GNA Axles has raised Rs 37.88 crore by selling 18.30 lakh shares to anchor investors ahead of the opening of the company's initial public offer (IPO). The shares were allotted to the anchor investors at Rs 207 per share, the top end of the Rs 205 to Rs 207 per share price band for the IPO.

Anchor investors allotted shares of GNA Axles included Reliance Capital Trustee Company, UTI Mutual Fund and HDFC Trustee Company.

The initial public offer (IPO) of GNA Axles opened for bidding today, 14 September 2016. The IPO closes on 16 September 2016. The price band for the IPO has been fixed at Rs 205 to Rs 207 per share. The issue comprises of a net issue to the public of upto 61 lakh shares and reservation of upto 2 lakh shares to the employees. The issue will constitute up to 29.35% of the post-issue paid-up equity share capital of the company and the net issue will constitute of upto 28.42% of the post-issue paid-up equity share capital of the company.

The net proceeds from the issue will be utilised towards the purchase of plant and machinery, to meet working capital requirements; and for the general corporate purposes.

GNA Axles' consolidated net profit rose 20.17% to Rs 25.96 crore on 18.18% rise in total revenue to Rs 508.94 crore in the year ended 31 March 2016 (FY 2016) over the year ended 31 March 2015 (FY 2015).

Established in 1993, GNA Axles is into manufacturing of rear axle shafts used in on-highway and off-highway vehicular segments in India. The company manufactures and supplies a diverse range of rear axle shafts, other shafts and spindles for the on-highway segment, i.e. for light commercial vehicles (LCVs), medium commercial vehicles (MCVs) and heavy commercial vehicles (HCVs) and other transport vehicles such as buses. The company also manufactures and supplies a diverse range of rear axle shafts and other shafts for the off-highway segment, i.e. for agricultural tractors and machinery, forestry and construction equipments, electric carts and other specialty vehicles used in mining and defense sectors. The company also manufactures solid and hollow spindles used in the axle assembly for various vehicles and equipments in the on-highway segment which it supplies to export customers.