About
Swastika Castal Limited is a leading name in the aluminium casting industry, renowned for its commitment to precision engineering, consistent innovation, and quality-driven manufacturing practices. Established in 1996 and headquartered in Kolkata, with a modern corporate office in Vadodara, the company has steadily evolved into a trusted partner for high-pressure and low-pressure die casting solutions across diverse industrial sectors.
As part of its strategic growth initiatives, Swastika Castal Limited is launching its Initial Public Offering (IPO) of 21,65,000 equity shares through a 100% fresh issue. The issue is being made under Fixed Price methodology on the BSE SME platform, in accordance with Chapter IX of the SEBI (ICDR) Regulations, 2018. This IPO aims to not only strengthen the company’s financial position but also to fund future expansion, meet working capital requirements, and support general corporate purposes.
Driven by a vision to become a benchmark in metallurgical innovation, Swastika Castal continues to expand its product capabilities, client base, and operational efficiency. The upcoming IPO marks a significant milestone in its journey, opening the doors to public investors for the very first time.
Please read the DRHP for more details: Click here
IPO Details
| Issue Price | 65 |
|---|---|
| Minimum Lot Size Retail | 2*2000/Lot (2,60,000) |
| Maximum Lot Size Retail | 2*2000/Lot (2,60,000) |
| S-Minimum Lot Size HNI | 3 Lots (3,90,000) |
| S-Maximum Lot Size HNI | 7 Lots (9,10,000) |
| Issue Type | Fresh Issue |
| Issue Size | 21,64,000 shares |
(aggregating up to ₹14.07 Cr)|
IPO Timeline
| Issue Period | 21st July - 23rd July 2025 |
|---|---|
| Allotment Date | 24th July 2025 |
| Refund Initiation Date | 25th July 2025 |
| Demat Transfer Date | 25th July 2025 |
| Listing Date | 28th July 2025 |
Key Strengths
- Swastika Castal Limited has a long-standing track record in the aluminium casting sector, operating since 1996, and has earned a reputation for reliability and quality with both domestic and international clients.
- The company utilizes advanced manufacturing facilities in Vadodara, Gujarat, and offers a range of specialized casting techniques, including sand casting, gravity die casting, and centrifugal casting, enabling it to handle complex and customized client requirements efficiently.
- Its IPO is a 100% fresh issue of up to 21,65,000 equity shares, and all proceeds from the Fixed Price Issue are intended for business expansion, acquisition of new plant and machinery, and working capital enhancement, indicating clear forward-looking growth plans.
- Swastika Castal serves a diversified client base, including notable exports to Europe and the USA, which provides a competitive edge and aligns the business with international quality standards.
- The company is guided by experienced leadership and supported by skilled teams and modern quality control infrastructure, providing operational excellence and setting the foundation for continued growth.
Key Risk Factors
- A significant proportion of revenue is dependent on a small number of large customers; for example, over 92% of revenue in recent periods came from the top ten clients, making the company vulnerable to client-specific disruptions.
- Procurement of raw materials, especially aluminium and alloys, is highly concentrated among a few suppliers, with over 98% sourced from the top ten vendors, leaving operations exposed to supply chain risks.
- The company does not have long-term contracts with either customers or suppliers, and most transactions are based on short-term purchase orders, providing limited recourse in the event of disputes or changes in business relationships.
- Swastika Castal has capital- and working capital-intensive operations; any delays or cost overruns in the expansion projects funded by the IPO could affect financial stability and profitability.
- This is the company’s first public issue, and there is no assurance of active trading or favorable price realization post-listing, as the equity shares have no existing formal market prior to the IPO.
Check the Allotment Status:
To check your allotment status – click here.
Financials of Swastika Castal Limited
| Period / Metric | Jan 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 |
|---|---|---|---|---|
| Revenue from Operations (₹ Lakhs) | 2,364.08 | 2,277.24 | 2,401.09 | 2,303.80 |
| Operating Profit Margin (%) | 16.75 | 10.88 | 9.69 | 9.29 |
| Profit After Tax (PAT, ₹ Lakhs) | 196.86 | 64.98 | 58.47 | 60.74 |
| Cash & Cash Equivalents (₹ Lakhs) | 122.08 | 124.52 | 182.30 | 132.28 |
| Return on Capital Employed (ROCE, %) | 25.97 | 14.75 | 14.62 | 14.41 |
| Return on Equity (ROE, %) | 21.83 | 8.43 | 8.24 | 9.35 |
| Earnings Per Share (EPS, ₹) | 3.28 | 1.08 | 0.97 | 1.01 |
IPO FAQs
What is an IPO and how does it work?
