IPO Overview
Horizon Reclaim (India) Ltd., founded in 2006 and headquartered in Saharanpur, Uttar Pradesh, is one of the leading manufacturers of reclaimed rubber in India. The company processes used rubber materials such as old tyres, rubber tubes, tread peelings, and industrial rubber scrap to produce value-added reclaimed rubber products. Its product portfolio includes Natural Rubber Reclaim, Synthetic Rubber Reclaim, and Crumb Rubber — used across automotive, footwear, construction, and industrial sectors — and it operates entirely in the B2B segment.
The company is now launching its SME IPO on the BSE SME platform. The IPO is a 100% fresh issue of 52.69 lakh equity shares aggregating to ₹54.27 crore, priced in a band of ₹98 to ₹103 per share. There is no offer-for-sale component, meaning all proceeds will flow directly into the business. The IPO opens on 12 June 2026 and closes on 16 June 2026, with listing expected on 19 June 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – SME |
| Listing Exchange | BSE SME |
| Anchor Investor Date | 11 June 2026 |
| IPO Open Date | 12 June 2026 |
| IPO Close Date | 16 June 2026 |
| Allotment Date | 17 June 2026 (Expected) |
| Credit to Demat | 18 June 2026 |
| Refund Initiation | 18 June 2026 |
| Listing Date | 19 June 2026 (Tentative) |
| Price Band | ₹98 – ₹103 per share |
| Face Value | ₹10 per share |
| Lot Size | 1,200 shares |
| Minimum Investment (Retail) | ₹2,47,200 (2 lots = 2,400 shares) |
| Minimum Investment (HNI) | ₹3,70,800 (3 lots = 3,600 shares) |
| Issue Size | ₹54.27 crore |
| Fresh Issue | 52,69,200 shares (₹54.27 crore) |
| Offer For Sale (OFS) | Nil |
Note: The entire IPO is a fresh issue — no promoter exit. All IPO proceeds go directly to the company.
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | 25,02,000 shares (~49.99%) |
| Non-Institutional Investors (NII) | 7,51,200 shares (~15.01%) |
| Retail Individual Investors (RII) | 17,52,000 shares (~35.00%) |
| Market Maker (Firm Allotment) | 2,64,000 shares |
OFS / Selling Shareholders
Horizon Reclaim (India) IPO is entirely a fresh issue of equity shares. There is no offer-for-sale component in the IPO. No existing shareholders are exiting through this issue.
Objects of the Issue (Fund Utilization)
From the net proceeds of the IPO, the company will utilize ₹9.43 crore for capital expenditure on installation of additional plant and machinery, ₹6.00 crore for working capital requirements, and ₹26.70 crore for repayment/prepayment of certain borrowings. The remaining proceeds will be used for general corporate purposes.
- Repayment / prepayment of borrowings — ₹26.70 crore
- Capital expenditure — installation of additional plant & machinery — ₹9.43 crore
- Working capital requirements — ₹6.00 crore
- General corporate purposes — remaining proceeds
Lead Managers & Registrar
- Book Running Lead Manager: GYR Capital Advisors Pvt. Ltd.
- Registrar to the Issue: Kfin Technologies Ltd.
- Market Maker: Giriraj Stock Broking Pvt. Ltd.
Promoters & Management
The promoters of the company are Mr. Mohit Bajaj and Mrs. Malika Bajaj. The promoter family has been running the reclaimed rubber manufacturing business since the company’s inception in 2006, bringing nearly two decades of domain expertise in rubber recycling and industrial sales.
Company Details
Horizon Reclaim (India) Ltd. specializes in converting discarded rubber waste into value-added reclaimed rubber products. The company utilizes materials such as worn-out tyres, inner tubes, tread scraps, and industrial rubber residues to manufacture eco-friendly rubber compounds for various industrial applications.
Sectors Served:
- Automotive (weather strips, sealing, rubber parts)
- Footwear (soles, components)
- Construction (rubber mats, underlayers)
- Moulded Rubber Goods
- General Industrial Applications
Key Products:
Natural Rubber Reclaim is manufactured from recycled tyre casings and tubes, and is widely used in the production of footwear components, rubber mats, tyre underlayers, and other moulded rubber goods. Synthetic Rubber Reclaim includes reclaimed EPDM and Butyl rubber grades catering to industries requiring automotive weather strips and sealing applications. Crumb Rubber is the third product category offered in the B2B segment.
Key Capabilities:
- In-house manufacturing facility with full quality control processes
- Nearly 2 decades of operating experience in reclaimed rubber manufacturing
- Diversified customer base, experienced promoters, and strong quality control processes
Manufacturing Facility:
- Khasra No. 9, Dehradun Road, Near Nirankari Bhawan, Village Kumar Hera, Saharanpur, Uttar Pradesh — 247001
Employees: 81 employees as of March 31, 2026
Financial Snapshot
| Period | Total Income (₹ Cr) | PAT (₹ Cr) |
| FY23 | ₹184.81 | ₹32.10 |
| FY24 | ₹206.45 | ₹34.44 |
| FY25 | ₹322.58 | ₹28.13 |
| FY26 (Full Year) | ₹500.11 | ₹10.50 |
| 9M FY26 (Dec 2025) | ₹236.50 | ₹38.69 |
Key Financial Metrics
- Revenue CAGR of approximately 32% from FY23 to FY25, growing from ₹184.81 crore to ₹322.58 crore. However, the bottom line showed inconsistency — PAT declined in FY25 to ₹28.13 crore due to an extraordinary item of ₹16.97 crore, before recovering sharply in 9M FY26 to ₹38.69 crore.
- PAT margin dropped sharply from 16.92% in FY24 to just 8.97% in FY25, primarily due to an extraordinary item. In the first nine months of FY26, the company earned a net profit of ₹38.69 crore on revenue of ₹236.50 crore, implying a PAT margin of 16.65%.
- Average EPS of ₹25.00 for the last two fiscals; average RoNW of 23.17%. At 9M FY26 annualised earnings, the issue is priced at a P/E of 15.51x; based on FY25 earnings, P/E stands at 28.44x.
- Overall borrowings stood at ₹242.57 crore as of December 31, 2025.
Company Strengths
- Nearly two decades of operating experience in reclaimed rubber manufacturing, having built a strong presence in the reclaimed rubber industry since 2006.
- Growing demand for recycled rubber products driven by sustainability initiatives and India’s circular economy focus.
- Strong revenue growth trajectory — total income grew from ₹184.81 crore in FY23 to ₹500.11 crore in FY26
- In-house manufacturing facility with diversified customer base and strong quality control processes.
- Entire IPO is a fresh issue — zero promoter exit; all proceeds directed towards debt reduction and capacity expansion
- Out of the last 11 listings managed by lead manager GYR Capital, 2 listed at par and the rest listed at a premium ranging from 4.92% to 90.00% on listing date.
Key Risks & Challenges
- Sharp bump in profitability during the pre-IPO period of 9M FY26 has raised analyst concerns about the sustainability of margins going forward.
- Overall borrowings of ₹242.57 crore as of December 31, 2025 are elevated relative to the company’s size and raise concerns about financial leverage.
- The company operates in a highly competitive and fragmented reclaimed rubber segment with no clearly comparable listed peers, making valuation benchmarking difficult.
- The B2B customer base is geographically concentrated in north-western India — predominantly SMEs and industrial buyers in footwear, automotive, and construction sectors.
- SME IPO liquidity risk — limited secondary market trading volumes on the BSE SME platform
- Small workforce of only 81 employees may constrain execution capacity as the company scales up operations
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
