Karbonsteel Engineering Limited IPO

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Business Profile

Provides structural engineering and fabrication solutions, primarily engaged in the design, fabrication, and assembly of heavy and precision steel structures, across diverse sectors, including Steel plants, Railway bridges (notably for the Mumbai–Ahmedabad High-Speed Rail Project), Oil & gas plants and refineries, Chemical plants and industrial units, High-rise buildings and infrastructure projects. Incorporated in 2011, the company has steadily evolved from steel trading into a value-added fabrication business, strategically reducing its trading operations over the years to focus on high-margin manufacturing.

Fabricated structures are integral to construction, expansion, and modernization of industrial and infrastructure developments.

Business Verticals

1. Heavy Steel Fabricated Structures – Structural frameworks, beams, columns, crane girders, pipe racks, staircases, walkways, conveyor galleries, etc. Contributed 68.85% of revenue in FY25.

2. Precision Fabricated / Technological Structures – Furnace supports, towers, galvanized tubing handrails, welded and bolted steel structures, etc. Contributed 27% of revenue in FY25.

3. Steel Bridge Structures for High-Speed Rail Projects – Open web girders, built-up sections, fabricated shutters for piers and pier caps. Contributed 3.34% of revenue in FY25.

4. Pre-Engineered Buildings (PEBs) – Built-up members, rafters, purlins, staircases, crane beams, roof gutters, etc. Contributed 0.74% of revenue in FY25.

Clientele

Esteemed customers include Arcelor Mittal Nippon Steel India Limited, Tata Projects Limited, John Cockerill India Limited, Ray Engineering Pvt. Ltd., JSW Severfield Structures Ltd., and Panametrics Engineering Pvt. Ltd.

Competitive Strengths

i) Execution Capability – Proven track record in large-scale projects like 10,000 MT steel bridge structures for the Mumbai–Ahmedabad High-Speed Rail project.
ii) Strong Order Book – Order visibility of nearly ₹33,000 lakh as of July 2025.
iii) In-House Manufacturing & Testing – Advanced equipment and testing labs ensure compliance with international standards.
iv) Strong Customer Relationships – Long-term ties with reputed clients, ensuring repeat business.
v) Experienced Promoters & Management – Led by promoters with 19+ years’ domain expertise and supported by a skilled team of engineers and technicians.

Industry Outlook

Structural steel demand in India is rising with infrastructure growth driven by Smart Cities Mission, Make in India and National Steel Policy 2017 (targeting 160 kg per capita steel consumption by 2030). Key demand drivers are metro rail projects, highways, high-rise buildings, refineries, and industrial plants.

Objects of the Karbonsteel Engineering Limited IPO:

Company proposes to utilize the funds towards funding the following objects: 1. Funding of capital expenditure towards expansion of existing Umbergaon facility (₹12.29 cr) 2. Repayment of a portion of borrowings (₹3.07 cr) 3. Utilization towards working capital requirements (₹25.25 cr) 4. General corporate purposes.

Karbonsteel Engineering Limited IPO Details:

Open Date: Sep 08 2025
Close Date: Sep 10 2025
Total Shares: 37,29,600
Face Value: ₹ 10 Per Equity Share
Issue Type: Book Building
Issue Size: 59.30 Cr.
Lot Size: 800 Shares
Issue Price: ₹ 151-159 Per Equity Share
Listing At: BSE SME
Listing Date: Sep 15 2025

Promoters And Management:

1. Mr. Shrenik Kirit Shah, Promoter and Managing Director, has been on the Board since 2011. A commerce graduate from Shri Narsee Monjee College, Mumbai (2001) and an International MBA from the University of South Columbia, USA (2005), he has over 19 years of experience in steel trading and structural steel fabrication. Before founding the Company, he worked as Senior Manager at Hariyana International Pvt. Ltd. (2005–2010). He currently oversees production, business development, and finance. 2. Ms. Mittal Shrenik Shah, Promoter and Whole-Time Director, has been on the Board since 2022. She holds a Bachelor of Management Studies from the University of Mumbai (2004) and a Post Graduate degree in e-Management and Business Administration from MET, Mumbai (2006). She earlier worked with HSBC Financial Services (2006–2009) as NRI Sales and Wealth Manager and presently manages overall administration of the Company. 3. Mr. Saurabh Bhansali, Non-Executive Director, is a Chartered Accountant with 8 years of experience in internal audit, risk management, and compliance. He is also the founder of Desai Bhansali and Associates LLP.

Financials of Karbonsteel Engineering Limited IPO:

To be updated shortly

Comparison With Peers:

To be updated shortly

Lead Manager of Karbonsteel Engineering Limited IPO:

  1. Seren Capital Private Limited

Registrar of Karbonsteel Engineering Limited IPO:

  1. Maashitla Securities Pvt. Limited.

Discussion on Karbonsteel Engineering Limited IPO:

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