Samay Projects Services Limited (SPSL), a seasoned player in the engineering, procurement, and construction (EPC) domain, has launched its initial public offering (IPO) with strong investor interest. Incorporated in 2001, Samay Projects has delivered over two decades of industrial services specializing in LP piping, hydrocarbon pipelines, fuel oil systems, tanks, vessels, and fire protection solutions. The company's robust operational background and consistent financial growth have positioned it as a reliable contractor in the Indian EPC sector.

The company opened its Book Built IPO worth ₹14.68 Crores, comprising a fresh issue of 43.20 lakh equity shares. With a price band set between ₹32 to ₹34, the issue witnessed a massive response from investors and was subscribed 27.03 times by the end of the final day, June 18, 2025.

The market capitalization at the upper IPO price of ₹34 per share is estimated at ₹52.18 Crores. The lot size stands at 4,000 shares, requiring a minimum investment of ₹1,36,000 from retail investors. HNIs are required to apply for a minimum of two lots (₹2,72,000).

The lead manager for the issue is SMART HORIZON CAPITAL ADVISORS PRIVATE LIMITED, with BIGSHARE SERVICES PRIVATE LIMITED serving as the registrar and Shreni Shares Limited acting as the market maker.

Live Subscription Status and Listing Timeline

As of 7:00 PM on June 18, 2025, the IPO was subscribed a remarkable 27.03 times, reflecting widespread interest across retail and HNI segments. The IPO allotment date is fixed for June 19, 2025, and the tentative listing on the NSE SME platform is set for June 23, 2025.

Despite the enthusiastic subscription, the Grey Market Premium (GMP) currently stands at ₹0, indicating no unofficial premium or expected listing gain in the unregulated grey market. It's important to note that GMP is speculative and not a reliable indicator of actual listing performance.

Checking Allotment Status

Investors looking to check the Samay Projects IPO allotment can follow these steps:

• Visit the official registrar's website.

• Select “Samay Projects Services Limited IPO” from the dropdown.

• Enter either PAN, application number, or DP Client ID.

• Submit the details to view the allotment status.

This seamless process allows investors to quickly access their status and make informed decisions regarding next steps.

Use of Proceeds

According to the draft prospectus, the company aims to utilize the IPO proceeds as follows:

1. ₹12 Crores towards working capital requirements.

2. Remaining funds for general corporate purposes.

This strategic allocation reflects the company’s intent to fuel future growth, manage project flow, and strengthen internal operations.

Financial Overview

Samay Projects Services Limited has reported a consistent rise in revenues and profitability over the past four fiscal years:

The company’s Return on Capital Employed (ROCE) stood at 24.56%, and Return on Equity (ROE) was 23.23% in FY24. Furthermore, the pre-issue Earnings Per Share (EPS) was ₹3.80, while the post-issue EPS is estimated at ₹2.73.

The price-to-earnings (P/E) ratio, a key valuation metric, is at 8.94x pre-issue and 12.45x post-issue, which is relatively moderate when compared to the industry P/E of 20x.

IPO Valuation and Investment Outlook

The valuation of Samay Projects Services appears moderately priced, but the lack of a Grey Market Premium suggests that listing gains may not be substantial. Though the fundamentals—like healthy margins, experienced promoters, and a robust order book—are promising, investors seeking short-term gains might not find this IPO ideal.

That said, for long-term investors focusing on EPC and infrastructure growth in India, this company might present an opportunity as the sector continues to benefit from large-scale government and private projects.

Promoters and Leadership

The company is promoted by Mr. Anand R and Ms. Santhi Karthikeyan, both of whom bring over 16 years of industry experience. Their domain expertise in mechanical systems for power plants and industrial projects offers the company a strategic edge in executing technically complex assignments.

With a strong managerial foundation and a reliable operational team, Samay Projects plans to expand its footprint across more diversified EPC verticals, which may help drive future growth.

Samay Projects Services Limited GMP Trend

As shown above, the GMP trend has remained static, highlighting market neutrality towards the issue.

Conclusion: Invest or Avoid?

In summary, Samay Projects Services IPO presents a mixed bag for investors. While financial performance and valuation are relatively stable and attractive in the long term, the absence of GMP and flat listing expectations make it less appealing for those targeting short-term returns.

Given these facts, market experts recommend investors to “Avoid for listing gains” but evaluate for long-term investment based on portfolio strategy and risk appetite.

Disclaimer:
This article is for educational and informational purposes only and should not be construed as investment advice. All figures and statements are based on publicly available data and market perception as of the publication date. Investment in securities markets is subject to market risk; investors should consult financial advisors before making any investment decisions.

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