IPO Analysis Research

Apsis Aerocom

• Apsis Aerocom is coming out with an initial public offering (IPO) of 32,52,000 shares in a price band of Rs 104-110 per equity share. 
• The issue will open on March 11, 2026 and will close on March 13, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 10.40 times of its face value on the lower side and 11.00 times on the higher side.
• Book running lead manager to the issue is Oneview Corporate Advisors.
• Compliance Officer for the issue is Saloni Jayati.

Profile of the company

The company is engaged in the field of precision engineering, with primary focus on manufacture of components and allied services for the aerospace, defence and healthcare industries. Driven by modern manufacturing techniques, it provides engineering and precision machining services, offering end-to-end solutions ranging from design support to final product delivery. It manufactures products based on specific customer requirements and preferences. Each product is customized in accordance with the individual specifications provided by customers and is manufactured pursuant to confirmed orders. It supplies products directly to customers and does not sell its products through dealers, distributors, or other intermediaries. Accordingly, the Company does not maintain a dealer or distributor network, and its sales are executed on a direct-to-customer basis.

It manufactures precision machined components and assemblies catering to a specific niche segment of the defence, aerospace and healthcare industries. Products that it manufactures contribute to the performance, safety, functionality and precision of the aerospace and defence systems and equipment catering to the healthcare sector. The company has both ‘build-to-print’ and ‘build-to-specification’ manufacturing capabilities, pursuant to which it undertakes manufacturing strictly in accordance with the designs, drawings, requirements, and technical specifications provided by the customers.

Its manufacturing processes have consistently demonstrated significant levels of dimensional accuracy over the last three fiscal years. It maintains quality systems aligned with AS9100D and ISO 9001:2015 certifications, which are widely recognized standards in its industries of operation. Its manufacturing facility situated at Bangalore, Karnataka. The facility is divided into Shed 1 (eastern portion) and Shed 2 (western portion) and is equipped with CNC machines capable of handling parts up to 1,200 mm in length. The facility supports CAD/CAM-based design, process development, and precision machining.

Proceed is being used for:

• Funding capital expenditure towards purchase of machinery
• General corporate purposes

Industry Overview

The Indian precision engineering market is witnessing significant growth owing to a rising demand for high precision components in automotive and aerospace sectors. The automotive sector, particularly the EV and advanced ICE, requires precision-engineered parts to enable enhanced efficiency, performance, and durability. Investment is being made into high tolerance machining and automation technologies in order to achieve production of lightweight, high-strength parts that meet exacting industry standards. Meanwhile, the expanding field of aerospace is related to increased demand for defence manufacturing and aircraft production, thus increasing the need for complex and high-accuracy parts, such as engine components, landing gear, and avionics housings. Moreover, businesses are embracing high-end CNC machining, laser cutting, and 3D printing to deliver the precision levels needed by these sectors. In addition, with continued developments in materials science, automation, and quality control, the precision engineering industry is anticipated to experience steady growth, as producers continue to refine production processes to address the changing demands of automotive and aerospace industries.

The Indian precision engineering component market is estimated to reach $536 million in CY2025 and is projected to grow to $759 million by CY2030, reflecting a CAGR of 7.20% over the forecast period. This growth is driven by several key factors, including the rising demand from sectors such as aerospace, defence, medical devices, and clean energy, where high-precision components are critical. Additionally, the Indian government’s Make in India initiative, increased FDI inflows, and emphasis on domestic manufacturing capabilities are fuelling industry expansion. The Indian precision engineering component market is estimated to reach $536 million in CY2025 and is projected to grow to $759 million by CY2030, reflecting a CAGR of 7.20% over the forecast period. This growth is driven by several key factors, including the rising demand from sectors such as aerospace, defence, medical devices, and clean energy, where high-precision components are critical. Additionally, the Indian government’s Make in India initiative, increased FDI inflows, and emphasis on domestic manufacturing capabilities are fuelling industry expansion.

The precision mechanical component industry in India, especially in critical sectors like aerospace, defence, and healthcare, has gained significant momentum due to strong government support and policy interventions. Recognizing its strategic importance, the Indian government has launched multiple initiatives aimed at bolstering domestic manufacturing capabilities, fostering technological innovation, and enhancing self-reliance under broader national programs like Make in India and Atmanirbhar Bharat. This, coupled with a growing geriatric population, represents a key factor offering a favorable market outlook in India. The precision mechanical component industry is entering a transformative phase marked by sustained global growth, technological disruption, and strategic specialization. Over the next decade, the industry is projected to expand rapidly due to increasing reliance on complex, miniaturized, and high-performance components across sectors like aerospace, medical devices, automotive, defence, and industrial automation. The aerospace sector will see long-term demand from commercial aviation expansion, defence modernization programs, and the rise of private space exploration companies. Simultaneously, the healthcare sector is expected to require greater volumes of intricate and biocompatible components due to trends in minimally invasive surgeries, robotic-assisted interventions, and wearable diagnostic devices.

Pros and strengths

Versatile supplier with domestic and international reach: It manufactures and supply aerospace, defence, and healthcare components to both domestic and international customers. A significant portion of its revenue is generated from the domestic market; however, its sales to international customers in the USA, Netherlands, Spain, and Israel add to the diversity of its operations and provide recognition in overseas markets. The combination of domestic and international sales allows it to maintain flexibility in its business model by accessing both domestic and foreign aerospace, defence, and healthcare markets. This reduces the risk associated with dependence on a single geography and ensures that its business is not restricted by the limitations of the domestic market alone. Its approach of building and maintaining an international customer base enables it to leverage opportunities abroad in the event of stagnation or saturation in the domestic market, thereby strengthening the long-term resilience of its business.

Strong Customer Relationships: It has established business relationships with a diverse and well-recognized customer base across its operation industries. These associations have been built on its ability to deliver quality and precise manufactured components, leading its customers to prefer the company for their precision-engineering needs. In order for it to maintain such relationships with its customers, the company has aligned production planning with market requirements and have maintained consistent quality standards as per industry requirements. Such an engagement by its customers has provided operational stability, enhanced visibility for future planning, and contributed to its growth trajectory. As part of its customer-centric approach, it conducted structured customer satisfaction surveys in 2023 and 2024, which offered valuable insights and reaffirmed the strength of its client relationships.

Modern manufacturing facility with focus on quality and capacity: It has a manufacturing facility at Plot No. 392/1, 10th Cross Road, 4th Phase, Peenya Industrial Area, Bengaluru, Karnataka in India. It has stringent quality systems in place which enable it to meet the rigorous and complex requirements of its customers. Its manufacturing facilities have received, AS 9100D and ISO 9001:2015 certifications for manufacturing and supply of precision machined components to its industries of business operations. These quality control measures have rendered positive responses from its customers through periodic customer surveys conducted by the company. By leveraging modern technologies and machinery, it is able to service its customers with intricate engineering capabilities and production of high-quality components that meet the exacting demands of modern applications. Through continuous training and upskilling, its employees ensure that every step of the process is executed with precision and attention to detail. The seamless integration of technology and human capability allows it to achieve a high degree of accuracy, dimensional stability, and robust mechanical performance in its components.

Risks and concerns

Reliance on external manufacturing demand from OEM customers: It is engaged in the business of providing precision machining and component manufacturing solutions for sectors such as aerospace, defence, healthcare, and others, where many customers rely on specialized external vendors like it for high-tolerance and complex component production. Its business model, to a significant extent, is built on the trend of OEMs, outsourcing non-core, precision manufacturing functions to qualified suppliers with advanced capabilities, certifications, and quality systems. However, there can be no assurance that this outsourcing trend will continue. A customer’s decision to outsource depends on several factors, including their in-house capacity, cost structures, strategic focus, regulatory obligations, and perceived control over quality and timelines. Should any of its key customers choose to bring machining operations in-house, either to optimize costs, control supply chains, or reduce dependency on third-party vendors, it could lead to a reduction in order volumes. Additionally, if its customers face a downturn in their own demand or strategic shifts away from external manufacturing, it may reduce their reliance on suppliers like it.

Dependence on leased premises and risks relating to unregistered lease amendments: It does not own any immovable property and it dependents on rental/ leased premises for its operations. While the original lease agreement dated August 11, 2021 for its Manufacturing Unit-I was duly stamped and registered, certain subsequent amendments, including the amendment dated June 26, 2025, which revised the rent and extended the term of the agreement by one month, have not been registered under the applicable provisions of the Registration Act, 1908. There can be no assurance that the enforceability of such unregistered amendments will not be challenged. Any termination, non-renewal, breach, or dispute by the owner/lessor, including termination on shorter notice than anticipated, could require it to vacate the premises or relocate operations, and there is no certainty that alternative premises could be secured on commercially acceptable terms or within a reasonable timeframe.

Geographic concentration risk in key customer markets: A significant portion of its manufacturing operations and revenue is derived from customers located in the states of Karnataka and Telangana. Any adverse developments affecting these states, including changes in state-level policies, taxation, regulatory requirements, infrastructure constraints, labour issues, power or water shortages, natural calamities, or socio-political disturbances, could adversely impact its operations, supply chain, and ability to service customers. Its dependence on these two states exposes it to geographic concentration risks, and any disruption in either Karnataka or Telangana may result in reduced production, delays in deliveries, increased operating costs, or loss of revenue. While it continues to explore opportunities to diversify its customer base and geographic presence, there can be no assurance that such diversification efforts will be successful or sufficient to mitigate the risks arising from this concentration.

Outlook

Apsis Aerocom is engaged in the field of precision engineering, with primary focus on manufacture of components and allied services for the aerospace, defence and healthcare industries. Driven by modern manufacturing techniques, it provides engineering and precision machining services, offering end-to-end solutions ranging from design support to final product delivery. Its manufacturing processes have consistently achieved high levels of dimensional accuracy over the last three fiscal years. It maintains quality systems aligned with AS9100D and ISO 9001:2015 certifications, which are widely recognized standards in its industries of operation. Its manufacturing facility situated at Bangalore, Karnataka supports CAD/CAM-based design, process development, and precision machining. On the concern side, its manufacturing facilities are located in the state of Bangalore, Karnataka. The majority of its revenue is presently from products manufactured at these manufacturing facilities, therefore, any disruption to its manufacturing facilities may result in production shutdowns. Moreover, its business and profitability are substantially dependent on the availability and cost of its raw materials, and any disruption to the timely and adequate supply of raw materials, or volatility in the prices of raw materials may adversely impact its business, results of operations and financial condition.

The company is coming out with a maiden IPO of 32,52,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 104-110 per equity share. The aggregate size of the offer is around Rs 33.82 crore to Rs 35.77 crore based on lower and upper price band respectively. On performance front, the revenue from operations for FY25 stood at Rs 2,049.06 lakh whereas in FY24 it was Rs 1,686.69 lakh representing an increase of 21.48%. Moreover, profit after tax for the period ended March 31, 2025, stood at Rs 663.76 lakh and for the year ended March 31, 2024 it was Rs 255.43 lakh representing an increase of 159.86%.

The company has strategically focused on expanding its client base in precision manufacturing sectors such as aerospace, defence and healthcare. By securing orders with leading domestic and international OEMs and government enterprises, the company has ensured recurring business and sustained growth. Its consistent emphasis on customer satisfaction through quality and adherence to industry standards underpins this strategy. Going forward, it intends to become a leading provider of precision machining solutions for the aerospace, defence and healthcare industries, which require precision and modern technology. To ensure it can continue adhering to its customers evolving requirements, it has been considering and evaluating appropriation of resources towards such requirements. It aims to meet the growing demand for precision machined products in such industries by utilising it competence in this domain. Further, it proposes to fund capital expenditure requirements of the company through the Net Proceeds towards the purchase of several machines for its Manufacturing Unit - II located at Plot No. 4-A-14 & 5-A-6, Hitech, Defence and Aerospace Park, Sy No. Parts of 104 & 12, Hoovinayakanahalli Village, Hobli Jala, North Yalahanka, Bengaluru Urban, Bengaluru, Karnataka.

Innovision

• Innovision is coming out with a 100% book building; initial public offering (IPO) of 61,32,433 shares of Rs 10 each in a price band Rs 521-548 per equity share. 
• Not more than 1% of the issue will be allocated to Qualified Institutional Buyers (QIBs), of which 5% will be reserved for mutual funds. Further, not less than 34% of the issue will be available for the non-institutional bidders and the remaining 65% for the retail investors.
• The issue will open for subscription on March 10, 2026 and will close on March 12, 2026.
• The shares will be listed on BSE as well as NSE.
• The face value of the share is Rs 10 and is priced 52.10 times of its face value on the lower side and 54.80 times on the higher side.
• Book running lead manager to the issue is Emkay Global Financial Services.
• Compliance Officer for the issue is Jyoti Sachdeva.

Profile of the company

Innovision is in the business of providing manpower services, toll plaza management and skill development training to its clients across India. It started its business with a single service domain of providing manned private security services to its clients in the year 2007 and have gradually diversified its business to provide a suite of manpower services. It commenced offering skill development services from Fiscal 2014 and toll plaza management services from Fiscal 2019.

Its business of manpower services focuses on providing manned private security services, integrated facility management (IFM) services, manpower sourcing and payroll services. Its toll plaza management operations comprise of user fee collection and other related services on toll plazas awarded to the company by the relevant authority, subsequent to a tender based competitive bidding process. Furthermore, it is also empanelled with National Highways Authority of India (NHAI) for toll collection services at its various toll plazas. In addition, it also provides skill development training as a training partner for various Central and State Government schemes. The skill development initiatives cover diverse sectors, including management & entrepreneurship, media & entertainment, healthcare, telecommunications, electronics, beauty & wellness, construction, apparel, logistics, BFSI, and retail. These training programs are conducted in collaboration with sector skill councils, state missions, and other recognized entities, ensuring alignment with industry standards and requirements.

