DT
Defrail Technologies
Book Building issueSMEBSE₹13.77 Cr issue
+28.38%
Listing gain over issue price
Issue size
₹13.77 Cr
1 lot at cut-off
₹1,18,400
Lot size
1,600shares
Open
09 Jan 2026
Close
13 Jan 2026
Allotment
14 Jan 2026
Listing
19 Jan 2026
Listing performance
Issue price
₹74
Listed at
₹95
Listing-day close
₹90.25
Latest price
₹74.29
Listing gain
+28.38%
Return since listing
+0.39%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Grey market premium
Unofficial and indicative — not a forecast
₹17
3 observations recorded — too few to plot a trend.
Day-wise premium · 3 observations
| Date | GMP | % | Sauda | Est. listing | Gain / lot |
|---|---|---|---|---|---|
| 19 Jan 2026 | ₹17 | +22.97% | ₹20,700 | ₹91 | ₹27,200 |
| 18 Jan 2026 | ₹17 | +22.97% | ₹20,700 | ₹91 | ₹27,200 |
| 17 Jan 2026 | ₹17 | +22.97% | ₹20,700 | ₹91 | ₹27,200 |
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
- 09 Jan 2026 – 13 Jan 2026
- Listing date
- 19 Jan 2026
- Face value
- ₹1 per share
- Issue price
- ₹74 per share
- Lot size
- 1,600 shares
- Issue type
- Book Building issue
- Listing at
- BSE
- Total issue size
- ₹13.77 Cr
- Market cap at offer price
- ₹51.98 Cr
- Promoter holding
- 100.00% → 73.51% pre-issue → post-issue
- ISIN
- INE0ZE201010
- Registrar
- Maashitla Securities Pvt.Ltd.
- Lead managers
- NEXGEN Financial Solutions Pvt. Ltd.
- Registered office
- Plot no 180, Sector 24, Sector 22,, Haryana
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 5,18,400 | — | — |
| Market maker | 94,400 | — | — |
Application size
Minimum 1,600 shares per lot, in multiples, at ₹74
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,18,400 |
| S-HNI (min) | 2 | 3,200 | ₹2,36,800 |
| S-HNI (max) | 8 | 12,800 | ₹9,47,200 |
| B-HNI (min) | 9 | 14,400 | ₹10,65,600 |
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.
Shares allocated
5,18,400
Anchor portion
₹3.84 Cr
at ₹74 per share
Valuation and performance
Valuation at offer price
₹74 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 6.62 | 4.29 |
| P/E (×) | 11.18 | 17.25 |
| Price to book (×) | 4.19 | — |
| Market cap | — | ₹51.98 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 73.72%
- ROCE
- 24.43%
- Debt / equity
- 1.27
- PAT margin
- 5.49%
- EBITDA margin
- 9.29%
- NAV per share
- ₹17.66
- Price to book
- 4.19
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Defrail Technologies
Defrail Technologies Limited, incorporated on October 09, 2023, is engaged in manufacturing rubber parts and components including Rubber Hose and Assemblies, Rubber Profiles and Beadings, and Rubber Moulding parts. Prior to incorporation, the business was carried on by promoters Ms. Ashi Aggarwal as 'M/s Impex Hitech Rubber' and Mr. Dinesh Aggarwal as 'M/s Vikas Rubber Industries'. The Company acquired both businesses on a going-concern basis on April 01, 2024. It operates two manufacturing plants in Faridabad, Haryana, with diverse applications across Automotive, Railways, and Defence sectors. The Company assists clients in selecting the right product for their applications while providing design and customization options.
Company Analysis
from RHPDefrail Technologies Limited manufactures rubber parts and components including hoses, assemblies, profiles, beadings, and moulded parts for automotive, railways, and defence industries.
Defrail Technologies Limited, incorporated on October 09, 2023, is engaged in manufacturing rubber parts and components including Rubber Hose and Assemblies, Rubber Profiles and Beadings, and Rubber Moulding parts. Prior to incorporation, the business was carried on by promoters Ms. Ashi Aggarwal as 'M/s Impex Hitech Rubber' and Mr. Dinesh Aggarwal as 'M/s Vikas Rubber Industries'. The Company acquired both businesses on a going-concern basis on April 01, 2024. It operates two manufacturing plants in Faridabad, Haryana, with diverse applications across Automotive, Railways, and Defence sectors. The Company assists clients in selecting the right product for their applications while providing design and customization options.
