Emerald Tyre Manufacturers IPO to open on December 5; issue price band set at ₹90-95 apiece; check GMP, other details | Stock Market News

Emerald Tyre Manufacturers IPO will open for subscription on Thursday, December 5, and close on Monday, December 9. Emerald Tyre Manufacturers IPO price has been fixed in the range of ₹90 to ₹95 per equity share of face value of ₹10 each. Bids can be made for a minimum of 1,200 equity shares and in multiples of 1,200 equity shares thereafter.

The company specialise in manufacturing, supplying, and providing services for a wide range of tires used in material handling applications, including forklifts, skid loaders, ground support equipment at airports, port trailers, agricultural implements, lawn and garden mowers, mining equipment, aerial work platform trucks, and backhoe loaders. Established in 2002, the firm has built a strong presence in both the domestic and international markets, operating for over two decades under the brand name “GRECKSTER.”

Emerald Tyre Manufacturers offers a range of products, including Solid Resilient Tyres, Press Bands, Industrial Pneumatic Tyres, Butyl Tubes and Flaps, and Wheel Rims.

The company exports its products to global markets, including the USA, UAE, Russia, and several major European countries such as Belgium, Germany, the Netherlands, Hungary, Portugal, Italy, Denmark, Poland, and the UK. Additionally, Emerald Tyre Manufacturers has warehouses in Belgium, the UAE, and the USA, allowing for timely delivery of products and value-added services to customers across Europe, the Middle East, and now North America.

As per red herring prospectus (RHP), the company’s peers are Balkrishna Industries Ltd (with a P/E of 36.31), and TVS Srichakra Ltd (with a P/E of 25.33).

Emerald Tyre Manufacturers Limited reported a revenue increase of 2.37%, while profit after tax (PAT) rose by 36% for the financial year ending March 31, 2024, compared to the previous year ending March 31, 2023.

Emerald Tyre Manufacturers IPO details

Emerald Tyre Manufacturers IPO, which is worth ₹49.26 crore, comprises a fresh issue of up to 49,86,000 equity shares, and an offer-for-sale (OFS) of upto 1,99,200 equity shares by the other selling shareholders.

The company plans to use the funds being raised for the following purposes: to cover capital expenditures, to support general corporate activities, and to pay for offer expenses.

“This IPO marks an important chapter in Emerald Tyre journey, strengthening our commitment to delivering exceptional tyre solutions under the trusted ‘GRECKSTER’ brand. With over a decade of experience, we have established a strong presence in both domestic and global markets. Our extensive portfolio offers a wide range of tyre solutions designed for various sectors of the Material Handling Industry. The GRECKSTER brand is synonymous with advanced technology, exceptional performance, durability, and adherence to the highest global quality standards,” said Chandhrasekharan Thirupathi Venkatachalam, Chairman & Managing Director.

GYR Capital Advisors Private Ltd is the lead manager for the Emerald Tyre Manufacturers IPO, while Link Intime India Private Ltd serves as the registrar for this issue. The market maker for the Emerald Tyre Manufacturers IPO is Giriraj Stock Broking.

Emerald Tyre Manufacturers IPO GMP today

Emerald Tyre Manufacturers IPO GMP today is +50. This indicates Emerald Tyre Manufacturers share price was trading at a premium of ₹50 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Emerald Tyre Manufacturers share price is indicated at ₹145 apiece, which is 52.63% higher than the IPO price of ₹95.

‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.

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