Gallard Steel, an engineering company based in Indore, Madhya Pradesh, is poised to launch its Initial Public Offering (IPO) on November 19, while this public issue aims to raise ₹37. 5 crore, marking a significant step for the company as it seeks to fund its ambitious business expansion plans and bolster its financial position. The company has set the price band for this public issue at ₹142 to ₹150 per equity share, providing a clear valuation framework for prospective investors.
Key Details and Timeline of the Public Issue
The Gallard Steel IPO is structured as an entirely fresh issue, meaning that all the proceeds from the 25 lakh shares being offered will directly flow into the company's coffers. There is no Offer-for-Sale (OFS) component, ensuring that the capital. Raised is solely dedicated to the company's growth and operational objectives. The bidding window for the IPO will commence on November 19 and conclude on November 21. Following the bidding period, the finalization of share allotment is expected by November 24, with the shares slated for listing on the BSE SME platform on November 26. Seren Capital has been appointed as the merchant banker to manage this public issue, overseeing the entire process from pricing to listing.
Company Profile: An Engineering Powerhouse
Established in 2015, Gallard Steel has rapidly carved a niche for itself in the Indian engineering sector. The company's manufacturing unit is strategically located in Pithampur, Madhya Pradesh, a prominent industrial hub, while gallard Steel specializes in the manufacturing of ready-to-use components, assemblies, and sub-assemblies primarily for critical sectors such as Indian Railways, defense, power generation, and allied industries. These sectors are vital for the nation's infrastructure and strategic development, placing Gallard Steel in a market with consistent and growing demand, while the company's expertise lies in meeting the complex and high-quality requirements of these essential industries.
Analysis of Strong Financial Performance
Gallard Steel has demonstrated impressive financial growth in recent years, reflecting its sound business strategy and operational efficiency, while in the financial year 2025, the company's profit more than doubled to over ₹6 crore, a substantial increase from ₹3. 2 crore in the preceding fiscal year, while concurrently, revenue from operations also doubled, reaching ₹53. 3 crore from ₹26. 8 crore in the previous year, while this significant growth underscores the company's expanding market presence and enhanced production capabilities. Plus, for the April to September period of the current fiscal year, Gallard Steel reported a profit of ₹4. 3 crore on a revenue of ₹31, while 6 crore, indicating a sustained positive performance trajectory. This solid financial health is a key factor likely to attract investor interest.
Strategic Utilization of IPO Proceeds
The ₹37, while 5 crore raised through the Gallard Steel IPO will be strategically deployed to fuel the company's growth initiatives. A substantial portion, ₹20. 73 crore, is earmarked for the expansion of the existing manufacturing facility and the construction of a new office building. This expansion is crucial for increasing the company's production capacity and providing the necessary infrastructure to meet future demand. On top of that, ₹7. 2 crore will be utilized for the repayment of certain borrowings, which will strengthen the company's balance sheet and reduce its financial benefit from. The remaining funds will be allocated towards general corporate purposes, which may include working capital requirements, operational expenses, and future strategic initiatives, while this comprehensive fund utilization plan highlights the company's commitment to long-term growth and stability.
Opportunity for Investors
The Gallard Steel IPO presents an opportunity for investors looking to participate in a rapidly growing engineering company that caters to critical sectors. The company's strong financial track record, clear growth plans, and strategic utilization of funds make it an attractive investment proposition. Listing on the BSE SME platform will provide the company with access to capital markets and enhance its visibility, potentially opening up further avenues for growth in the future. Investors are encouraged to review the details of the IPO to make informed decisions.