Rubber ManufacturingAutomotiveRailwaysDefence
Objects of the Issue
- Capital Expenditure - Purchase of Equipment/Machineries 795.95 lakhs p.23
- Capital Expenditure - Purchase and installation of Solar Panel at our Manufacturing Plant 173.25 lakhs p.23
- General Corporate Purposes p.23
- Capital Expenditure - Purchase of equipment/machineries 795.95 lakhs p.107
- Capital Expenditure - Purchase and installation of Solar Panel at our Manufacturing Plants 173.25 lakhs p.139
- General Corporate Purposes [●] p.106
- Capital Expenditure-Purchase of Equipment/Machinery 795.95 lakhs p.143
- Capital Expenditure-Supply, installation of solar panel for manufacturing Units 173.25 lakhs p.143
- General Corporate Purposes p.143
Issue Structure
- Total Issue
- Up to 18,60,800 Equity Shares of face value of Rs. 10/- each aggregating up to Rs. [●] Lakhs
- Fresh Issue
- Up to 18,60,800 Equity Shares of face value of Rs. 10/- each aggregating up to Rs. [●] Lakhs
- Offer for Sale
- Nil
- Price Band
- [●] (Floor Price) to [●] (Cap Price) - to be finalized
- Lot Size
- 1,600 Equity Shares and in multiples of 1,600 Equity Shares thereafter
- Face Value
- Rs. 10/- per Equity Share
Business Model
The Company manufactures and sells rubber parts and components. Rubber Hose and Assemblies contribute approximately 92-96% of revenue, with the Automobile Sector accounting for 86-91% of revenues. Products have diverse applications across Automotive, Railways, and Defence industries. Business is conducted on a purchase order basis with customers.
Business Segments
Rubber hoses and assemblies for diverse applications across automotive, railways, and defence sectors
Supply of rubber products to the automobile sector in India
Flexible conduit systems designed to transport fluids, gases, or air under varying pressure and temperature conditions, including air brake hose assemblies, radiator hoses, silicone hoses, hydraulic hoses, and long-length hoses engineered to meet specific performance standards for automotive, railway, defence, and industrial applications.
Extruded sealing components used for insulation, vibration damping, and weatherproofing in structural assemblies such as doors, windows, panels, and enclosures, including rubber profiles, rubber sponge strips, and custom beadings commonly used in railway coach panels and industrial enclosures.
Precision-engineered components formed through compression or injection moulding to deliver exact dimensional and functional performance, including rubber bellows, seals, bushes, gaskets, and other custom-moulded elements used in suspension systems, brake assemblies, and engine compartments.
Manufacturing air brake hose assemblies, radiator hoses, hydraulic hoses for railways and motor vehicles
Manufacturing rubber profiles and beadings
Manufacturing rubber molding parts and gaskets
Manufacturing Power Integrity Meters (PIM)
Manufacturing of hose pipes including air brake hose assemblies for railways and automotive applications
Manufacturing of rubber moulded parts for automotive and other applications
Manufacturing of rubber beading and related rubber products
SWOT Analysis
Strengths
- • Established presence in rubber manufacturing with diversified product portfolio(p.23)
- • Strategic geographic location with two manufacturing facilities in Haryana(p.23)
- • Strong financial performance with growing revenue trajectory(p.25)
- • Profitable operations with positive earnings after tax(p.25)
- • Promoter group controls 90.90% of pre-issue capital with continued 63.62% post-issue, enabling strategic control(p.60)
- • Significant revenue growth of 110.83% from FY2023-24 to FY2024-25(p.110)
- • Capacity utilization improvement of 78.99% from previous year(p.110)
- • Experienced management with 14-16+ years industry experience(p.209)
- • RDSO approved vendor status enabling railway supply access(p.209)
- • Diversified product range across multiple industries reducing sector dependency(p.209)
- • Established strong relationships with customers and suppliers(p.209)
- • In-house R&D and testing laboratory for product development and quality assurance(p.209)
- • ISO 9001:2015 certification and Government e-Marketplace registration(p.185)
- • Established manufacturing capability with dual plants in Faridabad(p.239)
