Sansera Engineering
Mainboard₹1,283 Cr issue
+9.05%
Listing gain over issue price
Issue size
₹1,283 Cr
1 lot at cut-off
₹14,880
Lot size
20shares
Open
14 Sep 2021
Close
16 Sep 2021
Allotment
21 Sep 2021
Listing
24 Sep 2021
Listing performance
Issue price
₹744
Listed at
₹811.35
Listing-day close
₹818.70
Latest price
₹3,978
Close on 23 Oct 2026
Listing gain
+9.05%
Return since issue
+434.68%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 14 Sep 2021 – 16 Sep 2021
- Listing date
- 24 Sep 2021
- Face value
- ₹2 per share
- Issue price
- ₹744 per share
- Lot size
- 20 shares
- Total issue size
- ₹1,283 Cr
- Market cap at offer price
- ₹3,823 Cr
- Promoter holding
- 41.98% → 34.96% pre-issue → post-issue
- ISIN
- INE953O01021
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- ICICI Securities Ltd.
- Registered office
- Plant 7, Plot No.143/A, Jigani Link Road, Bommasandra Industrial Area, Anekal Taluk, Karnataka
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 51,35,162 | — | — |
| Market maker | 0 | — | — |
Application size
Minimum 20 shares per lot, in multiples, at ₹744
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 20 | ₹14,880 |
| Retail (max) | 13 | 260 | ₹1,93,440 |
| S-HNI (min) | 14 | 280 | ₹2,08,320 |
| S-HNI (max) | 67 | 1,340 | ₹9,96,960 |
| B-HNI (min) | 68 | 1,360 | ₹10,11,840 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
51,35,162
Anchor portion
₹382 Cr
at ₹744 per share
Valuation and performance
Valuation at offer price
₹744 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| Market cap | — | ₹3,823 Cr |
About Sansera Engineering
Sansera Engineering Limited was incorporated as a private limited company on December 15, 1981, and converted to a public limited company on June 29, 2018. The company is an engineering-led integrated manufacturer of complex and critical precision engineered components across automotive and non-automotive sectors. Within the automotive sector, it manufactures and supplies precision forged and machined components and assemblies critical for engine, transmission, suspension, braking, chassis and other systems for two-wheelers, passenger vehicles and commercial vehicles. Within the non-automotive sector, it manufactures and supplies precision components for aerospace, off-road, agriculture and engineering and capital goods. The company supplies most of its products directly to OEMs in finished condition, resulting in significant value addition. The company operates multiple manufacturing plants across India (Plants 1-15 in Bengaluru, Haryana, Maharashtra, Uttarakhand, and Gujarat) and has subsidiaries in Mauritius and Sweden.
Company Analysis
from RHPSansera Engineering Limited is an engineering-led integrated manufacturer of complex and critical precision forged and machined components for automotive (two-wheelers, passenger vehicles, commercial vehicles) and non-automotive sectors (aerospace, off-road, agriculture).
Sansera Engineering Limited was incorporated as a private limited company on December 15, 1981, and converted to a public limited company on June 29, 2018. The company is an engineering-led integrated manufacturer of complex and critical precision engineered components across automotive and non-automotive sectors. Within the automotive sector, it manufactures and supplies precision forged and machined components and assemblies critical for engine, transmission, suspension, braking, chassis and other systems for two-wheelers, passenger vehicles and commercial vehicles. Within the non-automotive sector, it manufactures and supplies precision components for aerospace, off-road, agriculture and engineering and capital goods. The company supplies most of its products directly to OEMs in finished condition, resulting in significant value addition. The company operates multiple manufacturing plants across India (Plants 1-15 in Bengaluru, Haryana, Maharashtra, Uttarakhand, and Gujarat) and has subsidiaries in Mauritius and Sweden.
