Nilachal Carbo Metalicks Limited, established in 2003, is a well-known name in the manufacturing of FAP grade Ultra & Low Phosphorus – Low Ash Metallurgical Coke. With over two decades of industry experience, the company has built a strong position as one of the leading manufacturers and suppliers of high-quality coke products. Over time, Nilachal Carbo Metalicks has developed robust supply chain relationships with all major Ferro Chrome manufacturers, ensuring consistency in demand for its products.

IPO Details and Issue Size

The Nilachal Carbo Metalicks IPO is a Fixed Price Issue with a total size of ₹56.1 crore. The issue comprises a Fresh Issue of 26.00 lakh shares worth ₹22.1 crore and an Offer for Sale of 40.00 lakh shares aggregating ₹34.00 crore.

The subscription period for the IPO begins on September 8, 2025, and closes on September 10, 2025. The basis of allotment is expected to be finalized on September 11, 2025 (Thursday), and the shares are scheduled to be listed on the BSE SME platform on September 15, 2025 (Monday).

The fixed issue price of Nilachal Carbo Metalicks IPO has been set at ₹85 per equity share. At this price, the company’s market capitalization will stand at approximately ₹211.88 crore. The lot size for the IPO is 1,600 shares, and individual investors must apply for a minimum of 2 lots (3,200 shares), which requires a minimum investment of ₹2,72,000.

SUN CAPITAL ADVISORY SERVICES PRIVATE LIMITED is the Book Running Lead Manager, while KFIN TECHNOLOGIES LIMITED is the Registrar for the issue. The sole Market Maker for the IPO is NNM Securities Private Limited.

Grey Market Premium (GMP) Trend

As of September 4, 2025, the Grey Market Premium (GMP) for Nilachal Carbo Metalicks IPO stood at ₹0. This indicates no premium or discount in unofficial trading, with the expected listing price remaining at ₹85 per share, the same as the issue price.

It is important to note that GMP is unofficial and unregulated, as it is based solely on demand and supply in the unorganized market. Hence, it is not a reliable indicator for actual listing gains and should be considered only for informational purposes.

Subscription Status Update

On the first day of the subscription period, September 8, 2025, the IPO was subscribed 0.65 times as of 12:30 PM. The demand is expected to pick up over the following days as more investors, including retail, HNI, and institutional investors, participate in the issue. Investors can track the live subscription status on the BSE website for the latest updates.

Allotment Process for Investors

The allotment date for Nilachal Carbo Metalicks IPO is scheduled for September 11, 2025. Investors can check their allotment status online once it goes live on the registrar’s website. The process involves the following steps:

1. Navigate to the IPO allotment status page on the registrar’s website.

2. Select Nilachal Carbo Metalicks Limited IPO from the dropdown menu.

3. Enter your Application Number, PAN, or DP Client ID.

4. Submit the details to check the allotment status.

This allows investors to determine whether they have received shares and make necessary arrangements for their investment accordingly.

Objectives of the IPO

Nilachal Carbo Metalicks aims to utilize the proceeds from the IPO towards the following objectives:

1. ₹1,346.00 lakh for funding capital expenditure to install a new Coke Oven Plant to expand capacity.

2. ₹303.31 lakh for modernization of the existing plant.

3. ₹267.46 lakh for general corporate purposes.

Through these objectives, the company seeks to enhance production capacity, modernize facilities, and strengthen its overall operational framework.

Company Overview and Business Strengths

Nilachal Carbo Metalicks has carved a specialized niche by focusing on low phosphorus and low ash metallurgical coke. These products are crucial in the ferroalloy and steel industries, especially for Ferro Chrome manufacturers. Its consistent quality and ability to maintain long-term relationships with large customers are key strengths that have contributed to the company’s growth.

The metallurgical coke industry is closely linked to the steel and alloy sectors, both of which are seeing increasing demand due to industrial expansion and infrastructure development in India. By expanding its capacity through the new Coke Oven Plant, Nilachal Carbo Metalicks aims to capture the rising demand and consolidate its market position further.

Risks and Considerations

Investors should also evaluate certain risks before subscribing to the IPO. These include fluctuations in raw material prices, dependence on ferroalloy demand, and regulatory changes in the energy and manufacturing sectors. Additionally, being listed on the BSE SME platform could result in relatively lower liquidity compared to mainboard-listed stocks.

Conclusion

The Nilachal Carbo Metalicks IPO, valued at ₹56.1 crore, provides an opportunity for investors to participate in the growth story of a well-established coke manufacturer with over two decades of industry expertise. With a fixed price of ₹85 per share, the IPO offers entry at a reasonable valuation, though the GMP indicates muted sentiment at present.

By focusing on capacity expansion, modernization, and operational efficiency, the company is positioning itself for long-term growth in a core industrial sector. Investors with an appetite for SME investments in industrial manufacturing may consider this IPO, while also balancing the associated risks.

The Upcoming IPOs in this week and coming weeks are Karbonsteel Engineering, Taurian MPS, L. T. Elevator, Galaxy Medicare, Airfloa Rail Technology, Dev Accelerator, Jay Ambe Supermarkets, Urban Company, Shringar House of Mangalsutra, .

The Current active IPO are Nilachal Carbo Metalicks, Krupalu Metals, Vashishtha Luxury Fashion, Sharvaya Metals, Vigor Plast India, Austere Systems.

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