Jain Resource Recycling files draft papers for Rs 2,000-cr IPO

Jain Resource Recycling Ltd has filed draft papers with markets regulator Sebi seeking its approval to raise Rs 2,000 crore through an initial public offering (IPO). The IPO comprises a fresh issue of equity shares aggregating up to Rs 500 crore and an offer for sale (OFS) valued at Rs 1,500 crore, according to the Draft Red Herring Prospectus (DRHP) filed on March 30.

The OFS comprises sale of shares worth Rs 1,430 crore by promoter Kamlesh Jain and Rs 70 crore by shareholder Mayank Pareek.

The Tamil Nadu-based company may consider raising Rs 100 crore in a pre-IPO placement round. If such placement is completed, the amount raised through the fresh issue will be reduced.


Proceeds from the fresh issue will be utilised for payment of debt and general corporate purposes.

Jain Resource Recycling is primarily focused on the manufacturing of non-ferrous metal products through the recycling of non-ferrous metal scrap. The company's product portfolio comprises lead and lead alloy ingots; copper and copper ingots; and aluminium and aluminium alloys.

The company partnered with Ikon Square Ltd UAE for the purposes of setting up its gold refining facility in Sharjah UAE. It is also engaged in the trading of non-ferrous metals and other commodities.

DAM Capital Advisors, ICICI Securities, Motilal Oswal Investment Advisors and PL Capital Markets are the book-running lead managers to the issue.

The equity shares are proposed to be listed on the BSE and NSE.