Automotive components - precision forged and machined componentsAerospaceOff-road vehiclesAgricultureEngineering and capital goods
Objects of the Issue
- Offer for Sale of Equity Shares by Selling Shareholders ₹12,825.20 million p.1
- Benefits of listing the Equity Shares on the Stock Exchanges p.17
- Offer for Sale by Selling Shareholders ₹12,825.20 million p.57
- Listing on Stock Exchanges p.87
- Not stated in this document excerpt - this is Part 6 of 8, which covers financial statements and MD&A
Issue Structure
- Total Issue
- 17,244,328 Equity Shares aggregating to ₹12,825.20 million
- Offer for Sale
- 17,244,328 Equity Shares aggregating to ₹12,825.20 million
- Price Band
- ₹734 to ₹744 per Equity Share
- Lot Size
- 20 Equity Shares and in multiples of 20 Equity Shares thereafter
- Face Value
- ₹2 per Equity Share
Business Model
The company manufactures and supplies precision forged and machined components primarily to OEMs (Original Equipment Manufacturers) in the automotive sector for use in engine, transmission, suspension, braking, chassis and other systems. Revenue is generated through direct supply of customized precision components to automotive OEMs and non-automotive customers. The company operates manufacturing facilities across multiple locations and supplies products globally to customers in India and 24 other countries across North America, Latin America, Europe, and Asia.
Business Segments
Manufactures and supplies precision forged and machined components including connecting rods, crankshafts, rocker arms and gear shifter forks for two-wheeler engines, transmissions, and related systems
Manufactures and supplies precision forged and machined components including connecting rods and rocker arms for passenger vehicle engines and transmissions
Manufactures and supplies precision forged and machined components for commercial vehicle engines, transmissions and related systems
Manufactures and supplies precision components for aerospace, off-road vehicles, agriculture and engineering and capital goods sectors
Manufactures precision forged and machined components for automotive OEMs
Manufacturer of connecting rods, crankshafts, rocker arms, gear shifter forks, stem comps, axles and other precision forged and machined components for engine, transmission, suspension, braking and chassis systems
Manufacturer of connecting rods, rocker arms and other precision engineered components for passenger vehicles
Manufacturer of precision engineered components for commercial vehicle engine, transmission, suspension, braking and chassis systems
Manufacturer of precision components for aerospace, off-road, agriculture and other segments including engineering and capital goods, defence and power transmission
Supply of connecting rods, rocker arms, crankshaft assemblies, gear shifter forks, stem comp, integral crankshafts, and aluminium forged components for motorcycles, scooters, and three-wheelers. Largest supplier in India for connecting rods, rocker arms, and gear shifter forks in the segment.
Supply of connecting rods, rocker arms, sprockets, gear shifter forks, yoke universal joints, rocker shafts, hub front axles, and end rear axles to passenger vehicle OEMs. Largest supplier of connecting rods and rocker arms in India's passenger vehicles segment.
Supply of connecting rods, cabin tilt systems, integral crankshafts, brackets, and pump barrels to commercial vehicle OEMs. One of top 10 global suppliers of connecting rods within the CV segment.
Supply of multiple components for various subsystems of aircraft including aerostructure parts, cargo system parts, lighting system parts, actuation parts, equipment housing parts, and specialty seating parts.
Supply of crankshaft assemblies, balancer shafts, connecting rods, and gear shifter forks for all-terrain vehicles and recreational vehicles.
Supply of cam shaft forgings, pump barrels, and components for diesel fuel injection systems and tractors.
Supply of connecting rods for industrial engines and construction equipment, fan hubs, and precision components for power transmission and railways segments.
