PRO FX Tech Limited, a company engaged in the distribution and integration of premium Audio-Video (AV) solutions, is making headlines in the SME segment for its ₹38.21 crore IPO, which has received a robust 23.65x subscription from investors across categories.

The IPO, listed under the NSE SME platform, reflects investor enthusiasm driven by the company’s strong brand alliances, robust financial performance, and strategic expansion plans.

About the Company:

PRO FX Tech is a leading distributor of high-end AV products, including amplifiers, speakers, audio streamers, soundbars, turntables, and premium home theatre components. The company offers customized AV and automation solutions for residential and commercial projects.

PRO FX is a trusted channel partner of global AV brands such as Denon, Polk, KEF, JBL, Revel, Theory, and Pro Audio Technology, which strengthens its positioning in the high-margin luxury AV segment.

The company has also expanded into designing and executing home theatres, multi-room audio, and home automation, catering to corporate clients and premium homeowners alike.

IPO Details:

• Issue Size: ₹38.21 Crores (Fresh Issue only)

• Total Shares Offered: 46.32 lakh equity shares

• Price Band: ₹82 to ₹87 per share

• Lot Size: 1,600 shares

• Retail Investment Minimum: ₹1,39,200

• HNI Investment Minimum (2 lots): ₹2,78,400

• Market Capitalisation at Upper Band (₹87): ₹152.28 Crores

• IPO Open Date: June 26, 2025

• IPO Close Date: June 30, 2025

• Allotment Date: July 01, 2025 (Tentative)

• Listing Date: July 03, 2025 (Tentative)

• Exchange: NSE SME

Lead Manager, Registrar, Market Maker:

• Book Running Lead Manager: Hem Securities Limited

• Registrar: Cameo Corporate Services Limited

• Market Maker: Hem Finlease Private Limited

Anchor Investor Participation:

PRO FX Tech raised ₹11.45 Crores from Anchor Investors, allocating 13,16,800 equity shares at ₹87 per share. This pre-IPO placement has instilled confidence among public investors and signals strong institutional backing.

IPO Subscription Status (as of June 30, 2025, 07:00 PM):

• Overall Subscription: 23.65x

• The IPO received strong participation across all investor categories—especially from High-Net-Worth Individuals (HNIs) and retail investors, reflecting broad-based interest.

Grey Market Premium (GMP) Trends:

As of June 20, 2025, the GMP stood at ₹9 per share, implying a potential listing price of ₹96 and a listing gain of 10.34% over the upper price band of ₹87.

While GMP data in the SME space is speculative and unofficial, the trend suggests a positive investor sentiment around the company’s prospects.

Use of IPO Proceeds:

The net proceeds from the IPO will be used strategically to strengthen infrastructure and growth initiatives:

1. ₹150.00 Lakhs – Repayment of certain existing borrowings

2. ₹746.57 Lakhs – Capital expenditure for setting up 3 new showroom-cum-experience centres

3. ₹1,900.00 Lakhs – Working capital requirements

4. Balance – General corporate purposes

This clear allocation indicates a growth-focused vision, especially the expansion of retail presence through premium AV showrooms.

Financial Performance Snapshot:

PRO FX Tech has demonstrated consistent revenue and profit growth, showcasing its scalability and operational efficiency.

Revenue from Operations:

• FY 2023: ₹9,625.94 Lakhs

• FY 2024: ₹11,094.27 Lakhs

• FY 2025: ₹13,005.42 Lakhs

EBITDA:

• FY 2023: ₹1,076.20 Lakhs

• FY 2024: ₹1,504.83 Lakhs

• FY 2025: ₹1,795.34 Lakhs

Profit After Tax (PAT):

• FY 2023: ₹714.18 Lakhs

• FY 2024: ₹943.65 Lakhs

• FY 2025: ₹1,223.75 Lakhs

This trajectory indicates a stable compound growth rate, positioning PRO FX Tech as a profitable and scalable SME with high ROE and ROCE metrics.

Valuation & Key Metrics:

• Pre-Issue EPS: ₹9.51

• Post-Issue EPS: ₹6.99

• Pre-Issue P/E Ratio: 9.14x

• Post-Issue P/E Ratio: 12.44x

• ROCE (FY24): 43.58%

• ROE (FY24): 39.71%

• RoNW: 33.15%

Compared to many SME peers, PRO FX Tech offers a moderate valuation with high return metrics, making it attractive for short-term listing gain-focused investors.

Promoter & Management Strength:

• Mr. Manmohan Ganesh (Promoter & Managing Director): Brings over 33 years of industry experience in AV solutions and brand distribution.

• Ms. Shreya Nambiar (Co-Promoter): Has 6 years of experience and leads operations and planning.

• Mr. Appadurai Manuel Santhana Joekumar (Whole-time Director & CFO): An industry veteran with 30 years of experience, driving finance, sales, and business development.

The experienced team adds confidence in corporate governance and execution capabilities.

How to Check Allotment Status:

The PRO FX Tech IPO Allotment Status will be available on or after July 01, 2025, on the website of Cameo Corporate Services. Follow these steps:

1. Visit the Registrar's IPO Allotment portal.

2. Select "PRO FX Tech Limited IPO" from the dropdown.

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

4. Click "Submit" to view your status.

Recommendation – Apply or Avoid?

Considering:

• Robust financial performance

• Experienced management team

• Strong GMP of ₹9

• Moderate valuations

• Widespread brand partnerships

• Strategic retail expansion plans

We recommend "Apply for Listing Gains" — especially for risk-tolerant investors who understand the dynamics of SME IPOs.

However, long-term investors should evaluate future earnings clarity, sustained margin potential, and execution of new showroom rollouts before holding post-listing.

Conclusion:

The PRO FX Tech IPO offers a compelling mix of niche market presence, robust earnings growth, and positive grey market sentiment. While it falls in the high-ticket SME IPO segment, it remains attractive for short-term gains, given the 23.65x subscription and 10% GMP.

Investors must keep in mind the illiquidity risk post-listing and treat this as a tactical short-term opportunity unless further clarity on long-term expansion emerges.

Disclaimer:
This article is intended for educational and informational purposes only. It does not constitute investment advice. Readers should consult a SEBI-registered investment advisor before investing. The information is based on data available as of the publication date and may be subject to change. Investment in IPOs, especially in SME segments, involves market risk.

The Upcoming IPOs in this week and coming weeks are Anthem Biosciences, Chemkart India, Meta Infotech, Happy Square Outsourcing Services, Cryogenic OGS, Crizac, .

The Current active IPO are Silky Overseas, Vandan Foods, Pushpa Jewellers, Cedaar Textile, Marc Loire Fashions, Neetu Yoshi, Adcounty Media India.

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