Athira Sethu
Kochi, 27 May 2026
Indian tyre tube maker Matangi Rubber has registered a Draft Red Herring Prospectus with SEBI in connection with its proposed Initial Public Offer (IPO). In order to raise money through IPO, Matangi will sell new issue shares and shares under Offer for Sale (OFS).
According to the Draft Red Herring Prospectus, the proposed Initial Public Offer will involve fresh issue of 57.61 lakh shares and OFS of 15.15 lakh shares. During the OFS part, certain promoters and investors will offer part of their shareholding in the company. Some of these investors are Vandana Rubber and Chemicals Private Limited, Radhika Gupta, Anju Khanna, Pratyush Handa and Priyanka Khanna.
According to the company, the funds generated through this new issue are to be utilized for repaying some specific debts, meeting its capital expenditure needs, and also for general corporate purposes. According to Matangi Rubber, the listing of its shares on the stock exchanges is expected to enhance its corporate image and visibility among consumers.
The company further pointed out that listing its shares on the stock exchanges would make subsequent financing of funds easier and cheaper, particularly if in future, it intends to undertake expansion or diversification of its business activities.
It should be noted that Sarthi Capital Advisors has been chosen as the sole book-running lead manager for this initial public offering, while Bigshare Services would be the registrar to this issue. The company plans to get its shares listed on both NSE and BSE.
Matangi Rubber produces and sells tyres, tyre tubes, tyre flaps, and rubber compounds under its own brand. The entire process of manufacturing is carried out in its own manufacturing units after obtaining raw materials.
It manufactures products that cater primarily to the segment of two-wheelers and three-wheelers. Additionally, the company manufactures tyre tubes and flaps that are used in commercial vehicles like trucks, buses, and heavy utility vehicles.
Currently, Matangi Rubber has five manufacturing plants in India. Two of these plants are situated in Uttarakhand, another two are in Madhya Pradesh, and the rest in Tamil Nadu.
In light of this IPO, it is pertinent to note that the manufacturing/auto-component sector has been witnessing many players coming forward with their IPOs recently. With the help of this IPO, these companies can expand and make their business operations more efficient.