It provides skill training to Indian youth to enable them to acquire industry relevant skill that will help them in securing a better livelihood. Through its wholly owned subsidiary, Innovision International, it provides services in respect of recruitment, placement consultancy and visa facilitation services. It also provides remote pilot training courses to enthusiasts and budding drone-operations through its subsidiary, Aerodrone Robotics. Its manpower services spans diversified industries and sectors such as healthcare, warehousing and logistics, government departments, retail and BFSI. The skill development focuses on government initiatives for skill development. Toll plazas segment comprises undertaking user fee collection at toll plazas on national highways.

Proceed is being used for:

• Repayment or pre-payment, in part or full of all or certain borrowings availed by the Company
• Funding working capital requirements 
• General corporate purposes

Industry overview

IFM services consolidate various facility management functions under a single provider to streamline operations and enhance efficiency. IFM includes maintenance, cleaning, security, space management, and sustainability initiatives. This comprehensive approach reduces costs, improves service quality, and provides a single point of contact for all facility-related needs. Key benefits include cost efficiency, improved communication, flexibility, and strategic focus. IFM services are increasingly being adopted in IT, real estate, healthcare, manufacturing, and retail sectors in India. Economic growth, technological advancements, and a focus on regulatory compliance and sustainability drive this trend. Leading global and local FM companies play a significant role in providing these integrated solutions.

The Indian IFM services market was valued at Rs 609 billion in CY19 and reached around Rs 1,134 billion in CY24, representing a CAGR of 13.2% from CY19-CY24. Integrated Facility Management includes Hard FM, Soft FM, PSS, business support services, energy audits, emergency services and waste management. The in-house market accounts for about 60%, and the remaining 40% accounts for outsourced. In-house refers to a provider that owns all core facility services in-house, while outsourced refers to a provider that hires an external party (third party) to provide all core facility services.

The Indian government plays a proactive role through its numerous programs/ initiatives like Skill India Mission, which aims to enhance vocational training and skill development of large chunk of population in various job ready skills, catering to the diverse needs of different sectors and regions across the country. Additionally, the National Skill Development Corporation (NSDC), a public-private partnership organization, plays a key role in implementing Skill India initiatives. NSDC collaborates with various stakeholders including government agencies, industry bodies, training providers, and employers to develop industry-relevant skill training programs, establish training centers, and facilitate job placements for trained candidates. NSDC also focuses on standardizing and certifying vocational training to ensure quality and credibility in the skill ecosystem.

Pros and strengths

Wide geographical reach and locations across India: As at January 15, 2026, the company has 39 offices including its registered and corporate offices across India. As at January 15, 2026, it has operations in 23 states and 5 union territories. Further, it has been licensed to provide manned private security services under PSARA Act, in 19 States and 4 Union Territories in India. In addition to 23 PSARA licenses, it is also in in the process of renewal of licenses under PSARA Act for 3 States and fresh applications in 4 States. The company is also operating one training center to train the personnel for providing private security. The facility is spread across over an area of 3,000 square yards. This centre is supported by qualified training staff. Its trainers have been certified by Management & Entrepreneurship and Professional Council to act as trainers for security guard. Its presence across India reduces its dependence on any one particular region. Its widespread office network results in providing attention to its clients as well as high quality of services. Its presence across India enables the company to offer services to clients who prefer a single service provider for their operations at multiple locations. 

Diverse portfolio of manpower services: The company provides comprehensive manpower services to various sectors in India. Its wide portfolio of services enables it to deliver its services as per specific needs of its clients, which bolsters its client acquisition and retention capabilities. Additionally, as its clients’ requirements grow or change, it endeavours to provide such additional services to cater to their needs. Its manpower services include manned private security services, IFM services and manpower sourcing and payroll services to clients across various sectors. Its IFM services further entails various services including heating, ventilation and air conditioning (HVAC) systems, electrical systems, plumbing, elevators, fire safety and building, cleaning, housekeeping, security, waste management, landscaping, pest control, catering. Many of its clients prefer to obtain such services from single vendor rather than employing multiple vendors. It provides its services to varied client segments such as business entities and government organizations. Its multiple service offerings allow it to derive operational efficiencies, by centralizing key functions such as finance and sales and also other administrative functions.

Established systems and processes leading to scalable business model: The company has implemented standardized recruitment, training, deployment, operations and services related quality measurement and business analysis systems and processes that enable the company to develop a scalable business model, with quality service delivery. It has standardized the recruitment criteria for its personnel in order to maintain high quality and consistency in the services and experience it provides to its clients. It collects data through its reporting systems across its various offices/centres which is regularly reviewed in order to assess employee performance levels as well as overall office performance, creating effectiveness and efficiency in its business operations. It compares employee level performance parameters such as productivity, attendance and punctuality and hours served against competencies, to promote productivity. Further, it uses data such as sales / revenue, management reports, cash flows and new sales, collected for each office which is used to assess the performance of its offices.

Recruitment capability, domain knowledge and knowledge of labour regulations: The company has an in-house team of more than 100 persons and a large database of staffing candidates. Its in-house team and sales force are streamlined to specific business verticals and industry segments, which has enabled it to strengthen client engagement and develop deeper domain knowledge. Its inhouse team have experience and expertise that enable it to assess candidates’ workplace potential and skills to match them to its clients’ requirements, thereby meeting its clients’ staffing requirements in a timely, reliable and effective manner. As a result of its operations across India, it is able to rely on its own team and are not dependent on third party recruitment specialists or referrals and entire manpower sourcing is done through its own team, which is a significant competitive advantage, and enables it to maintain consistent quality and delivery standards across locations and clients.

Risks and concerns

Revenue concentration in manpower services and toll plaza management operations: A significant portion of revenue is concentrated in a few segments i.e. manpower services and toll plaza management operations. Manpower Services and Toll Plaza Management were the major contributors to the company’s revenue from operations. Manpower Services accounted for 41.38% in Fiscal 2025, 51.45% in Fiscal 2024, and 84.41% in Fiscal 2023, while Toll Plaza Management contributed 56.14% in Fiscal 2025, 47.38% in Fiscal 2024, and 13.04% in Fiscal 2023. Any decrease in the demand for its such services may have an adverse impact on its business, financial condition and result of operations.

High dependence on top 10 clients for revenue: The company is engaged in the sale of manpower services, toll plaza management and skill development. It is heavily dependent on the contribution from its top 10 clients every year. Its top 10 clients contributed Rs 4,090.82 million, Rs 7,182.45 million, Rs 3,760.76 million and Rs 1,387.02 million, forming 85.23%, 80.43%, 73.69% and 54.28% of its total revenue during the six months period ended September 30, 2025, and Fiscals 2025, 2024 and 2023, respectively. Any loss of such clients or a significant reduction in purchase by such clients may impact its business and financials.

Dependence on NHAI for toll plaza management revenue: The company is dependent on single client i.e. NHAI for its revenue from ‘Toll Plaza Management’. Its business is heavily dependent upon government policies in the Toll Plaza Management sector. Revenue from NHAI accounted for 57.08% of total revenue in the six months period ended September 30, 2025, 56.14% in Fiscal 2025, 47.38% in Fiscal 2024, and 13.04% in Fiscal 2023. In case, it fails to retain its existing client, it will adversely impact its business and financial operations. Further any adverse change in the government policies or regulations may impact its revenue from these segments. 

Geographical concentration of revenue in north region: A significant portion of its revenues are derived from a few geographical regions, especially Northern India. Revenue from the North Region accounted for 61.80% of total revenue in the six months period ended September 30, 2025, 57.99% in Fiscal 2025, 69.60% in Fiscal 2024, and 58.08% in Fiscal 2023. Any decrease in revenues from North India, including due to increased competition or supply, or reduction in demand, in markets in which it operates, may have an adverse effect on its business, cash flows, results of operation and financial condition. Additionally, changes in the policies of the state or local governments of these regions may require the company to incur significant capital expenditure and change its business strategy. It cannot assure that it will be able to address its reliance on these few geographical regions, in the future.

Outlook

Innovision is engaged in the business of providing security services and services relating to facilities management, housekeeping, human resources recruitment, placement & training, toll management and skill training. Its business of manpower services focuses on providing manned private security services, integrated facility management (IFM) services, manpower sourcing and payroll services. Its toll plaza management operations comprise of user fee collection and other related services on toll plazas awarded to the company by the relevant authority, subsequent to a tender based competitive bidding process. On the concern side, its business requires significant amounts of working capital. it may not be able to obtain future financing on favourable terms or at all or furnish bank guarantees in the future. If it experiences insufficient cash flows from its operations or are unable to borrow funds to meet its working capital requirements, it may materially and adversely affect its business and results of operations. Additionally, its business significantly depends on projects awarded by government or government-owned clients, which subjects to a variety of risks. Also, its ability to service contracts with public sector undertakings or governmental may be affected by political and administrative decisions.

The issue has been offering 61,32,433 shares in a price band of Rs 521-548 per equity share. The aggregate size of the offer is around Rs 319.50 crore to Rs 336.06 crore based on lower and upper price band respectively. Minimum application is to be made for 27 shares and in multiples thereon, thereafter. On performance front, its total income increased by 74.95% to Rs 8,959.46 million in Fiscal 2025 from Rs 5,121.27 million in Fiscal 2024. Its profit for the year, increased by 182.54% to Rs 290.23 million in Fiscal 2025 from Rs 102.72 million in Fiscal 2024.

Meanwhile, it intends to adopt technological means to diversify its service offerings and exploit future growth opportunities. In the manned private security services industry, it anticipates an increasing role for technology led solutions and a blend of physical and electronic/technology-based security services. These services combine physical security presence with use of technology like cameras, GPS devices, CCTV and remote monitoring. Additionally, retain, strengthen and grow client base for integrated facility management services with a focus on deepening relationships with existing clients. Its contracts with most of its clients is generally for a period of 1 year to 3 years which subsequently gets renewed, on an ongoing basis. As a result, its business is on an annuity-based model where once a client is secured, they generate revenue over a long period of time. It has over the years established long-term relationships with its clients leading to recurrent business engagements with them i.e. one of the prominent entities in education sector has been availing its services for consistent three years.

Rajputana Stainless

• Rajputana Stainless is coming out with a 100% book building; initial public offering (IPO) of 2,09,00,000 shares of face value Rs 10 each in a price band Rs 116-122 per equity share. 
• Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
• The issue will open for subscription on March 9, 2026 and will close on March 11, 2026.
• The shares will be listed on BSE as well as NSE.
• The face value of the share is Rs 10 and is priced 11.60 times of its face value on the lower side and 12.20 times on the higher side.
• Book running lead manager to the issue is Nirbhay Capital Services.
• Compliance Officer for the issue is Richa Sanjeev Prashar.

Profile of the company

The company is engaged in the business of manufacturing of long and flat stainless-steel (SS) products comprising of billets, forging ingots, rolled black bar, rolled bright bar, flat & patti and other ancillary products under the brand name of ‘RSL’. It offers its products in more than 80 diverse grades of stainless steel reflecting its ability to meet varied technical and application-specific requirements. Its versatile production capabilities enable it to cater to a wide range of industries and allow it to attend to its customers’ specifications. This flexibility distinguishes it from its competitors and enhances its ability to serve a diverse client base. 

The company operates exclusively on Business-to-Business (B2B), catering to a customer base that primarily comprises manufacturers and traders. Its focus on the B2B segment enables it to deliver stainless-steel solutions that meet the requirements of industrial clients across various applications. Its products are used across a diverse range of industries, including bar processing, seamless pipes, forging, wire manufacturing, engineering, casting, fasteners, utensils manufacturing, pump and shaft and auto industry. This broad industrial reach reflects the adaptability and performance of its stainless-steel solutions in both standard and specialized end uses.

A majority of its products are primarily sold in the domestic market through direct sales and a traders’ network. In addition to catering to the domestic market, the company currently exports its products to nine countries, including Turkey, UAE, Poland, Portugal, USA, South Africa, South Korea, Czech Republic, and Kuwait.

Proceed is being used for:

• Funding capital expenditure requirements for expansion of the existing manufacturing facility at Panchmahal district, Gujarat through forward integration and diversification of product portfolio i.e., Stainless Steel Seamless Pipes
• Full or part repayment and/or prepayment of certain outstanding borrowings availed by the company
• General corporate purposes

Industry overview

India is the second largest consumer and the third largest producer of stainless steel globally, with estimated installed capacity 6.6-6.8 million tons, the country has the capability to manufacture a wide range of steel grades and products, including stainless-steel and special steel for diversified application. Talking about India’s position in the global stainless-steel market, India with average 7% share in global SS steel output (during 2016-20), remained the second largest stainless-steel producer behind China till 2020. Due to this wide end consumer base, demand for long and flat steel products is closely linked to the overall all economic growth industrial as well as consumer demand scenario.

In terms of total finished steel (alloy/stainless and non-alloy), India’s production and consumption have grown steadily. In FY 2025, total steel production reached 146.56 million tonnes, up 5.3% from 139.15 million tonnes in FY 2024. Total steel consumption in FY 2025 rose to 152.00 million tonnes, marking an increase of 11.5% over 136.29 million tonnes in FY 2024. This indicates a strong rise in domestic demand relative to production, highlighting robust steel consumption across key industrial and infrastructure sectors and the significant role of alloy steels, including stainless steel, in India’s growth trajectory.

National Steel Policy 2017 was initiated with the intention to create a technologically advanced and globally competitive steel industry that promotes economic growth. Its mission is to provide environment for attaining self-sufficiency in steel production in India. It is an updated version of National Steel Policy 2005. The goal of the National Steel Policy is to foster a steel industry that can compete on a global scale. By 2030-31, it aims to boost per capita steel consumption to 160 kgs from the current level of about 63 kgs. Additionally, the policy seeks to fulfill all domestic demands for high-grade automotive steel, electrical steel, special steels, and alloys for strategic purposes by 2030-31. It also aims to enhance the availability of domestically washed coking coal to decrease reliance on imported coking coal from 85% to 65% by 2030-31.

