Liotech Industries Rs 36-Cr IPO to Open This Wednesday: Key Details
Gujarat-based Liotech Industries is all set to enter the public markets with a ₹36 crore Initial Public Offering (IPO) starting June 17. The company, a specialist in precision hardware, aims to leverage this capital to scale its manufacturing capabilities and strengthen its financial position.
IPO Structure and Timeline
The Liotech Industries IPO is designed as a combination of a fresh issue and an offer for sale (OFS). The public offer includes a fresh issue of up to 9 lakh equity shares, alongside an OFS of 2.22 lakh shares by the company's promoters.
Investors will have a three-day window to participate, as the bidding process remains open from June 17 until June 19. Following the subscription period, the company expects its shares to be tentatively listed on the BSE SME platform on June 24. Wealth Mine Networks Ltd has been appointed as the sole book running lead manager for this issue.
Strategic Use of Proceeds
A significant portion of the capital raised through the fresh issue is earmarked for long-term growth and debt management. According to the company’s filing, the net proceeds will be deployed for:
- Capital Expenditure: Acquiring new machinery to upgrade manufacturing infrastructure.
- Debt Repayment: Reducing existing liabilities to improve the balance sheet.
- Operational Growth: Meeting working capital requirements and addressing general corporate purposes.
Hiteshbhai Mansukhbhai Bhuva, Managing Director of Liotech Industries Ltd, emphasized that these initiatives are critical for increasing the company's order-taking capacity and expanding its geographical footprint while maintaining strict quality standards.
Company Profile and Financial Performance
Headquartered in Gujarat, Liotech Industries has established itself as a manufacturer of high-precision hardware structures and accessories. Its diverse product portfolio includes essential hardware items such as door kits, hinges, hooks, aldrops, locks, handles, and bolts.
The company's financial trajectory shows steady performance. In the fiscal year 2025 (FY25), Liotech Industries reported a total revenue of ₹40.67 crore. More importantly, the company maintained profitability, recording a Profit After Tax (PAT) of ₹4.16 crore. This financial foundation provides the company with the necessary stability to pursue its expansion plans via the upcoming public listing.
Key Takeaways
- Subscription Window: The ₹36-crore IPO opens on June 17 and closes on June 19, with a tentative BSE SME listing on June 24.
- Growth Focus: Proceeds will be utilized for machinery acquisition, debt repayment, and boosting working capital to expand market reach.
- Financial Health: The company reported a revenue of ₹40.67 crore and a PAT of ₹4.16 crore for FY25.