An IPO (Initial Public Offering) is when a private company offers its shares to the public to raise capital and becomes publicly listed. In India, companies list their shares on exchanges (NSE/BSE) through IPOs. During the IPO subscription period, investors bid for shares via a broker or trading app. After the IPO closes, shares are allotted to investors and start trading on the stock market.
How to apply for an IPO with Zerodha or Upstox?
You can apply through online brokers like Zerodha or Upstox. For example, Zerodha’s Kite platform lets you apply via UPI or ASBA: log in to Kite, go to Bids → IPO → Apply, select the IPO, enter your bid quantity and price, submit, and approve the UPI mandate. Upstox works similarly: log in to the Upstox app or website, find the IPO section, select the IPO, enter lot size and bid price, input your UPI ID, and authorize the payment. Make sure your Demat account and linked bank account are ready before applying.
How is an IPO allotted to investors?
IPO shares are allocated by category. Typically, Indian IPOs have quotas for Retail, High Net Worth Individuals (HNIs), and Qualified Institutional Buyers (QIBs). Retail and HNI allotments usually use a lottery if oversubscribed, whereas QIBs get prorata allotment. For example, if demand from retail investors far exceeds available shares, a lottery (draw) decides who gets shares. Unsuccessful applicants simply get their blocked funds released.
What is GMP (Grey Market Premium) in an IPO?
GMP stands for Grey Market Premium. It is the unofficial premium above the IPO price that shares trade for in the grey market before listing. For example, if an IPO is priced at ₹100 and grey market traders are paying ₹120 per share, the GMP is ₹20. A positive GMP indicates strong demand and suggests potential listing gains, but remember this market is unregulated and unofficial, so GMP is only an indicative signal, not a guarantee.
What is the IPO calendar and where can I find upcoming IPOs?
An IPO calendar is a schedule of upcoming IPO issues (opening/closing dates, sizes, etc.). In India, IPO calendars are published on financial websites and exchange portals. For instance, sites like Chittorgarh or IPOWatch list upcoming IPOs and their timelines. You can also check NSE or BSE official websites under “New Listings” or “Upcoming Issues” for authoritative updates.
What are IPO listing gains and how do they work?
Listing gain is the profit an investor makes if a stock’s listing (opening) price is higher than its IPO issue price. In other words, if you bought at ₹150 and the stock opens at ₹200 on day one, your listing gain is ₹50 per share. Many investors apply to IPOs hoping for such gains. However, share prices can also fall on listing day if demand is weak, so listing gains are not guaranteed.
How does an IPO give profit to investors?
Investors profit from IPOs mainly in two ways: listing gains and longterm growth. On listing day, a share price often jumps if demand is strong, yielding an immediate gain. Over the longer term, if the company performs well, investors can earn from stock price appreciation. As one analysis notes, IPO investors aim for “longterm stock growth or immediate listing gains”. Always remember that IPOs carry risk, so profits depend on both market demand and company fundamentals.
Which IPO is best to buy today?
There’s no one “best” IPO to buy; it depends on the company’s fundamentals and market sentiment. Indian investors typically check the IPO’s prospectus, valuation, and oversubscription levels. The grey market premium (GMP) can give a clue: a high GMP suggests strong demand and potential listing gains. For example, if a GMP is ₹30 on a ₹100 issue, investors expect about a ₹30 upside on listing. However, always do your research on the business model and pricing. High demand or a big GMP doesn’t guarantee a profitable investment, so choose IPOs carefully.
Are IPOs safe investments?
IPOs can be profitable but come with risk. Often a heavily oversubscribed IPO will see a big price jump on day one (strong initial demand). However, many factors affect postlisting performance. As noted, “a high oversubscription does not always mean strong postlisting performance”. New IPO companies may be volatile initially, so share prices can fall if market conditions change. Retail investors should be cautious: IPO gains can be high, but IPOs also carry uncertainties and require strong risk tolerance.
How to check IPO allotment status?
After the allotment date, you can check your IPO status on exchange or registrar websites. For example:
- BSE: Go to BSE’s “Application Status Check”, select Equity, pick the IPO and enter your PAN or application number.
- NSE: Visit NSE’s “Application Status Check” under Resources/Tools, select your IPO, and enter your PAN/application details.
This will show whether your bid was allotted and how many shares you got. You can also check the registrar’s site (e.g. Bigshare, KFintech) by entering PAN or application number as guided.