Chiraharit Limited IPO Opens Today: Key Details, Financials, Strengths and Risks

New Delhi, Sept 29, 2025 – Chiraharit Limited, which is a part of Malaxmi Group, has launched the Initial Public Issue (IPO) on the BSE SME platform. It opened today, on September 29, and closes on October 3, with an allotment on October 6, and a listing on October 8.

Chiraharit Limited IPO Key Details

Chiraharit Limited opened its initial public issue (IPO) on September 29, 2025. It will remain open until October 3, 2025. The issue price has also been kept unchanged at ₹21, comprising the face value of ₹1 and a ₹20 premium. IPO will mobilize approximately ₹31.07 crore as part of the issue of their 1.47 crore equity shares.

It will be offerable in a lot size of 6,000 shares, making it a high-entry ticket IPO, and the scrip will be listed on the BSE SME platform after allotment. Post issue, the post-issue dilution of Chiraharit Limited will be equivalent to 27% of the company’s total capital.

Chiraharit Limited IPO Issue Structure

Chiraharit Limited’s IPO, scheduled to open on September 29, 2025, aims to raise ₹31.07 crore through the issuance of 1.47 crore equivalent equity shares at ₹21 each. According to the allotment, the market maker share has been kept aside for 7.44 lakh shares, representing ₹1.56 crore or 2.5% issue size. The balance 1.40 crore shares, valued at ₹29.51 crore, are kept as the net issue, accounting for 94.9% of the issue size.

The issue will close on October 3, 2025, and the equity shares are proposed to be listed on the BSE SME platform. Following the issue, the company’s equity dilution will be 27% of its total capital.

Chiraharit Limited IPO Objects of the Issue

The forthcoming issue of Chiraharit Limited, which seeks to raise ₹31.07 crore, has clearly indicated the utilisation of proceeds for various business and financial requirements.

A major portion, approximately ₹14.13 crore, will be used to cover the company’s working capital needs. Moreover, the company will spend approximately ₹5.26 crore on establishing a new unit to produce HDPE valves and fittings, thereby broadening its product portfolio and increasing its capacities.

It also has ₹3.90 crore dedicated to repayment or prepayment of borrowings, which would decrease the debt burden. In addition, ₹4.66 crore is being earmarked for purposes other than those mentioned above, while ₹3.11 crore will be used to cover issue-related expenses. This disciplined utilization also reflects Chiraharit Limited’s growth strategy to enhance its financial health and facilitate business expansion post-listing.

Chiraharit Limited IPO Financial Performance (₹ in lakh)

Before the IPO, the firm’s financials also underwent a rapid turnaround, notably during FY25, which indicated brisk business operations. Revenue from operations almost doubled to ₹5,962.80 lakh during FY25, as compared to ₹3,056.55 lakh during FY24 and ₹3,288.78 lakh during FY23. Upon the addition of other income, the company’s total income increased to ₹5,979.79 lakh during FY25, representing a substantial rise from ₹3,071.37 lakh during FY24.

Even profitability registered a remarkable turnaround. It achieved a Profit After Tax (PAT) of ₹602.29 lakh during FY25, a tenfold increase from ₹60.34 lakh during FY24, as well as ₹42.05 lakh during FY23. On the balance sheet side, the company’s net worth improved to ₹957.39 lakh during FY25, ₹331.45 lakh during FY24, and ₹257.17 lakh during FY23, evidencing the company’s improvement in financial strength.

Chiraharit Limited IPO Business Overview

Chiraharit Limited offers turnkey EPC solutions for water and renewable energy. It provides the following:

• Piped irrigation, drinking, solar washing, and industrial water supplies.
• Setting up compressed bio-gas (CBG).
• Customized engineering services that deal with sustainable technologies and green technologies.

Chiraharit Limited IPO Key Strengths

• Diversified EPC Portfolio – Exposure to water infrastructure as well as renewables.
• Sustainability Focus – Increasing share of projects in renewable energy and CBG.
• Proven Execution Track Record – On-time delivery of government and private contracts.
• Group Backing – Strong support from the Malaxmi Group.

Chiraharit Limited IPO Risks

• Project Dependence – Relatively high degree of domestic EPC contract dependence.
• Working Capital Intensive – Receivables, as well as initial funding needs.
• Customer and Supplier Concentration – Exposure to a limited number of core customers and suppliers. Regulatory and Compliance Risks – Previous lapses have been observed, although they have been regularized.

Chiraharit Limited IPO Important Dates

Chiraharit Limited’s IPO opened for subscription on September 29, 2025, and will close on October 3, 2025. Finalisation of the basis of allotment will be done on October 6, 2025, following which refunds will be processed on the same day, i.e., October 7, 2025. Credit for the allotment of the shares will also be credited to the demat account on the same date. The company’s shares are expected to debut on October 8, 2025.

About the Company

Established in 2006, Chiraharit Limited, located in Telangana, India, has evolved from an agro-based firm to a renewable and water infrastructure EPC company. Supported by the Malaxmi Group, the firm combines engineering expertise with sustainability, as reflected in its “Always Green” vision.

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