Kay Jay Forgings files DRHP for IPO, eyes ₹300-crore via fresh issue

The proposed Kay Jay Forgings IPO comprises a fresh issue of shares up to ₹300 crore and an offer for sale up to ₹60 crore by existing shareholders

Kay Jay Forgings IPO

SI Reporter New Delhi

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Kay Jay Forgings, a Ludhiana-based auto components manufacturer, has filed its draft red herring prospectus (DRHP) with the market regulator Securities and Exchange Board of India (Sebi) for its initial public offering (IPO).

The proposed maiden public issue comprises a fresh issue of shares up to ₹300 crore and an offer for sale (OFS) up to ₹60 crore by existing shareholders. Under the OFS, Gopal Krishan Kothari, Amit Kothari, Madhu Kothari, and GK Kothari & Sons are the promoter selling shareholders.

According to the DRHP, the company plans to use ₹118.8 crore from the net fresh issue proceeds for setting up a new forging facility, machining facility and solar power plant, while ₹90.51 crore will be used for repayment or prepayment of certain borrowings. The remaining funds will be used for general corporate purposes.

Bigshare Services is the registrar for the issue. PL Capital Markets is the sole book-running lead manager.

Kay Jay Forgings financial overview

For the six-month period ended September 30, 2025, Kay Jay Forgings reported a revenue from operations of ₹466 crore and a profit after tax (PAT) of ₹21.35 crore. In the fiscal 2025 (FY25), the company posted revenue from operations of ₹750.46 crore, up 11.6 per cent from ₹672.31 crore in the previous fiscal. The company's earnings before interest, tax, depreciation, and amortisation (Ebitda) increased to ₹71.49 crore, up 10.5 per cent compared to ₹64.71 crore in FY24. Its PAT surged to ₹29 crore against ₹24.12 crore in the previous fiscal.

About Kay Jay Forgings

Kay Jay Forgings is a B2B precision engineering company engaged in the manufacturing of machined components, primarily catering to original equipment manufacturers (OEMs) in the automotive sector. It also caters to OEM and non-OEM customers across non-automotive segments such as farm equipment, mining equipment, and consumer appliances.

Crankshafts for the two-wheeler segment have been a key product for the company since its inception. Over the years, it has diversified into segments such as three-wheelers, passenger vehicles, commercial vehicles, and electric vehicles, while also expanding into non-automotive applications. As of FY25, it is among the leading suppliers of crankshafts and crankshaft assemblies to OEMs in India’s two-wheeler segment, with an estimated market share of around 36 per cent.

The company also maintains long-standing relationships with major OEMs, including TVS Motor Company, and serves clients such as Honda Motorcycle & Scooter India and Mahindra & Mahindra, among others. It currently operates six manufacturing facilities located in Ludhiana, Punjab and Hosur, Tamil Nadu.

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First Published: Apr 01 2026 | 2:01 PM IST