Sugs Lloyd Limited, established in 2004, has steadily grown into a technology-driven engineering and construction powerhouse. Founded by a group of young entrepreneurs with a vision to build innovative and reliable solutions, the company has diversified operations and transformed into a multi-product engineering unit. Its wide product portfolio today includes Auto Reclosers, Sectionalisers, Fault Passage Indicators, Cable Joints, and Terminations, catering to power utilities, infrastructure projects, and the engineering industry.

IPO Details of Sugs Lloyd

The Sugs Lloyd IPO is a Book Built Issue amounting to ₹85.66 crores, consisting entirely of a Fresh Issue of 69.64 lakh equity shares. The subscription period for the IPO opens on August 29, 2025, and will close on September 02, 2025. The allotment is expected on or about Wednesday, September 03, 2025, while shares are scheduled to list on the BSE SME platform with a tentative listing date on Friday, September 05, 2025.

The IPO price band is fixed at ₹117 to ₹123 per equity share, with a lot size of 1,000 shares. Retail investors are required to subscribe with a minimum of 2 lots (2,000 shares), translating into an investment of ₹2,46,000 at the upper price band.

The market capitalisation of the company at the IPO upper band price of ₹123 per share is estimated to be ₹285.53 crores.

The IPO is managed by 3Dimension Capital Services Limited as the book running lead manager, while KFin Technologies Limited acts as the registrar. Aftertrade Broking Private Limited is the sole market maker for this issue.

Grey Market Premium (GMP)

As of 26 August 2025, the Grey Market Premium (GMP) of Sugs Lloyd IPO is reported at ₹0 (0.00%), indicating no significant premium being offered in the grey market. Investors should note that the GMP is not a regulated indicator and depends entirely on demand and supply in an informal market. It should only be considered for informational purposes and not as an investment decision basis.

Anchor Investors Participation

Sugs Lloyd successfully raised ₹5.00 crores from Anchor Investors at a price of ₹123 per share. A total of 4,06,000 equity shares were allotted to anchor investors on 26 August 2025, in consultation with the book running lead managers. This reflects a degree of institutional investor confidence in the IPO.

Company’s Financial Performance

The financial growth of Sugs Lloyd has been remarkable over the past three years.

• Revenue from operations for FY 2025, FY 2024, and FY 2023 stood at ₹17,787.22 lakh, ₹6,875.19 lakh, and ₹3,635.72 lakh, respectively, reflecting a strong growth trajectory.

• EBITDA for the same periods was ₹2,749.38 lakh, ₹1,458.68 lakh, and ₹348.77 lakh, respectively.

• Profit after Tax (PAT) surged from ₹229.49 lakh in FY 2023 to ₹1,048.43 lakh in FY 2024 and further to ₹1,677.76 lakh in FY 2025.

This shows a consistent and robust increase in revenue and profitability, underlining the company’s strong fundamentals and market demand for its products.

Key Valuation Metrics

For FY 2024, the company’s pre-issue and post-issue financial metrics stand as follows:

• Pre-issue EPS: ₹10.32

• Post-issue EPS: ₹7.23

• Pre-issue P/E ratio: 11.92x

• Post-issue P/E ratio: 17.02x

• Industry P/E ratio: ~35x

The company also reported:

• ROCE: 21.58%

• ROE: 55.47%

• RoNW: 43.42%

These indicators suggest that while the IPO is fairly priced, it does not appear undervalued compared to industry averages.

Objectives of the IPO

The company intends to utilise the net proceeds of the IPO as follows:

1. ₹6,400.00 lakh will be allocated towards meeting working capital requirements.

2. The balance will be utilised for general corporate purposes, helping strengthen the overall business operations and expansion plans.

Management and Leadership

The company’s leadership team has played a pivotal role in shaping its success.

• CEO Satyakam Basu brings 43 years of industry experience.

• Managing Director Mrs. Priti Shah has 16 years of expertise in engineering and management.

• Non-Executive Director Mr. Santosh Kumar Shah contributes 20 years of experience.

• CFO Mr. Vicky Kumar has been in the industry for 15 years.

The collective experience and leadership of the management team provide a strong foundation for Sugs Lloyd’s future growth.

Expert Recommendation

Despite strong financials and leadership, the Grey Market Premium of ₹0 indicates muted listing gains. Given the company’s growth trajectory and profitability, the IPO could be attractive for long-term investors seeking exposure in the engineering and construction space. However, for investors targeting listing gains, the IPO may not be suitable as analysts currently recommend avoiding for short-term gains.

Conclusion

The Sugs Lloyd IPO presents a mixed picture for investors. The company has demonstrated strong financial growth, an experienced leadership team, and a diversified product portfolio. The valuation is fair compared to industry standards. However, the lack of enthusiasm in the grey market premium signals that listing gains may be negligible.

Thus, the IPO is better suited for long-term investors who believe in the company’s growth potential rather than those seeking immediate returns.

The Upcoming IPOs in this week and coming weeks are Amanta Healthcare, Rachit Paints, Abril Paper Tech, Sneha Organics, Sugs Lloyd, .

The Current active IPO are Anlon Healthcare, NIS Management, Sattva Engineering Construction, Globtier Infotech, Current Infraprojects, Vikran Engineering, Shivashrit Foods, Anondita Medicare, Classic Electrodes (India).

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