Air Works plans to launch IPO to raise Rs 700 cr

India's oldest private sector aircraft maintenance repair and overhaul firm (MRO), Air Works, is planning to launch an initial public offering (IPO) to raise about Rs 700 crore through issue of fresh shares and part stake sale by promoters and existing investors. As per reports, the company plans to use the proceeds for expansion and the IPO is expected in another 12-15 months. Commenting on the issue, an industry Official told the media, “It will be both primary and secondary share sale. The promoters and other investors will sell part of the holding, but will not be exiting the company.” “The draft civil aviation policy with its tax concessions and other reforms is favourable for the MRO sector and existing owners see value in staying invested in the company,” he added. The IPO and offer for sale of existing shares is expected to be on 50:50 basis. As per reports, a few months back the company had denied media reports that promoters and investors were looking for an exit.