Safe Enterprises IPO To Open on June 20th

Mumbai, 18 June 2025: Shares of Safe Enterprises Retail Fixtures Limited are set to hit the NSE Emerge platform, with the SME IPO opening on June 20 and closing on June 24. The company aims to raise up to ₹169.74 crore through a fresh issue of 1.23 crore shares, priced between ₹131-₹138.

What’s Driving the IPO?

The Safe Enterprises Retail Fixtures Limited’s IPO is being launched to fuel expansion and strengthen its financial position. According to the Red Herring Prospectus, the proceeds will be used to:

• Set up a new manufacturing facility in Navi Mumbai,
• Fund working capital needs,
• Repay borrowings, and
• Meet general corporate purposes.

Company Background: Steady Growth in Retail Fixtures

Safe Enterprises has gained visibility as a reliable player in B2B retail infrastructure solutions. Established in 1976 and incorporated as a public company in 2024, it specialises in shopfitting systems and premium display fixtures for top lifestyle and electronics brands across India. It operates three facilities in Navi Mumbai, with expertise in metal, wood, and hybrid-material fabrication.

Financials: Robust FY25 Performance Signals Capital Efficiency

The IPO is drawing attention for its strong financial performance. As per the restated FY25 numbers:

• Revenue stood at ₹182.31 crore,
• Profit after tax was ₹23.65 crore,
• Return on Equity reached 37.39%, and
• Debt-to-equity remained modest at 0.35, indicating a healthy balance sheet.

These figures highlight solid capital efficiency ahead of its proposed scale-up.

• High ROE (37.39%) underlines profitability and efficient capital use.
• No OFS means 100% of proceeds go to the company, not promoter exits.
• Infrastructure-led growth: The IPO funds will directly support factory expansion.
• SME listing: Shares will trade on NSE Emerge, with different liquidity dynamics compared to mainboard stocks.

Promoter Details

The issue is entirely fresh, and the promoters – Saleem, Mikdad, Huzefa, and Munira Merchant will dilute part of their stake but retain majority control post-issue.

Looking Ahead

Allotment and listing are expected by early July. Investors tracking SME offerings and India’s B2B retail supply chain may find this IPO noteworthy due to its solid financials, sector relevance, and forward-focused utilisation of proceeds.

REF: https://www.bsesme.com/download/342661/Safecure Draft Prospectus_20241227151558.pdf

Disclaimer:  At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

If you have any concerns, questions, or wish to point out any discrepancies in our content, please feel free to write to us at content@hdfcsec.com.

Please note that the information shared is intended solely for informational purposes and does not make any investment recommendations