Karamtara Engineering IPO Upcoming
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About Karamtara Engineering
Karamtara Engineering is a significant manufacturer in India, focusing on solar mounting structures and tracker components. It operates with a considerable installed capacity and produces a wide range of products, including structural steel sections and lattice towers. The company also exports its products to over 50 countries, contributing notably to its revenue. It maintains manufacturing facilities in India and Italy, emphasizing operational efficiency and product quality.
Financials of Karamtara Engineering
*All figures are in ₹ Crores.
Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹1750 crores |
| Fresh Issue | ₹1350 crores |
| Offer for sale | ₹400 crores |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Repayment/prepayment of outstanding borrowings | 1050 (77.78%) |
| General corporate purposes | (not above 25% of gross proceeds) |
Strengths
- Extensive product range supports cross-selling opportunities and growth.
- Advanced manufacturing boosts quality and operational efficiency.
- Strong global footprint with exports to over 50 countries.
- Consistent financial growth with robust product and customer base.
Risks
- Delays in regulatory approvals halt manufacturing expansions and operations.
- Intense market competition pressures pricing and profit margins.
- Past statutory payment delays risk future penalties and sanctions.
- Labor code changes could significantly increase operational costs.
- Pending inspection issues may lead to penalties and warnings.