priced at Rs 310 each, bringing the company’s valuation to an impressive Rs 10,411 crore post-IPO.
- Notable investors include:
- Ranbir Kapoor
- Aamir Khan
- Karan Johar
- Rohit Sharma
- Jasprit Bumrah
- Bimal Parekh
Karamtara’s IPO: Key Details and Goals
Based in Mumbai, Karamtara Engineering aims to raise Rs 1,750 crore through its IPO, which consists of Rs 1,350 crore from a fresh issue and Rs 400 crore through an Offer for Sale (OFS). According to the official draft documents, promoters Tanveer Singh and Rajiv Singh plan to offload shares worth Rs 200 crore each as part of the OFS.
Strategic Debt Reduction Plan
A significant portion of the funds raised will go towards reducing the company’s debt. The draft red herring prospectus (DRHP) states that Karamtara intends to allocate Rs 1,050 crore from the fresh issue proceeds to decrease its borrowing. As of November 2024, the company reported debts totaling Rs 586.4 crore, along with Rs 733.6 crore from letters of credit. The remaining funds will be utilized for general corporate needs.
Previous Fundraising Success and Star Power
Before this wave of celebrity interest, Karamtara had successfully raised Rs 307 crore in January 2024 via a preferential allotment. Esteemed investors included Singularity Growth Opportunities Fund, Quantum State Investment Fund, Ananta Capital, and Gaurav Trehan, all participating at the same price of Rs 310 per share.
About Karamtara Engineering
Karamtara Engineering is a leading manufacturer in the solar and transmission sectors, known for its backward integration strategy. The company is positioned to compete with industry giants such as Inox Wind, KP Green, and Suzlon Energy. As the IPO date approaches, it will be interesting to see how this unique blend of investor interest and technological innovation unfolds in the clean energy market.
For more information on the latest IPO trends, check out this insightful article on market dynamics.
