MS
Mittal Sections
Book Building issueSMEBSE₹52.91 Cr issue
-20.00%
Listing gain over issue price
Issue size
₹52.91 Cr
1 lot at cut-off
₹1,43,000
Lot size
1,000shares
Open
07 Oct 2025
Close
09 Oct 2025
Allotment
10 Oct 2025
Listing
14 Oct 2025
Listing performance
Issue price
₹143
Listed at
₹114.40
Listing-day close
₹108.70
Latest price
₹29.52
Listing gain
-20.00%
Return since listing
-79.36%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Grey market premium
Unofficial and indicative — not a forecast
₹0
3 observations recorded — too few to plot a trend.
Day-wise premium · 3 observations
| Date | GMP | % | Sauda | Est. listing | Gain / lot |
|---|---|---|---|---|---|
| 14 Oct 2025 | ₹0 | 0.00% | ₹0 | ₹143 | ₹0 |
| 13 Oct 2025 | ₹0 | 0.00% | ₹0 | ₹143 | ₹0 |
| 12 Oct 2025 | ₹0 | 0.00% | ₹0 | ₹143 | ₹0 |
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
- 07 Oct 2025 – 09 Oct 2025
- Listing date
- 14 Oct 2025
- Face value
- ₹1 per share
- Issue price
- ₹143 per share
- Lot size
- 1,000 shares
- Issue type
- Book Building issue
- Listing at
- BSE
- Total issue size
- ₹52.91 Cr
- Market cap at offer price
- ₹165 Cr
- Promoter holding
- 99.92% → 67.95% pre-issue → post-issue
- ISIN
- INE833Q01012
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Wealth Mine Networks Pvt.Ltd.
- Registered office
- 01, Sona Roopa Apartment, Opp.Lal Bunglow, C.G.Road, Navrangpura, Gujarat
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 | 0 | — | — |
| Market maker | 1,85,000 | — | — |
Application size
Minimum 1,000 shares per lot, in multiples, at ₹143
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,000 | ₹1,43,000 |
| S-HNI (min) | 2 | 2,000 | ₹2,86,000 |
| S-HNI (max) | 6 | 6,000 | ₹8,58,000 |
| B-HNI (min) | 7 | 7,000 | ₹10,01,000 |
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
0
Anchor portion
₹0 Cr
at ₹143 per share
Valuation and performance
Valuation at offer price
₹143 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 4.59 | 7.61 |
| P/E (×) | 31.15 | 18.79 |
| Price to book (×) | 10.87 | — |
| Market cap | — | ₹165 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 34.92%
- ROCE
- 31.27%
- Debt / equity
- 2.04
- PAT margin
- 2.64%
- EBITDA margin
- 5.69%
- NAV per share
- ₹13.15
- Price to book
- 10.87
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Mittal Sections
Mittal Sections Limited is a manufacturer of mild steel sections and structural steel products. The company was originally formed as a partnership firm 'Mittal Steel Industries' on November 1, 2006, and was converted to a joint stock company on April 2, 2009. The company manufactures an extensive range of products including MS Flat Bars, MS Round Bars, MS Angles, and Channels produced in compliance with BIS standards, primarily IS 2062: 2011. Products are manufactured in different grades such as E250A to meet diverse client needs across multiple industries. The company's operations are concentrated in Gujarat, where it generated 99.88% of revenue for the two months ended May 31, 2025.
Company Analysis
from RHPMittal Sections Limited manufactures mild steel sections and structural steel products including flat bars, round bars, angles, and channels for construction and industrial applications.
Mittal Sections Limited is a manufacturer of mild steel sections and structural steel products. The company was originally formed as a partnership firm 'Mittal Steel Industries' on November 1, 2006, and was converted to a joint stock company on April 2, 2009. The company manufactures an extensive range of products including MS Flat Bars, MS Round Bars, MS Angles, and Channels produced in compliance with BIS standards, primarily IS 2062: 2011. Products are manufactured in different grades such as E250A to meet diverse client needs across multiple industries. The company's operations are concentrated in Gujarat, where it generated 99.88% of revenue for the two months ended May 31, 2025.
