Swastika Castal IPO: Price, Date, GMP, And Valuation

Swastika Castal IPO under the SME IPO category is a fixed price issue of Rs. 14.07 Cr by Swastika Castal Ltd. The company was established in 1996 and has been in the field of aluminium casting, focusing on quality aluminium castings produced by different techniques, including sand, gravity, and centrifugal casting within the manufacturing industry.

It specialises in complex design sand-casting up to 250 kg and offers gravity casting up to 80 kg of notable precision and surface finish quality.

The company’s in-house heat treatment facility provides the company with superior quality control, especially for parts that require precision over mechanical attributes and their stability during dimension changes, which translates to enhancing the operational costs.

Products:

Railways and Diesel Engines: Castings for transportation and heavy machinery which are known for their dependability and strength.

Electrical Equipment and Transmission: Parts of high precision for electrical equipment and transmission.

Industrial Applications: Comprises air compressors, insulators, and general industrial applications.

The Swastika Castal IPO date is on 21 July 2025, and its initial public offering will end on 23 July 2025. 

The Rs. 14.07 Crore new SME IPO comprises a wholly fresh issue of 21.64 lac shares.

The Swastika Castal IPO listing date (expected) might be on Monday, Jul 28, 2025, and listing at the BSE and SME.

• A sizeable portion of the company’s revenue comes from a few major customers. For instance, the top 10 customers contributed over 90% of revenue in FY23-25. Any major impairment in these key clients’ orders will meaningfully impact the financial results of the business.

• A group company that shares promoters with Swastika Castal, Swastika Metcast Private Limited, has been making persistent losses and has a negative net worth. This may pose the risk of impaired direct business reputation or indirect financial liabilities for the latter.

• The financing agreements of the company impose restrictive covenants that require lender consent for important business activities. Any breach of these terms may trigger loan recalls or collateral enforcement, impacting operational capacity and the financial condition.

Backed by steady revenue growth, a reasonable P/E ratio relative to industry peers, and consistent growth in the aluminium casting sector, Swastika Castal IPO is an opportunity. The company's in-house capacity with vertical integration improves its appeal. However, risks are exposure to customer concentration and promoter-related concerns.