Introduction: Brass Industry Spotlight
The Indian SME sector continues to attract significant investor attention, and the upcoming Initial Public Offering (IPO) from Narmadesh Brass Industries Ltd. is poised to be a key event in the manufacturing space. Based in Jamnagar, Gujarat—India's recognized 'Brass City'—this company offers a deep dive into specialized brass component manufacturing. For potential investors, understanding the nuances of this Fixed Price Issue on the BSE SME platform is crucial before committing capital.
This post compiles all the necessary data, from issue mechanics to the company's underlying business strengths, to help you form an informed perspective.
Key IPO Snapshot and Timeline
Narmadesh Brass Industries is launching a Fixed Price IPO, combining both a Fresh Issue of shares to raise capital for growth and an Offer for Sale (OFS) component. The subscription window opens in mid-January 2026.
IPO Schedule At A Glance (Tentative Dates)
| Event | Tentative Date |
|---|---|
| IPO Opens for Subscription | Monday, Jan 12, 2026 |
| IPO Closes for Subscription | Thursday, Jan 15, 2026 |
| Finalization of Basis of Allotment | Friday, Jan 16, 2026 |
| Initiation of Refunds / Credit to Demat | Monday, Jan 19, 2026 |
| Tentative Listing Date on BSE SME | Tuesday, Jan 20, 2026 |
Progress Bar: IPO Subscription Status (Visual Placeholder)
(Subscription status will update dynamically once bidding commences.)
IPO Offering Structure Details
The total issue size aggregates up to ₹45 Crores. The funds raised will be strategically deployed across key business areas.
Breakdown of Shares Offered
| Investor Category | Shares Offered | Percentage (%) |
|---|---|---|
| Market Maker Reserve | 45,600 | 5.23% |
| Non-Institutional Investors (NII/HNI) | 4,12,800 | 47.38% |
| Retail Individual Investors (RII) | 4,12,800 | 47.38% |
| Total Shares Offered | 8,71,200 | 100.00% |
The issue price is fixed at ₹515 per share, with a face value of ₹10.
Investment Lot Size Requirements
Investment in the IPO must adhere to specific lot sizes:
- Minimum Application (Retail): 2 Lots, totaling 480 shares, requiring an investment of ₹2,47,200.
- HNI Minimum Application: 3 Lots, totaling 720 shares, amounting to ₹3,70,800.
Business Overview: Manufacturing Prowess in Jamnagar
Narmadesh Brass Industries is deeply rooted in Jamnagar, Gujarat, leveraging its strategic location in the brass manufacturing hub. They manage the entire production lifecycle in-house, which is a significant operational advantage.
Core Product Portfolio and Capabilities
- Key Products: Brass Billets, Brass Rods, various Brass Valves (including Ball Valves and NRVs), and extensive Plumbing/Sanitary Fittings.
- Value-Added Services: Expertise in Customization via Casting, Forging, Turning, and precision CNC & VMC Machined Components.
- Quality Assurance: Certified with ISO 9001:2015 for their Quality Management System, signifying adherence to global standards.
Financial Health Check (Restated Figures in ₹ Crore)
Analyzing the recent financial performance provides insights into operational efficiency and growth trajectory. The figures show a positive trend in total income leading up to the latest reported period.
Select Financial Performance Indicators
| Metric | Sep 30, 2025 | Mar 31, 2025 | Mar 31, 2024 |
|---|---|---|---|
| Total Income | 34.21 | 88.05 | 79.06 |
| Profit After Tax (PAT) | 4.01 | 5.72 | 7.10 |
| Total Borrowing | 19.21 | 24.73 | 22.43 |
Efficiency Ratios (KPIs)
| Indicator | Sep 30, 2025 | Mar 31, 2025 |
|---|---|---|
| Return on Equity (ROE) | 17.86% | 49.99% |
| PAT Margin | 11.74% | 6.52% |
Ownership Structure and Capital Deployment
Promoter Holding Dynamics
The initial ownership is highly concentrated, a common trait in SME listings. Post-issue, this will dilute significantly due to the fresh capital infusion.
| Holding Metric | Pre-IPO (%) | Post-IPO (%) |
|---|---|---|
| Promoter Holding | 99.92% | 71.84% |
Objectives of the Issue Proceeds
The primary utilization of the net proceeds is focused on debt reduction and capacity enhancement:
| Purpose | Estimated Amount (₹ Cr) |
|---|---|
| Repayment/Prepayment of Outstanding Borrowings | 14.50 |
| Purchase of Machinery and Equipment | 3.29 |
| Funding Working Capital Requirements | 10.20 |
| General Corporate Purpose | 4.60 |
Strategic Assessment: Strengths, Weaknesses, Opportunities, Threats (SWOT)
A balanced view requires looking beyond the financials to assess the company's competitive positioning.
Competitive Advantages (Strengths)
- Geographical Advantage: Operations based in Jamnagar, providing proximity to raw material sources and industry expertise.
- Integrated Manufacturing: Control over the entire chain, from casting billets to finished goods, enhancing quality control and agility.
- Established Management: Experienced leadership providing stability and continuity to the business operations.
Areas for Scrutiny (Weaknesses & Threats)
- High Existing Debt: Although repayment is an objective, current total borrowings remain significant relative to net worth, indicating leverage.
- Dependence on Contract Labor: The utilization of 81 contract laborers suggests potential workforce management risks compared to a fully permanent setup.
- Commodity Price Risk: As a brass manufacturer, profitability is highly sensitive to fluctuations in copper and zinc prices (raw materials).
Future Prospects (Opportunities)
- Infrastructure Push: Growing domestic demand for plumbing and fittings driven by construction and infrastructure sectors.
- Export Market Penetration: Leveraging ISO certification to expand the customer base in international markets for high-quality brass components.
Intermediaries Managing the Issue
The success of the IPO process relies heavily on experienced managers and registrars.
Registrar and Lead Manager Details
- Book Running Lead Manager (BRLM): Aryaman Financial Services Ltd.
- Registrar to the Issue: Kfin Technologies Ltd. (Contact details include phone numbers and an official website link for allotment status checks).
- Market Maker: JSK Securities & Services Pvt.Ltd. ensures liquidity post-listing on the SME exchange.
Company Contact Information
For direct inquiries or verification of documents, the registered office details are provided below:
Address: Plot No. 5, 8 & 9, Survey No. 433, Shree Ganesh Industrial Hub, Changa Village, Jamnagar, Gujarat, 361012
Phone: +91 028 95299401
Email: info@narmadeshbrass.com