IPO Watch: Aequs files for IPO on a confidential basis; plans to raise up to $200 million

Mint

03-06-2025

IPO Watch: Aequs Limited (Aequs), a manufacturing platform embodying the 'Make in India' initiative designed for global markets, has confidentially submitted a draft red herring prospectus (DRHP) for an initial public offering (IPO) to the stock market regulator, SEBI, and stock exchanges, as indicated by a public announcement that was published on June 3, 2025.
The company offers a comprehensive, precision manufacturing ecosystem for the aerospace and consumer sectors.
Recently, the Board of Directors of Aequs Ltd. approved a resolution to transition the company's status to a public entity and to change its name from 'Aequs Private Limited' to 'Aequs Limited,' in accordance with its regulatory filing.
Aequs has received considerable equity investments from its promoters over the years to expand the company's operations. Furthermore, it has drawn the attention of global investors like Amicus Capital, Amansa Capital, Steadview Capital, Catamaran (the family office of Infosys founder N. R. Narayana Murthy), Sparta Group, and the investment office of Desh Deshpande, according to publicly accessible information.
The firm successfully secured external funding through Convertible Cumulative Preference Shares (CCPS), totaling approximately ₹ 586 crore from private equity investors, which will be utilized to support the growing scale of its operations as indicated in a CareEdge Ratings report dated July 5, 2024.
In FY24, the company's total income was about ₹ 988 crore (as per regulatory filings), while its total operating income reached ₹ 970 crore (according to the CareEdge Ratings Report) during the same fiscal year. Based on successful completion of its capital expenditure project and consistent order inflow in the aerospace sector, CareEdge Ratings anticipates that the company's revenue will experience a compounded annual growth rate (CAGR) of 45% in the near to medium term.
The report highlighted that the company benefits from ongoing support from its promoters. Aravind Melligeri, the founder and Chairman & CEO, possesses decades of experience in the aerospace field and is a co-founder of QuEST Global Engineering Private Limited.
Recently, the company announced the appointment of Jean-Michel Condamin as the Chief Executive Officer (CEO) of its Aerospace Division, while Rajeev Kaul serves as the Managing Director of Aequs Ltd.
According to sources and previous media reports, the company is allegedly preparing to initiate an IPO valued at $200 million. The offering is expected to include both a new issue of equity shares and an offer for sale (OFS) segment, based on the company's regulatory documents. The company chose not to provide any comments.
The book running lead managers for the IPO are said to be Kotak Mahindra Capital, JM Financial, and IIFL Capital.
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