Pros and strengths

Established, integrated manufacturing setup at strategic location: It primarily operates through its manufacturing facility which is spread across 35,196.98 sq.m (including unutilised area of the land around 17,610 Sq. m) of land at Halol Kalol Road, Kalol, Panchmahal, Gujarat. Its facility features an integrated manufacturing setup that covers the entire production chain ranging from melting and refining to casting/ rolling, treatment, testing and storage. Its manufacturing facility is also equipped with key infrastructure including an induction furnace, AOD, CCM, heat treatment facilities, rolling mill and bright bar shop. In addition to the same, its manufacturing facility is also equipped with an Oxygen Plant and a Nitrogen Plant which reduces its dependence on third party supplier. It uses a combination of mechanized and human skills to achieve the desired standards of manufacturing.

Diverse product portfolio: Its product portfolio comprises billets, forging ingots, rolled black bar, rolled bright bar, flat patti, wire rods and other ancillary products. It offers its products in more than eighty diverse grades of stainless steel. It specializes in the manufacture of stainless-steel products in a variety of sizes and grades having wide applications in varied industries. Its diverse product portfolio which includes a broad range of sizes and grades not only make it possible for it to meet evolving requirements of its customers and respond to changing market demands. This versatility also gives it a competitive edge, allowing it to compete more effectively in the industry. Its diversified product portfolio also reduces its dependency on a particular product and de-risked its revenue streams.

Established customer base and relationships: With over two decades of operating experience, it has established cordial relationships with a wide base of customers. A key factor that differentiates it from its competitors is its customer-centric approach, offering stainless-steel products tailored to specific customer requirements. This approach has supported its business growth while helping it expands its presence in the industry it operates in. Its long-term association with its key customers also offers competitive advantages including revenue visibility, industry goodwill and reputation for quality.

Track record of healthy growth: The company has demonstrated consistent growth in terms of revenues and profitability. It has been able to increase its revenue from operations from the year 2006 onwards. It, from being a Non-BIFR Sick Industrial Unit in the year 2006, has grown into a profit-making stainless-steel products manufacturing company. Onwards, the year 2006, it has demonstrated consistent growth in terms of revenues and profitability. Its revenue from operations has grown from Rs 3,604.07 lakh in Fiscal 2006 to Rs 93,215.58 lakh in Fiscal 2025 registering a CAGR of 18.67% in the last 19 years. Its financial performance demonstrates not only the growth of its operations over the years, but also the effectiveness of its management, its well-established customer relationship and cost monitoring that it has implemented. Among other things, its strong financial position and results of operations have enabled it to enhance scale of operation.

Risks and concerns

Dependence on top 10 customers: The company derives a significant portion of its revenue from operations from its top 10 customers, and it does not have long-term contracts with all these customers. For the six-month period ended September 30, 2025, Fiscal 2025, Fiscal 2024 and Fiscal 2023, its top ten customers accounted for around 44.93%, 41.69%, 41.95% and 44.20% of its revenue from operations. If one or more such customers choose not to source their requirements from it or to terminate its contracts or purchase orders, its business, cash flows, financial condition and results of operations may be adversely affected.

Significant revenue from Maharashtra, Gujarat and Uttar Pradesh: The company derives the majority of sales from the domestic market. it generates significant revenue from operations from the state of Maharashtra, Gujarat and Uttar Pradesh which amounts to Rs 45,684.91 lakh, Rs 84,500.50 lakh, Rs 79,245.58 lakh and Rs 86,416.05 lakh constituting 91.09%, 90.65%, 87.10% and 91.19% of total revenue from operations during the six-month period ended September 30, 2025, Fiscal 2025, Fiscal 2024 and Fiscal 2023, respectively. Any adverse developments in this market could adversely affect its business.

Supply and delivery risks due to reliance on third-party transporters: The company is dependent on third-party transportation providers for the supply of materials for its manufacturing process and delivery of its finished products. Its success depends on the supply and transport of the raw material required to its manufacturing facility from suppliers and of its finished products from its manufacturing facility to its customers, which are subject to various uncertainties and risks. It uses third-party transportation providers for the delivery of materials to manufacturing facility and its finished products to customers. Transportation strikes, if any, could have an adverse effect on supplies and deliveries to its customers and from its suppliers. In addition, materials and components, as well as its products transported to customers, may be lost or damaged in transit for various reasons including occurrence of accidents or natural disasters. There may also be a delay in delivery of materials and products which may also affect its business and results of operations negatively.

Business operates in high-volume, low-margin industry: The stainless-steel industry is a high-volume low margin business due to various reasons such as higher operating costs and fixed as compared to cost of product. Its inability to regularly increase its turnover and effectively execute its key business processes could lead to lower profitability and hence adversely affect its operating results, debt service capabilities and financial conditions. Due to the nature of the products, it manufactures and sells, and due to high competition, it may not be able to charge higher margins on its products. Hence, its business model is heavily reliant on its ability to effectively grow its turnover and manage its key processes including but not limited to procurement of raw material and timely sales / order execution.

Outlook

Rajputana Stainless is engaged in the business of manufacturing of stainless-steel products such as Steel Billets, Angles, Wire Rod etc. The company also engaged in the business of generation of electricity through windmill & Solar. It offers its products in more than 80 diverse grades of stainless steel reflecting its ability to meet varied technical and application-specific requirements.  On the concern side, changes in market demand for its existing stainless-steel products, as well as downturns in end-use industries, may adversely affect its business, results of operations, and financial condition. Further, it operates in a competitive business environment. Competition from existing players and new entrants and consequent pricing pressures could have a material adverse effect on its business growth and prospects, financial condition and results of operations.

The issue has been offering 2,09,00,000 shares in a price band of Rs 116-122 per equity share. The aggregate size of the offer is around Rs 242.44 crore to Rs 254.98 crore based on lower and upper price band respectively. Minimum application is to be made for 110 shares and in multiples thereon, thereafter. On performance front, its revenue from operations increased by 2.46% from Rs 90,980.80 lakh in Fiscal 2024 to Rs 93,215.58 lakh in Fiscal 2025. It recorded an increase in its profit for the year by 26% from Rs 3,162.89 lakh in Fiscal 2024 to Rs 3,985.14 lakh in Fiscal 2025.

Meanwhile, it proposes to establish manufacturing of stainless-steel seamless pipes plant within the premise of its existing manufacturing facility. The basic raw material required for manufacturing of stainless-steel seamless pipes is rolled black/bright bar, which is being presently manufactured by the company in its existing manufacturing facility with rolling mill installed capacity of 36,000 MT per annum. This forward integration initiatives would enable the company to produce stainless-steel seamless pipes using raw materials manufactured in-house and will ultimately result in operational efficiency, reducing product costs, controlling supply of raw materials, and monitoring the quality of its products, thus giving it a competitive advantage. The proposed integrated set will also reduce delivery timelines which will allows it to service its customers faster, leads to higher operating margins.

Srinibas Pradhan Constructions

• Srinibas Pradhan Constructions is coming out with an initial public offering (IPO) of 20,73,600 shares in a price band of Rs 91-98 per equity share.
• The issue will open on March 6, 2026 and will close on March 10, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 9.10 times of its face value on the lower side and 9.80 times on the higher side.
• Book running lead manager to the issue is Novus Capital Advisors.
• Compliance Officer for the issue is Surbhi Agrawal.

Profile of the company

The company is engaged in infrastructure development across various domains, with a primary focus on roads and highways, including rural, major district, and urban roads. It utilizes a range of materials such as aggregate, sand, tar, and cement to ensure durable and reliable construction. In addition to roads, it focuses on construction of bridges and steel structures, both for bridges and sheds. Its civil construction services encompass a wide spectrum, from foundations and superstructures to multi-storied structures, factories, and industrial facilities. 

The company engages in competitive bidding processes by participating in tenders/bids/quotations and complete the process for getting contracts/work orders for diverse projects in the State of Odisha, such as roads, bridges, irrigation & canals, civil, and industrial construction. The company operates in the State of Odisha and holds P.W.D. Contractors Registration Certificate as a ‘B’ Class contractor, enabling it to participate in tenders in the region. Additionally, its wholly-owned subsidiary holds P.W.D. Contractors Registration Certificate as an ‘A’ Class contractor, enabling it to participate in higher value tenders.

The company establishes on-site Civil Engineering laboratories, which play an important role in ensuring quality control measures throughout construction projects. The primary objective of its on-site Civil Engineering laboratories is conducting tests on various materials utilized in construction activities. These materials encompass a broad spectrum, including but not limited to bricks, asphalt, aggregate, and concrete. By subjecting these materials to testing protocols, it can gain valuable insights into their properties, strength, and suitability for specific project requirements.

Proceed is being used for:

• Funding the working capital requirements of the company
• Repayment of portion of loan availed by the company
• General corporate purpose
• Issue related expenses

Industry overview

The infrastructure sector is a key driver of the Indian economy. The sector is highly responsible for propelling India’s overall development and enjoys intense focus from the Government for initiating policies that would ensure the time-bound creation of world-class infrastructure in the country. The infrastructure sector includes power, bridges, dams, roads, and urban infrastructure development. In other words, the infrastructure sector acts as a catalyst for India’s economic growth as it drives the growth of the allied sectors like townships, housing, built-up infrastructure, and construction development projects.

To meet India’s aim of reaching a $5 trillion economy by 2025, infrastructure development is the need of the hour. The government has launched the National Infrastructure Pipeline (NIP) combined with other initiatives such as Make in India and the production-linked incentives (PLI) scheme to augment the growth of the infrastructure sector. Historically, more than 80% of the country's infrastructure spending has gone toward funding for transportation, electricity, and water, and irrigation.

India, it is estimated, needs to invest $840 billion over the next 15 years into urban infrastructure to meet the needs of its fast-growing population. This investment will only be rational as well as sustainable, if it additionally focuses on long-term maintenance and strength of its buildings, bridges, ports and airports. The Indian infrastructure sector is experiencing significant growth, driven by increased public and private investment, as well as government initiatives like PM Gati Shakti. This growth is likely to continue in the coming future as the government placed infrastructure development at the center stage of its fiscal and public policy agenda.

Pros and strengths

Experienced workforce: The backbone of the company lies in its team of experienced engineers. These professionals bring not only technical expertise but also a wealth of practical knowledge to project execution. Their proficiency ensures that projects are handled with precision and attention to detail, leading to a high standard of workmanship.

Strong backward integration: Its core strategy hinges on the establishment of formidable backward integrations, specifically tailored to source vital materials such as bricks, sand, and various construction supplies. These integrations serve as the bedrock of its supply chain, fortifying it against disruptions while concurrently enabling it to uphold competitive pricing models without the slightest compromise on quality.

Diverse portfolio: The company's ability to undertake a diverse range of projects, from small-scale initiatives to roads, bridges, dams and multi-storied buildings, demonstrates adaptability and competence. This diversity positions the company to explore various segments within the construction and infrastructure industry.

Risks and concerns

Business fully dependent on government projects in Odisha: Its business operations are focused primarily in the State of Odisha. It relies heavily on projects undertaken or awarded within Odisha, by entities such as the local authorities, municipal bodies, and other organizations operating in the state. As a result, its revenue streams are derived entirely from contracts with a limited number of entities, exposing it to risks arising from economic, regulatory, and other changes specific to Odisha. For the period ending September 30, 2025 and for Fiscal 2025, Fiscal 2024 and Fiscal 2023, its projects in Odisha contributed to Rs 4558.70 lakh, Rs 8,968.47 lakh, Rs 3,526.94 lakh and Rs 2,634.88 lakh, which is 100% of its total revenue from operations in each fiscal year. Any adverse changes in central or state government policies could potentially lead to foreclosure, termination, restructuring, or renegotiation of its contracts. Such developments could significantly impact its business operations and financial results.

Dependent on limited number of key suppliers: The company is dependent on few suppliers for purchase. Its top ten suppliers contribute more than 40.87%, 43.58%,47.35% and 53.25% respectively of its total purchases for the year ended on March 31, 2025, 2024 ,2023 and for the period ended September 30, 2025 respectively. It cannot assure that it will be able to get the same quantum and quality of supplies, or any supplies at all, and the loss of supplies from one or more of them may adversely affect its purchases and ultimately its revenue and results of operations.

Rising construction and operating costs could impact profitability: Increases in construction and operating expenses such as raw materials, machine hire charges, site expenses, fuel, labour, repair & maintenance of machinery could have an adverse effect on its business, results of operations and financial condition. During the fiscal years ending March 31, 2025, March 31, 2024, March 31, 2023 and for the period ended September 30, 2025 the construction and operating expenses which inter alia includes raw materials, machine hire charges, site expenses, fuel, labour, repair & maintenance of machinery, constituted 87.83%, 98.40%, 97.13% and 80.01% of its total expenses, respectively. Additionally, during these fiscal years and for the period ended September 30, 2025, expenditure on construction and operating expenses amounted to Rs 7,107.38 lakh, Rs 3,003.39 lakh, Rs 2,367.19 lakh and Rs 3,205.92 lakh respectively.

Outlook

Srinibas Pradhan Constructions is engaged in infrastructure development across various domains. The core business of the company is the provision of construction services. As experts in the field, the company undertakes a wide range of construction projects, contributing to the growth and development of infrastructure and real estate in India. The company primarily caters to the needs of Indian Market. On the concern side, its business is capital intensive because of which it may experience insufficient cash flows to meet required payments on its debt and working capital requirements, there may be an adverse effect on the results of its operations. The infrastructure sector is competitive and highly fragmented. it competes against various domestic engineering, construction and infrastructure companies for infrastructure projects. Some of its competitors may have larger financial resources or access to lower cost funds, or may have stronger engineering or technical capabilities in executing complex projects, or projects with certain specifications or in certain geographies. They may also benefit from greater economies of scale and operating efficiencies. Failure to compete successfully against current or future competitors could harm its business, operating cash flows and financial condition. 

