Sumax Engineering
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Subscription
- Qualified institutionalQIB
- 86.27×
- Big non-institutionalbNII · above ₹10 lakh
- 293.61×
- Small non-institutionalsNII · ₹2–10 lakh
- 161.31×
- Retail individualRII · up to ₹2 lakh
- 140.46×
Grey market premium
Unofficial and indicative — not a forecast
Day-wise premium · 16 observations
| Date | GMP | % | Sauda | Est. listing | Gain / lot |
|---|---|---|---|---|---|
| 02 Sept 2026 | ₹22 | +21.78% | ₹20,100 | ₹123 | ₹26,400 |
| 01 Sept 2026 | ₹22 | +21.78% | ₹20,100 | ₹123 | ₹26,400 |
| 31 Aug 2026 | ₹36 | +35.64% | ₹32,800 | ₹137 | ₹43,200 |
| 30 Aug 2026 | ₹36 | +35.64% | ₹32,800 | ₹137 | ₹43,200 |
| 29 Aug 2026 | ₹36 | +35.64% | ₹32,800 | ₹137 | ₹43,200 |
| 28 Aug 2026 | ₹36 | +35.64% | ₹32,800 | ₹137 | ₹43,200 |
| 27 Aug 2026 | ₹35 | +34.65% | ₹31,900 | ₹136 | ₹42,000 |
| 26 Aug 2026 | ₹25 | +24.75% | ₹22,800 | ₹126 | ₹30,000 |
| 25 Aug 2026 | ₹35 | +34.65% | ₹31,900 | ₹136 | ₹42,000 |
| 24 Aug 2026 | ₹32 | +31.68% | ₹29,200 | ₹133 | ₹38,400 |
| 23 Aug 2026 | ₹32 | +31.68% | ₹29,200 | ₹133 | ₹38,400 |
| 22 Aug 2026 | ₹32 | +31.68% | ₹29,200 | ₹133 | ₹38,400 |
| 21 Aug 2026 | ₹32 | +31.68% | ₹29,200 | ₹133 | ₹38,400 |
| 20 Aug 2026 | ₹32 | +31.68% | ₹29,200 | ₹133 | ₹38,400 |
| 19 Aug 2026 | ₹30 | +29.70% | ₹27,400 | ₹131 | ₹36,000 |
| 18 Aug 2026 | ₹20 | +19.80% | ₹18,200 | ₹121 | ₹24,000 |
Gain per lot assumes the premium holds to listing and that the application is allotted — allotment in an oversubscribed issue is a lottery, so it is indicative, not expected. Sauda is the rate paid for a submitted application itself.
Issue details
- IPO date
- 25 Aug 2026 – 28 Aug 2026
- Listing date
- 02 Sept 2026
- Face value
- ₹10 per share
- Price band
- ₹95 – ₹101
- Lot size
- 1,200 shares
- Sale type
- Fresh capital cum OFS
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹53.4 Cr
- Fresh issue
- ₹40.65 Cr 40,24,800 shares
- Offer for sale
- ₹10.06 Cr 9,96,000 shares
- Market cap at offer price
- ₹192 Cr
- Promoter holding
- 96.73% → 69.67% pre-issue → post-issue
- ISIN
- INE11Z001019
- CIN
- U74210TG1994PLC019032
- Registrar
- Kfin Technologies Ltd.
- Lead managers
- GYR Capital Advisors Pvt.Ltd.
- Registered office
- Plot No.45, Shanthinikethan Colony, Mahendra Hills, East Marredpally, Secunderabad, Telangana, India, 500026
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| QIB | 9,74,400 | 28.71% | 26.62% |
| Anchor investor · within QIB | 14,35,200 | — | 39.21% |
| NII (HNI) | 7,27,200 | 21.43% | 19.87% |
| bNII > ₹10L · within NII | 4,84,800 | — | 13.25% |
| sNII < ₹10L · within NII | 2,42,400 | — | 6.62% |
| Retail (RII) | 16,92,000 | 49.86% | 46.23% |
| Employee | 0 | — | 0.00% |
| Market maker | 2,66,400 | — | 7.28% |
| Total issue | 36,60,000 | — | 100.00% |
Net offer to the public of 33,93,600 shares, out of a total issue of 36,60,000. Indented rows sit inside the category above them and are not added to it.
