Metalic Technoforge Ltd IPO
Castings, Forgings & Fastners
Price Band
₹72 – ₹77
Lot Size
1600
Minimum Bid Quantity
3200
Minimum Investment
₹246400
Issue Size
₹49.96Cr
Opens
2026-07-21
Closes
2026-07-23
Listing
28-07-2026
Subscription Status
Qualified Institutional Buyers
4.58 x
Non-Institutional Investor
12.85 x
Retail Individual Investor
6.65 x
Total
7.78 x
IPO Details
Issue Type
EQUITY
Face Value
₹10
Tick Size
1
ISIN
INE1II801013
Pre-Apply Available
No
Daily Bidding Time
10:00:00 - 17:00:00
About the Company
Metalic Technoforge Limited is engaged in the manufacturing of closed die forged and precision-machined components. Its product portfolio includes big rings, small rings, ball studs, gear blanks with broaching, gears, coupling assemblies, shafts, transmission components, hydraulic application components, and other forged and machined parts used across automotive and non-automotive industries. The company primarily supplies original equipment manufacturers (OEMs) in sectors such as automobiles, tractors, commercial vehicles, agricultural equipment, hydraulic equipment, construction machinery, oil and gas, and general engineering. Its operations cover die manufacturing, forging, heat treatment, shot blasting, precision machining, testing, and quality assurance. Metalic Technoforge operates a manufacturing facility in Rajkot, Gujarat, comprising four units, three of which are operational and one planned for future expansion. The company also operates a 1 MW solar power plant in Gujarat that currently meets a portion of its manufacturing facility’s energy requirements. Use of proceeds: This is a fresh issue of shares. Therefore, the net proceeds from the fresh issue will go to the company. They will be utilised for the following purposes: Setting up manufacturing unit IV and upgradation of existing units at Rajkot, Gujarat — Rs 30.81 crore Full or part repayment and/or prepayment of certain outstanding secured borrowings availed by the company — Rs 6.72 crore General corporate purposes
Pros
- • The company claims to operate an integrated manufacturing facility in Rajkot, Gujarat, spread across approximately 5,968.51 square metres. The facility includes forging, heat treatment, machining, and gear manufacturing under one roof, with an installed forging and machining capacity of 6,800 metric tonnes per annum as of September 2025. It also claims to operate a 1 MW solar power plant that meets around 40% to 60% of its energy requirements.
- • The company manufactures a diversified range of forged and precision-machined components for multiple industries. Its products cater to the automotive, farm equipment, construction machinery, hydraulic applications, commercial vehicles, oil and gas, and general engineering sectors. It also claims to manufacture customised components for OEMs based on customer specifications, with the capability to produce forged components weighing between 250 grams and 16 kilograms.
- • The company claims to have in-house quality control and testing facilities for metallurgical and metrological testing. It states that products are inspected at multiple stages of manufacturing, and additional test reports can be arranged through NABL-accredited laboratories whenever required. The company is IATF 16949 certified for the manufacture of forged and machined metal components, ISO 14001:2015 certified for environmental management systems, ISO 45001:2018 certified for occupational health and safety management systems, and also holds a ZED Bronze Certificate under the MSME Sustainable (ZED) Certification Scheme.
Cons
- • A significant portion of the company’s revenue is generated from customers located in Gujarat, Maharashtra, and Uttar Pradesh. These states contributed Rs 29.12 crore (69.00%), Rs 44.04 crore (59.22%), Rs 40.02 crore (78.70%), and Rs 41.58 crore (88.73%) of the company’s revenue from operations during the six months ended September 30, 2025, and FY25, FY24, and FY23, respectively. Any adverse economic, industrial, regulatory, political, or logistical developments in these states, or a slowdown in capital expenditure by customers operating in these regions, could adversely affect the company’s business, financial condition, cash flows, and profitability.
- • The company is dependent on a limited number of suppliers for the procurement of its raw materials and does not have long-term supply agreements with them. The top 10 suppliers accounted for Rs 19.76 crore (71.35%), Rs 32.18 crore (72.52%), Rs 26.33 crore (75.92%), and Rs 28.00 crore (83.06%) of its total purchases during the six months ended September 30, 2025, and FY25, FY24, and FY23, respectively. Any disruption in supplies, increase in raw material prices, quality issues, or the inability to source materials from alternative suppliers on time could adversely affect the company’s production, margins, and financial performance.
- • The company derives a significant portion of its revenue from a limited number of customers and does not have long-term agreements with them. The top 10 customers contributed Rs 28.61 crore (67.79%), Rs 50.44 crore (67.82%), Rs 40.56 crore (79.76%), and Rs 39.89 crore (85.02%) of the company’s revenue from operations during the six months ended September 30, 2025, and FY25, FY24, and FY23, respectively. Any loss of these customers, reduction in order volumes, pricing pressure, or delay in payments could adversely affect the company’s revenue, cash flows, and financial condition.
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