The company is coming out with a maiden IPO of 20,73,600 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 91-98 per equity share. The aggregate size of the offer is around Rs 18.87 crore to Rs 20.32 crore based on lower and upper price band respectively. On performance front, in FY 2024-25, the company recorded revenue from operations of Rs 8,968.47 lakh, compared to Rs 3,526.94 lakh in FY 2023-24. This represents an increase of around 154.28% compared to the previous financial year. Its profit for the period, increased by 85.58% to Rs 658.62 lakh in FY 2024-25 from Rs 354.89 lakh in Fiscal 2023-2024.

Going forward, the company will focus on completing high-value projects that enhance its qualifications to secure high-value projects and maintain its competitive edge in government contracts. By doing so, it will increase and maintain its pre-qualification criteria, enabling it to bid for and win more substantial and impactful government projects. Additionally, it plans to extend its operations beyond the State of Odisha to drive growth and reduce regional dependency. This geographical expansion will allow it to access new markets, increase its market share, and capitalize on diverse business opportunities across different regions.

Elfin Agro India

• Elfin Agro India is coming out with an initial public offering (IPO) of 53,25,000 equity shares of face value of Rs 5 each for cash at a fixed price of Rs 47 per equity share.
• The issue will open on March 05, 2026 and will close on March 09, 2026.
• The shares will be listed on SME Platform of BSE.
• The share is priced at 9.4 times higher to its face value of Rs 5.
• Book running lead manager to the issue is Finshore Management Services.
• Compliance Officer for the issue is Khushbu Sethi.

Profile of the company

Elfin Agro India is primarily engaged in the business of manufacturing of Chakki Atta (High fibre whole wheat flour), R Atta (Refined whole wheat flour), Tandoori Atta (Specialized flour), Sooji (Semolina flour), Maida (Refined Flour) and yellow mustard oil. The company has two manufacturing units that are situated at Bhilwara, Rajasthan: Flour Processing Unit that houses two divisions viz., Chakki Atta (High fibre whole wheat flour) division and a separate division, i.e., Refined Flour division for manufacturing and processing of R Atta (Refined whole wheat flour), Tandoori Atta (Specialized flour), Maida (Refined Flour) and Sooji (Semolina flour); and Mustard oil Processing Unit for manufacturing and processing of Mustard Oil. It sells processed wheat flour under its brand ‘Shiv Nandi’ and ‘ELFIN’S Shri Shyam BHOG’ to wholesalers and retailers across Rajasthan, Uttar Pradesh, Gujarat, etc. It meticulously selects premium quality wheat as its raw material in its Flour Processing unit. The company is also engaged in the extraction, filtering and manufacturing of Edible mustard oil from raw mustard seeds, being the raw material used for its production. Edible mustard oil is sold under its brand ‘Shiv Nandi’.

It also engages in the trading of certain agro-products, including Chana, Maize, Soyabean Refined Oil, Rice Bran Refined Oil, Wheat, cattle feed, groundnut oil, etc based on the prevailing market conditions. This not only allows it to augment its revenues and minimize product and inventory wastage but also enables it to capitalize on market opportunities by selling goods for which certain consumers are willing to pay premium prices. It aims at achieving minimal wastage in its manufacturing units, wherein waste material/ or the by-products viz., wheat bran generated during the manufacturing process from its flour processing unit is sold as cattle feed and Mustard Seed Oil Cake is sold to nearby De-Oiled Cake (DOC) plants. Wheat Bran generated at its Flour Processing Unit is primarily sold in the states of Uttar Pradesh, Uttarakhand, Haryana, Rajasthan, Gujarat and Punjab and the Union Territory of Chandigarh while mustard oil cakes generated at its Mustard oil Processing Unit are sold to de-oiled plants located in the states of Rajasthan and Gujarat.

It offers products which are quality tested as per industrial standards. All its manufacturing facilities are registered with FSSAI and also ISO 22000:2018 certified. Its aim is to provide quality products at a competitive price therefore; it has invested in suitable manufacturing techniques for its products. Owing to the allied support of industry recognized vendors it is able to source the inventory of raw material and produce quality products that augment its brand image. Its quality laboratories present at its manufacturing units carry out the required tests on the mustard seeds for assessing the oil content in mustard seeds and mustard oil cakes and also to check finished products to ensure that its products are compliant with the specifications of FSSAI. Furthermore, to ensure the delivery of high-quality products to its customers, it conducts periodic quality checks of its finished products through external laboratories on a sample basis.

Proceed is being used for:

• Meeting working capital requirements 
• General corporate purposes

Industry Overview

India is one of the major players in the agriculture sector worldwide and it is the primary source of livelihood for around 55% of India’s population. India has the world's largest cattle herd (buffaloes), the largest area planted for wheat, rice, and cotton, and is the largest producer of milk, pulses, and spices in the world. It is the second-largest producer of fruit, vegetables, tea, farmed fish, cotton, sugarcane, wheat, rice, cotton, and sugar. The agriculture sector in India holds the record for second- largest agricultural land in the world generating employment for about half of the country’s population. Thus, farmers become an integral part of the sector to provide its with a means of sustenance. The Indian food industry is poised for huge growth, increasing its contribution to world food trade every year due to its immense potential for value addition, particularly within the food processing industry. The Indian food processing industry accounts for 32% of the country’s total food market, one of the largest industries in India and is ranked fifth in terms of production, consumption, export and expected growth.

The agriculture sector in India is expected to generate better momentum in the next few years due to increased investment in agricultural infrastructure such as irrigation facilities, warehousing, and cold storage. Furthermore, the growing use of genetically modified crops will likely improve the yield for Indian farmers. India is expected to be self-sufficient in pulses in the coming few years due to the concerted effort of scientists to get early maturing varieties of pulses and the increase in minimum support price. In the next 5 years, the central government will aim $9 billion in investments in the fisheries sector under PM Matsya Sampada Yojana. The government is targeting to raise fish production to 220 lakh tonnes by 2024-25. Going forward, the adoption of food safety and quality assurance mechanisms such as Total Quality Management (TQM) including ISO 9000, ISO 22000, Hazard Analysis and Critical Control Points (HACCP), Good Manufacturing Practices (GMP), and Good Hygienic Practices (GHP) by the food processing industry will offer several benefits. Through the Ministry of Food Processing Industries (MoFPI), the Government of India is taking all necessary steps to boost investments in the food processing industry in India. Government of India has continued the umbrella PMKSY scheme with an allocation of Rs. 4,600 crore ($559.4 million) till March 2026.

Food and grocery market in India is the sixth largest in the world Food processing industry contributes 32% to this food market and is also one of the largest industries in the country, contributing 13 to total export and 6 of industrial investment; The Indian food processing industry is expected to reach $535 billion by 2025-26 on the back of government initiatives such as planned infrastructure worth $1 trillion and Pradhan Mantri Kisan Sampada Yojana (PMKSY). PMKSY has been formulated amalgamating ongoing schemes viz Accelerated Irrigation Benefit Programme (AIBP) of the Ministry of Water Resources, River Development Ganga Rejuvenation (MoWR, RD&GR), Integrated Watershed Management Programme (IWMP) of Department of Land Resources (DoLR) and the On Farm Water Management (OFWM) of Department of Agriculture and Cooperation (DAC). Under PMKSY-Per Drop More Crop, from FY16 to FY25 (end of December 2024), Rs 21,968.75 crore ($2.56 billion) was released to states for the implementation of the PDMC scheme, covering an area of 95.58 lakh hectares. Under PMKSY-HKKP- Repair, Renovation and Restoration of water bodies (RRR of water bodies), a total of 395 water bodies have been taken up during 2018-2021. Of the wide variety of crops in India, rice and wheat are the most irrigated.

Pros and strengths

Existing client relationships: It believes in constantly addressing the customer needs for variety of its products. Its existing relationships help it to get repeat business from its customers. This has helped it to maintain a long-term working relationship with its customers and improve its customer retention strategy. It has strong existing client relationships which generates multiple repeat orders. Its existing relationship with its clients represents a competitive advantage in gaining new clients and increasing its business. Further being a small and medium size organisation, it relies on personal relationships with its customers. 

Location of its processing units: The company’s processing units are situated in Bhilwara, Rajasthan, providing access to robust infrastructure and a readily available workforce of both skilled and unskilled labour at cost-effective rates. The strategic location of its processing units in proximity to agricultural land producing wheat and mustard seeds minimizes procurement delays and ensures timely and speedy availability of raw materials, thereby facilitating the swift commencement of processing activities. It also gives it competitive cost advantage in terms of raw material sourcing, transportation costs, manufacturing and labour costs and enables it to address market efficiently.

Customization and flexibility: One of the key competitive strengths of the company is its ability to offer customization and flexibility in product packaging and order fulfilment, which allows it to cater to a diverse and dynamic customer base. It understands that different customers-ranging from wholesalers and institutional buyers to retailers-have varying requirements in terms of product quantity and packaging. Accordingly, it offers its products in a variety of packaging sizes other than its regular product packages, such as Chakki Atta in 26 kg BOPP Woven Fabric Bags, Maida in 43 kg and 46 kg BOPP /HDPE Woven Fabric Bags, Sooji in 45 kg HDPE Woven Fabric Bags, Tandoori Atta in 26 kg HDPE Woven Fabric Bags and other weight configurations as per customer preference. It also supplies loose mustard oil in tankers as per requirements of its customers. This flexibility not only enhances customer satisfaction but also strengthens its relationships by providing tailored solutions that meet their specific operational or retail needs. Its processing and packaging systems are equipped to handle such varied demands efficiently without compromising on quality or timelines. This capability positions it as a reliable partner for bulk buyers and allows it to tap into niche market segments, giving it a competitive edge in the agro-processing industry.

Risks and concerns

Revenue concentration risk from key customers: Substantial portion of its revenues has been dependent upon a few customers. For nine months ended on December 31, 2025 and for the financial years ended March 31, 2025, March 31, 2024 and March 31, 2023, its top ten customers accounted for around 31.29%, 34.27%, 30.87% and 24.50% of its revenue from operations. However, the loss of any significant customer would have a material effect on its financial results. Its business from customers is dependent on its continuing relationship with such customers, the quality of its products and its ability to deliver on their orders, and there can be no assurance that such customers will continue to do business with it in the future on commercially acceptable terms or at all. However, in case of any change in the buying pattern of its end users or disassociation of major customers can adversely affect its business or if its customers do not continue to purchase products from it, or reduce the volume of products purchased from it, its business prospects, results of operations and financial condition may be adversely affected. Further, loss of or interruption of work by, a significant customer or a number of significant customers or the inability to procure new orders on a regular basis or at all may have an adverse effect on its revenues, cash flows and operations.

Supply risk due to geographic concentration of key raw material: The company procures a substantial portion of its major raw material, i.e., mustard seeds, from the state of Rajasthan. Any disruption in the supply of mustard seeds in this region, whether due to adverse climatic conditions, droughts, floods, pest attacks, crop diseases, labour unrest, local regulations, restrictions on procurement or transportation, or any other unforeseen events, could adversely affect the availability, cost, and quality of mustard seeds. Since its procurement is regionally concentrated, any such adverse developments in Rajasthan could materially affect its operations, increase its raw material costs, and impact its production schedules. Further, if it is unable to procure adequate quantities of mustard seeds at competitive prices or of the required quality from Rajasthan, it may not be able to source such raw material easily from other states, which may adversely affect its business, financial condition, and results of operations.

Inadequacy or delay in arranging working capital may adversely affect operations: It has not made any alternate arrangements for meeting its working capital requirements, other than the existing sanctioned limits. Its business requires a significant amount of working capital to finance the purchase of raw materials before payments are received from customers. It cannot assure that the budgeting of its working capital requirements for a particular year will be accurate. There may be situations where it may under budget for its working capital requirements, in which case there may be delays in arranging the additional working capital requirements, which may delay the execution of projects leading to loss of reputation, levy of liquidated damages, and an adverse effect on the cash flows. If it experiences insufficient cash flows or are unable to borrow funds on a timely basis or at all to meet the working capital requirements, there may be an adverse effect on its results of operations. It may also be subject to fluctuations of interest rates for its financing. If it is unable to secure financing at favourable rates for this purpose, its ability to secure larger-scale projects will be impeded and its growth and expansion plans will be materially and adversely affected which in turn will materially and adversely affect its future financial performance.

Outlook

Elfin Agro India is primarily engaged in the business of manufacturing of Chakki Atta (High fibre whole wheat flour), R Atta (Refined whole wheat flour), Tandoori Atta (Specialized flour), Sooji (Semolina flour), Maida (Refined Flour) and yellow mustard oil. It has two manufacturing units that are situated at Bhilwara, Rajasthan, viz., Flour Processing Unit and Mustard oil Processing Unit. It also engages in the trading of certain agro products, including Chana, Maize, Soyabean Refined Oil, Wheat, Groundnut Oil, etc based on the prevailing market conditions. It has a well-diversified customer base catering to various segments like B2B Clients, Wholesalers, Traders, Retailers and Individual consumers. On the concern side, it derives significant portion of its revenue from sale of limited variety of its products. An inability to adapt to evolving consumer preferences, anticipate regulatory requirements, and industry trends and demand for particular products, or ensure product quality may adversely impact demand for its products and consequently its business, results of operations, financial condition and cash flows and competitive position in the agro-processing industry. Moreover, its godowns are located on rental premises. If it is unable to renew such rent agreements or relocate on commercially suitable terms, it may have a material adverse effect on its business, results of operation and financial condition.

