MIT Engineers

SME investing minus the circus. IPOs, OFS & business models. Market survivor. Not SEBI registered—just trying to be less wrong than yesterday.

[MIT Engineers @MitEngineers]

🚀 Float Squeeze Alert: SMC Group Takes Massive Grip on Kheria Autocomp!

Inside the massive concentration of KheriaAutocomp shares by the SMC group:

1️⃣ Anchor: SMC India Opportunities Fund = 2,95,200 shares

2️⃣ QIB Base Net Quota: Moneywise finacial services approx 8,56,800 shares

3️⃣ Market Maker Base: SMC Global = 2,30,400 shares

4️⃣ Today’s Market Action: SMC Global bought 4,36,800 shares (@ ₹104.73) & sold 1,44,000 shares (@ ₹103.81)

Total SMC ecosystem footprint has locked up the major chunk of the float.

🧵 Kheria Autocomp Ltd (NSE EMERGE IPO) — full breakdown:

🏭 Business: Tier-II auto ancillary, plastic injection moulding for Tier-I/OEM passenger vehicles (ICE + EV). Sanand, Gujarat since 2009. IATF 16949, ISO 14001 & 45001 certified.

👨‍👩‍👧‍👦 Promoters: 100% family-held, 89.93% pre-issue. Zero PE/VC history — first external capital ever.

📈 Financials (FY24→FY26):
Revenue: ₹62cr → ₹92cr → ₹120cr (38.8% CAGR)
EBITDA margin: 15.7% → 19.1%
PAT margin: 5.3% → 9.5%
RoE: 33.7% | RoCE: 26.9%

⚠️ Margins run well above listed peers (Machino Plastics, PPAP Automotive) — worth digging into why.

🏭 Capacity: 93.7% utilized at 5,400 MT; expanding to 7,800 MT via new GIDC Sanand-II plant, commercial production targeted Jan-27.

🏗️ Net Fixed Assets: ₹40cr → ₹53cr → ₹56cr, Fixed Asset Turnover improving 1.88x → 2.22x.

💵 CFO: ₹10cr → ₹8.4cr → ₹26cr — FY26 CFO 2x+ PAT, healthy earnings quality.

💰 IPO: 100% fresh issue (45.98L shares), no OFS. Proceeds → new plant capex + GCP.

🚩 Key risks: Top-5 customers = 97-99% of revenue. Gujarat = 99.96% of revenue. Broader SME IPO market has cooled sharply sentiment-driven pricing is a real risk.

🔴 DISCLAIMER: This post is for general informational and educational purposes only and does NOT constitute investment advice, a recommendation, or a solicitation to buy/sell any security. I am not a SEBI-registered Investment Adviser or Research Analyst. Content is based solely on publicly available RHP disclosures and public market data as of the post date; the price band is not yet finalized and figures may change. Securities investments, especially SME IPOs, are subject to market risk — past performance and listed-peer comparisons are not indicative of future results. Please read the full RHP/Prospectus and consult a SEBI-registered financial advisor before making any investment decision.Disclosure: My family and I hold shares in this company, so my views may be biased. This tweet relies strictly on public exchange data for educational purposes

[MIT Engineers @MitEngineers]

CHAVDA INFRA — BONUS GAME 🎯

Yesterday close: ~₹140
Today ex-bonus: ~₹70
1:1 Bonus → price mechanically adjusted by ~50%.
But here comes the interesting part 👀
Yesterday's lot size: 1,000 shares
Today's lot size: 2,000 shares after the 1:1 bonus.

Someone holding 1,000 shares before the bonus will have 2,000 shares after the 1:1 bonus, but until the bonus shares are credited and available for trading, those 1,000 shares cannot be sold as a normal 2,000-share market lot.

Someone holding 3,000 shares, however, can sell one complete lot of 2,000, leaving 1,000 shares.

So, until the bonus shares become tradable, the effective tradable supply can temporarily be tighter.

And today's price action was interesting:

Stock touched the 20% upper circuit — and then gave back the entire move, coming back to around the original adjusted price. 🔄

Bonus + lot size + temporary supply dynamics + extreme price movement = definitely something worth observing.

Not saying this is bullish or bearish.
Just studying the mechanics.

DYDD | Not SEBI registered | No investment advice | Personal observation only.

