Acme India Industries Files DRHP for BSE SME IPO; Fresh Issue and OFS Planned

New Delhi, Oct 1, 2025: Acme India Industries Ltd. has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for a proposed Initial Public Offering (IPO) on the BSE SME platform. The offer comprises a Fresh Issue of up to 64,87,200 equity shares and an Offer for Sale (OFS) of up to 8,01,600 equity shares by promoter Suraj Pandey, aggregating to a total issue size of 72,88,800 equity shares.

The issue will be managed by Hem Securities Ltd as the Book Running Lead Manager, with Bigshare Services Pvt Ltd acting as the registrar. Details of the Final Offer, including the subscription date, price band, and lot, will be made public through the Red Herring Prospectus.

Acme India Industries is a railway interiors and components player, focusing on turnkey coach furnishing, refurbishment, toilet upgradation, and supply of electrical and mechanical components. The company, ever since its founding, has accomplished over 1,600 coach furnishing contracts, refurbished close to 1,900 coaches, and upgraded over 10,900 railway toilets.

Acme India Industries IPO Snapshot

Acme India Industries Ltd. has filed its application for an Initial Public Offering (IPO), comprising a Fresh Issue of 64,87,200 equity shares and an Offer for Sale (OFS) of 8,01,600 shares, bringing the total issue size to 72,88,800 equity shares. The IPO is proposed to be listed on the BSE SME platform, with Hem Securities Ltd. as the book-running lead manager and Bigshare Services Pvt Ltd. as the registrar. The price band is yet to be announced. The company also retains the option of a pre-IPO placement of up to 10,80,000 shares, which would adjust the total issue size accordingly.

Promoter Directors include Suraj Pandey (Managing Director), having 23 years of experience, and Sadhvi Pandey (Whole-Time Director), having 22 years of experience.

Acme India Industries IPO Financial Performance

For the financial year ended FY25 (consolidated), Acme India Industries Ltd. reported revenue from operations of ₹20,999.52 lakh and a profit after tax (PAT) of ₹1,645.68 lakh, reflecting robust operational performance. The company’s net worth stood at ₹5,536.82 lakh with total debt of ₹8,116.86 lakh, while earnings per share (EPS) were ₹9.91 and return on net worth reached 29.72%. As of 31 August 2025, the company’s order book was ₹40,208.20 lakh, providing strong revenue visibility for the near term.

Acme India Industries IPO Objects of the Issue

Proceeds of the Fresh Issue will be utilized towards:

• Working capital needs: ₹8,250 lakh
• Debt repayment/prepayment: ₹4,500 lakh
• Capital outlay (plant & machinery): ₹873.98 lakh
• General corporate purposes: balance, limited to SEBI norms

Acme India Industries IPO Offer Structure

The transaction will be conducted through a book-building process under Chapter IX of SEBI ICDR Regulations:

• Up to 50% to Qualified Institutional Buyers (QIBs)
• At Least 15% to Non-Institutional Investors (NIIs
• Minimum of 35% to Retail Individual Investors (RIIs)

Acme India Industries IPO Key Risks and Concerns

• Revenue Concentration: Indian Railways-dependent, accounting for over 86% of the revenues during FY23-FY25.
• Working Capital Intensive: Requires substantial guarantees and receivables financing, with IPO proceeds partially utilized to enhance liquidity.
• Contingent Liabilities: ₹7,559.85 lakh outstanding as of March 31, 2025.
• Pending Litigation: Certain tax and regulatory matters are disclosed.

Acme India Industries aims to utilize the IPO to enhance its balance sheet, reduce borrowings, and expand capacity. With a healthy order pipeline from Indian Railways and diversification into coach refurbishments and upgrades, the company is well-positioned to benefit from the current government-driven railway upgrading process. Final timelines, price band, and anchor allocation terms will be included subsequently in the Red Herring Prospectus.

REF: https://www.bsesme.com/download/364190/SME_IPO InPrinciple/DRHP_Acme_20250930201943.pdf

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