Application size
Minimum 1,200 shares per lot, in multiples, at ₹101
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,200 | ₹1,21,200 |
| S-HNI (min) | 2 | 2,400 | ₹2,42,400 |
| S-HNI (max) | 8 | 9,600 | ₹9,69,600 |
| B-HNI (min) | 9 | 10,800 | ₹10,90,800 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
₹101 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 8.66 | 6.71 |
| P/E (×) | 11.66 | 15.05 |
| Price to book (×) | 3.04 | — |
| Market cap | — | ₹192 Cr |
Key performance indicators
Latest reported period, standalone
- Return on net worth
- 20.44%
- ROCE
- 25.00%
- Debt / equity
- 0.16
- PAT margin
- 6.83%
- EBITDA margin
- 10.21%
- NAV per share
- ₹33.21
- Price to book
- 3.04
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
Company financials
Standalone ·₹ crore unless a row shows % or ×, as reported in the offer document
| Period ended | FY26 | FY25 | FY24 |
|---|---|---|---|
| Profit and loss | |||
| Total income | 148.34 | 147.18 | 131.54 |
| Revenue from operations | 147.69 | 146.13 | 130.79 |
| Other income | 0.65 | 1.06 | 0.75 |
| Total expenses | 132.1 | 133.75 | 121.52 |
| Operating profit | 16.24 | 13.43 | 10.02 |
| Operating margin | 10.95% | 9.12% | 7.62% |
| Profit before tax | 17.24 | 13.44 | 10.02 |
| Profit after tax | 12.76 | 9.98 | 7.43 |
| PAT margin | 8.60% | 6.78% | 5.65% |
| Balance sheet | |||
| Total assets | 84.81 | 66.14 | 54 |
| Current assets | 50.71 | 57.87 | 45.87 |
| Current liabilities | 14.81 | 15.78 | 14.01 |
| Total liabilities | 23.2 | 17.28 | 15.13 |
| Net worth | 61.62 | 48.86 | 38.87 |
| Current ratio | 3.42× | 3.67× | 3.27× |
| Return on equity | 20.71% | 20.43% | 19.11% |
| Cash flow | |||
| Operating cash flow | 18.8 | 0.7 | 3.79 |
| Investing cash flow | -27.43 | 0.41 | -2.13 |
| Financing cash flow | 4.85 | 0.9 | 1.15 |
| Net cash flow | -3.79 | 2.01 | 2.81 |
Objects of the issue
Stated use of the net proceeds— open a row for the issuer's full explanation
1 Funding of Capital Expenditure towards Construction of proposed manufacturing Unit I at Plot No-E-185, RIICO IND Area Karoli Teh Tapukara, Rajasthan ₹4.89 Cr
The company intends to establish a new manufacturing facility on leased land for manufacturing adhesive tapes, die-cuts, rubbing compounds, buffing pads, reflective tapes and car care products to expand production capacity and strengthen operations.
2 Funding of Capital Expenditure towards Construction of proposed manufacturing Unit II at Plot No. P 32 Street No. B, Sector 11, Model Economic Township, Village - Nimana, Tehsil Badli, District - Jhajjar, State Haryana ₹16.62 Cr
The company plans to set up another manufacturing facility on owned land to enhance in-house production capabilities, reduce reliance on external vendors, and support growing customer demand in the die-cut segment.
3 Funding working capital requirements of the company ₹12 Cr
The company proposes to utilize funds for meeting its working capital needs to support future growth requirements, fund inventory, trade receivables and other operational expenses.
4 General corporate purposes —
The company intends to use funds for general corporate purposes in accordance with regulatory requirements, not exceeding fifteen percent of the amount being raised or ten crores, whichever is less.
1 of 4 objects carry no stated amount — typically general corporate purposes, funded from whatever remains — so the total above is the quantified portion only, not the whole issue.
About Sumax Engineering
Sumax Engineering Limited, incorporated in 1994 and converted to a public company in 2024, is an integrated manufacturer and trader of specialized products tailored for the automotive industry. The company operates through two main divisions: manufacturing of adhesive tapes, die-cuts, pre-taped masking films, rubbing and polishing compounds, buffing pads, reflective tapes, domes, graphics, and car care products; and trading of electrical/pneumatic tools, abrasive products, body shop consumables, and aerosol products. With manufacturing units in Chennai and Manesar, the company serves automotive OEMs, auto refinish markets, and industrial applications across India and exports to multiple countries. The company has demonstrated consistent revenue growth from ₹12,682 lakhs in FY2023 to ₹14,613 lakhs in FY2025, with EBITDA margin improving from 6.3% to 10.2% over the same period.
