Archives: Ipos

Hexagon Nutrition is a differentiated, research-driven nutrition company with an integrated presence across the entire nutrition value chain, spanning customized micronutrient premixes, food fortification solutions, wellness products, clinical nutrition, and therapeutic nutrition. The company has established strong market positions through its leadership in customized micronutrient formulations, growing portfolio of branded products such as Pentasure, Obesigo, Pediagold and Nutrone, extensive global presence across 75+ countries, and long-standing relationships with leading FMCG companies, governments, and international organizations. The company operates in the nutrition and wellness industry, which is expected to witness robust growth over the coming years, driven by increasing health consciousness, rising demand for preventive healthcare, growing incidence of lifestyle diseases, expanding clinical nutrition adoption, and continued focus on food fortification programs globally. These structural tailwinds are expected to create significant opportunities for specialized nutrition companies with strong product capabilities and established market presence. Financially, Hexagon Nutrition has demonstrated a healthy improvement in profitability, with PAT margins expanding from 2.1% in FY23 to 7.4% in FY25 and further to 9.8% during 9MFY26, supported by a favorable product mix, increasing contribution from higher-margin branded products, and operational efficiencies. The company also benefits from a diversified revenue base across B2C, B2B2C, and institutional nutrition segments, providing resilience and multiple growth drivers. At the upper price band, the issue is valued at a P/E of around 25.7x based on FY25 earnings. Considering its leadership position in the nutrition segment, integrated business model, strong brand portfolio, improving financial profile, and favorable industry outlook, we believe the company is well-positioned to deliver sustainable long-term growth. Accordingly, we recommend “SUBSCRIBE” to the issue for investors with a medium-to-long-term investment horizon.

CMR Green Technologies is one of India’s leading non-ferrous metal recyclers in terms of installed capacity as of March 31, 2025. The company manufactures a diversified portfolio of recycled metal products, including recycled aluminum, zinc alloy ingots, dross, and furnace-ready scrap of stainless steel, copper, brass, zinc, lead, and magnesium. It also recycles used beverage can scrap to cater to the raw material requirements of primary metal producers. As of FY25, recycled aluminum accounted for approximately 40.8% of India’s total aluminum demand and is expected to reach 3.71 million MT by FY30, increasing its share to 44.9%. The company is well-positioned to benefit from these favorable industry trends, supported by its leadership in liquid aluminum supply, strong execution capabilities, and an extensive customer base across India. Its diversified global supplier network ensures reliable raw material sourcing and supports cost-efficient operations. Additionally, strategically located recycling facilities, advanced manufacturing technologies, stringent quality control systems, and in-house R&D capabilities strengthen its operational efficiency and competitive positioning. Financially, the company has delivered healthy earnings growth, with PAT and EBITDA registering CAGRs of 21.8% and 21.1%, respectively, during FY23-FY25. Over the same period, EBITDA margin improved from 3.5% to 4.6%, while PAT margin expanded from 1.8% to 2.3%, reflecting improved operating efficiency and profitability. At the upper price, the issue is valued at a P/E multiple of 21.3x based on FY26E earnings, which is lower compared to its peers. Considering its leadership position in the recycled metals industry, strong operational capabilities, improving financial performance, and attractive valuation, we recommend a “SUBSCRIBE” rating from a medium- to long-term perspective.

OnEMI is a digital-first lender focused on India’s underpenetrated mass market, combining fast loan disbursal, multiple sourcing channels and a mix of on-book and partner-led lending. The company has scaled quickly while keeping part of the book off its balance sheet, and has started adding secured lending through LAP to improve portfolio mix over time. AUM has grown at a 79.5% CAGR from Rs. 1,268 crores in FY23 to Rs. 4,087 crores in FY25, reaching Rs. 5,956 crores by Dec’25, driven by customer additions and repeat usage. Customer base increased from 6.41 million to 9.16 million, supporting this growth. Net worth rose from Rs. 566 crores to Rs. 1,006 crores, as earnings were retained in the business. Revenue grew at a 16.6% CAGR from Rs. 984 crores in FY23 to Rs. 1,337 crores in FY25. Growth was driven by access to an underserved mass market segment, supported by higher digital adoption post-COVID and multiple sourcing channels including credit QR-based merchant partnerships and fintech platforms, which brought in first-time borrowers. Profitability has improved with scale. EBITDA grew at a ~103% CAGR from Rs. 98 crores in FY23 to Rs. 403 crores in FY25, with margin expanding from 9.8% to 29.8%, driven by lower credit costs (impairments declining from 36.5% to 21.8%) and operating leverage. Fee income from partner-led lending grew at a 75% CAGR from Rs. 77 crores in FY23 to Rs. 238 crores in FY25, driven by higher off-book volumes. However, cost-to-income at 54-56% remains above peers, indicating further room for efficiency gains. Asset quality has weakened, with GNPA increasing from 0.05% in FY23 to 2.9% in 9MFY26, in line with the rapid expansion of a predominantly unsecured loan book. High provisioning (87%) keeps NNPA low at 0.4%. LAP, at 6% of AUM, provides early diversification into secured lending. Overall, at Rs. 171 per share, the issue is valued at 1.37x post-issue book value and 17.9x FY25 earnings. Overall, strong growth, improving profitability and a scalable model support the case. We recommend a Subscribe rating, with asset quality and execution as key monitorables.

