1.Company Information

Kross Limited, formerly known as Kross Manufacturers (India) Private Limited, established in 1991, manufactures and supplies trailer axles and suspensions and a wide range of high-performance forged and precision machined safety critical parts for medium and heavy-duty commercial vehicles (M&HCV) and agricultural equipment.
The company's product portfolio includes axle shafts, companion flanges, anti-roll bars and stabilizer bar assembly, suspension linkages, differential spiders, bevel gears, planet carriers, inter-axle kits, rear-end spindles, pole wheels, and a variety of tractor components for the hydraulic lift arrangement, power take-off (PTO) shafts and front axle spindles.
The company supplies its products to major original equipment manufacturers (“OEMs”) that manufacture M&HCVs and tractors, as well as to domestic dealers and trailer axle and suspension manufacturers that supply OEMs in the M&HCV segment.
Kross Limited has five ISO 9001:2015 certified manufacturing facilities in Jamshedpur, Jharkhand, with the capacity to manufacture forgings weighing up to 40 kg. The production facilities are equipped with (i) forging presses and upsetting lines with induction heating for billets, (ii) a foundry with a high-pressure moulding line, (iii) high precision machining machines like turning centers, vertical and horizontal milling centres, Grinding, broaching, hobbing and shaping machines as well as robot welding systems, (iv) an in-house cathodic electro dip painting system (“CED system”), powder coating and spray painting and (v) heat treatment furnaces and induction hardening systems.
As of June 30, 2024, the company had 528 permanent employees.

2. Objects of the Issue

Long standing relationship with large OEMs and their tier one suppliers, domestic dealers and fabricators for our trailer axle and suspension business complemented by a diversified network of dealers for our trailer axle and suspension assembly business
In over three decades of our operations, we have established long-standing relationships with several well established Indian and global customers like OEMs Ashok Leyland Limited, Tata International DLT Private Limited, a leading Indian automobile OEM, a leading Indian farm equipment OEM, and global Tier I supplier for auto components. Our diversified product portfolio helps us cater to the requirements of a broad spectrum of customers which includes marquee domestic and global OEMs for the M&HCV segment and their Tier 1 suppliers, domestic dealers and fabricators for our trailer axle and suspension business and in the last three fiscals, we have served over 200 customers. We believe that the strength of our customer relationships is attributable to our ability to customize to customer specifications and requirements, as well as our track record of consistent delivery of quality and cost-effective products and solutions over the years. We partner with our key customers at various stages of product development, commencing from product design, validation and testing up to final manufacturing and delivery. This helps us understand customer requirements and future plans better, enabling us to forecast, plan and manufacture our products accordingly, thereby resulting in business optimization, improved productivity, efficiency and margins.
Long standing relationship with large OEMs and their tier one suppliers, domestic dealers and fabricators for our trailer axle and suspension business complemented by a diversified network of dealers for our trailer axle and suspension assembly business
In over three decades of our operations, we have established long-standing relationships with several well established Indian and global customers like OEMs Ashok Leyland Limited, Tata International DLT Private Limited, a leading Indian automobile OEM, a leading Indian farm equipment OEM, and global Tier I supplier for auto components. Our diversified product portfolio helps us cater to the requirements of a broad spectrum of customers which includes marquee domestic and global OEMs for the M&HCV segment and their Tier 1 suppliers, domestic dealers and fabricators for our trailer axle and suspension business and in the last three fiscals, we have served over 200 customers. We believe that the strength of our customer relationships is attributable to our ability to customize to customer specifications and requirements, as well as our track record of consistent delivery of quality and cost-effective products and solutions over the years. We partner with our key customers at various stages of product development, commencing from product design, validation and testing up to final manufacturing and delivery. This helps us understand customer requirements and future plans better, enabling us to forecast, plan and manufacture our products accordingly, thereby resulting in business optimization, improved productivity, efficiency and margins.
We are widely recognized as one of the prominent manufacturers of trailer axles and suspension assemblies in India and one of the few players domestically with the competency to manufacture trailer axles and suspension assembly in-house
We have evolved from being a manufacturer of precision machined auto components to being a systems manufacturer by entering into manufacture of trailer axles and suspension assemblies in 2019. We have witnessed robust growth in the past three years (between Fiscal 2020 and Fiscal 2023), enabling us to compete with major trailer axle manufacturers (Source: CRISIL Report). As per CRISIL, the Commercial Vehicle market is expected to see a constant rise in vehicle tonnage, which is expected to significantly change the industry’s landscape. Market dynamics are changing significantly as the industry’s average payload rises, especially increasing intensity of trailer axles for CV trucks (Source: CRISIL Report).
As on date, our manufacturing capacity was 60,000 trailer axle and suspension assemblies per annum, while for the three month period ended June 30, 2023 we manufactured approximately 12,300 trailer axles and suspension assemblies.
Experienced Promoters supported by a management and execution team with proven track record
We are led by an experienced management team that we believe has the expertise and vision to manage and grow our business. Our Chairman and Managing Director, Sudhir Rai, has been an integral part in the establishment and growth of our Company and with over three decades of experience in the automotive industry, and has been instrumental in our continued growth. Our business operations are led by Sumeet Rai, Promoter and whole time Director, our commercial portfolio is led by Kunal Rai, Promoter and whole time Director (Finance) and CFO, both of whom have over 9 years of experience in the automotive industry and our stores, supply chain and procurement are led by Anita Rai, Promoter and whole time Director and who has been associated with us since incorporation.
Diversified product portfolio with a focus on continuous value addition
We are a diversified player involved in manufacturing and supply of wide range of forging and machined precision components and assemblies. We are widely recognized as a prominent manufacturer of trailer axles and suspension assembly in India and are also a prominent manufacturer of differential spiders in the M&HCV segment (Source: CRISIL Report). Further, we are a specialist in manufacturing high precision safety critical components which include companion flanges, axle shafts, rear end spindles, anti-roll bars and stabiliser bar assembly, differential spiders and inter-axle kits, bevel gear assembly, suspension linkages and trunnion pin, universal joints, gear joint assemblies, clutch release forks, pole wheels, input and output shafts, adapter ring gears, planet carrier assembly, cam shafts and wide variety of tractor components for the hydraulic lift arrangement such as control spring assemblies, arm rams, arm hydraulic lifts, PTO shafts and spindle front axles.

3. Kross IPO Registrar

Kfin Technologies Limited

Phone: 04067162222, 04079611000

Email: krosslimited.ipo@kfintech.com

Website:https://kosmic.kfintech.com/ipostatus/