Monolithisch India Limited, a manufacturer and supplier of specialised ramming mass, has launched its Initial Public Offering (IPO) opening for subscription on June 12, 2025, and closing on June 16, 2025.

The IPO is a Book Built Issue of ₹82.02 crore, consisting entirely of a fresh issue of 57.36 lakh equity shares. The price band has been fixed at ₹136 to ₹143 per equity share, with a lot size of 1,000 shares.

Retail investors need to invest a minimum of ₹1,43,000, and High-Net-Worth Individuals (HNIs) must subscribe for at least 2 lots (₹2,86,000).

The market capitalisation of Monolithisch India Limited at the upper price band of ₹143 per share stands at approximately ₹310.82 crore. The allotment is expected by June 17, 2025, with the tentative listing date on the NSE SME platform on June 19, 2025.

The IPO is managed by HEM Securities Limited, with KFin Technologies Limited as the registrar. Hem Finlease Private Limited is the market maker for this issue.

About the Company

Monolithisch India Limited is involved in the manufacturing and supply of specialised ramming mass, used as heat insulation or lining material in induction furnaces of iron, steel, and foundry plants.

Occasionally, the company also trades its products to meet urgent or excess demand from its client base.

Its ramming mass products are considered critical refractory consumables, making the company an important player in the steel and metal production supply chain.

Promoters and Leadership

The company is promoted and led by:

• Mr. Prabhat Tekriwal, Chairman and Whole-Time Director, with over 36 years of experience in finance, legal, and compliance

• Mrs. Sharmila Tekriwal, Mr. Harsh Tekriwal, and Mr. Kritish Tekriwal also serve as key directors

• Mr. Harsh Tekriwal, Managing Director, holds degrees in Mechanical Engineering and Business Administration and is involved in operations and business growth

Financial Performance

Monolithisch India has demonstrated strong and consistent financial growth over the past few fiscal years:

• Revenue from Operations:

  • FY22: ₹2,404.94 lakh

  • FY23: ₹4,189.84 lakh

  • FY24: ₹6,893.57 lakh

  • FY25 (provisional): ₹9,749.14 lakh

• EBITDA:

  • FY22: ₹381.10 lakh

  • FY23: ₹673.75 lakh

  • FY24: ₹1,300.84 lakh

  • FY25 (provisional): ₹2,120.95 lakh

• Profit After Tax (PAT):

  • FY22: ₹251.53 lakh

  • FY23: ₹454.29 lakh

  • FY24: ₹851.18 lakh

  • FY25 (provisional): ₹1,448.80 lakh

These figures reflect consistent doubling of profits year-over-year, suggesting strong market demand, improved margins, and efficient operations.

Valuation and Ratios

Here are the key valuation metrics:

• Pre-Issue EPS (FY24): ₹9.11

• Post-Issue EPS (FY24): ₹6.67

• Pre-Issue P/E Ratio: 15.69x

• Post-Issue P/E Ratio: 21.45x

• Industry P/E Ratio: 89x

• ROCE (FY24): 46.22%

• ROE (FY24): 53.94%

• RoNW: 41.15%

These figures suggest that the IPO is fairly priced, especially when compared to the high P/E ratios within the industry. The strong return ratios reflect the company’s capital efficiency and profitability.

Grey Market Premium (GMP)

As of now, the Grey Market Premium (GMP) for Monolithisch India IPO is ₹12, translating into an expected listing gain of 8.39%.

Although GMP is not an official price discovery mechanism, it often reflects market sentiment and investor demand ahead of the listing.

Strengths

• Strong and growing revenue base

• High return on equity and capital employed

• Fair IPO pricing in comparison to industry benchmarks

• Experienced leadership and operational focus

• Essential product in a growing steel and metals ecosystem

Risk Factors

• Reliance on the iron and steel industry, which is cyclical in nature

• Raw material price fluctuations could impact margins

• Occasional trading activity may not be sustainable in the long run

• High concentration in a niche product line

Analyst Recommendation

Given the impressive financial growth, solid return ratios, and healthy GMP of ₹12, analysts recommend SUBSCRIBING to Monolithisch India Limited IPO for listing gains.

While the valuation is fair, it is not underpriced. However, the company’s growth consistency, profitability, and product demand justify an investment for those seeking short-term gains and potentially long-term value.

Investors should be cautious of sector dependency and market volatility, but overall the fundamentals suggest positive listing momentum

Disclaimer

This article is for educational and informational purposes only and does not constitute financial advice. Investment decisions should be based on individual risk tolerance and consultation with SEBI-registered advisors. Market conditions are volatile and subject to change. Neither the author nor the platform is responsible for losses arising from use of this information.

The Upcoming IPOs in this week and coming weeks are Safe Enterprises Retail Fixtures, Globe Civil Projects, Sambhav Steel Tubes, Ellenbarrie Indutrial Gases, Kalpataru, HDB Financials, AJC Jewel, ArisInfra Solutions, Influx Healthtech, Mayasheel Ventures, Eppeltone Engineers.

The Current active IPO are Oswal Pumps, Patil Automation, Samay Projects Services, Aten Papers, Monolithisch India.

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