Super Iron Foundry Limited is an iron and steel foundry company that was established in 1988. Though the company was incorporated in 1988, it began commercial production in 2013 after completing the setup of its factory. The company is strategically located in Durgapur, West Bengal, which is one of the steel hubs of India and is in the mineral-rich eastern part of the country.
The company specializes in casting and manufacturing access covers and gully grates used in roadway construction. These products are used in major construction projects to provide access covers for storm water, sewerage, telecom, and other utility networks. Super Iron Foundry manufactures municipal castings, ductile iron pipe fittings, ductile iron automotive castings, ductile iron agricultural castings (rollers and cross skills), railway castings, and cast iron counterweights.
Super Iron Foundry has a manufacturing facility and warehouse located in Jhanjra Village Road, P.S. Faridpur, P.O. Laudoha, Durgapur, District Burdwan, West Bengal. This facility is spread over approximately 20 acres of land and has a production capacity of 72,000 MT per annum. The company has automated and upgraded most of its production parameters, including sand plant, chemical and mechanical laboratory, automatic high-pressure molding lines, and automatic metal pouring.
Super Iron Foundry has a worldwide presence, with exports to UAE, Qatar, Romania, Italy, Oman, Saudi Arabia, Greece, the USA, Germany, France, Switzerland, the UK, Croatia, and Belgium. One of its main clients is Mario Cirino Pomicino SPA, one of the biggest importers in Italy, which contributes 70% of the company’s income.
Super Iron Foundry IPO Related Details
Super Iron Foundry Limited is launching its Initial Public Offering (IPO) on the BSE SME platform. Here are the key details of the IPO:
| IPO Detail | Information |
|---|---|
| Issue Type | Fixed Price Issue |
| Issue Size | 63,01,200 shares (₹68.05 Crores) |
| Fresh Issue | 63,01,200 shares (₹68.05 Crores) |
| Face Value | ₹10 Per Equity Share |
| Issue Price | ₹108 Per Share |
| Market Lot | 1,200 Shares |
| Minimum Investment | ₹1,29,600 |
| Listing At | BSE SME |
The IPO is completely a fresh issue, which means the company is issuing new shares to raise capital. There is no offer-for-sale (OFS) component in this IPO.
Super Iron Foundry IPO Timeline Details
The Super Iron Foundry Limited IPO follows a specific timeline for various activities related to the public offering. Here’s the detailed timeline:
| Event | Date |
|---|---|
| IPO Opening Date | March 11, 2025 |
| IPO Closing Date | March 13, 2025 |
| Basis of Allotment | March 17, 2025 |
| Refund Initiation | March 18, 2025 |
| Credit to Demat Account | March 18, 2025 |
| IPO Listing Date | March 19, 2025 |
The IPO will be open for public subscription for three days, from March 11 to March 13, 2025. After the subscription period ends, the company will finalize the allotment of shares on March 17. If you applied for shares but didn’t receive an allotment, your money will be refunded on March 18. For successful applicants, shares will be credited to their demat accounts on the same day. Finally, the shares will be listed on the BSE SME platform on March 19, 2025, after which they can be traded on the stock exchange.
IPO Promoter Details
The promoters of Super Iron Foundry Limited are:
- Abhishek Saklecha
- Akhilesh Saklecha
- Neha Saklecha
- Priyanka Saklecha
The promoters have extensive experience in the foundry industry and have been intimately involved in the business for around 11 years. Before the IPO, the promoter holding in the company is 96.53%. After the IPO, the promoter holding will decrease to 70.53%.
Super Iron Foundry IPO Lot Size
The lot size for the Super Iron Foundry Limited IPO is fixed at 1,200 shares. This means investors must apply for at least 1,200 shares, which requires a minimum investment of ₹1,29,600 (1,200 shares × ₹108 per share).
For retail investors, the maximum application is limited to 1 lot (1,200 shares), requiring an investment of ₹1,29,600. For High Net-worth Individuals (HNIs), the minimum application starts from 2 lots (2,400 shares), requiring an investment of ₹2,59,200.
IPO Reservation
The Super Iron Foundry Limited IPO has specific reservations for different categories of investors. Here’s how the shares are allocated:
| Category | Allocation |
|---|---|
| Retail Individual Investors (RII) | 50% of the Net Issue |
| Other than Retail Individual Investors | 50% of the Net Issue |
| Market Maker Reservation | 3,15,600 shares |
Retail Individual Investors are those who apply for shares with a total value of less than ₹2 lakhs. Other than retail individual investors are those who apply for shares with a total value exceeding ₹2 lakhs. The Market Maker reservation is for entities that will provide buy and sell quotes for the stock after listing to ensure liquidity.
Super Iron Foundry Company Financials Details
Super Iron Foundry Limited has shown significant growth in its financial performance over the past few years. Here’s a detailed breakdown of their financials:
These numbers are in ₹ crores and reflect the company’s performance over these years.
| Year | Revenue (₹ Crores) | Profit (₹ Crores) | Net Worth (₹ Crores) |
|---|---|---|---|
| 2022 | 104.47 | 0.70 | 40.22 |
| 2023 | 126.23 | 1.28 | 52.62 |
| 2024 | 156.87 | 3.94 | 64.47 |
This table shows that Super Iron Foundry’s revenue and profit have been growing each year, with a big jump in profit from 2023 to 2024. The net worth, which is the company’s total value, also keeps getting bigger, showing the company is doing well financially.
