Matangi Rubber Files DRHP for ₹37.09 Lakh-Share IPO to Fund Debt Repayment and New Plants

New Delhi, September 23: Matangi Rubber Limited has announced that it has filed its Draft Red Herring Prospectus for an Initial Public Offering with the Securities and Exchange Board of India (SEBI).

Matangi Rubber Limited is an Indian company engaged in the manufacture of rubber products for the automotive industry. The company operates five units across Uttarakhand, Madhya Pradesh, and Tamil Nadu, and also provides contract manufacturing services for large tyre companies. The company was established in 2004, and its headquarters are in New Delhi, India.

Fresh Issue of 37,09,600 Equity Shares

The IPO issue will be a completely fresh issue of up to 37,09,600 equity shares with a face value of ₹10 each. There is no offer for sale element and the shares are proposed to be listed on BSE SME. The book running lead manager for the issue will be Sarthi Capital Advisors and and the registrar will be Bigshare Services.

Debt Repayment Main Motive For Fundraising

The company will primarily use the proceeds from the IPO for debt repayment up to ₹2,500 lakh. It will use ₹1,900 lakh for a rubber recycling unit in Bhind, MP, while ₹700 lakh will be used for a solid tyres unit in Bhind, MP. The rest of the amount will be used for general corporate purposes.

The rubber recycling plant will have a capacity of about 3,910 MTPA and a solid tyres plant with around 603 MTPA capacity. The company is targeting to start commercial operations for both the plants by 2027.

Revenue at ₹10,137.01 Lakh While PAT at ₹1,897.91 Lakh

In FY25, the company’s revenue from operations stood at ₹10,137.01 lakh, up from ₹9,011.86 lakh in FY24 and ₹8,535.75 lakh in FY23. Total income increased to ₹10,475.75 lakh in FY25, compared to ₹9,126.51 lakh in FY24 and ₹8,645.08 lakh in FY23. Profit after tax also surged to ₹1,897.91 lakh in FY25, nearly four times higher than ₹476.03 lakh in FY24 and ₹320.42 lakh in FY23.

Earnings per share (EPS) also jumped to ₹61.42 in FY25, from ₹17.70 in FY24 and ₹15.83 in FY23. The company’s net worth increased to ₹9,252.93 lakh in FY25 from ₹4,617.91 lakh in FY24 and ₹3,302.89 lakh in FY23. Total borrowings were at ₹9,186.24 lakh in FY25, up from ₹6,293.76 lakh in FY24 and ₹3,046.42 lakh in FY23.

REF: https://www.bsesme.com/download/330302/SME_IPO InPrinciple/Matangi_DRHP_20250922122758.pdf

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