INDO SMC Limited's initial public offering opens for subscription tomorrow, January 13th, 2026, marking another significant entry in the ongoing IPO rush. The ₹91.95 crore SME IPO has garnered considerable attention from investors, primarily due to the backing of renowned investor Ashish Kacholia, who holds a 3.36% stake in the company.

IPO Structure and Timeline

The public offering comprises entirely a fresh issue of 0.62 crore shares, with no offer-for-sale component, ensuring all proceeds flow directly into the company. The subscription window remains open from January 13th to January 15th, 2026, with listing scheduled on the BSE SME platform on January 20th, 2026.

The allotment is expected to be finalised on January 16th, 2026, with shares credited to successful applicants' demat accounts on January 19th, 2026.

Company Profile and Operations

Incorporated on September 27th, 2021, INDO SMC Limited specialises in designing and manufacturing electrical and power distribution products. The company's diverse portfolio includes enclosure boxes for energy meters, high and low-tension current and potential transformers, distribution boxes and panels, fibreglass reinforced plastic grating, junction boxes, and feeder pillars.

The business operates across three key verticals:

• SMC Division: Manufacturing enclosure boxes for energy meters, SMC sheets, and chequered plates
• FRP Division: Producing grating plates and related products
• Electrical Components Division: Manufacturing transformers, feeder pillars, and power distribution equipment

The company currently operates four manufacturing facilities strategically located across Gujarat, Maharashtra, and Rajasthan, utilising materials such as sheet moulding compounds, FRP, copper, mild steel, and stainless steel.

Financial Performance Analysis

INDO SMC has demonstrated remarkable financial growth, particularly in FY25. The company's revenue from operations surged approximately 395% year-on-year, rising from ₹28.00 crores in FY24 to ₹138.70 crores in FY25. Net profit performance was even stronger, registering about 414% YoY growth from ₹3.00 crores to ₹15.44 crores.

For H1 FY26, the company reported revenue from operations of ₹112.50 crores and net profit of ₹11.40 crores. Key profitability ratios remained robust, with Return on Equity at 27.66% and Return on Capital Employed at 17.50%. The debt-equity ratio stood at 1.05.

Use of IPO Proceeds

The fresh issue proceeds will be utilised for multiple strategic purposes. Primary allocation includes funding capital expenditure for purchasing plant and machinery, meeting working capital requirements, and general corporate purposes. The company believes listing on BSE SME platform will enhance brand visibility, provide liquidity to existing shareholders, and create a public trading market for its shares.

Market Position and Outlook

INDO SMC has established a strong presence in SMC, FRP, and pultrusion products, supported by technical expertise and robust product quality. The company benefits from advanced manufacturing capabilities and maintains a healthy, diversified order book comprising both government and private sector projects. However, it operates in a highly competitive market and faces constraints from limited capital expenditure sources for expansion efforts.

Indo SMC's ₹91.95 crore SME initial public offering will open for subscription on January 13 and close on January 15, featuring backing from ace investor Ashish Kacholia. The issue represents a pure fresh offering of 62 lakh shares, with the stock scheduled to list on the BSE SME platform on January 20. Kacholia holds a 3.36% stake in the company, adding credibility to the public offering.

Business Operations and Market Position

Indo SMC operates across key verticals including sheet moulding compound (SMC) products, fiberglass reinforced plastic (FRP) products, and electrical components such as current and potential transformers. The company caters to power distribution, infrastructure, and industrial applications, with operations spanning more than 20 Indian states and a growing export footprint. Indo SMC serves as an approved vendor for multiple customers, including state electricity boards, DISCOMs, and government utilities.

The company operates manufacturing facilities in three strategic locations:

Grey Market Premium and Listing Expectations

The latest grey market premium for Indo SMC stands at ₹31, implying a premium of approximately 21% over the upper price band of ₹149. Based on this GMP, the IPO is expected to list at around ₹180 per share. The healthy GMP indicates positive sentiment in the unofficial market and suggests that investors are anticipating strong listing performance.

Financial Performance and Growth Trajectory

Indo SMC demonstrated robust financial performance across recent periods. The company reported strong operating leverage and profitability metrics:

As of November 30, 2025, the company maintained a healthy order book of ₹111.67 crore, providing strong revenue visibility for future periods. This order book reflects sustained growth momentum and stable margins across the business.

IPO Timeline and Fund Utilization

The allotment for the Indo SMC IPO is expected to be finalized on January 16, 2026, while shares are likely to be credited to demat accounts of successful applicants on January 19, 2026. The proceeds from the issue will be strategically deployed across multiple growth initiatives:

• Capital expenditure for purchase of plant and machinery
• Meeting working capital requirements
• Supporting general corporate purposes

The company's diversified business model, strong financial metrics, and healthy order book position it well for continued growth in the power distribution and industrial segments.