Citius Transnet Investment Trust is a transport infrastructure-focused InvIT with a diversified portfolio of 10 road assets comprising seven toll and three annuity projects, aggregating ~3,406.7 lane-kilometers across nine states. The business model offers a balanced mix of growth and stability, with toll assets contributing 82.3% of cash flows and benefiting from economic activity and inflation-linked tariff revisions, while annuity assets provide predictable, government-backed revenues. The portfolio is relatively mature, with a long operational history and residual concession life, supporting visibility of cash flows. Additionally, the asset base benefits from a favourable traffic mix, with commercial vehicles contributing ~74.0% of toll revenues, enhancing resilience across economic cycles. The Trust is supported by the EAAA platform, which brings strong asset acquisition capabilities and provides a visible growth pipeline through ROFO assets, enabling scalable expansion. Strategically, the focus remains on acquiring operational and de-risked assets, maintaining an optimal capital structure, and leveraging technology-driven O&M practices to enhance efficiency. From a macro perspective, India’s infrastructure sector is witnessing strong tailwinds, with total investments expected to reach ~Rs. 93.0 trillion over FY2025-30 and transport infrastructure attracting ~Rs. 42.0–45.0 trillion, with roads accounting for the largest share. Supported by robust GDP growth, increasing logistics demand and government-led asset monetization, the sector offers strong long-term growth visibility. On the financial front, despite reporting accounting losses across periods, the Trust continues to generate strong and stable operating cash flows, with cash flow from operations at ~Rs. 10,450 million in FY25 and ~Rs. 7,820 million in 9MFY26. The underlying cash-generating ability of the portfolio remains robust, supporting steady net distributable cash flows (NDCF) and ensuring the Trust’s ability to maintain consistent distributions to unitholders. Overall, the Trust presents a stable yield-oriented investment opportunity backed by predictable cash flows, diversified assets, and a visible growth pipeline, and is well positioned to deliver consistent distributions with moderate growth potential.

Om Power Transmission Ltd. is a power transmission infrastructure EPC company with expertise in executing high-voltage (HV) and extra-high voltage (EHV) transmission lines, substations, and underground cabling projects on a turnkey basis. Its capabilities span the entire EPC value chain, including design, engineering, supply, erection, installation, testing, commissioning, and comprehensive operation and maintenance (O&M) services. The company has commissioned over 1,000 circuit kilometers (CKM) of transmission lines and 11 substations. Its execution capabilities cover transmission lines ranging from 11 kV to 400 kV and substations up to 220 kV. India’s energy demand is projected to grow to 1,907 billion units (BU) by FY27 and 2,473 BU by FY32, alongside an increase in peak electricity demand from 216 GW in FY23 to 277 GW in FY27 and 366 GW in FY32. This anticipated rise is expected to drive significant expansion in transmission and distribution infrastructure to meet growing power requirements. OPTL’s strong execution track record, supported by robust engineering capabilities, efficient resource management, and timely project delivery, underpins its operational strength. A healthy and expanding order book across geographies enhances revenue visibility and supports scalability. Additionally, geographic diversification and consistent order inflows position the company to capitalize on emerging opportunities in the power transmission EPC sector. Financially, the company has demonstrated strong improvement in profitability, with PAT growing at a CAGR of 88.2% and EBITDA at 72.9% over FY23-FY25. During the same period, EBITDA margin improved from 9.9% to 12.8%, while PAT margin expanded from 5.2% to 7.9%, reflecting enhanced operational efficiency. At the upper price band of Rs. 175, Om Power Transmission Ltd. is valued at a P/E multiple of 19.5x based on FY25 earnings. Considering its improving margins, robust order book, and favorable industry outlook, we recommend a “SUBSCRIBE” rating for the issue from a medium- to long-term investment perspective.