Steel manufacturingStructural steel products
Objects of the Issue
- Capital expenditure towards Acquisition of Land, Construction of Factory Building and Purchase of Plant & Machineries ₹2,081.67 lakhs p.32
- To meet Working Capital requirements ₹1,500.00 lakhs p.32
- Full or part repayment and/or prepayment of certain outstanding secured borrowings availed by our Company ₹500.00 lakhs p.32
- General Corporate Purpose p.32
- Capital expenditure towards Acquisition of Land, Construction of Factory Building and Purchase of Plant & Machineries ₹2,081.67 Lakhs p.108
- To meet Working Capital requirements ₹1,500.00 Lakhs p.108
- Full or part repayment and/or prepayment of certain outstanding secured borrowings availed by our Company ₹500.00 Lakhs p.108
- General Corporate Purpose p.108
- General Corporate Purposes Balance of Net Proceeds aggregating to ₹[●] Lakhs, subject to utilization not exceeding 15% of the amount being raised or Rs.10 crores, whichever is less p.119
Issue Structure
- Total Issue
- 37,00,000 Equity Shares aggregating to ₹[●] Lakhs
- Fresh Issue
- 37,00,000 Equity Shares of face value of ₹10/- each at ₹[●]/- per equity share including share premium of ₹[●]/- per equity share aggregating to ₹[●] lakhs
- Offer for Sale
- Nil
- Price Band
- ₹[●] per Equity Share (Floor Price) to ₹[●] per Equity Share (Cap Price)
- Lot Size
- [●]
- Face Value
- ₹10/- each
Business Model
The company generates revenue from the manufacture and sale of mild steel sections and structural steel products. These products are sold primarily in the state of Gujarat to customers in construction and industrial sectors on a purchase order basis without long-term contracts.
Business Segments
Manufacture of MS Flat Bars, MS Round Bars, MS Angles, and Channels produced in compliance with BIS standards, primarily IS 2062: 2011 in grades such as E250A
Manufactures mild steel structural sections including MS Flat Bars, MS Round Bars, MS Angles, and Channels produced in compliance with BIS standards primarily IS 2062: 2011
L-shaped structural components made of mild steel, offering strength and stability for various load-bearing applications. These versatile products are corrosion-resistant and conform to IS 2062:2011 standards, ensuring durability and structural integrity.
Rectangular cross-section steel products used in fabrication and construction. Manufactured with precision, these sections ensure consistency in mechanical properties and easy processing.
Long, cylindrical steel products widely used in construction, engineering, and manufacturing. These bars are known for their ductility and strength, conforming to IS 2062:2011 standards.
C-shaped steel components widely used in construction and industrial fabrication. Their strength and shape provide excellent load distribution, making them ideal for structural support.
Mild steel angles manufacturing and sale
Mild steel channels manufacturing and sale
Mild steel rectangular and square bars manufacturing and sale
Mild steel scrap trade
Commission income from services
SWOT Analysis
Strengths
- • Leading manufacturer of mild steel sections with diverse product range(p.31)
- • Products comply with BIS standards ensuring consistent quality(p.31)
- • Registered trademark providing brand recognition(p.45)
- • Established manufacturing capacity with BIS compliance(p.111)
- • Registered brand recognition in steel products(p.111)
- • Diversified product range across multiple standards(p.111)
- • Strong promoter control and aligned ownership(p.45)
- • Well-established manufacturing setup with strategic location enabling cost-effective production and faster delivery(p.152)
- • Strong customer base with long-standing relationships and repeat business despite absence of formal long-term contracts(p.153)
- • Experienced promoters with over 15 years of deep expertise in steel and steel products sector(p.154)
- • ISO 9001:2015 certification ensuring consistent quality and adherence to international standards(p.152)
- • Diverse product range of approximately 55 SKUs enabling customization and meeting varied customer needs(p.154)
- • Strong supplier relationships providing competitive pricing and supply chain stability(p.154)
- • Established operations with 15+ years of business experience in steel manufacturing(p.183)
- • Broad product portfolio across steel products (angles, channels, bars, billets, ingots, etc.)(p.180)