The company is coming out with an IPO of 53,25,000 equity shares of face value of Rs 5 each for cash at a fixed price of Rs 47 per equity share to mobilize Rs 25.03 crore. On performance front, the revenue from operations for FY25 stood at Rs 14,586.34 lakh whereas in FY24 it was Rs 12,445.92 lakh representing an increase of 17.20%. Moreover, profit after tax for the period ended March 31, 2025, stood at Rs 507.79 lakh and for the year ended March 31, 2024 it was Rs 367.66 lakh representing an increase of 38.11%.

The company intends to diversify its portfolio of products which could cater to customers across segments and geographies and to address varying needs of its consumers at various price points based on its market research and understanding of consumer tastes and trends. Understanding its target demographic of the consumer market and its customer’s preferences is important in introducing new product within its existing product portfolio, hence it typically evaluates new products based on a set of criteria, including its ability to create a differentiated offering, industry trends, competitive intensity, acceptability of its products, category, scale and profitability of the new products. Going forward, it aims to significantly expand its geographical footprint across India, with a strong focus on deepening market penetration through its branded offerings. This expansion will involve entering new regional markets while also strengthening its presence in existing territories. It seeks to leverage its reputation and experience in the wheat and mustard oil industry and thereby enhance the addressable market for its products. Further, it intends to significantly expand its business-to-consumer (B2C) sales channels for its products. This initiative aims to enhance its brand visibility, improve customer engagement, and improve profitability by reducing dependency on intermediaries and enabling direct access to end consumers.

Sedemac Mechatronics

• Sedemac Mechatronics is coming out with a 100% book building; initial public offering (IPO) of 80,43,300 shares of Rs 10 each in a price band Rs 1287-1352 per equity share. 
• Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
• The issue will open for subscription on March 4, 2026 and will close on March 6, 2026.
• The shares will be listed on BSE as well as NSE.
• The face value of the share is Rs 10 and is priced 128.70 times of its face value on the lower side and 135.20 times on the higher side.
• Book running lead managers to the issue are ICICI Securities, Avendus Capital and Axis Capital.
• Compliance Officer for the issue is Prasad Rajendra Chavan.

Profile of the company

The company designs and supplies critical, control-intensive electronic control units to major vehicle and industrial equipment manufacturers in India, the United States, and Europe. Its main products use innovative, in-house technologies and are essential for equipment to work such as electronic control units (ECUs) for vehicles and generators. Its strong technical team continuously develops and improves products, helping its customers adopt new technology, stay competitive, and ensure reliable performance across mobility and industrial sectors. The majority of its revenue from operations is attributed to products which incorporate novel control technologies that are conceived and developed entirely in-house, enabling it to offer fresh proprietary solutions that provide distinct value to end-users or its original equipment manufacturer (OEM) customers. 

It is the first company in India to develop, design and manufacture sensorless commutation (SLC) based integrated starter generators (ISG) ECUs for two-wheeler / 3-wheelers (2/3Ws) internal combustion engine (ICE) powered vehicles. It has shipped sensorless ISG ECUs, and ECUs integrating the functionality of ISG with electronic fuel injection (ISG+EFI) ECUs for more than 9.2 million small engine 2/3Ws between Fiscal 2018 and nine months ended December 31, 2025. It held around 35% market share of domestic ISG ECU market (for 2W and 3W combined) in terms of volume and are amongst the top 4 players for the nine months ended December 31, 2025.

The company is also the leaders in India for genset controllers (GC) with an estimated market share of 75%-77% during the nine months ended December 31, 2025 and are amongst the key global players with a market share of 14% globally with its offerings of genset controllers and EFI ECUs for this market for Fiscal 2025. Furthermore, it introduced electronic governing (eGov) as an integrated feature into genset controllers in 2014 and it pioneered the introduction of integrated eGov technology in genset controllers in India.

Proceed is being used for:

• Carrying out the offer for sale of up to 8,043,300 equity shares of face value of Rs 10 each by the selling shareholders
• Achieving the benefits of listing the equity shares on the stock exchanges

Industry overview

The company operates in the mobility (2/3W vehicles) and industrial (generators) sectors in India, USA and EU. The Indian two-wheeler market sales grew at 3% CAGR (Fiscal 2020–Fiscal 2025), driven by improving demand sentiments and normalization of economic activity and increased mobility. The genset industry is growing steadily due to energy security needs, especially in Asia-Pacific, with demand for both traditional and cleaner technologies.

The 2W and 3W ICE segments have witnessed significant growth in recent years, driven by increasing demand for affordable and efficient transportation solutions. As industry continues to evolve, the integration of electronic and electrical products has become a key focus area for manufacturers. The 2W and 3W ICE segments have traditionally been dominated by mechanical systems. However, with the increasing need for improved performance, safety, and efficiency, manufacturers are now incorporating advanced electronic and electrical products into their vehicles. Some of the key drivers of this trend include emission regulations, safety requirements, performance needs, connected mobility and electrification. Some of the key electronic and electrical products that are gaining traction in the two-wheeler and three-wheeler ICE segments include Electronic Fuel Injection (EFI), Anti-lock Braking Systems (ABS), Combi brake system (CBS), telematics and others. The integration of electronic and electrical products in two-wheelers and three-wheelers is a growing trend that offers several benefits, including improved performance, reduced emissions, and enhanced safety.

As of Fiscal 2025, the Indian genset market by volume was 157 thousand units, up from 85 thousand units in 2020, registering a CAGR of 13% during the period. The growth is attributed to rising demand for backup power in key sectors such as real estate, data centers, healthcare, infrastructure, manufacturing, and telecom. Frequent power supply disruptions and inadequate grid infrastructure in several regions continue to reinforce the need for reliable backup power solutions.

Pros and strengths

Agility at scale through integrated design, engineering, and manufacturing enables rapid innovation and swift market response: Its agility at scale is derived from complete ownership of product design, engineering, and manufacturing. Such ownership enables it to move with agility from concept and validation to large-scale production without dependence on third-party licensors, technology partners, or outsourcing. As a result, it retains full control throughout the product lifecycle, supporting prompt and flexible responses to customer requirements, regulatory developments, and unexpected technical or supply chain challenges. This degree of integration provides competitive advantages over peers.

Synergies driving cross market technology use, procurement advantages, and robust partnership: As originators and owners of its core technologies, it controls both their initial development and continual evolution. This complete ownership and its focus towards actively looking for opportunities that allow it to transfer proven technical solutions and technical learnings from one market to an adjacent market have led it to establish strong synergies in its efforts across markets. As a result, it not only enhances technical performance and robustness of its offerings in new markets but also achieve significant benefits through consolidated procurement and economies of scale while building strong, entrenched relationships with its key suppliers.

Continued ability to innovate, scale, and embed differentiated technologies: Its sustained capacity to launch and scale differentiated technologies across diverse markets clearly sets it apart from competitors. it consistently turns concepts into real-world solutions, drawing on the expertise of its highly qualified engineers and scientists, supported by institutional knowledge. This team approach ensures innovation is continuous rather than occasional, enabling rapid product evolution in response to changing market dynamics and customer needs. Its emphasis on continual innovation and improvement is evident not only in the generational changes in its GC and ISG ECU products over time but also through features including idle start-stop and torque assist that have improved its customers’ or end-users' experience.

Quality, traceability, and reliable delivery: A critical foundation of its sustained success lies in its commitment to quality and reliability, especially in critical, control intensive products where a failure results in the end-user’s equipment being rendered unusable. Its products undergo rigorous, validation protocols to ensure robust performance under demanding conditions. It proactively monitors product outcomes using tailored failure metrics for each sector it serves, allowing it to benchmark its performance and continuously enhance its processes.

Risks and concerns

Revenue reliance on TVS Motor Company: The company has a high degree of revenue concentration with a small number of customers, particularly, a key customer, TVS Motor Company (TVS Motor), which contributed 75.48%, 80.46%, 83.46% and 79.05% of its revenue from operations for the nine months ended December 31, 2025, Fiscals 2025, 2024 and 2023, respectively, which exposes it to significant business risk if demand from these customers reduces or commercial relationships change which could have a significant negative effect on its business, profitability, and cash flows.

Concentration risk in the mobility segment: The company is significantly dependent on the mobility segment which contributed 84.63%, 85.69%, 85.64% and 80.37% of its revenue from operations for the nine months ended December 31, 2025, and Fiscals 2025, 2024 and 2023, respectively. Any downturn, cyclical fluctuation, or adverse development in this segment could materially impact its business, results of operations, and financial condition. Any changes in the 2/3W industry (2/3W refers to both engine-powered and electric 2/3Ws vehicles, including motorcycles, scooters, auto-rickshaws, electric two/three wheelers and electric bicycles) whether due to economic conditions, regulatory policy, consumer demand, or supply chain disruptions, can have a significant impact, potentially negative, on its business, results of operations, and financial condition.

High dependence on top suppliers for raw materials: A substantial proportion of the raw materials required for its manufacturing operations including semiconductors, SMD components, and PCBs is sourced from its top 10 suppliers. It is significantly dependent on its top 10 suppliers for primary raw materials, wherein purchases from top 10 suppliers constituted 63.63%, 63.64%, 65.63% and 63.34% of its total purchases during the nine months ended December 31, 2025, and Fiscals 2025, 2024 and 2023, respectively. Any disruption, delay, or inability of these suppliers to fulfil their commitments may materially and adversely affect its production, financial performance, and growth prospects.

Risks arising from genset market dynamics: Its business in the generator (genset) industry, i.e., the industrial segment, is positioned at two key stages in its product development cycle. Its genset controllers are in the ‘Sustaining Industry Position’, where its products are already widely adopted, but it faces ongoing risks from market changes and competition. Its results are affected by demand for gensets in India and globally, i.e., the industrial segment, which contributed 15.37%, 14.31%, 14.36% and 19.63% of its revenue from operations for the nine months ended December 31, 2025, and Fiscals 2025, 2024 and 2023, respectively. Any sustained decline in market acceptance or a shift towards alternative energy could materially impact its business, operations, and financial condition.

Outlook

Sedemac Mechatronics is primarily engaged in the business of development, manufacture and supply of innovative controllers/ECUs. It is a global supplier of high-volume critical controllers/ECUs having novel motor, engine, supervisory and other control technologies developed in-house. The company operates in various sectors, namely, power generators, automotive, powered equipment, electric vehicles and electric bikes etc. The company has well equipped R&D Centre and the world class manufacturing plants. The Company is the key supplier to various established automotive & off highway industry players, locally & globally. On the concern side, it imports critical raw materials such as semiconductors and printed circuit boards from People’s Republic of China (China), which exposes it to heightened supply chain and geopolitical risks that may materially affect its costs, production schedules, and business continuity and thereby its business, results of operations, cash flows, and future growth prospects. Additionally, it is highly dependent on sales of its ISG ECU, and integrated ECUs combining ISG and Electronic Fuel Injection Electronic Control (ISG+EFI ECU) products in the two/three-wheeler (2/3W) industry.

The issue has been offering 80,43,300 shares in a price band of Rs 1287-1352 per equity share. The aggregate size of the offer is around Rs 1,035.17 crore to Rs 1,087.45 crore based on lower and upper price band respectively. Minimum application is to be made for 11 shares and in multiples thereon, thereafter. On performance front, total income increased by 23.63% to Rs 6,625.36 million in Fiscal 2025 from Rs 5,358.96 million in Fiscal 2024. Profit for the year increased significantly to Rs 470.45 million in Fiscal 2025 from Rs 58.78 million in Fiscal 2024.

Meanwhile, the company is committed to ongoing investment in differentiated, innovative technologies and products tailored to the unique needs of each market. Its approach is to design and deliver control-intensive offerings that provide tangible value and critical functionality for OEM customers, such as improved performance, customer experience, and enable them to comply with regulatory norms. It has successfully developed technologies with such differentiation and offered related products to the markets, including sensorless motor control (ISG, ISG+EFI ECUs), integration of electronic governing in GCs, Transistor Controlled Ignitions (TCIs) with SmartIgn technology, rare-earth-free motors, and continue to do so. Furthermore, it does not pursue widely available technologies/ products which lack distinctiveness. By avoiding commoditized products and focusing on value-added differentiation, it secures a reputation as a provider of innovative, complex technologies and products, enhancing industry-wide respect, supporting leadership, and maintaining healthy profitability that supports fueling further technology development efforts.

Acetech E-Commerce

• Acetech E-Commerce is coming out with an initial public offering (IPO) of 43,70,400 shares in a price band of Rs 106-112 per equity share.
• The issue will open on February 27, 2026 and will close on March 4, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 10.60 times of its face value on the lower side and 11.20 times on the higher side.
• Book running lead manager to the issue is Gretex Corporate Services.
• Compliance Officer for the issue is Vandana Mahesh Chandak.

Profile of the company

Acetech E-Commerce (formerly known as Acetech Ventures) is engaged in the e-commerce business with a focus on drop shipping, teleshopping, and direct-to-consumer strategies. Originally incorporated as a limited liability partnership, the Company was restructured into a public limited company in 2024 and has since developed capabilities in e-commerce management, warehousing, and global selling solutions. The company distributes products through major online platforms such as Naaptol, Shop101, and GlowRoad, as well as through its own dedicated portals. The company’s business model is centred on identifying innovative and trending products and sourcing them primarily from domestic manufacturers and traders, with the majority of procurement taking place within Maharashtra, while also exploring select sourcing opportunities from international markets.

Its core strength lies in anticipating consumer demand by curating products with strong market potential, thereby enabling profitability and growth. The company’s activities span product research and identification, sourcing and procurement, warehousing and fulfilment, e-commerce platform management, marketing and advertising, as well as global selling and cross-border expansion. 