[MIT Engineers @MitEngineers]

Pooja Logistics IPO: "13.3x P/E" looks cheap. Is it? 🚛

I went through the RHP (NSE Emerge, ₹109-115). Here's what stood out.
📈
Growth is slowing
Revenue ₹124cr → ₹166cr in two years (15.7% CAGR), but growth fell from 20% to 11%. FY26 PAT grew 12%.🧾 Profit is real, but margins need context
FY26 profit growth is operational: EBITDA rose 18% and margin improved from 15.5% to 16.5%. But higher depreciation and interest from the fleet buildup absorbed about two-thirds of that gain, so PAT grew only 12%.

🚚 The capex: old trucks and replacement
₹34cr (about 80% of the raise) goes on 92 new reefers. The RHP says 49 old trucks reach end of life within a year and will be replaced. If those come out of the 92, the net fleet addition is only ~43 (~10% of 424 trucks).

🏛️ GST demand
A ₹27cr GST demand (section 74, FY19-24) sits in contingent liabilities. It is under appeal, but it is 2.2x FY26 PAT and about 64% of net worth.

💸 Cash flow
The cash cycle stretched from 20 to 44 days in two years. FY26 operating cash flow was ₹3cr against PAT of ₹12cr. Most of the gap is FDs under lien booked as other current assets, and adjusted CFO is about ₹12.5cr.

⚠️ Disclaimer: This is my personal reading of the RHP, and I may have misunderstood or miscalculated something. Several figures (net fleet addition, post-issue P/E, P/B, cash cycle, adjusted CFO) are my own calculations. Please verify everything against the RHP before deciding. Not investment advice.

[MIT Engineers @MitEngineers]

@Nareshgupta190 I’ve already posted my thesis on this in my timeline. Have a look there for the full context. 👍

[MIT Engineers @MitEngineers]

@rajeevshukla207 100% - Market will recognize it when new export oriented facility starts.

[MIT Engineers @MitEngineers]

🧐 **Maharaja & Speedex vs Clay Craft**

Maharaja has the **better growth , but Clay Craft seems to have the edge on two important parameters:

💰 **P/E:** Clay Craft ~11× vs Maharaja ~20×
💵 **Cash conversion:** Clay Craft ~96% of PAT vs Maharaja ~24%

Growth is important, but **growth + cash flow + valuation** matters more.

DYDD

[MIT Engineers @MitEngineers]

🚀 Kanohar Electricals Mainboard IPO

⚡Looking to ride India's massive power infrastructure CAPEX wave? Here is a quick, balanced breakdown of the ₹1,055 Cr issue before you subscribe.

🌟 The Growth Drivers:🔹 Strong Backlog: ₹1,818 Cr order book provides 2.7x revenue visibility.🔹 Massive Capacity Runway: 19,200 MVA capacity is only ~46% utilized—plenty of room to scale without immediate bottlenecks.🔹 Financials: Stellar FY26 performance with 27.59% EBITDA margins and a massive 70% RoCE.

The Red Flags & Risks:🔹 Client Concentration: Heavily dependent on government PSU contracts; payment delays could severely squeeze working capital.🔹 Idled Assets: The Rithani unit has faced prolonged under-utilization; operational efficiency relies entirely on ramping up the Gangol facility.🔹 Premium Valuation: At a P/E of 38.58x, the IPO is priced at a premium compared to the broader sector average of 24.92x.

📅 The Expansion:New capacity funded by the ₹300 Cr fresh issue will roll out across FY27 & FY28 to tap into high-margin 252 kV GIS products.

Disclaimer: For educational purposes only. Not financial advice. IPO investments are subject to market risks. Read the RHP carefully before investing.

[MIT Engineers @MitEngineers]

Karamtara Engineering — 35.7× P/E. Too expensive? Maybe… but there’s a catch. 👀

At ~₹8,174 Cr market cap, the valuation looks demanding against FY26 PAT of ~₹229 Cr.

But FY26 may not tell the complete story.

A significant part of the ~889,200 MTPA capacity was added only in Q4, meaning the full benefit of the new capacity has barely started flowing through the P&L.

If utilisation ramps up, operating leverage could kick in → better margins → faster PAT growth.

