The anchor book saw participation from a mix of global and domestic institutional investors. Foreign investors included HSBC Global Investment Funds and Societe Generale. Domestic long-only investors included Kotak Mahindra Life Insurance Company and Edelweiss Life Insurance.Mutual funds also played a prominent role in anchor allocation. Equity-oriented schemes such as HDFC Manufacturing Fund, Kotak Infrastructure & Economic Reform Fund, LIC MF Large and Mid-Cap Fund, Bank of Baroda Small Cap Fund and Malabar India Fund received shares in the anchor round. Of the total anchor allocation, 41,40,591 shares were allotted to five domestic mutual funds through their various schemes, underscoring the long-term interest of institutional capital.
The anchor placement comes ahead of KSH International’s Rs 710 crore IPO, which consists of a fresh issue of Rs 420 crore and an offer for sale of up to Rs 290 crore by promoters Kushal Subbayya Hegde, Pushpa Kushal Hegde, Rajesh Kushal Hegde and Rohit Kushal Hegde. At the top end of the price range, the issue values the company at Rs 384 per share.
ICICI Securities and Nuvama Wealth Management are acting as the lead managers of the issue, while MUFG Intime India Private Limited is the registrar. Investors can apply for a minimum of 39 shares and multiples thereof.
KSH International operates in a niche but crucial segment of the industrial production value chain. According to a CARE Ratings report cited in the bid documents, the company is the third largest manufacturer of magnet winding wires in India in terms of production capacity in fiscal year 2025. It is also the largest exporter of magnet winding wires from India in terms of export revenues during the same period. Founded in 1981, the company commenced operations at its Taloja factory in Maharashtra and has steadily expanded its manufacturing footprint and product portfolio over the past four decades. Today, KSH International produces a wide range of standard and specialized magnet winding wires that meet customer-specific requirements in various sectors such as energy, transformers, motors and other electrical equipment.
The product portfolio includes round enameled copper and aluminum magnet winding wires, paper-insulated rectangular copper and aluminum wires, continuously transposed conductors and bundled paper-insulated copper magnet winding wires. The company’s focus on specialty products and export markets has helped it build long-term relationships with global customers.
Proceeds from the new issue are expected to strengthen the company’s balance sheet and support future growth initiatives, while the offer for sale will provide the promoters with a partial exit.
The successful anchor round places KSH International among a growing list of production-led IPOs that have attracted institutional interest in recent months, even as broader market conditions remain selective. The reaction of anchor investors will now be tested when the issue opens to retail and non-institutional investors later this week.
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