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Defrail Technologies Announces ₹13.77 Crore SME IPO; Subscription Opens Jan 9 with Price Band at ₹70–74

Defrail Technologies Announces ₹13.77 Crore SME IPO; Subscription Opens Jan 9 with Price Band at ₹70–74

 

1. IPO Timeline & Investment Details

EventDate
IPO Opening DateJanuary 9, 2026
IPO Closing DateJanuary 13, 2026
Basis of AllotmentJanuary 14, 2026
Refunds / Credit of SharesJanuary 15, 2026
Listing Date (BSE SME)January 16, 2026
  • Price Band: ₹70 to ₹74 per share.
  • Lot Size: 1,600 shares.
  • Minimum Retail Investment: ₹1,18,400 (for 1 lot).
  • Issue Type: 100% Fresh Issue of 18,60,800 equity shares.

 

2. Financial Performance (H1 FY26 Updates)

Defrail has shown significant growth following its consolidation of legacy businesses (Vikas Rubber and Impex Hitech) in early 2024

  • Revenue (FY25): ₹62.21 crore.
  • Revenue (H1 FY26): ₹39.08 crore (for the period ending Sept 30, 2025).
  • Profit (PAT): ₹1.51 crore in the first half of FY26.
  • Key Margins: EBITDA margin stands at 9.29%, with a robust Return on Net Worth (RoNW) of 73.72%.

 

3. Strategic Use of Funds

The company plans to deploy the proceeds (approx. ₹13.77 crore) as follows:

  • Machinery & Equipment: ₹7.96 crore for expanding production capacity of rubber hoses and molded parts.
  • Solar Energy: ₹1.73 crore for installing solar panels at their manufacturing plants to reduce operational costs.
  • General Corporate Purposes: The remainder for working capital and brand building.

 

4. Business Strengths & Market Position

  • Diversified Client Base: Supplies to OEMs in the automotive sector and is a registered vendor on the Government e-Marketplace (GeM).
  • Railway Expertise: Holds RDSO approval, making it a key supplier for Indian Railways infrastructure.
  • Manufacturing Hub: Operates two ISO-certified plants in Faridabad, Haryana, spanning over 7,200 sq. yards.

 

5. Grey Market Premium (GMP) Update

As of January 8, 2026, market observers report a GMP of ₹0, indicating that the shares are currently expected to list at their issue price. However, with the anchor portion being finalized today, market sentiment may shift before the public opening tomorrow.