Powerica is an integrated power solutions provider specializing in diesel generator (DG) sets, medium-speed large generators (MSLG), and related services, offering a comprehensive product portfolio spanning capacities from 7.5 kVA to 10,000 kVA. The company caters to both primary and standby power requirements across a wide range of industries. It has also diversified into the wind power sector as an independent power producer (IPP) and has developed capabilities in engineering, procurement, and construction (EPC), as well as operations and maintenance services for balance of plant. Despite improvements in grid reliability, power disruptions persist across several regions in India, driving demand for backup power solutions such as DG sets, UPS systems, inverters, and battery storage across sectors including commercial, manufacturing, IT and data centers, telecom, and infrastructure. Supported by these favorable industry dynamics and its established market presence, Powerica is well-positioned to capitalize on the growth opportunities in India’s DG sets industry. The company also benefits from long-standing strategic alliances with key industry participants, including Cummins, Hyundai, and other global partners, which enhance its technical capabilities and strengthen its market positioning. Financially, Powerica has demonstrated steady improvement, with revenue growing at a CAGR of 5.6% and PAT at 28.5% over FY23-FY25. During the same period, its PAT margin expanded from 4.5% to 6.6%. At the upper price band of Rs. 395, the company is valued at a P/E multiple of 25.9x based on FY25 earnings, which appears fairly priced compared to its peers. We thus recommend a “SUBSCRIBE” rating from a medium- to long-term perspective.

Sai Parenterals is a pharmaceutical company with a structurally evolving business model, transitioning from a parenteral-focused manufacturer to a diversified formulations and CDMO-driven player. The company has evolved from a parenteral-focused manufacturer into a multi-dosage, multi-therapy player with presence across domestic and export markets. The increasing engagement with multinational clients through CDMO contracts provides better revenue visibility and stability due to long-term agreements. Its end-to-end capabilities spanning product development, regulatory filings, and manufacturing position it well to benefit from rising global outsourcing trends, particularly as it expands into regulated markets supported by upgraded facilities and strengthened R&D infrastructure. The company is also focused on capacity expansion, regulatory accreditations, and development of complex injectable capabilities, which are expected to improve product mix and margins by enabling entry into high-value segments. Additionally, its acquisition-led strategy, including the integration of Noumed, strengthens its global footprint, provides access to an expanded dossier base, and supports long-term growth in the CDMO segment. From an industry perspective, the global CDMO market is projected to witness robust growth, expanding from ~US$297 bn in 2025 to over ~US$609 bn by 2033 (CAGR ~9.4%), driven by increasing outsourcing by global pharmaceutical companies and a rising contribution from cost-competitive emerging markets such as India. Improving regulatory compliance and manufacturing capabilities in these regions further strengthen their positioning in the global supply chain. On the financial front, the company has delivered strong growth, reporting a CAGR of 29.8%/45.8%/81.6% in revenue/EBITDA/PAT over FY23-FY25 period, supported by customer additions, improved capacity utilization, and operating leverage. Going ahead, an increasing contribution from CDMO revenues and exports is expected to enhance the margin profile while reducing dependence on the domestic tender-driven business. Additionally, scale benefits and ongoing cost efficiencies are likely to support profitability over the medium term. Overall, Sai Parenterals appears well-positioned to deliver sustainable growth, driven by a rising CDMO mix, expansion into regulated markets, continued capacity and R&D investments, and acquisition-led global integration. On the upper price band, the issue is valued at a P/E of 72.2x based on FY25 earnings. We, thus, recommend a “SUBSCRIBE” rating for this issue.

The medium to long-term outlook for Amir Chand Jagdish Kumar (Exports) Limited is strongly positive, driven by a global shift toward organized, branded players and India’s dominant position as the world’s top Basmati producer. With Basmati exports projected to grow at an 8% CAGR through 2030, the company is well-positioned to benefit from its flagship “Aeroplane” brand and a more supportive government trade environment, including the removal of export price floors. To accelerate this growth, the company is moving beyond its traditional business model with three key strategic pillars. First, it is launching high-profile, celebrity led ad campaigns to transform “Aeroplane” into a premium household name. Second, it plans to nearly double its domestic distributor network to penetrate untapped Tier 3 and Tier 4 cities. Third, it is diversifying into daily FMCG staples like flour (atta) and semolina (suji), using its existing factories and trucks to scale these new products at a very low extra cost. On the financial front, the company has demonstrated robust growth and expanding profitability over the last three years. The company’s revenue scaled significantly between FY23 and FY25, delivering a robust CAGR of 23% to reach Rs. 2,002 crores by the end of the FY25, signalling healthy market demand and successful operational scaling. Even more impressive is the operational efficiency reflected in the EBITDA, which grew at a significantly higher CAGR of 43% during the same period. This indicates that the company is successfully benefiting from economies of scale as it grows. By the end of FY25, the company’s EBITDA margin reached 8%, showing a steady upward trajectory in operational profitability. On the bottom line, the company reported a Profit After Tax (PAT) of Rs. 61 crores for FY25, resulting in a PAT margin of 3%. This consistent improvement across all key financial metrics suggests a company that is not just growing its sales, but is also becoming increasingly disciplined and efficient in managing its costs. At the upper price band of Rs. 212, Amir Chand Jagdish Kumar (Exports) Ltd. is valued at a P/E multiple of 28.4x based on FY25 earnings. Given the company’s historical growth track record, expanding margins, scalable business model and industry growth potential, we believe the valuation is justified. Thus, we recommend a “SUBSCRIBE” rating for this issue with a medium to long-term investment horizon.

