Diffusion Engineers refiles IPO papers with SEBI

Nagpur-based Diffusion Engineers Ltd, engaged in the business of providing engineering solutions to customers both in domestic and international markets has refiled its draft red herring prospectus (DRHP) with SEBI for an IPO.

Nagpur-based Diffusion Engineers Ltd, engaged in the business of providing engineering solutions to customers both in domestic and international markets has refiled its draft red herring prospectus (DRHP) with capital market regulator Securities and Exchange Board of India (SEBI) to mop up funds through an initial public offering (IPO).

The IPO with a face value of ₹10 each is a complete fresh issuance of 9.85 million equity shares. The offer also includes a reservation for a subscription by eligible employees and a discount is being offered to eligible employees bidding in the employee reservation portion.

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According to market sources, the issue would be in the range of Rs 125-150 crore.

Earlier, the company had filed draft papers with the SEBI in December 2023 for IPO.

The Issue is being made through the Book Building Process, wherein not more than 50% of the Issue shall be available for allocation on a proportionate basis to Qualified Institutional Buyers, not less than 15% of the Issue shall be available for allocation to Non-Institutional Bidders and not less than 35% of the Issue shall be available for allocation to Retail Individual Bidders.

The company intends to utilize about ₹71.38 crore for funding capital expenditure requirements towards the proposed expansion of its existing manufacturing facility, Rs 30.38 crore for setting up a new manufacturing facility at Hingna, Sonegaon District, Nagpur, Rs 22 crore for funding working capital requirements of the Company and general corporate purposes.