Airfloa Rail Technology IPO: A Game-Changer for Railway Sector with ₹91 Crore Issue
Airfloa Rail Technology IPO: A Game-Changer for Railway Sector with ₹91 Crore Issue
Airfloa Rail Technology is set to launch its Initial Public Offering (IPO) that will provide an investment opportunity in a pioneer company in the railway manufacturing sector. With an issue size of ₹91 crores, this upcoming IPO is expected to attract significant interest among investors.
Company Overview
Founded in 2010, Airfloa Rail Technology Limited specializes in manufacturing components for railway rolling stock. The company integrates design, analysis, development, fabrication, machining, and assembly processes to produce high-quality railway equipment. With its headquarters in Pune, India, Airfloa Rail Technology operates in the railway industry, aiming to enhance safety and innovation in public transportation.
IPO Details
- IPO Type: SME
- Issue Size: ₹91.10 crores
- Price Band: ₹133 – ₹140 per share
- Lot Size: 1000 shares
- GMP: ₹15 (indicative)
- Open Date: September 11, 2025
- Close Date: September 15, 2025
- Listing Date: September 17, 2025
IPO Objectives
The primary purpose of the Airfloa Rail Technology IPO is to raise funds for expansion, enhancing manufacturing capabilities, and investing in new technology. This infusion of capital will help the company position itself as a significant player in the railway equipment sector.
Pre-IPO Placements
Airfloa Rail Technology has conducted pre-IPO placements with prominent institutional and retail investors to bolster its financial framework before the public offering.
Financial Highlights
- FY 2023 Revenue: ₹95.17 million
- FY 2022 Revenue: ₹137.49 million
- Net Profit FY 2023: ₹3.43 million
- Return on Equity (ROE) FY 2023: 29.13%
Peer Comparison
Airfloa Rail Technology is compared with peers in the railway manufacturing sector such as:
- Cummins India Ltd: PE – 53.47, Market Cap – ₹3937.85.
- Tube Investments of India Ltd: PE – 34.25, Market Cap – ₹2993.15.
The company enjoys robust financial metrics, positioning it favorably against its competitors.
Strengths
- Strong R&D capabilities leading to innovative product offerings.
- Depth of experience in manufacturing and technology integration.
- Growing demand for railway equipment due to government investments in rail infrastructure.
Risks
- Exposure to economic cycles affecting the railway sector.
- Competition from established players in the railway manufacturing industry.
- Dependency on government contracts and policies.
Expert Verdict
Experts anticipate this IPO to attract a diverse set of investors due to its growth prospects and strategic positioning in the expanding railway infrastructure domain.
Subscription Status
The subscription status will be updated during the IPO period. Investors can follow the daily progress across QIB, NII, and Retail categories for better insights.
Allotment & Listing Timeline
- Allotment Date: September 16, 2025
- Listing Date: September 17, 2025
FAQs
- What is the issue price of the IPO? The issue price ranges from ₹133 to ₹140.
- How can I apply for the IPO? Investors can apply through their authorized broker or financial institution.
How to Apply
For applying to the Airfloa Rail Technology IPO, visit your respective broker’s website or application. A detailed guide on how to apply can be found here: Apply here.