- • Secured lending facilities from multiple banks including Axis Bank, HDFC, ICICI(p.226)
- • Stable promoter shareholding structure with 99.92% promoter ownership(p.199)
Weaknesses
- • High geographic concentration with 99.88% revenue from Gujarat(p.40)
- • High dependence on limited supplier base with top 5 suppliers representing 76.75% of purchases(p.41)
- • Significant dependence on few customers; top 10 customers represent 44.37% of revenue(p.43)
- • High debt levels with total borrowings of ₹2,069.86 lakhs as of May 31, 2025(p.50)
- • Unsecured loans of ₹688.95 lakh repayable on demand(p.50)
- • Unable to trace payment proofs for capital subscriptions(p.48)
- • Critical documentation for corporate promoter share transfer is untraceable(p.48)
- • Multiple delays and discrepancies in statutory filings with ROC(p.48)
- • Outstanding litigation against promoters involving ₹653.47 lakhs(p.39)
- • Low profit margins; net profit margin of only 5.21% for two months ended May 31, 2025(p.46)
- • Registered office premises not owned by the company(p.46)
- • High dependence on third-party suppliers without long-term contracts(p.44)
- • Significant debt burden relative to equity(p.69)
- • Limited liquidity and minimal cash reserves(p.69)
- • Concentrated customer base risk(p.55)
- • New manufacturing facility lacks regulatory approvals(p.113)
- • No definitive agreements with equipment suppliers(p.115)
- • High leverage with debt-equity ratio of 2.04 as of March 31, 2025(p.148)
- • Concentration of revenue in single state with 99.75% of FY25 revenue from Gujarat(p.151)
- • High customer concentration with top 1 customer representing 15.86% of revenue in May 2025 period and top 10 customers representing 44.37%(p.159)
- • High supplier concentration with top 1 supplier representing 28.93% of procurement costs in May 2025 period(p.159)
- • Current operations partially automated with only manual re-rolling plants, limiting efficiency(p.152)
- • Significant financial leverage with total borrowings of ₹2,069.86 lakhs against equity of ₹1,180.96 lakhs as of May 31, 2025(p.216)
- • Minimal cash reserves of only ₹2.85 lakhs as of May 31, 2025 against current liabilities of ₹2,634.05 lakhs(p.216)
- • Dependence on a limited number of large customers with concentrated trade receivables(p.234)
- • High concentration of borrowings with multiple non-bank financial institutions creating refinancing risk(p.226)
- • Directors have provided personal guarantees on majority of borrowings(p.227)
Opportunities
- • India's steel demand projected to grow 9-10% in FY25(p.31)
- • India is world's second-largest crude steel producer with strong production base(p.31)
- • Expansion into new geographical markets beyond Gujarat(p.40)
- • Capacity expansion through capital expenditure funded by IPO proceeds(p.32)
- • Increase sales to existing customers and acquire new customers(p.40)
- • Capacity expansion to 60,000 MTPA through new facility(p.111)
- • Access to capital markets through IPO listing(p.108)
- • Market making arrangement ensures liquidity post-listing(p.83)
- • Strategic geographical expansion to new manufacturing hub(p.111)
- • Working capital strengthening to support business growth(p.117)
- • Debt optimization to improve financial ratios(p.117)
- • Planned capacity expansion from 36,000 MTPA to 96,000 MTPA through new state-of-the-art facility in FY2026(p.146)
- • Strong Indian steel demand growth expected at 8% annually driven by infrastructure investments(p.139)
- • Opportunity to penetrate deeper in regional markets and capture higher share through cost-efficient production and improved logistics(p.155)
- • Government initiatives including Production Linked Incentive (PLI) scheme for specialty steel attracting Rs. 42,500 crore committed investment(p.143)
- • Expanding product portfolio through new fully automatic, energy-efficient facility to capture new market segments and meet emerging demand(p.155)
- • Expected significant increase in global steel demand with EU and US expected to return to growth path in 2024 and developing markets showing accelerating growth(p.139)
- • Expansion into solar power generation with capital work-in-progress of ₹386.20 lakhs(p.231)
- • Growth in commission income from services alongside manufacturing(p.236)
