Mittal Sections IPO Opens Tomorrow: ₹52.91-Crore BSE SME Issue at ₹136–₹143 Price Band

Ahmedabad, October 6, 2025: Mittal Sections Limited IPO is set to open its ₹52.91 crore SME IPO on 7 October 2025, with the issue scheduled to close on 9 October 2025. The company plans to issue 37 lakh equity shares through a 100% book-building process, with a price band of ₹136-₹143 per share (face value ₹10 each).

The company was founded in 2009 and is engaged in the manufacture of mild steel sections and structural steel products. The product portfolio includes flat bars, round bars, angles, and channels (brand: MSL Mittal). The company’s Changodar (Ahmedabad) plant has a total capacity of 36000 MTPA, which will be expanded to 96000 MTPA by the next financial year.

Mittal Sections IPO Snapshot

Mittal Sections Limited is set to launch its ₹52.91 crore SME IPO on 7 October 2025, closing on 9 October 2025. The book-built issue comprises 37 lakh equity shares at a price band of ₹136–₹143 per share, with a face value of ₹10. The minimum investment required is ₹1.36 lakh, equivalent to two lots (2,000 shares).

The allotment is scheduled for 10 October 2025, with refunds and demat credits to follow on 13 October. The shares are expected to list on the BSE SME on 14 October 2025. Wealth Mine Networks Ltd. is the lead manager, while Bigshare Services Pvt. Ltd. serves as the registrar.

Mittal Sections IPO Key Strengths

The company’s key strengths include a diverse product range (as discussed earlier) with the highest quality certifications, such as ISO 9001:2015. Furthermore, the company is situated in a strategic location (Gujarat), offering logistical ease and a raw material cost advantage. The company’s promoters have over two decades of domain experience. The company also has a very strong dealer network across India.

Mittal Sections IPO Key Risks

Prospective investors should consider several risks before subscribing to the Mittal Sections Limited SME IPO. The company and its promoters face pending legal cases. Revenue is heavily regional, with 99% generated in Gujarat, reflecting geographical concentration. There is also promoter group overlap, as some related entities operate in similar business lines. Supplier concentration poses another risk, with reliance on a limited number of vendors. Additionally, the company’s working capital requirements are high due to a lengthy raw material inventory cycle. Customer concentration and past instances of negative cash flows further underscore potential challenges.

Mittal Sections IPO Financial Highlights

Mittal Sections Limited has demonstrated strong growth over the past three years. Revenue from operations reached ₹16,717.85 lakh in FY23 and ₹16,148.18 lakh in FY24, before moderating to ₹13,686.29 lakh in FY25. Despite the dip in revenue, net profit surged from ₹55.86 lakh in FY23 to ₹361.13 lakh in FY25, reflecting improved profitability.

Earnings per share (EPS) increased sharply from ₹0.71 to ₹4.59, while return on net worth (RoNW) strengthened to 34.92%. The company’s net worth rose to ₹1,034.21 lakh, with a net asset value (NAV) of ₹13.15 per share. At the upper price band of ₹143, the IPO implies a price-to-earnings (P/E) ratio of 76.47x, indicating a relatively high valuation.

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