Management
Sudeep Mehta
MD
Smriti Mehta
CEO
Ramnik Chhabra
Director
Vijay S Bapna
CFO
Vinay Kumar Piparsania
COO
Prateek Nahata
VP of Marketing
VLS Gurunadha Rao Aduri
VP of Sales
Strengths
As stated in the offer document
Experienced Promoters, management and operating team
The company has promoters with wide experience in Automotive OEM field, supported by a diverse Board of Directors and robust management team with over 30 years of extensive experience in automotive OEM manufacturing industry.
Comprehensive Product Range
The company's portfolio encompasses broad spectrum of industrial specialty adhesive tapes, rubbing and polishing compounds, car care products, polishing and buffing pads, reflective tapes, and printing domes with ISO 9001:2015 and IATF 16949:2016 accreditation.
Strong Industry Relationships
The company has established long-term partnerships with OEMs that enhance credibility and foster trust, enabling close collaboration to address evolving market needs and drive innovation in the automotive sector.
Advanced In-House Processing Facilities Focused on Cost Competitiveness
The company's production facilities are equipped with cutting-edge machinery and technology, adhering to rigorous hygiene and safety protocols while streamlining processes to minimize waste and enhance resource utilization.
Tailored Product Design
The company offers tailored product designs and sizes with global presence in countries like Thailand, South Korea, Russia, Turkey, China, Vietnam, USA, Saudi Arabia and Taiwan, providing unmatched flexibility to meet evolving client needs.
Efficient Logistics and Supply Chain Management
The company excels in efficient logistics implementing Kanban System or Just-in-Time (JIT) inventory system, effectively minimizing stock levels while maintaining ability to meet customer demands promptly.
Strong Financial performance
The company achieved revenues from operations of Rs. 14,769.06 Lakhs, Rs. 14,612.61 Lakhs and Rs. 13,079.45 Lakhs for Fiscals 2026, 2025 and 2024 respectively with corresponding EBITDA of Rs. 1,907.96 Lakhs, Rs. 1,502.66 Lakhs and Rs. 1,162.50 Lakhs.
Risk factors
As stated in the offer document
Rising costs, supply disruptions, and import restrictions on essential raw materials
The company's raw material costs represented 44.29% of total revenues in Fiscal 2024, rising to 36.57% in Fiscal 2026. Import purchases constitute 76.65% of total purchases (₹8,182.37 Lakhs in FY2026), making the company highly vulnerable to global commodity price volatility, supply chain disruptions, and geopolitical trade tensions.
Significant dependence on imports for raw material procurement
The company sources materials from 12+ countries with China (17.54%), Portugal (27.10%), and South Korea (11.46%) being major suppliers. This exposes the company to geopolitical risks, trade sanctions, foreign exchange fluctuations, and potential supply chain disruptions that could materially impact operations and costs.
Heavy reliance on top 10 customers for revenue concentration
The company's top 10 customers contribute 55.59% of total sales in Fiscal 2026 (46.43% in FY2025, 43.92% in FY2024). Loss of any key customer or reduced demand from them could significantly impact revenues, profitability, and overall business performance.
Complete dependence on automotive industry performance
The company derives 100% of its revenue from the automotive industry across all three fiscal years. Any downturn in the automotive sector, both domestically and globally, could severely impact the company's business operations, financial condition, and long-term profitability.
Geographic concentration in Tamil Nadu and Haryana
Revenue from Tamil Nadu and Haryana accounts for 48.79% of total operations in FY2026 (Tamil Nadu: 32.54%, Haryana: 16.25%). This concentration exposes the company to regional economic disruptions, natural disasters, policy changes, and local market conditions.
Significant working capital requirements and liquidity strain
The company experienced substantial decline in Net Cash Flow from Operating Activities to ₹70.00 lakhs in FY2025 from ₹379.42 lakhs in FY2024, despite profit growth. Inventory holding days increased from 61 to 64 days, and trade receivable days rose from 38 to 41 days, indicating working capital cycle elongation.
Absence of binding agreements with customers
The company operates without firm commitment agreements with customers, creating demand and revenue uncertainties. Customers can reduce or discontinue orders at any time, making sales forecasting difficult and exposing the company to significant revenue volatility.
Dependence on key promoters and management personnel
The company's success is closely tied to its Promoters and Executive Directors who play pivotal roles in daily operations, strategy, and management. Loss of key personnel could disrupt business operations and require significant time and resources to find suitable replacements.
Operating from leased facilities without ownership
The company's Registered Office and Manufacturing units are operated from leased premises, including facilities leased from Promoter Group individuals. Inability to continue these arrangements or forced relocation could result in operational disruptions and increased costs.
