Safe Enterprises Retail Fixtures Limited, a prominent player in the customized in-store retail fixture segment, is launching its Initial Public Offering (IPO) with a book-built issue size of ₹169.74 crore, entirely comprising a fresh issue of 123 lakh shares. The IPO opens for subscription from June 20, 2025, to June 24, 2025, and will be listed on the NSE SME platform with a tentative listing date of June 27, 2025.

The company is known for designing, manufacturing, and installing shop fittings and in-store retail fixtures across key retail sectors like fashion and apparel, electronics, and departmental stores.

IPO Details at a Glance

• Issue Size: ₹169.74 Crores (100% Fresh Issue)

• Price Band: ₹131 to ₹138 per share

• Lot Size: 1,000 shares

• Retail Minimum Investment: ₹1,38,000

• HNI Minimum Investment: ₹2,76,000 (2 lots)

• Market Capitalisation at ₹138/share: ₹643.14 Crores

• Listing Exchange: NSE SME

• Book Running Lead Manager: HEM Securities Limited

• Registrar: Maashitla Securities Private Limited

• Market Maker: Hem Finlease Private Limited

Grey Market Premium (GMP): Signaling Modest Listing Gains

The GMP of Safe Enterprises Retail Fixtures IPO stood at ₹15 as of June 18, 2025, indicating a listing price of ₹153 against the upper band of ₹138, reflecting a potential premium of 10.86%. Though Grey Market trading is unofficial and unregulated, it offers an early signal of demand sentiment.

Important Note: GMP values are speculative and should not be the sole basis for investment decisions.

Subscription Status Update (As of June 24, 2025, 11:00 AM)

On the final day of subscription, the IPO was subscribed 2.31 times, suggesting positive investor sentiment. The anchor portion was fully subscribed in advance, with ₹48.31 crore raised from anchor investors at ₹138/share.

Anchor Investors Allocation

• Amount Raised: ₹48.31 Crores

• Shares Allocated: 35,01,000

• Price: ₹138 per share

These shares were allocated from the QIB reservation portion.

Financial Performance: Strong Growth and Healthy Margins

Safe Enterprises has posted strong revenue and profit growth over the last three financial years, underscoring its robust business model and scalability.

Revenue from Operations:

• FY23: ₹7,735.19 lakh

• FY24: ₹10,137.59 lakh

• FY25: ₹13,973.18 lakh

EBITDA:

• FY23: ₹1,933.90 lakh

• FY24: ₹3,199.00 lakh

• FY25: ₹5,085.64 lakh

Profit After Tax (PAT):

• FY23: ₹1,208.90 lakh

• FY24: ₹2,308.84 lakh

• FY25: ₹3,918.54 lakh

The company has consistently delivered strong operational and net margins, reflecting effective cost control and strategic market expansion.

Valuation and Key Ratios (FY24)

• Pre-Issue EPS: ₹11.42

• Post-Issue EPS: ₹8.41

• Pre-Issue P/E: 12.08x

• Post-Issue P/E: 16.41x

• Industry Average P/E: ~21x

• ROCE: 69.10%

• ROE: 77.54%

• RoNW: 54.37%

These metrics indicate that Safe Enterprises Retail Fixtures IPO is fairly priced, especially given its strong return ratios, far exceeding industry averages.

Use of IPO Proceeds

The net proceeds from the IPO will be utilised for the following purposes:

1. ₹6,588.59 lakh – Capital expenditure for setting up a new manufacturing unit

2. ₹699.02 lakh – Investment in subsidiary (Safe Enterprises Retail Technologies Pvt. Ltd.) for plant and machinery

3. ₹3,000.00 lakh – Working capital requirements

4. ₹1,000.00 lakh – Investment in subsidiary for working capital

5. General Corporate Purposes

This deployment aims to expand capacity, strengthen the supply chain, and enhance operational readiness across domestic and international markets.

Promoters & Leadership

The company is driven by experienced promoters:

• Saleem Shabbir Merchant (Chairman & MD): 48 years of industry experience

• Mikdad Saleem Merchant (Whole-time Director & CFO): 13 years’ experience

• Huzefa Salim Merchant (Whole-time Director): 14 years’ experience

Their combined expertise in strategy, finance, production, and operations has helped build a sustainable growth model.

IPO Allotment & Listing Timeline

• Allotment Date: June 25, 2025 (Wednesday)

• Listing Date (Tentative): June 27, 2025 (Friday)

Steps to Check Allotment:

1. Go to the IPO allotment status page of Maashitla Securities

2. Select “Safe Enterprises Retail Fixtures Limited” from the dropdown

3. Enter Application Number, PAN, or DP ID

4. Click Submit to view status

This process allows investors to verify their allotment and track the next steps post-listing.

Final Verdict: Apply or Avoid?

With:

• Healthy 10.86% GMP,

• Strong 3-year revenue and PAT growth,

• Impressive ROE/ROCE metrics,

• Fair valuation below industry average,

• And modest oversubscription,

the Safe Enterprises Retail Fixtures IPO appears attractive for risk-taking investors seeking listing gains.

However, retail investors should evaluate the risks involved in SME listings, such as lower liquidity, greater volatility, and tighter market participation post-listing.

Conclusion

Safe Enterprises Retail Fixtures IPO represents a compelling opportunity in the retail fixture manufacturing space, which is poised for expansion amid India’s evolving retail landscape. While the valuation is reasonable and the GMP indicates a positive debut, investors must weigh their risk appetite and investment horizon before subscribing.

Disclaimer: This article is intended for educational and informational purposes only. It should not be construed as financial advice or a recommendation to invest. All investors are advised to read the red herring prospectus (RHP) and consult their SEBI-registered advisors before making investment decisions. Investing in IPOs and stock markets involves risks, and past performance is not indicative of future results.

The Upcoming IPOs in this week and coming weeks are Pushpa Jewellers, Cedaar Textile, Adcounty Media India, Marc Loire Fashions, Indogulf Cropsciences, Moving Media Entertainment, Rama Telecom, Supertech EV, Valencia India, Neetu Yoshi, PRO FX Tech, Suntech Infra Solutions, Ace Alpha Tech, Sambhav Steel Tubes, HDB Financials.

The Current active IPO are  Abram Food, Shri Hare-Krishna Sponge Iron, Icon Facilitators, Globe Civil Projects, Ellenbarrie Indutrial Gases, Kalpataru,AJC Jewel, Aakaar Medical Technologies, Safe Enterprises Retail Fixtures, Mayasheel Ventures.

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