The company’s business model is built on leveraging emerging product trends and recent market developments. Drawing on its experience in product research, the company identifies products with strong potential for consumer acceptance and sources them from manufacturers or traders. These products are marketed digitally to a global audience through social media and other online platforms, enabling broad customer reach and efficient demand generation. While product life cycles are typically short, initial demand is often strong, allowing the company to capture premium pricing and attractive margins.

Proceed is being used for

• Marketing and advertisement expenditure
• Working capital requirements
• Funding inorganic growth through unidentified acquisitions and general corporate purposes

Industry overview

India’s e-commerce industry, valued at Rs 10,82,875 crore ($125 billion) in 2024, is projected to grow to Rs 29,88,735 crore ($345 billion) by 2030, reflecting a compound annual growth rate (CAGR) of 15%. E-commerce refers to the buying and selling of goods and services through online platforms using the internet as the primary medium of transaction. It enables businesses to reach a wider customer base beyond geographical boundaries and offers consumers the convenience of accessing products and services anytime and anywhere. The e-commerce ecosystem typically integrates digital storefronts, secure payment gateways, logistics and delivery systems, and customer support, thereby creating an efficient and scalable model for trade.

India’s e-commerce industry is entering a high-growth phase, driven by rising disposable incomes, rapid digital adoption, strong tier II & III city demand, and a surge in quick commerce growing at 70-80% CAGR, with the D2C market set to cross Rs 8,70,500 crore ($100 billion) in 2025 and overall annual growth projected at 17-22% in 2025. India's e-commerce market is fuelled by 500 million shoppers and increased internet access, especially in rural areas. By FY26, over 1.18 billion people are expected to have smartphones, enhancing digital transactions. Rural areas will drive over 60% of demand, particularly from tier 2-4 towns. India’s e-commerce market is projected to grow 12.5% in 2025 to about $211.6 billion, with expectations of reaching roughly $326.7 billion by 2029, driven by strong online shopping demand and digital payments.

India is set to become the world's second-largest online consumer market by 2030, with approximately 600 million shoppers and significant growth in e-commerce driven by increased smartphone access, urban adoption, and a projected rise in online retail from 25% to 37% of the total market.  Government initiatives like the National Logistics Policy aim to smoothen deliveries to hinterlands, making logistics efficient and cost-effective. Government initiatives like Jan Dhan Yojana, BharatNet Project, and the introduction of Goods & Service Tax (GST) have played a crucial role in shaping India's digital economy. Through its ‘Digital India’ campaign, the Government of India is aiming to create a trillion-dollar online economy by 2025.

Pros and strengths

Unique and Scalable business model: The company has developed a flexible business model centred on identifying short-cycle product trends, sourcing them efficiently, and marketing them digitally across global platforms. This approach allows rapid scaling of high-demand products with minimal inventory risk, enabling timely entry into consumer trends.

Brand development capabilities: Through its subsidiary, Conceptive Brains Private Limited, the company has created niche brands in categories such as personal care, ayurvedic products, and eco-friendly homecare. Complementing this, Acetech Ventures Inc. in the United States strengthens international presence by collaborating with local brands and leveraging a drop shipping model to distribute products across multiple platforms.

Sector experience: With nearly a decade of operating history since 2014, the company has built expertise in consumer demand analysis, product life-cycle management, and execution of e-commerce operations. This accumulated experience supports its ability to adapt quickly to evolving trends and scale operations efficiently.

Risks and concerns

Customer concentration risk due to dependence on top clients: It generates a significant percentage of its revenue from few clients. Revenue from the top 10 customers and platforms accounted for 85.20%, 92.65%, 94.29%, and 98.19% of the total revenue from operations for the six-month period ended September 30, 2025, for the financial years ended March 31, 2025, March 31, 2024, and March 31, 2023, respectively. Its business operations are highly dependent on its top customers, which exposes it to a high risk of customer concentration. The loss of any one or more of its major clients would have a material adverse effect on its business operations and profitability.

Reliance on third-party aggregator platforms: A significant portion of its revenues is generated through aggregator platforms where product visibility and sales depend on search algorithms, sponsored placements, and evolving platform policies. The total sales through the aggregator platforms in six-month period ended September 30, 2025 was Rs 1,223.22 lakh, which contributed to around 30% of the total sales. The corresponding contribution was 37.03%, 69.67%, and 91.18% for the fiscal years ended March 31, 2025, March 31, 2024, and March 31, 2023, respectively. Its sales are materially dependent on third-party platforms such as Naaptol, Shop101, and other online aggregators. Success on these platforms is largely determined by algorithms that rank products based on price competitiveness, customer ratings, return rates, and paid promotions. Any unfavourable changes in these mechanisms, or decline in consumer usage of these platforms, could materially reduce its sales volumes and profitability.

Dependence on vendors without long-term supply contracts: The company relies on a limited number of key vendors and marketplace partners for sourcing certain products. Purchases from the top 10 suppliers accounted for 85.79%, 75.57%, 71.96%, and 69.87% of total purchases for the six-month period ended September 30, 2025, for the financial years ended March 31, 2025, March 31, 2024, and March 31, 2023, respectively. The company has not entered into long-term supply arrangements with these vendors. Any disruption in its ability to procure products at competitive prices, or within required timelines, could adversely impact its product availability, business operations, results of operations and financial condition.

Outlook

Acetech E-Commerce is engaged in the purchasing, selling, distributing, trading, acting as an agent, franchising, collaborating, exporting, merchandising, designing, packaging and dealing with all kinds of products, goods, commodities, merchandise accessories and equipment, wellness products and equipments and any other human centric products on the company's online portals or websites as well as through e-commerce internet, stores, stalls or kiosks set up across India or abroad or in any other manner. On the concern side, it is dependent on the procurement of imported products sourced from the People’s Republic of China through domestic dealers. Any disruption in the supply of such products from China may impair its ability to meet increasing customer demand and could adversely affect its business operations, financial condition and profitability.

The company is coming out with a maiden IPO of 43,70,400 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 106-112 per equity share. The aggregate size of the offer is around Rs 46.33 crore to Rs 48.95 crore based on lower and upper price band respectively. On performance front, its revenue from operations increased from Rs 6,024.82 lakh in FY2024 to Rs 7,028.05 lakh in FY2025, representing an increase of 16.65%. Profit after tax increased from Rs 402.14 lakh in FY2024 to Rs 687.97 lakh in FY2025, registering a growth of 71.08%.

Meanwhile, the company’s strategy is focused on consolidating its position in the e-commerce sector by deepening customer engagement, expanding market reach, and strengthening operational resilience. Drawing on its experience in identifying emerging trends and scaling high-demand products, the company aims to sustain growth through marketing initiatives, disciplined working capital management, and selective inorganic opportunities.

Striders Impex

• Striders Impex is coming out with an initial public offering (IPO) of 50,40,000 shares in a price band of Rs 71-72 per equity share. 
• The issue will open on February 26, 2026 and will close on March 02, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 7.1 times of its face value on the lower side and 7.2 times on the higher side.
• Book running lead manager to the issue is Capitalsquare Advisors.
• Compliance Officer for the issue is Shweta Mahadeo Dagade.

Profile of the company

Striders Impex is engaged in the business of licensing, own brand development, and distribution of toys and kids' consumer merchandise. It offers end-to-end solutions from product design and development to sourcing, manufacturing and distribution, catering to retail formats across India and select international markets. In addition to developing and distributing license merchandise, it has created and developed a portfolio of proprietary intellectual properties (IPs), including Pugs at Play, Furry Pals, Gurliez, Fanster, Beezy Kits, Minds at Play, SHDZ, Boujees, and Striders. These IPs are strategically designed based on market research and consumer insights, enabling the company to build brand equity, improve margins, and diversify its product mix. Through an asset-light, scalable model and an expanding global footprint, it aims to position itself as a key player in the toy and kids' consumer merchandise.

It caters to a wide demographic, offering products suitable for children from 18 months up to 15 years of age. Through strong licensing arrangements, it has access to multiple well-known international brands. These licensing partnerships enable the company to design, manufacture through third parties and distribute products that feature popular characters and themes, thereby increasing market acceptance and consumer recall. In addition to its operations in India, it has a business presence in the Middle East via Striders FZ LLC its wholly owned subsidiary company, through a network of distributors that supports its international distribution network and strengthens global distribution and client relationships. Its global footprint enables it to closely track emerging trends through its distributor networks, positioning it to rapidly scale and capitalize on opportunities in global markets. 

Its business operations are designed to offer integrated solutions from concept and product design to sourcing, and delivery, ensuring a reliable and efficient supply chain for its partners. This end-to-end capability has made it a preferred supplier for licensed and their owned brand merchandise. With a growing product range, expanding international presence, and focus on licensed intellectual properties, it aims to further enhance its market share and establish itself as a leading player in the toy and kids merchandise segment, both in India and overseas.

Proceed is being used for:

• Funding of working capital requirements of the company
• Investment in Striders FZ LLC, wholly owned subsidiary, to fund its working capital requirements
• Investment in a newly wholly owned subsidiary in mainland UAE to fund its working capital requirements
• Repayment of loans
• General corporate purposes
• Meeting public issue expenses

Industry Overview

India’s back-to-school product market reflects one of the largest and most dynamic consumer segments in the country, with over 220 million school-age children and more than 1.5 million schools across the nation, demand for school-related goods, from notebooks and pens to backpacks, lunch-boxes, water bottles, and accessories, remains consistently high. Driven by a growing school-enrolment rate, rising disposable incomes, and expanding urbanization, the market for core categories such as stationery and school bags has already reached multibillion-dollar scale and continues to show strong growth potential. As consumer preferences evolve, favouring durability, quality, eco-friendly materials, and ready-to-buy bundled school kits, the back-to-school segment is broadening in scope beyond traditional stationery, offering attractive opportunities for manufacturers, retailers, and new entrants across both online and offline chain. 

Based on Product Type, the India Back-to-School Products Market has been segmented into School Bags, Lunch Boxes, Water Bottles/Sippers, Stationary Sets, Kids Accessories, and Kids Luggage. The Stationary Sets segment accounted for the largest market share of 68.49% in 2024 and is expected to maintain its dominance throughout the forecast period. The segment is further expected to register a CAGR of 3.9% during the projected period. On the other hand, the Kids Luggage segment is expected to grow to a CAGR of 6.0% during the forecast period. Further, based on Age Group, the India Back-to-School Products Market has been segmented into Pre-school / Kindergarten, Primary School (6-10 years), and Middle School (11-13 years). The Primary School (6-10 years) segment accounted for the largest market share of 56.25% in 2024 and is expected to maintain its dominance throughout the forecast period. The segment is further expected to register a CAGR of 4.1% during the projected period. On the other hand, the Pre-school / Kindergarten segment is expected to grow to a CAGR of 3.8% during the forecast period.

India's back-to-school economy product market, the largest by volume and available primarily to price-sensitive individuals located both in Urban and Rural locations, is susceptible to fluctuations of the economy. As such, the economic segment offers affordable, functional products that meet the required quality standards and at an acceptable price point. The economy segment contains school bags that are usually made from less expensive materials (e.g., Polyester, Nylon, or Non-Woven Fabric) and designed for maximum durability while maintaining some level of ergonomic comfort through low-cost design features. Similarly, the lunch boxes offered in the economy segment feature additional features (e.g., leak-proof) that protect food but are made of less expensive materials than the premium lunch boxes made of Stainless Steel. Water bottles and Sippers offered in the economy segment are lightweight and made from BPA-free plastic, with basic shapes and limited customization options and colors. Stationery products (i.e., pens, pencils, notebooks) purchased in the economic sector are generally packaged in Bulk and utilize paper of lesser quality than comparable products and are therefore less costly than comparable products. A large percentage of the children's accessory items (i.e., Watches and Sunglasses) manufactured for the economy segment are functional but inexpensive, made by Unknown or Local manufacturers. The economy segment utilizes numerous distributors (e.g. General Trade/Small Retailers) who offer Budget options to parents, Children, and adults. Due to the size of India's Low- to Middle-Income Consumer Population, and the high levels of demand from rural and semi-Urban areas, the economy segment of the Back-To-School industry is gaining a large share of the Back-To-School retail market each year.

Pros and strengths

Asset-light business model: It operates through an asset-light, licensing-led and distribution-focused model that enables efficient capital deployment, rapid scalability, and prudent regulatory compliance. By avoiding capital-intensive manufacturing infrastructure and instead partnering with third-party vendors across geographies, it minimizes fixed overheads while maintaining flexibility in its operations. This structure allows it to scale product offerings swiftly in response to market demand, enhance operating margins, and uphold high standards of compliance with environmental, labour, and industrial laws. The model not only supports a robust and agile supply chain but also ensures transparency and risk mitigation, aligning with both investor expectations and regulatory frameworks.

PAN-India market presence with geographic diversification: It has established a robust geographic footprint with a well-diversified presence across all major regions of India, supported by meaningful contributions from international markets. For FY24-25, the company generated significant revenues from the North Zone (Rs 14.68 crore), East Zone (Rs 3.02 crore), South Zone (Rs 14.40 crore), and West Zone (Rs 25.79 crore), reflecting strong pan-India market penetration. In addition, exports contributed Rs 68 lakh, while its Striders distribution arm recorded Rs 3.42 crore, underscoring a strategically distributed sales model. This regional diversification enables it to reduce over-reliance on any single territory, better manage operational risks, and cater to varied consumer preferences across domestic and international markets. It’s presence across these zones supports scalability, resilience, and long-term sustainable growth. Further, for the period ended December 31, 2025, it has generated revenue from the North Zone (Rs 922.70 lakhs), East Zone (Rs 204.69 lakh), South Zone (Rs 732.67 lakh) and West Zone (Rs 1874.22 lakh).

