Poojaa Precision Engg. IPO: Price Band ₹285-₹301, Opens July 28

Poojaa Precision Engg.’s initial public offering (IPO) details are out, with the company setting a price band of ₹285 to ₹301 per share. Current subscription stands at 0x across all investor categories.

IPO Details at a Glance

The price band is ₹285-₹301 per share, with an issue size between ₹228,000 and ₹500,000. Investors must meet a minimum bid quantity of 800 shares. Subscription currently sits at 0x for Qualified Institutional Buyers (QIB), Retail, and Non-Institutional Buyers (NII).

The IPO is scheduled to open on July 28, 2026, and will close on July 30, 2026. Allotment is set for July 31, 2026, with listing on August 4, 2026.

Capital Allocation Strategy

Poojaa Precision Engg. aims to raise fresh capital for business expansion and working capital. The proposed use of proceeds includes ₹106.34 Crores for Capital Expenditure for Unit 3 and ₹30.00 Crores for Working Capital Requirements.

Financial Performance Highlights

The company has shown robust financial growth over the last three fiscal years, from FY2024 to FY2026. Revenue grew at a CAGR of 30.06%, while Profit After Tax (PAT) grew at a CAGR of 38.53%. Total Assets increased to ₹231.38 Cr in FY2026 from ₹96.75 Cr in FY2024.

The Debt-to-Equity ratio also rose from 0.49x in FY2024 to 0.74x in FY2026. Operating cash flows remained positive across all three years.

Identified Material Risks

Several material risks exist for Poojaa Precision Engg. These include high customer concentration, raw material volatility, and significant sector dependency. Expansion challenges for a new unit are also noted.

Customer concentration is high: the top 5 customers contributed over 70% of revenue in the last 3 years. A single customer accounted for 31.75% of revenue in FY2026. Raw material volatility is a concern, with aluminium comprising 72.43% of consumed raw materials.

Dependency on the automotive sector is significant, making up 72.58% of FY2026 revenue. The company also faces expansion risks for its new Unit 3, possessing limited experience in magnesium casting.

Valuation metrics, such as the P/E ratio, are not yet available. These will be disclosed in the final Red Herring Prospectus (RHP) once the price band and issue size are finalised.