Bombay Coated & Special Steels Limited is a Mumbai-based steel processing company. It converts steel coils into value-added products such as slit coils, blanks and sheets for OEMs and ODMs in appliances, automotive, electrical equipment and general engineering. It runs processing units at Wada and Bhiwandi in Maharashtra, Ghiloth in Rajasthan and Sricity in Andhra Pradesh.
The company is now bringing a mainboard book-built IPO of ₹183.06 crore, entirely a fresh issue with no offer for sale. The price band is ₹78–₹82 per share and the lot size is 182 shares. The issue opens on 29 October 2026, closes on 2 November 2026 and is set to list on BSE and NSE on 5 November 2026. About ₹125 crore of the proceeds will repay existing borrowings.
IPO Details
| Parameter | Details |
| IPO Type | Book Built – Mainboard |
| Listing Exchange | BSE & NSE |
| Anchor Bidding Date | 28 October 2026 |
| IPO Open Date | 29 October 2026 |
| IPO Close Date | 2 November 2026 |
| Allotment Date | 3 November 2026 (Expected) |
| Refund Initiation | 4 November 2026 |
| Credit to Demat | 4 November 2026 |
| Listing Date | 5 November 2026 (Tentative) |
| Price Band | ₹78 – ₹82 per share |
| Face Value | ₹10 per share |
| Lot Size | 182 shares |
| Minimum Investment (Retail) | ₹14,924 (1 lot = 182 shares) |
| Maximum Investment (Retail) | ₹1,94,012 (13 lots = 2,366 shares) |
| Minimum Investment (S-HNI) | ₹2,08,936 (14 lots = 2,548 shares) |
| Minimum Investment (B-HNI) | ₹10,14,832 (68 lots = 12,376 shares) |
| Issue Size | ₹183.06 crore |
| Fresh Issue | ~2.23 crore shares (₹183.06 crore at upper band) |
| Offer For Sale (OFS) | Nil |
Note: The entire IPO is a fresh issue. All proceeds go to the company.
Issue Break-up
| Category | Allocation | Approx. Shares |
| Qualified Institutional Buyers (QIB) | Not more than 50% | ~1,11,62,000 |
| Non-Institutional Investors (NII) | Not less than 15% | ~33,48,600 |
| Retail Individual Investors (RII) | Not more than 35% | ~78,13,400 |
OFS / Selling Shareholders
There is no Offer For Sale in this IPO. No promoter or existing shareholder is selling shares, and all proceeds will be received by the company.
Objects of the Issue
| Object | Amount (₹ Cr) |
| Repayment / prepayment of certain borrowings | 125.00 |
| Financing the cost of acquiring capital equipment under existing lease arrangements with Siemens Financial Services Pvt. Ltd. | 15.77 |
| General corporate purposes | Balance, after issue expenses |
| Identified uses | 140.77 |
Debt repayment takes about 68% of the gross issue size. The exact general corporate purposes amount was not confirmed in the sources I reviewed.
Lead Managers & Registrar
- Book Running Lead Manager: Smart Horizon Capital Advisors Pvt. Ltd.
- Registrar to the Issue: Kfin Technologies Ltd.
Promoters & Management
The promoters are Vijaykumar Himatrai Gupta, Nitin Vijaykumar Gupta and Bhawna Nitin Gupta.
| Particular | Pre-IPO | Post-IPO |
| Promoter & Promoter Group | 97.78% | 63.03% |
| Public / Others | 2.22% | 36.97% |
Promoter holding falls only through dilution from the new issue, since no promoter shares are being sold.
Company Details
Background: The company was incorporated as a private limited company in Mumbai on 26 December 2019 and later converted to a public limited company. It took over the business of Bombay Steels through a business transfer agreement in January 2021.
Business Model: It runs a multi-location steel processing centre that serves the customised needs of OEMs and ODMs. It mainly buys coated coils (galvalume, colour-coated, galvanized) plus cold-rolled and hot-rolled coils, and sources most of its raw material as an authorised service partner of JSW Steel Coated Products.
Key Products & Services
- Slit coils, embossed slit coils, blanks, embossed blanks and sheared blanks
- Precision slitting, cut-to-length processing, shearing and embossing
- Logistics and inventory management services alongside processing
Industries Served: home and commercial appliances, automotive and auto components, electrical equipment, pharmaceutical cleanroom infrastructure, ventilation systems and general engineering.
Facilities: Plants in Maharashtra, Rajasthan and Andhra Pradesh with a combined annual processing capacity of 1,23,153 metric tonnes. The four sites cover about 42,209 sq. metres.
Financial Snapshot
Restated figures, ₹ crore. Basis: standalone, Latest period: Q1 FY27 (quarter ended 30 June 2026).
| Period | Total Income | PAT |
| FY24 (Mar-24) | 765.41 | 21.19 |
| FY25 (Mar-25) | 1,058.65 | 28.67 |
| FY26 (Mar-26) | 1,269.83 | 30.54 |
| Q1 FY27 (Jun-26) | 397.55 | 15.08 |
Analysis
- Revenue grew about 38% in FY25 and 20% in FY26, but PAT growth slowed from about 35% to about 6.5%.
- PAT margin slipped from 2.8% to 2.4% across FY24–FY26, so growth came with thinner profitability.
- Q1 FY27 PAT of ₹15.08 crore is about 49% of full FY26 PAT, on 31% of FY26 revenue. This sharp margin jump just before the IPO needs to be sustained.
- Q1 FY27 revenue annualises to about ₹1,590 crore, roughly 25% above FY26.
- Debt-to-equity of 2.78 means profits depend heavily on borrowed funds.
Company Strengths
- Entirely fresh issue: no promoter exit, and the promoters keep about 63% after listing.
- Strong top-line growth: revenue up about 38% in FY25 and 20% in FY26, with Q1 FY27 stronger still.
- Multi-location network: four units across three states with about 1.23 lakh MT annual capacity.
- Raw material access: authorised service partner of JSW Steel Coated Products.
- Diverse end-industries: appliances, auto, electrical equipment, pharma cleanrooms and ventilation.
- Deleveraging from the IPO: ₹125 crore of proceeds will repay borrowings, which should ease interest burden.
- Higher returns than listed peers: RoNW of 25% against roughly 5–12% for the peers listed.
Key Risks & Challenges
- High leverage: debt-to-equity is 2.78. On RoNW of 25.12%, net worth works out to roughly ₹120 crore, which implies borrowings of about ₹340 crore (my estimate).
- Thin margins: EBITDA margin is 6.04% and PAT margin 2.41%, so small cost or price shifts can erase profits.
- Raw material concentration: most supply comes through the JSW Steel Coated Products arrangement, and steel prices are volatile.
- Slowing profit growth: FY26 PAT rose only about 6.5% on 20% revenue growth.
- Pre-IPO profit spike: Q1 FY27 PAT is about half of FY26 PAT, and may not repeat.
- Leverage-driven returns: ROE of about 30% against ROCE of 16.4%.
- Valuation not cheap: post-IPO P/E of about 16.9x is above BMW Industries at about 15x, for a low-margin business.
- Leased equipment: ₹15.77 crore goes to buy equipment currently held under lease from Siemens Financial Services.
- Cyclical end-demand: appliance and auto demand can swing with the economy.
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.