Automotive component - connecting rods manufactured and sold
Automotive component - crankshaft assembly manufactured and sold
Automotive component - rocker arms manufactured and sold
Automotive component - gear shifter forks manufactured and sold
Manufactures and supplies precision forged and machined components and assemblies (connecting rod, rocker arm, crankshaft, gear shifter fork, stem comp, aluminium forged parts) for engine, transmission, suspension, braking, chassis and other systems for two-wheeler, passenger vehicle and commercial vehicle verticals
Manufactures and supplies a range of precision components for the aerospace, off-road, agriculture and other segments, including engineering and capital goods
SWOT Analysis
Strengths
- • Engineering-led integrated manufacturer with complex precision engineered components(p.17)
- • Market leadership in connecting rods and key automotive components in India(p.30)
- • Top 10 global supplier of connecting rods(p.29)
- • Diversified customer base across geographies and sectors(p.17)
- • 13 manufacturing facilities on industrial land with government allotment(p.41)
- • Established credit ratings from domestic rating agencies(p.45)
- • Material compliance with quality and product certifications(p.45)
- • Strong export performance meeting EPCG obligations(p.45)
- • Top 10 global supplier of connecting rods gaining market share(p.150)
- • Largest domestic supplier of critical precision components across multiple verticals(p.151)
- • In-house machine building and automation capabilities(p.150)
- • Long-standing relationships with major OEMs(p.151)
- • Strong profitability and financial metrics vs. peers(p.139)
- • Diversified product portfolio across automotive and non-automotive sectors(p.150)
- • Experienced professional management team(p.150)
- • Leading market position in core product families in Indian two-wheeler segment(p.157)
- • Advanced engineering and machine building capabilities with in-house special purpose machine manufacturing(p.154)
- • Superior financial performance outpacing industry despite production declines(p.156)
- • Strong operating margins and profitability metrics leading industry peers(p.156)
- • Experienced management team with long tenure and diverse expertise(p.156)
- • Long-standing customer relationships with global and Indian OEMs(p.156)
- • Global top-10 supplier position in critical light vehicle and commercial vehicle segments(p.158)
- • Diversified product portfolio across 69 product families spanning multiple segments(p.154)
- • Established audit and governance framework with multiple Board committees(p.205)
- • Experienced and stable key managerial personnel with long tenure(p.211)
- • Diversified geographic revenue base across India, Europe, and USA(p.258)
- • Strong profit growth year-over-year(p.228)
- • Diversified product portfolio across automotive and aerospace segments(p.231)
- • Leading global market position in connecting rods(p.285)
- • Significant market share gains in connecting rods globally(p.285)
- • Dominant domestic market position across key product categories(p.285)
- • In-house design, engineering, and machine-building capabilities(p.285)
- • Long-standing, diversified customer relationships(p.286)
- • Integrated, vertically-coordinated manufacturing operations(p.286)
- • Strong profitability recovery post-COVID lockdown(p.287)
- • Improved debt-to-equity ratio and deleveraging trend(p.292)
Weaknesses
- • No firm commitment long-term supply agreements with customers(p.27)
- • High dependency on key customers, especially Bajaj(p.27)
- • High exposure to pricing pressure from large OEM customers(p.28)
- • Significant reliance on contract labour with associated compliance risks(p.36)
- • Substantial assets hypothecated as security for borrowings(p.40)
- • Dependence on customer dialogue for production volume estimation with significant historical variance(p.45)
- • Missing historical corporate records and untraceable filings(p.39)
- • CSR spending shortfall and compliance failure(p.42)
- • Delayed unspent CSR fund transfer and potential double penalty exposure(p.42)
- • Past non-filing of beneficial ownership returns and reliance on compounding(p.42)
- • Significant capital intensity of business with uncertain future requirements(p.44)
- • Counterparty credit risk and customer payment delays(p.44)
- • Potential downgrade of credit ratings increasing borrowing costs(p.44)
- • Ongoing industrial land use compliance requirements with cancellation risk(p.41)
- • Related party transactions without assurance of arm's length terms(p.47)
- • Contingent liabilities exposure of ₹92.33 million(p.47)
- • Lease agreements lacking adequate stamping or registration(p.48)
- • KIADB notice regarding outstanding land sale deed execution(p.41)
- • High customer concentration risk(p.151)
