Exciting IPO Alert: Karbonsteel Engineering Aims to Raise ₹59.30 Crores with Strong Growth Potential!
Exciting IPO Alert: Karbonsteel Engineering Aims to Raise ₹59.30 Crores with Strong Growth Potential!
Karbonsteel Engineering, a promising player in structural engineering, is set to launch its Initial Public Offering (IPO) from September 8, 2025, to September 10, 2025. With an ambitious aim to raise ₹59.30 Crores, this SME IPO offers investors a unique opportunity to partake in a rapidly growing sector.
Company Overview
Founded in 2011, Karbonsteel Engineering is headquartered in Andheri, Maharashtra, India. The company specializes in manufacturing structural steel and pipe fabrication. With a workforce of between 11-50 employees, they are dedicated to delivering high-quality fabrication services that cater to the infrastructural growth of various industries. Notably, the company’s revenue has ranged significantly, reflecting robust operational performance.
IPO Details
- IPO Type: SME
- Issue Size: ₹59.30 Crores (Fresh issue of 37,29,600 equity shares)
- Price Band: ₹151 – ₹159 per share
- Lot Size: 800 shares (Minimum Investment: ₹1,20,800)
- GMP: Currently unavailable
- Open Date: September 8, 2025
- Close Date: September 10, 2025
- Listing Date: September 15, 2025
IPO Objectives
Karbonsteel Engineering’s IPO primarily aims to:
- Fund capital expenditure for the expansion of the Umbergaon facility.
- Repay existing borrowings to improve financial stability.
- Enhance working capital to support operational needs.
Financial Highlights
According to the latest financial data:
- FY 2023 Revenue: ₹273.91 Lakhs
- PAT: ₹14.16 Lakhs
- Average Revenue Growth: 19.01% YoY
Peer Comparison
In terms of financial metrics, Karbonsteel Engineering compares favorably against its peers:
- PAT Margin: 4% (higher than Everest at 3% and Pennar at 2.5%)
- P/E Ratio: 23.45
- Market Capitalization: To be determined upon listing
Strengths
- Strong operational experience in structural steel fabrication.
- Strategic expansion plans with capital raised from the IPO.
- Improving financial metrics along with growth in revenue.
Risks
- High dependency on key customers for majority revenue.
- Working capital-intensive business model.
- Possible project execution delays affecting efficiency.
Expert Verdict
Given its robust growth plan and sound financial performance, the Karbonsteel Engineering IPO presents an attractive option for those looking to invest in the SME sector, though potential investors should weigh the risks involved.
Subscription Status
- As of now, subscription details for individual categories (QIB, NII, Retail) will be updated post the opening of the IPO.
Allotment & Listing Timeline
- Allotment Date: September 11, 2025
- Initiation of Refunds: September 12, 2025
- Listing Date: September 15, 2025
FAQs
- 1. How to apply for the Karbonsteel Engineering IPO?
- You can apply via any registered stock broker or through online platforms such as Karbonsteel’s official site.
- 2. What is the minimum investment required?
- The minimum investment is ₹1,20,800 for one lot of 800 shares.
- 3. When will the shares be listed?
- Securities are expected to be listed on September 15, 2025.