Auto parts maker ASK Automotive Ltd on Wednesday (September 25) said Kuldip Singh Rathee, one of the promoters of the company, has announced plans to sell a 6.05% equity stake through an offer for sale (OFS) scheduled for September 27-28, 2024.

The floor price for the sale is set at ₹433 per share, with the base issue consisting of 5.50% equity, equivalent to 1.08 crore shares, along with a greenshoe option of 0.55%, or 10.8 lakh shares. JM Financial Services Ltd and ICICI Securities Ltd are the brokers for the sale.

Gurugram-based ASK Automotive is claimed to be the largest manufacturer of brake shoe and advanced braking systems (ABS) for two-wheelers in India with a market share of approximately 50% in fiscal 2023 in terms of production volume for original equipment manufacturers (OEMs) and the branded independent aftermarket, on a combined basis.

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The company has recently expanded its operations to cater to the top names in the EV sector such as TVS Motor, Ather, Hero Motocop, Greaves, Bajaj Auto and Revolt, which has further increased its market share. As of June 30, 2023, the company operated 15 manufacturing facilities across five states in India, the majority of which are strategically located near its OEM customers.

On the financial front, the company reported a turnover of ₹1,544 crore, ₹2,013 crore and ₹2,555 crore for FY21, FY22 and FY23, respectively, on a consolidated basis. It posted a net profit of ₹106 crore, ₹83 crore and ₹123 crore, respectively for the aforementioned period.

Shares of ASK Automotive Ltd ended at ₹467.10, up by ₹1.15, or 0.25%, on the BSE.

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