- • Limited electric vehicle component portfolio despite industry shift(p.110)
- • High customer concentration with top 5 customers representing 59% of revenue(p.153)
- • Incomplete historical record retention creating compliance and liability risk(p.192)
- • Failure to meet minimum CSR expenditure requirements under Companies Act(p.186)
- • Dependence on contract labour creating wage and compliance exposure(p.182)
- • Limited long-term firm purchase commitments from customers(p.181)
- • Environmental compliance issues with closure and show-cause notices(p.183)
- • High financial leverage with significant borrowings(p.227)
- • Customer concentration risk among top customers(p.259)
- • Significant lease liabilities indicating heavy reliance on leased assets(p.249)
- • Pending litigation and contingent liabilities(p.261)
- • No formal dividend policy with no dividends declared historically(p.221)
- • High customer concentration risk(p.288)
- • Single-source dependency for certain products with key customers(p.286)
- • Significant reliance on top customer (Bajaj)(p.286)
- • Limited geographic production footprint outside India(p.286)
- • Substantial leverage with floating-rate debt exposure(p.290)
- • Vulnerable supply chain with no long-term raw material contracts(p.289)
- • Multiple ongoing regulatory and litigation matters creating operational risk(p.319)
- • Significant outstanding environmental and regulatory demands from multiple pollution boards(p.320)
- • Substantial tax demands and claims requiring ongoing legal defense(p.321)
- • Material outstanding dues to two creditors representing significant concentration(p.322)
- • Fire accident at manufacturing facility involving contract worker injuries(p.320)
Opportunities
- • Expected strong growth in Indian auto component industry(p.17)
- • Diversification into electrification of vehicles and new products(p.28)
- • Expansion into non-automotive sectors(p.29)
- • Growing electric vehicle penetration creating new market opportunities(p.29)
- • Expansion into new geographic markets and customer segments(p.41)
- • Business diversification through acquisitions(p.44)
- • Export market growth under government incentive schemes(p.45)
- • Production Linked Incentive Scheme for automotive industry(p.46)
- • Growing demand for connecting rods in India across vehicle segments(p.134)
- • Expanding Indian two-wheeler market at 10.9% CAGR through Fiscal 2026(p.107)
- • Growing scooter segment with higher margins and new stem comp configurations(p.144)
- • Expanding Indian passenger vehicle market at 10.8% CAGR through Fiscal 2026(p.116)
- • Rising demand for hybrid transmission components globally(p.147)
- • OEM outsourcing trend favoring integrated component manufacturers(p.151)
- • Growing commercial vehicle market in India at 13% CAGR through Fiscal 2026(p.122)
- • Expansion into aerospace and defence sectors(p.151)
- • Growing outsourcing trend by OEMs enabling content expansion with suppliers(p.157)
- • Expected growth in two-wheeler products at 12-13% CAGR through 2026(p.157)
- • Opportunity to capture electrification components for hybrid and electric vehicles(p.157)
- • High-value hybrid EV components market growing at 29.4% CAGR to 2025(p.159)
- • Emerging markets and new geographies expanding addressable market(p.157)
- • Non-automotive segments expected to grow 8.3% CAGR to ₹2,655 billion by 2026(p.159)
- • Global aircraft delivery expected to increase 10-12% CAGR through 2025(p.160)
- • New greenfield aerospace and defence facility expansion creating capacity(p.160)
- • Expansion of aerospace and specialty components manufacturing(p.211)
- • Renewable energy procurement through captive power project(p.251)
- • Continued international market penetration in Europe and USA(p.258)
- • Capital expansion investments for increased production capacity(p.261)
- • Strong projected growth in Indian automotive sector(p.304)
- • Growing global light and commercial vehicle markets(p.304)
- • Significant expansion into new product families and non-automotive sectors(p.286)
- • Emerging electrification and alternative propulsion trends(p.286)
- • Expansion of customer base and reduced concentration(p.286)
- • Production Linked Incentive Scheme availability for automotive components(p.315)
Threats
- • COVID-19 pandemic causing prolonged disruptions to operations(p.25)
- • Risk of product obsolescence from industry technological changes(p.29)
- • Cyclical automotive industry subject to economic downturns(p.35)
- • Raw material price volatility and supply chain risks(p.37)
- • Exposure to foreign exchange rate fluctuations(p.35)
- • Environmental and regulatory compliance risks(p.34)
- • Loss of senior management and technical personnel(p.30)
- • IDC conditions and investment commitment compliance risks(p.41)
