Tenneco Clean Air ₹3,600-crore IPO opens today: Check GMP, key details before subscribing

The ₹3,600-crore initial share sale of US-based Tenneco Group backed automotive component manufacturer Tenneco Clean Air India has opened for public subscription on Wednesday, November 12.

Ahead of the issue launch, the company has mopped up ₹1,080 crore from 58 anchor investors.

Global investors including Nomura Funds, Fidelity, BlackRock, Government Pension Fund Global, Abu Dhabi Investment Authority, and Goldman Sachs participated in the anchor book.

The issue, which will close for subscription on November 14, has fixed a price band of ₹378-397 per share.

The lot size for retail investors is 37 shares, requiring a minimum investment of ₹14,689 at the upper price band.

In the unlisted market, shares of the company are trading at a premium of 15% today. However, these GMP reports are speculative in nature and the listing price could differ from these figures.

It is entirely an offer-for-sale by promoter Tenneco Mauritius Holdings, hence the company will not receive any funds from the offer.

Company overview

Tenneco Clean Air India Ltd. manufactures and supplies critical, highly engineered and technology-intensive clean air, powertrain and suspension solutions tailored for Indian original equipment manufacturers (OEMs) and export markets.

Tenneco's customer base spans OEMs who use its products in: (i) passenger vehicles (PVs), (ii) commercial vehicles (CVs), comprising commercial trucks (CTs) and off-highway vehicles (OHs), and (iii) industrial and other applications, comprising generator sets, small commercial vehicles with gross vehicle weight of less than 3.5 tons, two wheelers and three wheelers (Industrial/Others).

Tenneco also sells to the aftermarket primarily through Motocare India Private Limited (Motocare), a subsidiary of Tenneco LLC and Group Company.

JM Financial, Citigroup Global Markets India, Axis Capital, and HSBC Securities and Capital Markets (India) are acting as the merchant bankers for the Tenneco Clean Air IPO.

The allotment is expected to be finalised on November 17 and the listing scheduled for November 19 on both the BSE and NSE.