IPO Overview
Incorporated in March 2018, Shakti Polytarp Limited is a manufacturer of water-resistant tarpaulins and shade nets. The company is engaged in the business of manufacturing tarpaulin and other products including Shade Net. A tarpaulin is a large, strong, flexible, and water-resistant sheet used to cover and protect objects from environmental elements. Its products have diverse applications across various industries including agriculture, construction, automotive, transportation & logistics, and consumer goods. The company sells its products under the “Dinotarp” brand and operates its manufacturing facility at Nimrani, Khargone, Madhya Pradesh.
Shakti Polytarp IPO is a Book Built SME issue aiming to raise ₹26.93 crore through a fully fresh issue of equity shares. The price band is ₹56 to ₹59 per share. The IPO opens on 15 September 2026 and closes on 17 September 2026, with listing expected on BSE SME on 22 September 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – SME |
| Listing Exchange | BSE SME |
| IPO Open Date | 15 September 2026 |
| IPO Close Date | 17 September 2026 |
| Allotment Date | 18 September 2026 (Expected) |
| Refund Initiation | 21 September 2026 |
| Credit to Demat | 21 September 2026 |
| Listing Date | 22 September 2026 (Tentative) |
| Price Band | ₹56 – ₹59 per share |
| Face Value | ₹10 per share |
| Lot Size | 2,000 shares |
| Minimum Investment (Retail) | ₹2,36,000 (2 lots = 4,000 shares) |
| Minimum Investment (HNI) | ₹3,54,000 (3 lots = 6,000 shares) |
| Issue Size | ₹26.93 crore |
| Fresh Issue | 45,64,000 shares (₹26.93 crore) |
| Offer For Sale (OFS) | Nil |
Note: The entire IPO is a fresh issue — no offer-for-sale component. All proceeds go directly to the company.
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII/HNI) | ~15% |
| Retail Individual Investors (RII) | ~35% |
| Market Maker | Reserved Portion |
OFS / Selling Shareholders
There is no Offer For Sale (OFS) in this IPO. The issue is entirely fresh, with no offer-for-sale component. Shakti Polytarp plans to use the funds to support productive assets rather than provide an exit to existing shareholders.
Objects of the Issue (Fund Utilization)
The company plans to use ₹19.88 crore for purchasing new machines at its Nimrani tarpaulin manufacturing plant, with the remaining proceeds allocated towards working capital requirements and general corporate purposes.
- Capital expenditure — Purchase of new machinery at Nimrani plant — ₹19.88 crore
- Working capital requirements
- General corporate purposes
Lead Managers & Registrar
- Book Running Lead Manager: NEXGEN Financial Solutions Pvt. Ltd.
- Registrar to the Issue: Skyline Financial Services Pvt. Ltd.
- Market Maker: Prabhat Financial Services Ltd.
Promoters & Management
The promoters of the company are Ravi Singhal, Vivek Singhal, Trisha Singhal, and Priyal Singhal. Pre-issue promoter holding stands at 88.51%, which is expected to be diluted to approximately 64.92% post-issue.
Company Details
Shakti Polytarp Limited is engaged in the business of manufacturing tarpaulin and other products including Shade Net. Its products have diverse applications across various industries including agriculture, construction, automotive, transportation & logistics, and consumer goods. The company markets its products under the “Dinotarp” brand and operates an integrated manufacturing facility in Nimrani, Khargone, Madhya Pradesh.
Sectors Served:
- Agriculture
- Construction
- Transportation & Logistics
- Automotive
- Consumer Goods
Key Products:
- Tarpaulins (HDPE / LDPE based, water-resistant)
- Shade Nets
- Other plastic-based protective sheeting products
Key Capabilities:
- Integrated manufacturing facility with direct business-expansion potential through planned capacity expansion
- Dinotarp brand with established customer base
- Manufacturing plant at Nimrani, Khargone, Madhya Pradesh
Financial Snapshot
| Period | Revenue (₹ Cr) | PAT (₹ Cr) |
| FY25 | ₹166.50 | ₹4.97 |
| FY26 | ₹216.10 | ₹10.06 |
Key Financial Metrics
- Revenue grew 30% and PAT rose 102% between FY25 and FY26, reflecting strong operational momentum.
- Post-issue P/E ratio stands at 10.05x at the upper price band of ₹59. Pre-issue P/E is 7.38x. Return on Net Worth (RoNW) is 44.04%.
- Debt-to-equity ratio is 2.60x, with total borrowings of ₹72.51 crore as of the latest reporting period.
Company Strengths
- Strong revenue and profit growth — revenue up 30% and PAT up 102% in FY26, demonstrating strong operational momentum
- Attractive valuation — post-issue P/E of 10.05x is significantly cheaper than listed peers such as Commercial Syn Bags (43.93x) and Shree Tirupati Balajee Agro (24.26x)
- High return on equity — RoNW of 44.04% indicates efficient use of shareholder capital
- Entire IPO is a fresh issue — all proceeds directed towards capacity expansion, signaling growth intent with no promoter exit
- Dinotarp brand with diversified end-use applications across agriculture, construction, logistics, and consumer goods
- Integrated manufacturing facility at Nimrani supporting cost-efficient production
Key Risks & Challenges
- High debt burden — borrowings stand at ₹72.51 crore, resulting in a high debt-to-equity ratio of 2.60x, which poses financial risk especially in a rising interest rate environment
- Thin profit margins and dependence on plastic granules as raw material exposes the company to commodity price volatility
- SME IPO liquidity risk — limited secondary market depth on BSE SME platform
- Relatively young company — incorporated in March 2018, with limited operational history of ~8 years
- Polymer and tarpaulin segment remains a low-differentiation, competitive market with pricing pressure from unorganized players
- Execution risk on planned capacity expansion — if new machinery deployment is delayed, growth projections may not materialize
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.