- • Access to diverse funding sources including secured bank facilities and non-bank NBFC lending(p.226)
- • Capacity utilization improvements through operational efficiency initiatives(p.199)
Threats
- • Steel industry is highly cyclical with volatile pricing(p.46)
- • Steel prices fluctuate based on multiple external factors(p.46)
- • Intense competition from both domestic and local competitors(p.48)
- • Pricing pressure from customers may reduce gross margins(p.53)
- • Disruption in supply of raw materials or transportation(p.48)
- • No long-term contracts with suppliers creating supply risk(p.48)
- • Potential disruption due to workforce strikes or industrial action(p.41)
- • Increase in interest rates could adversely affect operations(p.53)
- • Counterparty credit risk from customers delaying or defaulting on payments(p.54)
- • Regulatory and compliance risks with multiple statutory requirements(p.51)
- • Global economic disruptions including pandemic, war or similar events(p.30)
- • Conflict of interest with promoter entities engaged in similar business(p.40)
- • Raw material price volatility impacting margins(p.44)
- • Limited post-IPO liquidity and trading market formation(p.60)
- • Listing delays or failure to list on BSE SME(p.57)
- • Circuit breaker restrictions limiting share sale ability(p.58)
- • Indian regulatory and tax environment changes(p.62)
- • Macroeconomic instability and geopolitical risks(p.64)
- • Climate change and environmental regulations impact(p.65)
- • Project implementation delays and cost overruns(p.115)
- • Exchange control and foreign investment restrictions(p.61)
- • Intense competition from both organized and unorganized competitors with greater financial and operational resources(p.159)
- • Dependence on volatile raw material costs and pricing subject to market fluctuations(p.140)
- • Exposure to global economic slowdown risks with growth projected below historical average of 3.7%(p.135)
- • Weak demand in China, the world's largest producer and consumer, limiting global steel demand growth(p.139)
- • Geopolitical tensions and policy-generated disruptions posing risks to economic stability and disinflation process(p.135)
- • Regulatory compliance requirements for environmental protection, hazardous waste management, and safety standards creating operational complexity and cost(p.168)
- • Steel industry cyclicality and commodity price volatility affecting margins(p.210)
- • Working capital requirements and receivables collection risks in steel trade(p.216)
- • High interest rate environment increasing borrowing costs (floating rate loans at 9.50%-17% rates)(p.227)
- • Competition from larger integrated steel producers and unorganized sector(p.203)
- • Regulatory compliance requirements and capital expenditure obligations(p.183)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Ajaykumar Balwantrai Mittal | Promoter | 40.71% | 27.69% |
| Mr. Atul Balwantrai Mittal | Promoter | 40.71% | 27.69% |
| M/s. Well Plan Tradelink Private Limited | Corporate Promoter | 17.06% | 11.61% |
| Mr. Ajaykumar Balwantrai Mittal | Promoter | 40.71% | 27.69% |
| Mr. Atul Balwantrai Mittal | Promoter | 40.71% | 27.69% |
| M/s. Well Plan Tradelink Private Limited | Promoter | 17.06% | 11.61% |
| Ms. Sushiladevi Balwantrai Mittal | Promoter Group | 1.37% | 0.93% |
| Ms. Ritu Ajay Mittal | Promoter Group | 0.04% | 0.03% |
| Ms. Monika Atul Mittal | Promoter Group | 0.04% | 0.03% |
| Ajay Balwantrai Mittal | Promoter | — | — |
| Atul Balwantrai Mittal | Promoter | — | — |
| Mr. Ajaykumar Balwantrai Mittal | Promoter | 40.71% | — |
| Mr. Atul Balwantrai Mittal | Promoter | 40.71% | — |
| M/s. Well Plan Tradelink Private Limited | Promoter Group | 17.06% | — |
| Ms. Sushiladevi Balwantrai Mittal | Promoter Group | 1.37% | — |
| Ms. Ritu Ajay Mittal | Promoter Group | 0.04% | — |
| Ms. Monika Atul Mittal | Promoter Group | 0.04% | — |
| Ajaykumar Balwantrai Mittal | Individual Promoter | — | — |
| Atul Balwantrai Mittal | Individual Promoter | — | — |
| Well Plan Tradelink Private Limited | Corporate Promoter | — | — |
Leadership
Mr. Ajaykumar Balwantrai Mittal · Chairman cum Managing Director
Mr. Atul Balwantrai Mittal · Whole Time Director and Chief Financial Officer
Mr. Hirenkumar Babubhai Patel · Company Secretary and Compliance 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.