Sansera Engineering Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹744
Per ShareLot Size
20 Shares
Minimum Investment
₹14,880
Issue Size
₹1,282.52 Cr
Face Value
₹2
Per ShareIPO Type
Book Building
Retail Quota
35%
QIB Quota
50%
NII Quota
15%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Sansera Engineering Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
40.64%
Promoter Holding (Post-Issue)
33.62%
Issue Type
Book Building
ISIN
INE953O01021
About the Company
Sansera Engineering Limited is an engineering-led integrated manufacturer of complex and critical precision engineered components across automotive and non-automotive sectors. Within the automotive sector, the company manufactures and supplies a range of precision forged and machined components and assemblies that are critical for engine, transmission, suspension, braking, chassis and other systems for the two-wheeler, passenger vehicle and commercial vehicle verticals. Within the non-automotive sector, it manufactures and supplies a range of precision components for the aerospace, off-road, agriculture and other segments, including engineering and capital goods. The Company supplies most of its products directly to OEMs in finished condition, resulting in significant value addition by it.
Industry Overview
In India, auto component production (which includes sale to OEMs, exports, and replacement market) increased at a CAGR of 3.4% over fiscals 2016-21, to Rs. 3,013 billion from Rs. 2,553 billion. CRISIL Research expects the auto component industry's revenue to be led by OEM demand, which is expected to log a CAGR of 11.9% over fiscals 2021-26, to reach Rs. 5,284 billion. Production growth and higher outsourcing to auto component players by OEMs will drive OEM demand.
Company History
Sansera Engineering Limited was incorporated as Sansera Engineering Private Limited on December 15, 1981 at Bengaluru, Karnataka, India as a private limited company under the Companies Act, 1956. The Company was converted into a public limited company pursuant to a special resolution passed by its Shareholders at the EGM held on June 19, 2018 and the name of the Company was changed to Sansera Engineering Limited. A fresh certificate of incorporation consequent upon conversion to a public limited company was issued by the Registrar of Companies, Karnataka situated in Bangalore ("RoC") on June 29, 2018.
Products & Services
- Precision forged and machined components with close tolerances (as low as three to 10 microns) that are critical for engine, transmission suspension, braking, chassis and other systems for the two-wheeler, passenger vehicle & commercial vehicle verticals
- in the automotive sector
Growth Strategy
- Consolidate and strengthen global market share in our existing automotive product portfolio and diversify into new products to cater to the expected increase in electrification of vehicles
- Continue to leverage its existing capabilities to diversify further into non-automotive businesses and expand addressable market
- Retain and strengthen its technological leadership through continued focus on its engineering capabilities
- Focus on operational efficiencies to improve returns
Customer Base
Maruti Suzuki India Ltd Bajaj Auto Ltd India Yamaha Motor Honda Motorcycle & Scooter India Pvt. Ltd CNHi European 2W OEM Honda Cars India Ltd Stellants N.V. Raytheon (Collins/Goodrich) One of the leading North American PV OEMs Polaris Industries Inc. Royal Enfield Motorcycles Ltd Subsidiary of one of the leading European Suppliers of fuel injection systems Triumph Motorcycles Daimler India Commercial Vehicles Pvt Ltd Toyota Kirloskar Motor Pvt. Ltd Hero Motorcorp Ltd RK Thailand One of the leading Swedish OEMs Global Tier 1 supplier
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a consolidated basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offer of 17,244,328# equity shares of face value of Rs. 2 each ("Equity Shares") of Sansera Engineering Limited (The "Company" or "Issuer") for cash at a price of Rs. 744^ per equity share ("Offer Price"), through an offer for sale of 17,244,328# equity shares aggregating to Rs. 1282.52^ crores ("Offer") by the selling shareholders, comprising of 8,635,408 equity shares by Client Ebene Limited ("CEL"), 4,836,723 equity shares by cvcigp II employee Ebene Limited ("EEL") (collectively the "Investor Selling Shareholders"), 2,058,069 equity shares by Subramonia Sekhar Vasan 571,376 equity shares by Unni Rajagopal Kothenath 571,376 equity shares by Fatheraj Singhvi and 571,376 equity shares by Devappa Devaraj (collectively, the "Promoter Selling Shareholders", and together with the investor selling shareholders, The "Selling Shareholders"). This offer included a reservation of 127,118 equity shares, aggregating to Rs. 9 crores (constituting 0.25% of the post-offer paid-up equity share capital) for purchase by eligible employees (The "Eemployee Reservation Portion"). The offer less the employee reservation portion is hereinafter referred to as the "Net Offer". the offer and the net offer constituted 33.56% and 33.32%, respectively, of the post-offer paid-up equity share capital. The company, in consultation with the BRLMS and the selling shareholders have offered a discount of 4.84 % (equivalent to Rs. 36 per equity share) to the offer price to eligible employees bidding in the employee reservation portion ("Employee Discount"). Offer price is Rs. 744^ per equity share and is 372 times the face value of the equity shares, the anchor investor offer price is Rs. 744 per equity share. #Subject to finalisation of the basis of allotment ^A Discount of Rs. 36 per equity share was offered to eligible employees bidding in the employee reservation portion.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Leading supplier of complex and high-quality precision engineered components that is gaining market share across automotive and non-automotive sectors;
- Well diversified business model;
- Capabilities in engineering and design, machine building and automation resulting in continuous new product development and improved productivity, with fungibility of equipment, machinery and production lines across product families and sectors;
- Long-standing relationships with well-known Indian and global OEM customers;
- Financial performance that has outperformed the industry trends, with industry leading metrics;
- The COVID-19 pandemic has had, and we expect it to continue to have, a material adverse effect on its business, financial condition, results of operations and cash flows.
- The company do not have firm commitment long-term supply agreements with its customers. If its customers choose not to source their requirements from its, there may be a material adverse effect on the business and results of operations.
- The company business is dependent on the sale of its products to certain key customers. The loss of any of these customers or loss of revenue from sales to these customers could have a material adverse effect on its business, financial condition, results of operations and cash flows.
- Pricing pressure from its customers may adversely affect its gross margin, profitability and ability to increase our prices, which may in turn have a material adverse effect on its results of operations and financial condition.
- Development of technologically advanced products involves a lengthy and expensive process with uncertain timelines and outcomes. We may be unsuccessful in innovating or developing technologically advanced products or may be unable to add to its existing capabilities, which could adversely affect its business, results of operations and cash flows.