The positives:

🔹 ~492,000 MTPA solar capacity
🔹 Strong exports & global customers
🔹 Backward integration
🔹 Large manufacturing scale
🔹 Renewable + transmission exposure
🔹 IPO proceeds to reduce debt
But here's the valuation reality:
Karamtara ~35.7× P/E
vs
KP Green ~10–11× P/E
KP Green currently has better margins, ROE/ROCE and growth, while Karamtara has the advantage of scale, integration and global exposure.
So I wouldn't dismiss Karamtara at the outset—but 35×+ leaves little room for execution mistakes.
The real test now:

Capacity utilisation + margin expansion + debt reduction = can earnings grow into the valuation?

That is what I'll be watching over the next few quarters.
⚠️ DISCLAIMER: This is NOT a buy/sell recommendation, target price, IPO-subscription advice or investment advice. I am not SEBI-registered. This is only my personal analysis of publicly available information. Please verify all numbers from official filings and do your own research/consult a SEBI-registered investment adviser before making any investment decision. I may be wrong and may have a financial interest in the securities discussed.

[MIT Engineers @MitEngineers]

🧩 **Purple Style Labs IPO listing — interesting puzzle?**

~ Approximately **27.62L shares** appear to have gone to Retail + HNI.

Interestingly, **ICICI Prudential Smallcap Fund alone appears to account for ~26.72L shares across Anchor + QIB**.

BHNI application-wise subscription wasn’t fully exhausted — could some **UHNI participation be reflected there?** 👀

QIB side: most anchors appear to have **topped up**.

Banks & some of the usual short-term-oriented names don't appear prominent.

Add to that a **pretty interesting pre-IPO investor list**.

Now connect the dots… 🧩

**What does the overall setup suggest?**

Or is the market preparing its favourite trick — **surprise everyone and kill a few egos?** 😄

Just a puzzle for discussion, **not a prediction**.

**Feel free to express your views.**

⚠️ **Disclaimer:** For educational/entertainment purposes only. I am not SEBI-registered. No buy/sell recommendation. Please verify the exchange/company data yourself. The observations above may be incomplete or incorrect.

[MIT Engineers @MitEngineers]

Purple Style Labs — some interesting names emerging 👀

The pre-listing shareholding data submitted by the company to the exchanges throws up some interesting shareholders beyond the well-known institutional names. Among the disclosed holdings:

• ICICI Prudential Smallcap Fund — 26.72 lakh shares
• Volrado Venture Partners Fund II — 20.45 lakh
• Aditya Birla Sun Life Insurance — 20.28 lakh
• BofA Securities Europe SA – ODI — 10.61 lakh
• Singularity Growth Opportunities Fund I — 13.60 lakh
• Jupiter India Fund — 8.64 lakh
• Integrated Core Strategies (Asia) — 8.26 lakh
• Jitendra Kumar Bansal — 12.10 lakh
• Rahul Kayan — 11.95 lakh
• Surendra Goyal — 10.90 lakh
• Mukul Mahavir Agrawal — 10 lakh

No Banks = good news 😀😉😉

What makes it interesting is the mix of institutional funds + global investors + HNI/family-office-type names in the pre-listing shareholding.

And yes, the actual exchange-filed shareholding data is more interesting than the social-media chatter around the IPO. 👀

Source: company’s pre-listing shareholding data submitted to the exchanges.please verify independently as errors in transcription are possible. This is an observation, not investment advice or a recommendation. Not SEBI registered. DYOR before making any investment decision.

[MIT Engineers @MitEngineers]

🚨 IPO BOOM is here!

9 Mainboard + 3 SME IPOs closing in the 10–11 Sept cycle. 🤯

After going through most of the RHPs, we feel only 5 deserve some attention:

✅ 3 IPOs look genuinely interesting

⚠️ 1 more looks good, but valuation vs peers is a concern

👀 Another deserves some attention, but for us it’s more of a listing play — the sector isn’t our favourite

Still waiting for more updates & clarifications.

12 IPOs ≠ 12 opportunities.

In an IPO flood, the real skill is knowing what to skip. Choose wisely. 📚🔍

Disclaimer: Personal views based on our analysis. Not investment advice. Not SEBI registered.

