The Super Iron Foundry Limited IPO, which opened on March 11, 2025, and closes on March 13, 2025, aims to raise ₹ 68.05 Crores by issuing a Fresh Issue of 63.01 lakh shares. The IPO is priced at ₹ 108 per share, with a market capitalization of ₹ 252.65 Crores. Retail investors can invest with a minimum of ₹ 1,29,600 (1,200 shares), and High Net-Worth Individuals (HNIs) need to invest a minimum of ₹ 2,59,200 (2,400 shares). The allotment of shares is scheduled to be finalized on March 17, 2025, and the listing on BSE SME is expected around March 19, 2025.

Super Iron Foundry IPO Subscription and Market Performance

As of 12:00 PM on the final day of subscription (March 13, 2025), the Super Iron Foundry IPO was subscribed 0.68 times. This indicates that while there is some demand, it falls short of full subscription. The Grey Market Premium (GMP) for the IPO remains at ₹ 0, which signifies no expected gains at the time of listing. GMP typically reflects the difference between the offer price and the market price post-listing, but in this case, it suggests that no significant price movement is anticipated.

Objectives of the IPO

The net proceeds from the IPO will be utilized for several purposes:

1. ₹ 2,900 Lakhs for funding Working Capital Requirements.
2. ₹ 1,600 Lakhs for the repayment or pre-payment of borrowings.
3. ₹ 1,524.39 Lakhs for general corporate purposes.

Super Iron Foundry's Business Overview

Super Iron Foundry Limited specializes in iron and steel castings for various sectors, including roadway, municipal, agriculture, automotive, and railway components. It manufactures products like access covers, gully grates, ductile iron pipe fittings, and counterweights, meeting international standards such as EN124. The company serves a global market with its modern, sustainable production facility equipped with advanced robotics.

Financial Performance & Key Ratios

For the fiscal year ending December 31, 2024, Super Iron Foundry reported:

• Revenue from operations: ₹ 9,490.99 Lakhs
• EBITDA: ₹ 2,374.78 Lakhs
• Profit After Tax (PAT): ₹ 952.53 Lakhs

The company’s Key Performance Indicators suggest growth in profits and operational efficiency over the past few years. Its pre-issue Earnings Per Share (EPS) stands at ₹ 2.39, with a post-issue EPS of ₹ 1.68 for FY24. Despite these figures, the P/E ratio (Pre-issue: 45.19x, Post-issue: 64.11x) exceeds the industry average of 50x, indicating a fully-priced IPO with no immediate upside.

IPO Review

Given the company’s steady financial growth, low Grey Market Premium, and the full pricing of the IPO, experts suggest avoiding the Super Iron Foundry IPO for those seeking immediate listing gains. Furthermore, despite the company's strong product range and international standards, the valuation metrics do not offer significant upside potential in the short term. Therefore, it may be a better option for long-term investors looking for steady growth rather than those hoping for quick gains post-listing.

The Upcoming IPOs in this week and coming weeks are Paradeep Parivahan, Divine Hira Jewellers.

The Current active IPO are Super Iron Foundry, PDP Shipping & Projects.

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