New Delhi, April 3 -- Kay Jay Forgings has filed its draft red herring prospectus (DRHP) with the capital market regulator, Securities and Exchange Board of India (SEBI), for an initial public offering (IPO).

The proposed offering includes a new issue of equity shares totaling up to Rs.300 crore, along with an offer for sale (OFS) of up to Rs.60 crore from current shareholders.

The company plans to use the net proceeds from the new issue for capital expenditures and reducing debt. Of this, Rs.118.8 crore is intended for establishing a new forging facility, a machining facility, and a solar power plant, while Rs.90.51 crore will be allocated to the repayment or prepayment of specific loans. The remaining funds will be set aside for gener...