Objects of the Issue
Super Iron Foundry Limited plans to use the funds raised from the IPO for specific purposes. The main objectives of the issue are:
- Working Capital Requirements: The company intends to utilize a portion of the net proceeds to meet its working capital requirements. The business of the company is working capital intensive, meaning it requires significant funds to maintain day-to-day operations.
- Repayment of Existing Borrowings: A part of the proceeds will be used to repay existing borrowings, which will help reduce the company’s debt burden and improve its financial stability.
- General Corporate Purposes: The company will deploy a portion of the gross proceeds for general corporate purposes. This includes strategic initiatives, partnerships, acquisitions, branding, marketing, facility upgrades, and other business needs.
By raising funds through this IPO, Super Iron Foundry aims to strengthen its financial position and support its growth plans without taking on additional debt.
Super Iron Foundry Upcoming Plan
Super Iron Foundry Limited has ambitious plans for the future. The company has already diversified its product portfolio and is now producing castings for water pipe networks, railways, counterweights, and the agriculture industry.
The company has invested in automation and robotics, including the best-in-practice Robotic Arms for painting and grinding. These technology upgrades have benefited the company in multiple ways, including low power consumption, improved production efficiency, higher utilization rate, and higher profit margin.
With the Indian foundry sector expected to reach USD 25 billion by 2025, driven by government initiatives like “Make in India” and increasing demand from sectors like construction, automotive, and railways, Super Iron Foundry is well-positioned to capitalize on these opportunities.
Strengths and Risks of Company
Strengths:
- Strategic Location: The company is strategically located in Durgapur, West Bengal, which is one of the steel hubs of India and is in the mineral-rich eastern part of the country.
- High Production Capacity: The company has a manufacturing facility with a production capacity of 72,000 MT per annum.
- Automation and Technology: The company has automated and upgraded most of its production parameters, including sand plant, chemical and mechanical laboratory, automatic high-pressure molding lines, and automatic metal pouring.
- Global Presence: The company has a worldwide presence, with exports to UAE, Qatar, Romania, Italy, Oman, Saudi Arabia, Greece, the USA, Germany, France, Switzerland, the UK, Croatia, and Belgium.
- Quality Certifications: The company’s manufacturing facility is ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 certified for Quality Management System, Occupational Health and Safety Management System, and Environmental Management System.
Risks:
- High Debt to Equity Ratio: The company has a high debt to equity ratio of 6.26, which indicates a high level of financial leverage.
- Dependence on Single Client: One of the company’s main clients, Mario Cirino Pomicino SPA, contributes 70% of the company’s income, which creates a dependency risk.
- Market Competition: The Indian foundry industry is fragmented with over 4,500 casting units, which creates intense competition.
- Regulatory Risks: Changes in regulations related to the foundry industry could impact the company’s operations.
- Global Economic Factors: As a company with significant exports, global economic factors and trade policies can impact the company’s business.
Company Contact Details
For any queries or additional information about the company, you can contact Super Iron Foundry Limited at:
Email: cs@superironfoundry.com
Website: https://www.superironfoundry.com
Company IPO Registrar Details
The registrar for the Super Iron Foundry Limited IPO is Link Intime India Private Limited. The registrar is responsible for processing IPO applications, finalizing the basis of allotment, and handling refunds. You can contact them at:
Contact Number: +91-22-4918 6270
Email Address: superiron.smeipo@linkintime.co.in
Company Official RHP and DRHP Official SEBI Link
Here are the official documents related to the Super Iron Foundry Limited IPO:
| Document Type | Availability |
|---|---|
| DRHP (Draft Red Herring Prospectus) | DRHP LINK |
| RHP (Red Herring Prospectus) | RHP LINK |
These documents contain detailed information about the company, its business, financials, risks, and the terms of the IPO. Potential investors are advised to read these documents carefully before making an investment decision.
Frequently Asked Questions (FAQs)
- When is the Super Iron Foundry Limited IPO opening and closing?
The IPO opens on March 11, 2025, and closes on March 13, 2025. This gives investors three days to apply for shares. - What is the minimum investment required for the Super Iron Foundry Limited IPO?
The minimum investment required is ₹1,29,600, which will get you 1,200 shares at ₹108 per share. This is the minimum lot size for retail investors. - When will the allotment of shares be finalized?
The basis of allotment will be finalized on March 17, 2025. This is when the company will decide who gets shares and how many. - When will the shares be listed on the stock exchange?
The shares will be listed on the BSE SME platform on March 19, 2025. After listing, investors can buy or sell the shares on the stock exchange. - What are the main objectives of the Super Iron Foundry Limited IPO?
The main objectives are to fund working capital requirements, repay existing borrowings, and for general corporate purposes. - Who are the promoters of Super Iron Foundry Limited?
The promoters are Abhishek Saklecha, Akhilesh Saklecha, Neha Saklecha, and Priyanka Saklecha. - What is the production capacity of Super Iron Foundry Limited?
The company has a manufacturing facility with a production capacity of 72,000 MT per annum.