[MIT Engineers @MitEngineers]

Purple Style Labs — some interesting names emerging 👀

The pre-listing shareholding data submitted by the company to the exchanges throws up some interesting shareholders beyond the well-known institutional names. Among the disclosed holdings:

• ICICI Prudential Smallcap Fund — 26.72 lakh shares
• Volrado Venture Partners Fund II — 20.45 lakh
• Aditya Birla Sun Life Insurance — 20.28 lakh
• BofA Securities Europe SA – ODI — 10.61 lakh
• Singularity Growth Opportunities Fund I — 13.60 lakh
• Jupiter India Fund — 8.64 lakh
• Integrated Core Strategies (Asia) — 8.26 lakh
• Jitendra Kumar Bansal — 12.10 lakh
• Rahul Kayan — 11.95 lakh
• Surendra Goyal — 10.90 lakh
• Mukul Mahavir Agrawal — 10 lakh

No Banks = good news 😀😉😉

What makes it interesting is the mix of institutional funds + global investors + HNI/family-office-type names in the pre-listing shareholding.

And yes, the actual exchange-filed shareholding data is more interesting than the social-media chatter around the IPO. 👀

Source: company’s pre-listing shareholding data submitted to the exchanges.please verify independently as errors in transcription are possible. This is an observation, not investment advice or a recommendation. Not SEBI registered. DYOR before making any investment decision.

[MIT Engineers @MitEngineers]

📈 Prasol Chemicals IPO (Sep 8-10) is hitting the market with a ₹500Cr issue at a ₹643-676 price band.

The Good:
🔹 150+ specialty chemical products exported to 69 countries.

🔹 Blowout financials: FY26 PAT surged 91% YoY to ₹83.12 Cr.

The Caution:
⚠️ Premium valuation (~47.1x P/E) leaves tight room for explosive listing gains.
⚠️ Huge Offer For Sale (₹420Cr goes to exiting shareholders, only ₹80Cr fresh capital).
⚠️ History of local environmental/regulatory closure orders at its plants

Disclaimer:The information provided in this investment note and tweet is for informational and educational purposes only and does not constitute legal, financial, or investment advice.

[MIT Engineers @MitEngineers]

🏗️ Glass Wall Systems (India) Ltd IPO note

✅ 87% capacity utilisation, order book 2.1x FY26 revenue

✅ Near debt-free (D/E 0.03x), ROE 39%, EBITDA margin 23%

✅ ₹500mn IPO capex → backward integration into glass processing (comm. prod. Aug'27)

⚠️ Single listed peer, PE partial exit via OFS

Not investment advice. Please do your own research/consult a SEBI-registered advisor before investing.

[MIT Engineers @MitEngineers]

Complete Sports & Management India Limited pre-listing shareholding (Significant)as per BSE disclosures:

🔹 Bharat Emerging Fund: 5,77,000 shares (2.81%)

🔹 Rajasthan Global Securities: 5,15,000 shares (2.50%)

🔹 Aarth AIF Growth Fund 1: 5,14,000 shares (2.50%)

🔹 Deepak Gangji Savla: 3,00,200 shares (2.00%)

🔹india equity fund -235000 shares (1.14%)

Disclaimer: For information only. Compiled from regulatory prospectus disclosures. Not financial advice.

[MIT Engineers @MitEngineers]

Pranav Constructions IPO: The Redevelopment Play 🏗️

#1 in Mumbai's Western Suburbs redevelopment (65 projects, 5mn sqft pipeline). RoE 34%, RoCE 24% — top of peer set incl. Godrej & Lodha.

But: 2 straight years of negative operating cash flow (₹926mn FY25, ₹412mn FY26), funded by debt + stretched payables, not collections. IPO money mostly plugs this gap, not new land.

Valuation: P/B makes it look cheap (₹28 NAV/share) — wrong lens, since they don't own land. P/E is the real one: looks ok

: High-quality asset-light model, priced for flawless execution. Watch FY27 operating cash flow before anything else.

Disclaimer: This is not investment advice. Based solely on RHP disclosures (Sept 1, 2026); Read the full RHP, especially Risk Factors, before investing. Not a recommendation to buy/sell/subscribe. Do your own research or consult a SEBI-registered advisor.

[MIT Engineers @MitEngineers]

Broader market looks exhausted — too many IPOs, too much fresh supply.

Samir Arora says: QIBs should boycott IPOs for 30 days. I say, why stop there? 😄

Let HNIs take the QIB quota.

Because today’s QIB often looks like “4 doston ka AIF” or a bank with one simple business model — apply in IPO → get allotment → FLIP. 😂

Maybe SEBI should rename QIB:

Qualified Institutional Flippers. 🤣

Just kidding… but when everyone is busy selling the new paper, who is left to buy the old market?