Strict quality requirements and compliance risks
The company must adhere to strict quality standards set by customers. Any failure to meet these standards could result in order cancellations, product recalls, warranty claims, legal liabilities, and potential loss of key customers, significantly impacting financial performance and market position.
Company Analysis
from DRHPSumax Engineering Limited manufactures and trades diverse automotive aftermarket products including adhesive tapes, polishing compounds, and car care solutions for the Automotive OEM and Auto Refinish markets in India and globally.
Sumax Engineering Limited, incorporated in 1994 and converted to a public company in 2024, is an integrated manufacturer and trader of specialized products tailored for the automotive industry. The company operates through two main divisions: manufacturing of adhesive tapes, die-cuts, pre-taped masking films, rubbing and polishing compounds, buffing pads, reflective tapes, domes, graphics, and car care products; and trading of electrical/pneumatic tools, abrasive products, body shop consumables, and aerosol products. With manufacturing units in Chennai and Manesar, the company serves automotive OEMs, auto refinish markets, and industrial applications across India and exports to multiple countries. The company has demonstrated consistent revenue growth from ₹12,682 lakhs in FY2023 to ₹14,613 lakhs in FY2025, with EBITDA margin improving from 6.3% to 10.2% over the same period.
Objects of the Issue
- Funding of Capital Expenditure towards Construction of proposed manufacturing Unit I at Plot No-E-185, RIICO IND Area Karoli Teh Tapukara, Rajasthan 488.68 lakhs p.68
- Funding of Capital Expenditure towards Construction of proposed manufacturing Unit II at Plot No. P 32 Street No. B, Sector 11, Model Economic Township, Village - Nimana, Tehsil Badli, District - Jhajjar, State Haryana 1662.34 lakhs p.68
- Funding working capital requirements of our company 1200.00 lakhs p.68
- General corporate purposes p.68
Issue Structure
- Total Issue
- Up to 53,00,000 equity shares aggregating up to ₹[●] lakhs
- Fresh Issue
- Up to 43,00,000 equity shares aggregating up to ₹[●] lakhs
- Offer for Sale
- Up to 10,00,000 equity shares by selling shareholders aggregating up to ₹[●] lakhs
- Price Band
- [●] (Floor Price) to [●] (Cap Price) per equity share
- Lot Size
- [●] equity shares
- Face Value
- ₹10 per equity share
Business Model
The company operates a B2B model serving automotive OEMs through direct supply contracts and the aftermarket through distributors, retailers, and e-commerce channels. Revenue is generated through manufacturing of specialized automotive components (approximately 76% of FY25 revenue) and trading of automotive consumables and tools (approximately 24% of FY25 revenue). Products are manufactured on a make-to-order basis against confirmed customer purchase orders, with raw materials sourced from both domestic and international suppliers.
Business Segments
SWOT Analysis
- • Experienced management with 30+ years automotive expertise(p.114)
- • Comprehensive product portfolio across manufacturing and trading segments(p.114)
- • Strong long-term relationships with automotive OEM customers(p.114)
- • Advanced manufacturing facilities with cost competitiveness(p.114)
- • ISO certifications demonstrating quality standards(p.114)
- • Efficient logistics and JIT inventory management(p.115)
- • Consistent revenue and profit growth(p.115)
- • High dependency on few customers for revenue concentration(p.22)
- • Dependence on rented manufacturing facilities(p.23)
- • Reliance on promoter's individual expertise and continuity(p.23)
- • Skill-dependent workforce with difficult replacement(p.24)
- • Significant exposure to raw material price volatility(p.22)
- • Expansion with new manufacturing units in growth markets(p.116)
- • Rising electric vehicle market demand in India(p.95)
- • Growing automotive production and aftermarket demand(p.71)
- • Expansion into emerging automotive markets globally(p.115)
- • Growing demand for auto components exports(p.97)
- • Severe dependence on automotive industry cyclicality(p.22)
- • Vulnerability to raw material price volatility and supply disruptions(p.22)
- • Quality compliance risk leading to order cancellations(p.23)
- • Regulatory and environmental compliance challenges(p.114)
- • Economic slowdown reducing automotive demand(p.35)
- • Loss of major customers or demand reduction(p.22)
- • Foreign exchange volatility and import restrictions(p.22)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Sudeep Mehta | Promoter | 92.85% | — |
| Mrs. Smriti Mehta | Promoter | 0.00% | — |
| Mrs. Vimla Mehta | Promoter Group | 7.06% | — |
Leadership
Auto-extracted from the company's DRHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official DRHP before relying on it.