Trusted licensing partnerships with global brands: It has forged strong relationships with globally renowned licensors, enabling it to develop and distribute a wide portfolio of character-driven and brand-affiliated products. These partnerships enhance product appeal, drive consumer engagement, and allow it to leverage existing brand equity without incurring the costs and timelines of content creation. From an operational standpoint, these alliances support faster product development cycles, improved market penetration, and shelf prominence across diverse retail formats. It adheres to all licensing terms, brand usage protocols, and regulatory requirements, reinforcing its standing as a compliant and dependable partner. This strategic reliance on established IPs contributes to a scalable and resilient business model with improved visibility into revenue streams and consumer demand.

Risks and concerns

Seasonality and demand fluctuation risk: The kids’ merchandising and toy industry is characterised by inherent seasonality, with demand typically peaking during festive periods, holidays, and other gift giving occasions. Further, demand for its back-to-school product portfolio, including bags and school related accessories, is subject to region specific variations arising from differences in academic calendars across various parts of India. During non-peak periods, it may experience lower sales volumes, which could result in reduced revenues, accumulation of excess inventory, and increased inventory holding and carrying costs. Conversely, peak demand periods necessitate accurate demand forecasting and effective coordination across procurement, manufacturing, and logistics functions to ensure timely product availability. Any inaccuracies in forecasting or disruptions in supply chain execution during such periods may lead to stock shortages, lost sales opportunities, delays in order fulfilment, and potential erosion of market share. Seasonal demand patterns also place pressure on its working capital and cash flows, as inventory levels and operating expenditures are required to be built up in advance of peak sales cycles, while revenue realisation is concentrated over relatively shorter timeframes. Although it endeavours to mitigate the impact of seasonality through product diversification, an extensive distribution network, and focused marketing initiatives, there can be no assurance that such measures will be sufficient to offset the effects of seasonal fluctuations. Accordingly, variations in seasonal demand may have a material adverse effect on its business operations, financial condition, results of operations, cash flows, and future growth prospects.

Risk associated with dependence on third-party manufacturers and limited operational control: It relies significantly on third-party manufacturers for the production, assembly, and packaging of its product lines, including both licensed and own-brand offerings. These third-party arrangements form a critical part of its supply chain and operational model, enabling scalability, cost efficiency, and timely market entry. However, reliance on external manufacturers exposes it to risks such as production disruptions, delays in delivery, quality control issues, non-compliance with contractual obligations, and dependence on their financial and operational stability. While its contractual arrangements with Indian manufacturers are formalized through executed agreements, its oversights over their day-to-day operations, procurement practices, labour compliance, inventory management, and adherence to quality and regulatory standards remains inherently limited. Any lapses or deficiencies on their part, whether due to negligence, non-compliance, or capacity constraints, could lead to product quality issues, supply delays, increased costs, or even regulatory scrutiny and reputational harm. Further, its contractual arrangements with such manufacturers are generally subject to periodic renewals, revisions, and renegotiations, and any inability to maintain these arrangements on favourable terms, or at all, may materially and adversely affect its operations, product availability, financial condition, and overall business performance.

Geopolitical and China supply chain risk: A substantial portion of its operations, particularly with respect to manufacturing relies on third-party partners based in the People's Republic of China (China). These include key manufacturing vendors, which play an integral role in the timely procurement, production, and delivery of certain licensed and own-brand products. Geopolitical tensions between India and China such as military stand-offs, border conflicts, retaliatory trade actions, or deterioration of diplomatic relations pose a significant risk to its operations. In the event of war-like situations, such as armed conflict or prolonged military hostilities between the two nations, it may faces sudden and severe disruptions in its supply chain, including: Suspension of cross-border trade and shipping routes; Imposition of embargoes or import/export restrictions; Revocation of business permits or licenses involving Chinese entities; Unavailability of manufacturing capacity due to factory closures or resource diversion; Breakdown in logistics and customs clearance processes. Moreover, war-like conditions may also lead to currency volatility, insurance premium hikes, and force majeure claims, which could result in cost escalations, delays in fulfilling customer orders, and cancellation of supply agreements. Given its current dependency on Chinese partners for manufacturing, any such escalation could materially and adversely affect its business continuity, financial performance, and future expansion plans. While it continues to evaluate alternate sourcing options, the reallocation of production and distribution capabilities may require significant time, investment, and regulatory clearances.

Outlook

Striders Impex is engaged in the business of licensing, own brand development, and distribution of toys and kids' consumer merchandise. It offers end-to-end solutions from product design and development to sourcing, manufacturing and distribution, catering to retail formats across India and select international markets. It holds licensing rights for several global toy brands, supported by a multi-channel distribution network, while also developing its own IPs in toys and consumer products. On the concern side, it operates without executed agreements with certain distributors and manufacturers, which may result into uncertainties in supply, pricing related risks, and potential business disruptions. Moreover, its operations are significantly reliant on the timely availability of adequate working capital and the efficient collection of receivables. Any delays or disruptions in securing necessary working capital or in the recovery of outstanding payments from customers may adversely impact the company's liquidity, operational continuity, and overall financial performance.

The company is coming out with a maiden IPO of 50,40,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 71-72 per equity share. The aggregate size of the offer is around Rs 35.78 crore to Rs 36.29 crore based on lower and upper price band respectively. On performance front, the revenue from operation for FY25 stood at Rs 6,073.11 lakh whereas in FY24 it was Rs 4,170.48 lakh representing an increase of 45.62%. Moreover, profit after tax for the period ended March 31, 2025, stood at Rs 802.03 lakh and for the year ended March 31, 2024 it was Rs 438.56 lakh representing an increase of 82.88%.

The company aims to strategically expand and deepen its portfolio of proprietary brands and global licensing partnerships to drive long-term value creation. On the proprietary front, it continues to invest in the growth and visibility of its original IPs such as Pugs at Play, Furry Pals, Gurliez, Minds at Play, Beezy Kits, Fanster, SHDZ, Boujee, and Striders, across product categories and consumer segments. These brands are designed to fill identified market gaps, enhance consumer engagement, and offer higher margin opportunities through full control over design, merchandising, and positioning. Further, it is strategically investing in building its direct-to-consumer online channels through e-commerce platforms, while continuing to strengthen its offline distribution network. This omnichannel approach enhances brand visibility, expands global reach, provides valuable consumer insights, and improves long-term profitability by reducing reliance on intermediaries.

Omnitech Engineering

• Omnitech Engineering is coming out with a 100% book building; initial public offering (IPO) of 2,69,93,223 shares of face value Rs 5 each in a price band Rs 216-227 per equity share. 
• Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
• The issue will open for subscription on February 25, 2026 and will close on February 27, 2026.
• The shares will be listed on BSE as well as NSE.
• The face value of the share is Rs 5 and is priced 43.20 times of its face value on the lower side and 45.40 times on the higher side.
• Book running lead managers to the issue are Equirus Capita and ICICI Securities.
• Compliance Officer for the issue is Bhoomi Manharbhai Vadhavana.

Profile of the company

Omnitech Engineering is one of the key manufacturers of high precision engineered components and assemblies supplying to global customers across industries such as energy, motion control & automation, industrial equipment systems, metal forming and other diversified industrial applications. With 19 years of experience, it manufactures highly engineered precision machined components and assemblies that are majorly utilized towards safety critical applications. It manufactures a wide range of components ranging from weight of 0.003 kg to 503.33 kg, diameter of 1.27 centimetre to 1 meters and length of 0.2 centimetre to 10 meters which helps it to cater to the diverse requirements of its marquee customer base. The company is one of India’s fastest growing manufacturers of high precision engineered components and assemblies amongst the identified peer set, in terms of revenue from operations, with an increase of 92.45% between Fiscal 2024 and Fiscal 2025 and a CAGR of 39.06% between Fiscal 2023 and Fiscal 2025.

Its products find applications in industries such as (i) Energy which includes supplies with end application primarily in oil & gas, wind energy and power sector; (ii) Motion Control and Automation which primarily includes supplies with electro-mechanical systems to end applications primarily in drives and motors, flow control, motion control, sensors, automation and hydraulics; (iii) Industrial Equipment Systems which includes supplies with end application primarily in aerospace ground support equipment, construction equipment, machineries for diverse applications, and components for winches and hoists; and (iv) Others which includes supplies with end application primarily in metal forming and other diversified industrial applications.

The company’s product offerings adhere to quality standards and specifications as specified by the customers, and that maintaining these high standards along with timely delivery has been instrumental in sustaining long-term relationship with its customers which is reflected in the repeat orders received from its customers. It has a strong track record of customer retention, with several long-standing relationships where it has consistently delivered its products to key clients over many years. Its customer relationships are a result of its design, engineering and manufacturing capabilities.

Proceed is being used for:

• Repayment and / or pre-payment, in full or in part, of certain outstanding borrowings availed by the company
• Setting up New Projects at Proposed Facility 1 at Village Chhapara, Lodhika, Rajkot, Gujarat through (i) civil construction and interior development; and (ii) purchase of equipment / machinery
• Setting up New Projects at Proposed Facility 2 at Chhapara, Lodhika, Rajkot, Gujarat; through (i) civil construction and interior development; and (ii) purchase of equipment / machinery
• Funding towards capital expenditure requirements for purchase and installation of solar panels on the rooftop at, and, purchase of new equipment / machinery for, existing manufacturing facility at village Chhapara, Lodhika, Rajkot, Gujarat (Existing Facility 2)
• General corporate purposes

Industry Overview

Precision engineered goods are components manufactured and designed with high level accuracy and tight endurances for meeting the strict requirements of industry standards, necessitating significant investments in building capability and processes by the manufacturers. These are often safety critical, and manufacturers of precision engineered goods have to take enormous care in their processes. These products are manufactured by using advanced technologies such as precision stampings, CNC machining and 3D printing, ensuring high durability, reliability and superior performance. In industries which require high quality and complex components such as oil and gas, automotive, aerospace, energy, industrial machinery, defence, construction equipment, rail & transportation, power transmission medical devices and electronics etc., precision engineering plays a significant role. To meet the specific needs of customers, these goods undergo detailed design, production and quality control processes.

In FY2026, the Indian precision engineered goods market is estimated to be dominated by automobiles sector as the largest end user with a share of 33% of the total market. It was followed by industrial machinery at 15%, defence at 10%, aerospace at 9%, electronic manufacturing services at 7%, construction equipment and rail and transportation both at 6% respectively, energy at 3%, oil and gas and food and agriculture at 2% each, power transmission at 1% and other end use industries at 6%. Certain clusters including Chennai, Pune, Rajkot, NCR, Hyderabad and Bengaluru have emerged as key geographies for precision manufacturing industry in India. For instance, Rajkot, is situated within a robust industrial ecosystem, providing access to a skilled labour force and vendor base for any outsourcing of job-work which companies may require.

For precision engineered goods, some of the emerging trends in customer demands comprises of miniaturization, Industry 4.0 integration and lightweight materials. Industries like electronics and medical technology, miniaturization plays an important role, pushing the need for smaller and extremely precise components. Internet of Things (IoT) and automation, some of the industry 4.0 technologies, are continuously expected to enhance productivity in the manufacturing process, reducing waste and improving quality control. Additionally, advanced composites and alloys, some of the lightweight materials, are increasingly gaining importance in the aerospace and automotive sectors as it improves fuel performance and efficiency. The demand for sustainable practices increases as the eco-friendly manufacturing becomes a priority to the environmentally conscious consumers. In FY2026, the precision engineered goods market in India is projected to have reached a value of $8,304 million, exhibiting a CAGR of 8.3% during the period of FY2019 to FY2026. Going forward, by FY2029, the Indian market is projected to reach a value of $11,615 million, showcasing a CAGR of 11.6% from FY2027 to FY2029.  

Pros and strengths

Diverse end-use industry applications and strong customer relationships: The company’s products find applications in industries such as (i) Energy which includes supplies with end application primarily in oil & gas, wind energy and power sector; (ii) Motion Control and Automation which primarily includes supplies with electro-mechanical systems to end applications primarily in drives and motors, flow control, motion control, sensors, automation and hydraulics; (iii) Industrial Equipment Systems which includes supplies with end application primarily in aerospace ground support equipment, construction equipment, machineries for diverse applications, and components for winches and hoists; and (iv) Others which includes supplies with end application primarily in metal forming and other diversified industrial applications. Moreover, the company has a strong track record of customer retention, with several long-standing relationships where it has consistently delivered its products to key clients over many years. It has over the time built long term relationship with its customers.

Strong international footprint with established global delivery model: During the 6 months ended September 30, 2025 and the last 3 Fiscals, it supplied to customers across 24 countries including United States of America, India, United Arab Emirates, Germany, Bulgaria, Sweden, United Kingdom, France, Australia and Canada with majority of its revenue from sale of products and services being derived from outside India. Further, the company’s ability to service customers across various geographies is enabled by its global delivery model and an understanding of its customers’ supply chains. In furtherance of its global delivery model, it has set up a warehouse in Houston, United States of America, operated by its Subsidiary, Omnitech Group Inc., which helps it to cater to its customers in the United States of America.

Strategically located manufacturing facilities with robust installed capacity: The company operates out of its 3 Manufacturing Facilities which are spread across 80,802.68 square meters with a combined installed annualised machining capacity of 2,429,856 machine hours and annualized fabrication capacity of 7,200 MTPA as at September 30, 2025. Its manufacturing facilities are strategically located, providing easy access to Mundra Port in Gujarat, which is around 300 kilometres from its facilities. This proximity facilitates the efficient import of raw materials and export of finished products to its customers. Its manufacturing facilities in Rajkot are situated within a robust industrial ecosystem, providing it with access to a skilled labour force and vendor base for any outsourcing of job-work it may require.