Central Mine Planning & Design Institute Limited (CMPDI) stands out as a niche, high-entry-barrier mining consultancy with strong linkages to India’s coal ecosystem and increasing diversification beyond its parent. Unlike typical EPC or mining players, CMPDI operates an asset-light, consultancy-driven model with deep technical expertise across the mining lifecycle, enabling it to benefit from sectoral growth without taking on execution or commodity risk. The company’s strengths are anchored in its integrated service offerings, strong execution track record in exploration, and its strategic positioning as a key advisor to Coal India Limited and the Ministry of Coal. Its multidisciplinary capabilities enhance client stickiness and allow cross-selling across verticals, while its expanding presence in external and international markets provides a gradual shift towards a more diversified revenue base. Additionally, its advanced infrastructure, technological capabilities, and strong domain expertise create high entry barriers, supporting sustained margins and return ratios. From a macro perspective, CMPDI is well-aligned with India’s structural coal demand outlook, where coal continues to remain a dominant energy source, with demand expected to grow steadily over the next decade. Increasing focus on domestic coal production, mine development, and regulatory compliance (environmental and technical) further drives demand for specialized consultancy services, positioning CMPDI as a direct beneficiary of sectoral tailwinds. Financially, the company has demonstrated strong growth momentum, with revenue growing at a CAGR of ~23.2% over FY23-FY25, while EBITDA and PAT have expanded at a faster CAGR of ~48.2% and ~49.9%, respectively, indicating strong operating leverage. EBITDA margins improved sharply from 27.6% in FY23 to 42.0% in FY24, before moderating to 40.0% in FY25, primarily due to an increase in exploration expenses. Similarly, PAT margins expanded from 21.4% in FY23 to 31.7% in FY25, supported by operating efficiencies and scale benefits. The company also maintains robust return ratios, with ROE at ~32.7% and ROCE at ~37.9% in FY25. At the upper price band, the issue is valued at a P/E of ~18.5x FY25 earnings and EV/EBITDA of ~13.3x, which appears reasonable considering its strong earnings growth profile, high-margin business model, and strategic positioning within a structurally growing sector. We thus recommend a “SUBSCRIBE” rating to the issue from a medium-to long-term perspective.

GSP Crop Science Limited is a research-driven agrochemical company engaged in the development and manufacturing of crop protection products, including insecticides, herbicides, fungicides, and plant growth regulators. With over four decades of industry experience, the company operates across the value chain through its Technicals and Formulations segments, catering to both B2B and B2C markets. Its diversified product portfolio and extensive domestic distribution network enable strong market penetration and last-mile connectivity with farmers. The company has also expanded its global footprint across 37 countries, with strategic initiatives such as the acquisition of GSP Agroquimica Do Brasil LTDA and the planned subsidiary in Uruguay aimed at strengthening its presence in the Latin American agrochemical market. The agrochemical industry remains structurally supported by increasing global food demand, rising population levels, and the need to enhance agricultural productivity, which continues to drive demand for crop protection products. On the financial front, the company has demonstrated steady operational performance, with revenue growth reflecting stable demand across product categories and improving profitability indicating strong earnings momentum. Healthy return ratios highlight efficient capital utilization supported by operational efficiencies and an improving product mix. Going forward, the company’s diversified portfolio, strong distribution network, established customer relationships, and expanding global presence are expected to support sustainable growth. Overall, supported by structural demand for crop protection products and its strategic focus on product innovation and geographic expansion, the company appears well positioned to capitalize on emerging opportunities in the global agrochemical market over the medium to long term. On the upper price band, the issue is valued at a P/E of 15.1x based on FY25 earnings, which seems fairly valued. We, thus, recommend a “SUBSCRIBE” rating for this issue.