NEW DELHI: JK Tyre & Industries Limited, one of India’s leading tyre manufacturers, has successfully raised Rs.500 crore through Qualified Institutional Placement (QIP). The QIP was priced at Rs.345 per share, including a premium of Rs.343 per share with a face value of Rs.2 per share. The company received an overwhelming response from marquee investors, including Indian mutual funds, insurance companies, and foreign institutional investors.
Dr. Raghupati Singhania, Chairman and Managing Director of JK Tyre,
Dr. Raghupati Singhania, Chairman and Managing Director, JK Tyre said; “We are pleased to have completed QIP of Rs.500 crore. This is an important milestone in our corporate journey. Participation of several reputed investors in the issue endorses their faith and confidence in the Company’s growth story. QIP funds will be used for growth capex and strengthening of the balance sheet”.
JK Tyre & Industries Limited is the flagship company of the JK group and one of the leading tyre manufacturers in India. The company has a wide range of products catering to diverse business segments, including truck/bus, light commercial vehicles (LCV), passenger cars, multi-utility vehicles (MUV), and tractors. JK Tyre is also one of the pioneers of radials in India and one of the leading players in truck and bus radial tyres in India.
The company has grown to be one of the largest manufacturers of passenger car tyres in India as of fiscal 2023 and is also one of the few Indian companies to have developed PCR tyre with highly sustainable, recycled, and renewable materials. JK Tyre has secured ESG-2 grading for the second consecutive year in ESG performance from CareEdge.
JK Tyre has a significant global presence and is present in around 100 countries with over 230 global distributors. The company has 12 globally-benchmarked ‘sustainable’ manufacturing facilities, nine in India and three in Mexico, that collectively have a manufacturing capacity of around 34 million tyres annually with a strong network of over 6000 dealers and 700 dedicated brand shops called Truck wheels, Steel Wheels, and Xpress Wheels.
Emkay Global Financial Services Ltd managed the issue as the sole Lead Manager. The successful QIP will help JK Tyre to strengthen its balance sheet and fuel growth capex, enabling the company to continue its journey as one of India’s leading tyre manufacturers.