Comprehensive product portfolio with advanced machining capabilities: The company offers its customers a diverse range of products across raw materials, dimensions, manufacturing processes that the components need to go through, levels of assembly and packaging and dispatch options. Its diverse machining capabilities enables it to handle a variety of raw materials including carbon steel, alloy steel, stainless steel, nickel alloys, titanium, aluminium and specialized alloys in bar form, tubes, forgings, castings and in other forms. Its ability to process such diverse raw materials helps it to deliver a diverse range of fully assembled, ready-to-deploy solutions, reducing lead times and ensuring operational reliability for its clients.

Risks and concerns

High revenue contribution from limited customer base: The company generates significant revenue from its top 10 customers, and in the 6 months ended September 30, 2025, Fiscals 2025, 2024 and 2023, its revenue from top 10 customers were 56.04%, 47.87%, 61.27% and 68.88%, respectively, of its total revenue from sale of products and services. The loss of such customers or a significant reduction in its revenue from such customers will have a material adverse impact on its business.

Geographical concentration of manufacturing operations: The company’s existing manufacturing operations are based out of its 3 Manufacturing Facilities in Rajkot, Gujarat and its Proposed Facilities are also proposed to be located in Rajkot, Gujarat. The concentration of its Manufacturing Facilities and operations in a single location in Gujarat subjects it to various risks, including vulnerability to change of policies, laws and regulations or the political, availability of skilled manpower, disruption or disturbance in surrounding areas and natural calamities, any of which, could adversely affect its business, financial condition, results of operations, cash flows and prospects.

Risks associated with overseas revenue concentration: The company’s revenue from operations outside India constituted 78.98%, 74.95%, 72.97% and 75.12% of its total revenue from operations in the 6 months ended September 30, 2025, Fiscals 2025, 2024 and 2023, respectively. Its inability to operate or expand its business in such countries, or any adverse changes in the conditions affecting these markets, could adversely impact its business, financial condition, results of operations, cash flows, and future growth prospects.

Reliance on a limited number of suppliers: The company relies on limited number of suppliers for its material requirements which constitutes a significant part of its total expenses. The company has procured 52.48%, 43.32% and 46.74% of its total material requirements from top 10 suppliers in FY25, FY24 and FY23 respectively. Any increase in the prices, availability and quality of materials or loss of these suppliers could adversely affect its reputation, business, results from operations, financial conditions and cash flows.

Outlook

Omnitech Engineering is a manufacturing and engineering solutions company that specializes in providing precision-engineered components, turnkey industrial automation solutions, and customized mechanical systems for various industries. The company's operations supported by its manufacturing facilities, offering scale, flexibility and locational advantage. It also has a diversified product portfolio enabled by product development capabilities. On the concern side, the company generates significant revenue from its top 10 customers and the loss of such customers or a significant reduction in its revenue from such customers will have a material adverse impact on its business. Moreover, the company’s manufacturing operations including its proposed Facilities are located in Rajkot, Gujarat, which exposes it to risks associated with geographic concentration. Any disruption at this location could adversely affect its business operations. 

The issue has been offering 2,69,93,223 shares in a price band of Rs 216-227 per equity share. The aggregate size of the offer is around Rs 583.05 crore to Rs 612.75 crore based on lower and upper price band respectively. Minimum application is to be made for 66 shares and in multiples thereon, thereafter. On performance front, the company’s revenue from operations increased by 92.45% from Rs 1,781.80 million in Fiscal 2024 to Rs 3,429.13 million in Fiscal 2025. Moreover, the company’s profit after tax increased by 131.99% from Rs 189.08 million in Fiscal 2024 to Rs 438.65 million in Fiscal 2025.

The company intends to target customers in new end-use industries such as defence, space, semi-conductors, aerospace and railways while further deepening its presence across industrial machinery, safety critical applications in automobiles, aerospace, industrial equipment amongst others. It has been taking multiple initiatives towards further developing its capabilities across such end-user industries. For instance, it had applied for and received AS9100:2016 certification which is a quality management system designed to ensure consistent quality, cost, and delivery performance across the aerospace supply chain. Similarly, as a part of the Existing Facility 3 at Padavala, Rajkot, Gujarat, it has recently set up a fabrication line which should further help it in supplying fully assembled components to its customers. Further, to strengthen its global delivery model, it proposes to establish warehouses in Europe, Middle East and another warehouse in United States of America which will enable it to improve service to its existing customers in Europe, Middle East, and North America and also onboard new customers. These warehouses will also assist in streamlining logistics, ensuring faster and cost-effective deliveries through access to major ports and transport networks in these geographies.

Yaap Digital

• Yaap Digital is coming out with an initial public offering (IPO) of 55,25,000 shares in a price band of Rs 138-145 per equity share.
• The issue will open on February 25, 2026 and will close on February 27, 2026.
• The shares will be listed on SME Platform of NSE.
• The face value of the share is Rs 10 and is priced 13.80 times of its face value on the lower side and 14.50 times on the higher side.
• Book running lead manager to the issue is Socradamus Capital.
• Compliance Officer for the issue is Shivani Shivshankar Tiwari.

Profile of the company

YAAP Digital, established in 2015 and headquartered in Mumbai, is a digital-first marketing, content, and technology services company. It provides a range of integrated solutions designed to help brands engage digital-first consumers through a combination of storytelling, technology, and data-driven strategies. With additional offices in Gurugram and Hyderabad, as well as international presence in Dubai and Singapore, YAAP serves clients across geographies and industries.

The company’s service portfolio includes influencer marketing, content creation, performance marketing, UI/UX design, media buying, and marketing analytics. YAAP follows a unified model that blends creative development, data-based insights, and AI-enabled marketing tools to support brands in sectors such as financial services, tourism, FMCG, technology, healthcare, and government. It has worked on projects for brands such as Assam Tourism, RuPay, and ITC Hotels, emphasizing the creation of content-based solutions customized to business requirements. 

With its services, the company works towards improving digital experiences and brand interaction Its approach enables clients to streamline their marketing operations by consolidating multiple functions under a single digital partner. Operating in the rapidly evolving digital marketing ecosystem, YAAP focuses on delivering measurable outcomes across various stages of the customer journey. Its strategy is centered on addressing modern marketing challenges through customized digital experiences, brand-owned IP creation, and scalable content solutions. The firm also supports clients with campaign distribution and optimization using programmatic media, paid social strategies, and real-time analytics.

Proceed is being used for

• Funding part payment of purchase consideration for the proposed acquisition of GoZoop Online (GoZoop)
• Funding capital expenditure to be incurred for establishment of an AI-Led Short-Form Content Production Hub (ACP Hub)
• Funding incremental working capital requirements
• Funding inorganic growth through unidentified acquisitions and general corporate purposes

Industry overview

The digital marketing industry leverages online platforms and digital technologies to promote brands, products, and services. It includes key strategies such as search engine optimization (SEO), social media marketing (SMM), pay-per-click (PPC) advertising, email marketing, content marketing, and influencer partnerships. With the growing emphasis on data-driven marketing, the use of artificial intelligence (AI), automation, and analytics is transforming audience targeting and campaign performance. Unlike traditional methods, digital marketing offers real-time engagement, personalized communication, and measurable outcomes, making it an essential tool for modern businesses.

India’s digital marketing market has shown growth across various verticals, with total revenue increasing from Rs 156.07 billion in CY 2019 to Rs 466.41 billion in CY 2024, driven by a strong CAGR of 24.48% and is projected to grow significantly to Rs 1,082.48 billion by CY 2031, reflecting a robust CAGR of 12.8% (CY 2024F - CY 2031F).

Launched in 2015, the Digital India programme aims to transform India into a digitally empowered society and knowledge economy. It focuses on enhancing digital infrastructure, improving internet accessibility, and promoting digital literacy. Initiatives like Bharat Net, Common Services Centres (CSCs), and public Wi-Fi hotspots have expanded internet access to rural and remote areas, increasing the digital customer base. This widespread internet penetration has significantly enabled digital marketing outreach to Tier-2 and Tier-3 cities. Government services have also gone digital, pushing more consumers online and encouraging businesses to invest in digital channels.

Pros and strengths

Digital by design, Not by Transition: It is a marketing solutions company conceived and constructed entirely for the digital age. Unlike legacy advertising firms that have had to transition from traditional formats such as print, television, or out-of-home to digital offerings, its operational model, service framework, and client delivery are purpose-built for the online ecosystem. This foundational orientation gives it a structural edge, not just in executional speed and cost efficiency, but in its cultural fluency and platform adaptability, both of which are critical to success in today’s fast-evolving media environment. As digital communication increasingly takes precedence in consumer journeys, being native to digital formats is no longer optional but essential. A digital-native agency like it understands the subtle but critical differences between creating content for feed-based engagement on Instagram versus skippable formats on YouTube, or building creator collaborations that drive authenticity over unsubstantiated metrics.

Focus on trio of Data, Content and Technology: Its business model is structured to deliver full-stack marketing services across the digital lifecycle which helps in encompassing strategy, design, content, influencer marketing, paid media, and performance analytics all under one roof. At the heart of its business is a deeply integrated approach that brings together the three critical pillars of modern marketing data, content, and technology. This framework is not only the foundation of how it operates, but also a key differentiator that allows it to deliver campaigns that are relevant, scalable, and performance-driven. Unlike conventional marketing firms where these functions operate in silos, it has built its model to ensure that each of these capabilities informs and strengthens it and by helping it designs and delivers marketing solutions that resonate with today’s mobile-first, platform-diverse consumers.

Well diversified customer base with long standing relationships: Its business model was built and continues to evolve around its clients and their specific marketing and advertising requirements and are the central focus of how it structures its service offerings and allocate its resources. It has served over 90 clients in the financial year ended on March 31, 2025. It has a well-diversified client base covering leading brands across multiple industry verticals. It is focused on the BFSI, automotive, FMCG/consumer durables, retail, e-commerce sectors and possess domain expertise across various kinds of client organisation structures, which include private sector business groups, other private companies, multinational companies, public sector enterprises and NGOs. Several of its clients are repeat clients and engage with across its business segments.

Risks and concerns

Significant reliance on a limited number of customers: Its business is concentrated around key clients, which account for a significant amount of its revenue. Revenue from the top 10 customers accounted for 64.51% of the total revenue from operations for the nine months period ended December 31, 2025, and 84.41%, 88.87%, and 86.94% for the fiscal years ended March 31, 2025, March 31, 2024, and March 31, 2023, respectively. If it fails to retain these clients, or diversify its client base or if its key clients reduce their marketing budgets, its business, revenue growth, results of operations, cash flows and financial condition may be materially and adversely affected.

Risk of revenue fluctuations due to project-based and short-term contract: A significant portion of its revenue is derived from project-based contracts, which are typically short-term in nature and subject to renewal or renegotiation. Unlike businesses with long-term retainer contracts or subscription-based revenue models, its financial stability relies on the continuous acquisition of new projects or the successful renewal of existing engagements. This inherently unpredictable revenue structure exposes it to fluctuations in cash flow, revenue uncertainty, and operational planning challenges. One of the primary risks associated with this project-based engagement model is the potential loss of key clients at the end of a contract period. If a major client chooses not to renew or extend their engagement with the company, it could result in a sudden drop in revenue, adversely affecting its financial condition. 

Dependence on limited number of key suppliers: Its operations are dependent on a limited number of key suppliers. Direct expenses incurred from the top 10 suppliers accounted for 54.75% of the total direct expenses for the nine months period ended December 31, 2025, and 72.79%, 81.70%, and 77.66% for the fiscal years ended March 31, 2025, March 31, 2024, and March 31, 2023, respectively. It relies on a limited number of suppliers for various technology platforms, media inventory, influencer networks, content production, and other outsourced services that are critical to its operations. The availability, pricing, and terms offered by these suppliers directly impact its service delivery, cost structure, and operational flexibility. 

Outlook

Yaap Digital is engaged in the business of providing digital advertising and Media Marketing services, Advertising agency services, digital Influencer services, Social Media Management, organizing various events & campaigns & other related activities for the clients. Through a unified model that blends creative storytelling, data-driven decision making, and AI-powered marketing technologies, it offers an integrated suite of services including influencer marketing, content creation, performance marketing, UI/UX design, media buying, and marketing analytics. On the concern side, its revenues are highly dependent on certain key industries. Any decrease in demand for marketing services in these industry verticals could reduce its revenues and adversely affect its business, financial condition and results of operations. Its growth and profitability may be affected due to intense competition and market disruptions.

The company is coming out with a maiden IPO of 55,25,000 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 138-145 per equity share. The aggregate size of the offer is around Rs 76.25 crore to Rs 80.11 crore based on lower and upper price band respectively. On performance front, its revenue from operations increased by 35.54% to Rs 15,254.49 lakh for Fiscal 2025 from Rs 11,254.65 lakh for Fiscal 2024. The company recorded a restated profit after tax of Rs 1,193.34 lakh for Fiscal 2025, as compared to a profit of Rs 250.66 lakh in Fiscal 2024.

Meanwhile, it intends to continue strengthening its capabilities and market presence through a focused inorganic growth strategy. In recent years, it has successfully executed strategic acquisitions to enhance its service offerings, gain access to new geographies, and expand its client base. This approach allows it to rapidly onboard niche capabilities, local talent, and pre-existing customer relationships, thereby accelerating its entry into high-growth digital marketing segments and regions. Its inorganic expansion strategy is guided by clearly defined criteria, including cultural alignment, complementary services, operational synergies, and long-term profitability. It actively evaluates companies in areas such as creator management platforms, digital production studios, data analytics, and AI-driven marketing technology and particularly those with differentiated IP or strong footholds in local markets. The goal is to build a diversified digital network under a unified operating structure that delivers integrated solutions across design, content, influencer marketing, discovery, paid media, AdTech and distribution.