Standard Glass Lining Technology gets SEBI approval for an IPO

Standard Glass Lining Technology Limited, a manufacturer of specialized engineering equipment for the chemical and pharmaceutical industries, has received the final approval for its initial public offering (IPO) from the Securities and Exchange Board of India (SEBI), the market regulator.

The proposed IPO consists of a new issue of face-value 10 shares, totaling 250 crore, and an offer by the company’s promoters and other selling shareholders to sell up to 18.44 million equity shares. The Telangana-based business may also think about placing up to 50 crore in a pre-IPO. If that goes well, the size of the new issue will go down.

About Glass Lining Technology

Standard Glass Lining Technology Limited (SGL), a Telangana company based in Hyderabad, specializes in producing glass-lined, stainless steel, and high-alloy-based specialized engineering equipment suppliers of pipelines and fittings lined with polytetrafluoroethylene (“PTFE”).

SGL, which primarily services the chemical, pharmaceutical, food, and fertilizer industries, operates eight manufacturing facilities strategically located in Hyderabad, Telangana, with a combined built-up and floor area of over 400,000 square feet. These facilities can produce more than 300 vessels, with capacities ranging from 63 to 40,000 liters, each month.

The seasoned SGL team has over thirty years of experience manufacturing glass-lined products that meet international standards for a range of chemically demanding applications. Mr. Nageswara Rao Kandula, Managing Director, leads this team.

IPO fund utilization by Glass Lining Technology

Glass Lining Technology announced that it planned to allocate about 10 crore of the proceeds from the new issue to capital expenses for the acquisition of machinery and equipment. The company and its solely owned material subsidiary, S2 Engineering Industry Pvt Ltd, will use an additional 130 crore to pay off debt.

In addition, it had budgeted 20 crore for general corporate purposes, strategic acquisitions, and investments, and 30 crore for capital expenditures for machinery and equipment in S2 Engineering. The book-running lead managers were IIFL Securities Limited and Motilal Oswal Investment Advisors Limited, while the offer registrar was KFin Technologies Limited.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.