- • Long operational history and proprietor experience in rubber manufacturing(p.239)
- • Railway sector approval and early-stage contract wins(p.241)
- • Quality certifications and Zero Defect recognition(p.242)
- • ISO 9001:2015 certification for management systems(p.242)
- • Significant capacity expansion and manufacturing infrastructure(p.345)
- • Strong revenue growth from major customers and increased order volumes(p.352)
- • Successful product mix optimization improving profitability(p.353)
- • Substantial profit growth despite revenue decline in one period(p.364)
- • Diversified applications across multiple industries(p.345)
Weaknesses
- • Extreme dependence on single product category(p.37)
- • Concentrated customer base with top customer representing 81.65% of revenue(p.41)
- • Significant dependence on concentrated supplier base(p.41)
- • Under-utilization of manufacturing capacity(p.39)
- • Properties used are leased, not owned(p.40)
- • Significant outstanding litigation involving promoters(p.44)
- • No long-term agreements with customers(p.51)
- • Negative cash flows from operations in prior periods(p.43)
- • Heavy dependence on promoter group shareholding creates concentrated ownership risk(p.60)
- • Substantial debt obligations with short-term borrowings of Rs. 527.49 lakhs and long-term borrowings of Rs. 650.38 lakhs(p.71)
- • Current capacity utilization at only 35.71% despite expanded installed capacity(p.110)
- • Dependence on fluctuating raw material prices affecting production costs(p.211)
- • Increased regulatory compliance and environmental norms requirements(p.211)
- • Reliance on third-party suppliers for certain raw materials and components(p.211)
- • Technological upgradation challenges in manufacturing processes(p.211)
- • Underutilized existing production capacity across manufacturing plants(p.208)
- • High concentration of revenue/operations on single largest supplier relationship(p.223)
- • Heavy reliance on limited number of top suppliers for material procurement(p.223)
- • Limited operational history as a formal corporate entity(p.239)
- • Dependence on proprietor-led businesses recently integrated(p.239)
- • Significant debt obligations across multiple lenders(p.296)
- • High dependence on a single major customer(p.352)
- • Significant short-term borrowings and overdraft dependence(p.371)
- • High proportion of material costs in revenue(p.351)
- • Disputed trade payables indicating past payment disputes(p.307)
- • Negative cash flows from operations in prior periods(p.360)
- • Promoter litigation risk—criminal proceedings for cheque dishonor(p.376)
- • Promoter litigation risk—civil recovery suit for unpaid dues(p.376)
- • Promoter tax disputes—multiple pending income tax demands(p.377)
- • High promoter debt—related-party loans totaling Rs. 604.08 lakhs(p.372)
- • Material MSME creditor dues—44 MSME creditors with outstanding Rs. 672.06 lakhs(p.384)
- • Dependence on compliance with SEBI regulations for IPO execution(p.446)
Opportunities
- • Expansion into Defence and Railways sectors alongside automotive(p.38)
- • Growing synthetic rubber industry with government support for self-sufficiency(p.23)
- • India positioned as second-largest rubber player globally(p.22)
- • Planned capacity expansion using IPO proceeds(p.24)
- • Potential to improve capacity utilization through various operational initiatives(p.39)
- • Strategic expansion into railways and defence sectors through upgraded production capabilities(p.113)
- • Installation of 550KW solar capacity to reduce energy costs and improve sustainability positioning(p.140)
- • Proposed capital expenditure of Rs. 795.95 lakhs to increase production capacity utilization from 35.71% to substantially higher levels(p.138)
- • Reduction of external dependency through in-house compound making capability(p.113)
- • Expanding industrial and construction sector increasing demand for rubber products(p.211)
- • Growing automotive sector creating higher requirements for rubber components(p.211)
- • Increasing export potential to international markets(p.211)
- • Growing focus on eco-friendly products creating scope for new product development(p.211)
- • India positioned as global automobile centre with growing vehicle production(p.177)
- • 100% FDI permitted in Indian rubber goods industry(p.177)
