Jyoti CNC Automation Limited, a globally renowned manufacturer of CNC machines, has taken a significant step by submitting its Draft Red Herring Prospectus (DRHP) to the Securities and Exchange Board of India (SEBI) for its initial public offering (IPO).

This IPO involves a fresh issue of Rs 1,000 crore, and the company intends to utilise the net proceeds for repaying or prepaying certain borrowings and addressing long-term working capital needs.

In fiscal year 2022, Jyoti CNC Automation held approximately 8 percent of the market share. The company is known for producing advanced simultaneous 5-Axis CNC machines in India and boasts an extensive portfolio of CNC machines in the country. Jyoti CNC Automation operates with a vertically integrated approach, a critical factor in their ability to offer technologically relevant and customised solutions.

With a product range of over 200 variants across 44 series, the company has supplied over 7,200 CNC machines to more than 3,000 customers in India and across Asia, Europe, North America, and the rest of the world in the last three fiscal years. Since April 1, 2004, they have delivered more than 30,000 CNC machines worldwide. Their global presence extends to India and 16 other countries, facilitated by their main offices in India, France, Germany, Turkey, and Canada.

Additionally, Jyoti CNC Automation distributes its products in Romania, France, Poland, Belgium, Italy, and the United Kingdom through Huron's established dealer network. Furthermore, they maintain 29 sales and service centers, including sales offices located within their manufacturing facilities in Rajkot, Gujarat, spanning 12 states in India.

As of June 30, 2023, Jyoti CNC Automation had an order book worth Rs 31,430.56 million, which included a Rs 2,602.50 million order from an entity in the electronics manufacturing services (EMS) industry.

Equirus Capital Private Limited, ICICI Securities Limited, and SBI Capital Markets Limited are the Book Running Lead Managers for this IPO, and the company's equity shares will be listed on both BSE and NSE stock exchanges.