- • Delays in manufacturing facility setup due to external factors(p.41)
- • Automotive industry production volume fluctuations(p.43)
- • Customer operational restructuring and geographic migration(p.43)
- • New product development cost recovery risks(p.43)
- • Power and water supply disruption risk(p.48)
- • Manufacturing facility shutdown risks from industrial accidents and natural disasters(p.45)
- • Fiscal benefit discontinuation and lower RODTEP rates(p.45)
- • Intellectual property infringement litigation risk(p.45)
- • India macroeconomic downturns and policy changes(p.49)
- • Global financial instability affecting Indian markets(p.49)
- • Competition Act violations and penalties(p.49)
- • Political instability and regulatory changes in India(p.50)
- • Terrorist attacks and military tensions affecting investor sentiment(p.51)
- • India's sovereign debt downgrade risk(p.51)
- • Inflation increasing production costs(p.51)
- • Natural disasters and pandemics(p.51)
- • Loss of lease agreements on state development authority premises(p.48)
- • KIADB and HSIIDC constitutional change consent requirements(p.48)
- • Industry-wide production declines during economic downturns(p.151)
- • Electrification reducing demand for internal combustion engine components(p.137)
- • Low EV penetration limits connecting rod market growth long-term(p.138)
- • Global connecting rod market decline post-2025 due to EV proliferation(p.137)
- • COVID-19 pandemic impact on supply chains and sales(p.107)
- • Regulatory compliance and transition costs for emission standards(p.106)
- • Significant production volume declines in core two-wheeler and passenger vehicle segments(p.156)
- • Global light vehicle and commercial vehicle segments experiencing cyclical downturns(p.156)
- • Expected EV penetration reducing demand for traditional engine components(p.157)
- • Passenger vehicle rocker arm market expected to decline 1.7% CAGR through 2026(p.158)
- • Exposure to raw material price fluctuations and inability to pass all increases to customers(p.181)
- • Dependence on third-party transportation creating delivery risk(p.182)
- • Strict OEM quality and performance requirements with cancellation and warranty risks(p.179)
- • Power and water supply disruption risks impacting production and costs(p.182)
- • Automotive industry cyclicality and downturn risks(p.265)
- • Foreign exchange volatility impacting overseas operations(p.229)
- • Raw material price fluctuations affecting input costs(p.259)
- • Regulatory and tax compliance risks across multiple jurisdictions(p.261)
- • COVID-19 pandemic causing ongoing production and demand disruptions(p.314)
- • Raw material price volatility and supply chain risks(p.289)
- • Foreign exchange rate fluctuations impacting export revenues(p.290)
- • Global and domestic automotive sector cyclicality and economic downturn risk(p.288)
- • Discontinuance of export incentive schemes with lower replacement rates(p.315)
- • Interest rate risk on substantial floating-rate borrowings(p.311)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Subramonia Sekhar Vasan | Promoter/Managing Director | 22.90% | — |
| Unni Rajagopal Kothenath | Promoter | 6.36% | — |
| Fatheraj Singhvi | Promoter | 6.27% | — |
| Devappa Devaraj | Promoter | 5.11% | — |
| Subramonia Sekhar Vasan | Promoter | 22.90% | 19.07% |
| Client Ebene Limited | Investor Selling Shareholder | 33.85% | 17.78% |
| CVCIGP II Employee Ebene Limited | Investor Selling Shareholder | 18.96% | 9.96% |
| Unni Rajagopal Kothenath | Promoter | 6.36% | 5.30% |
| Fatheraj Singhvi | Promoter | 6.27% | 5.20% |
| Devappa Devaraj | Promoter | 5.11% | 4.05% |
| Subramonia Sekhar Vasan | Promoter/Chairman and Managing Director | 23.96% | — |
| Fatheraj Singhvi | Promoter/Joint Managing Director | 6.55% | — |
| Unni Rajagopal Kothenath | Promoter | — | — |
| Devappa Devaraj | Promoter | — | — |
| Subramonia Sekhar Vasan | Promoter | 23.96% | — |
| Fatheraj Singhvi | Promoter | 6.55% | — |
| Unni Rajagopal Kothenath | Promoter | 7.28% | — |
| Devappa Devaraj | Promoter | 7.28% | — |
| Not disclosed in this excerpt | Not disclosed in this excerpt | — | — |
| Not stated in this section | Promoter | — | — |
Leadership
Subramonia Sekhar Vasan · Managing Director
B R Preetham · CEO
Vikas Goel · CFO
Rajesh Kumar Modi · Company Secretary and Compliance Officer
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Sansera Engineering IPO FAQs
What is the lot size of Sansera Engineering IPO?
The minimum lot size of Sansera Engineering IPO is 20 shares. One lot costs ₹14,880 at the cut-off price.
When does Sansera Engineering IPO open and close?
Sansera Engineering IPO opened for subscription on 14 Sep 2021 and closed on 16 Sep 2021.
What is the listing date of Sansera Engineering IPO?
Sansera Engineering IPO listed on 24 Sep 2021.