- • Indian Railways modernization and critical air brake hose demand(p.290)
- • Expansion into new sectors beyond B2C model(p.239)
- • Potential to scale production capacity utilization(p.239)
- • Government MSME support schemes and certifications(p.241)
- • Expansion into railways and defence sectors(p.345)
- • Capacity utilization growth from 6.7 million to 12 million kg annually(p.353)
- • Geographic expansion and market penetration(p.346)
- • New customer acquisition beyond Imperial Auto(p.352)
- • Growing automotive and railway infrastructure demand in India(p.322)
Threats
- • Heavy dependence on automotive sector performance in India(p.38)
- • Concentration of revenue from Haryana state(p.43)
- • Dependence on significant power supply(p.42)
- • Exposure to raw material price fluctuations(p.45)
- • Stringent government environmental regulations on rubber manufacturing(p.42)
- • Intense competition from larger established competitors(p.50)
- • Dependence on third-party transportation providers(p.50)
- • Equity shares have never been publicly traded; active market may not develop post-listing(p.60)
- • Share price subject to daily circuit breaker restrictions limiting trading ability(p.60)
- • Significant Indian economic volatility affecting raw material costs and product demand(p.64)
- • Exposure to natural calamities and external shocks affecting operations(p.65)
- • Regulatory changes including GST implementation and labour law amendments could adversely affect profitability(p.63)
- • Increasing competition from other manufacturers in the market(p.211)
- • Raw material scarcity and price volatility affecting production(p.211)
- • Substitutes and alternative materials replacing rubber components in some applications(p.211)
- • Economic fluctuations impacting demand from key industries(p.211)
- • Environmental and regulatory pressure requiring production process changes(p.211)
- • Raw material supply chain disruptions affecting timely production(p.211)
- • Global price volatility and prolonged low-price situations adversely impacting rubber production(p.178)
- • Regulatory dependence on railways procurement standards(p.241)
- • Volatility in raw material costs and supplier availability(p.288)
- • Cyclicality and infrastructure investment dependencies(p.223)
- • Foreign exchange risk on imports(p.227)
- • Competitive pressure from established rubber component manufacturers(p.228)
- • Regulatory changes affecting operations and compliance costs(p.346)
- • Competitive pressure from existing and new market entrants(p.346)
- • Economic and political instability affecting demand(p.346)
- • Volatility in raw material costs(p.362)
- • Supply chain disruptions impacting business(p.362)
- • Dependence on capital for expansion(p.347)
- • Foreign investment restrictions may limit capital accessibility(p.448)
- • Regulatory risk from changes in FDI policy and FEMA regulations(p.448)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Vivek Aggarwal | Promoter | 0.96% | — |
| Mr. Abhishek Aggarwal | Promoter | 0.96% | — |
| Ms. Ashi Aggarwal | Promoter | 72.85% | — |
| Mr. Dinesh Aggarwal | Promoter | 24.24% | — |
| Ms. Ashi Aggarwal | Promoter | 72.85% | [●] |
| Mr. Dinesh Aggarwal | Promoter | 24.24% | [●] |
| Mr. Vivek Aggarwal | Promoter | 0.96% | [●] |
| Mr. Abhishek Aggarwal | Promoter | 0.96% | [●] |
| Dinesh Aggarwal | Promoter | — | — |
| Ashi Aggarwal | Promoter | — | — |
| Vivek Aggarwal | Promoter | — | — |
| Abhishek Aggarwal | Promoter | — | — |
| Ms. Ashi Aggarwal | Promoter | 72.85% | — |
| Mr. Dinesh Aggarwal | Promoter | 24.24% | — |
| Mr. Vivek Aggarwal | Promoter | 0.96% | — |
| Mr. Abhishek Aggarwal | Promoter | 0.96% | — |
| Ashi Aggarwal | Promoter | 72.85% | — |
| Dinesh Aggarwal | Promoter Group | 24.24% | — |
| Vivek Aggarwal | Promoter | 0.96% | — |
| Abhishek Aggarwal | Promoter | 0.96% | — |
| Himanshu Aggarwal | Promoter | 0.96% | — |
| Vivek Aggarwal | Promoter | — | — |
| Abhishek Aggarwal | Promoter | — | — |
| Himanshu Aggarwal | Promoter | — | — |
Leadership
Mr. Vaibhav Sharma · Company Secretary & Compliance Officer
Mr. Abhishek Aggarwal · Chief Financial Officer
Auto-extracted from the company's RHP 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 RHP before relying on it.