# Avtar Steel Limited: IPO analysis > Avtar Steel Limited (CIN U27104DL1996PLC078684) has filed a Draft Red Herring Prospectus with SEBI for an IPO comprising a fresh issue of ₹585 Cr and an offer for sale of 50 lakh shares. In FY26 it reported revenue of ₹1,263 Cr (+13.5% on FY25) and a net profit of ₹59 Cr. Promoters hold 78.0% before the IPO. Our fact-check of its claims found no medium or high concerns across 40 claims checked. - Page: https://ipo.innerkore.com/company/U27104DL1996PLC078684/avtar-steel-limited/ - CIN: U27104DL1996PLC078684 - Last updated: 21 Aug 2026 ## Key facts - **Company:** Avtar Steel Limited - **CIN:** U27104DL1996PLC078684 - **Filing stage:** DRHP - **Latest SEBI filing:** 21 Aug 2026 - **Fresh issue:** ₹585 Cr - **Offer for sale:** 50,00,000 shares - **Listing on:** BSE, NSE - **Revenue FY26:** ₹1,263 Cr - **Revenue growth:** +13.5% - **Net profit FY26:** ₹59 Cr - **Revenue CAGR FY24 to FY26:** 7.0% - **Promoter holding (pre-IPO):** 78.0% - **Lead managers:** Systematix Corporate Services Limited - **Registrar:** KFin Technologies Limited - **Fact-check flags:** 0 high, 0 medium, 0 low ## Key signals (read from the filing; not investment advice) - **Growth** (concern): 7% a year. Sales FY24 to FY26; latest year +13.5%. - **Profitability** (look closer): 4.7% net margin. FY26; operating margin steady. - **Debt** (looks fine): 0.23x equity. ₹335 crore borrowed at the end of FY26. - **Profit into cash** (looks fine): 91% of profit. Operations brought in ₹53.7 crore against ₹59.2 crore of profit in FY26. - **One-off income** (look closer): 17% of profit. Other and one-off income is 17% of pre-tax profit. - **Red flags** (looks fine): None serious. 40 claims checked: 0 high, 0 medium concern. ## Financial snapshot (₹ crore unless stated; consolidated) | | FY24 | FY25 | FY26 | |---|---:|---:|---:| | Sales | 1,103 | 1,113 | 1,263 | | Sales growth | – | 0.9% | 13.5% | | Operating profit | 51 | 83 | 113 | | Operating margin | 4.7% | 7.5% | 8.9% | | Net profit | 20 | 37 | 59 | | Net margin | 1.9% | 3.3% | 4.7% | | Net worth | 934 | 1,190 | 1,489 | | Borrowings | 265 | 324 | 335 | | Return on equity | 2.2% | 3.1% | 4.0% | ## Use of proceeds (fresh issue) - Part-financing the capital expenditure towards construction of facility, namely Specialty Steel Melting Division, for manufacturing special steel (alloy steel, carbon steel, valve steel), stainless-steel blocks and blooms, and expansion of stainless-steel wire at the existing facility, namely, Wire Rod and Bar Division: ₹200 crore - Repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by our Company: ₹200 crore - General corporate purposes(2)(3): amount not fixed yet ## Fact-checked claims - **NONE** (PromoterBackground): Ayushi Jindal was appointed as a Whole-time Director with effect from May 12, 2025, and as a Whole-time Director on August 1, 2025.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the appointment dates of Ayushi Jindal as a Whole-time Director in Avtar Steel Limited. - **NONE** (PromoterBackground): Sumit Jindal was appointed as the Managing Director on June 5, 2025, and as the Chairman on August 1, 2025.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the appointment dates of Sumit Jindal as Managing Director and Chairman of Avtar Steel Limited. - **NONE** (SubsidiaryPerformance): Shivayu Inox and Alloys received its certificate of formation dated March 29, 2023.. No web search results were found to corroborate, contradict, or provide any information regarding the claim that Shivayu Inox and Alloys received its certificate of formation on March 29, 2023. - **NONE** (SubsidiaryPerformance): Industry and market data used in this section has been derived from the industry report titled “Industry Research Report on SS, Alloy and Special Steel and Aluminium Products Industry” dated August, 2026.. No web search results were found to corroborate, contradict, update, or provide any information regarding the industry report mentioned in the claim. - **NONE** (SubsidiaryPerformance): Global economic growth is expected to moderate to around 3.0% in 2026 due to geopolitical tensions.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that global economic growth is expected to moderate to around 3.0% in 2026 due to geopolitical tensions. - **NONE** (PromoterBackground): SJ Fincap Private Limited is a Promoter Group entity where Sumit Jindal is a shareholder but is not engaged in a similar business.. No current web search results were found to corroborate, contradict, or provide any information regarding the claim about SJ Fincap Private Limited and Sumit Jindal. - **NONE** (PromoterBackground): Sumit Jindal may be deemed interested in payments made by the Company to S. J. International Private Limited for a lease deed.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Sumit Jindal may be deemed interested in payments made by Avtar Steel Limited to S. J. International Private Limited for a lease deed. - **NONE** (PromoterBackground): Sumit Jindal may be deemed interested in payments made by the Company to SJ Global Private Limited for a lease deed.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Sumit Jindal may be deemed interested in payments made by Avtar Steel Limited to SJ Global Private Limited for a lease deed. - **NONE** (PromoterBackground): Sumit Jindal may be deemed interested in payments made by the Company to BSA Finvest Private Limited for lease deeds.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Sumit Jindal may be deemed interested in payments made by Avtar Steel Limited to BSA Finvest Private Limited for lease deeds. - **NONE** (PromoterBackground): Sumit Jindal may be deemed interested in payments made by the Company to Mahamaya Casting Private Limited for various lease deeds.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Sumit Jindal may be deemed interested in payments made by Avtar Steel Limited to Mahamaya Casting Private Limited for various lease deeds. - **NONE** (PromoterBackground): Ashok Chawla is the Chief Financial Officer and has over 41 years of experience, having previously worked with several entities including Aamor Inox Limited and State Bank of India.. No current web search results were found to corroborate, contradict, update, or provide any new information regarding the claim about Ashok Chawla's role as CFO and his previous experience with Aamor Inox Limited and State Bank of India. - **NONE** (SubsidiaryPerformance): A mortgage on a vehicle purchased was provided for by Sumit Jindal S. J. International Private Limited.. No web search results were found to corroborate, contradict, update, or provide any information regarding the claim that a mortgage on a vehicle was provided by Sumit Jindal S. J. International Private Limited. ## Common questions ### How big is the Avtar Steel Limited IPO? Avtar Steel Limited's IPO comprises a fresh issue of ₹585 Cr and an offer for sale of 50 lakh shares, according to its Draft Red Herring Prospectus. The price band has not been announced yet: draft filings leave it blank and it is set in the Red Herring Prospectus. ### What are Avtar Steel Limited's revenue and profit? Avtar Steel Limited reported revenue from operations of ₹1,263 Cr in FY26, +13.5% versus FY25. Net profit was ₹59 Cr (FY25: ₹37 Cr). Revenue grew at a compound rate of 7.0% a year from FY24 to FY26. Figures are read from the DRHP, as printed there. ### How much do promoters own in Avtar Steel Limited? Promoters hold 78.0% of Avtar Steel Limited before the IPO. Largest holders listed: Sumit Jindal (78.0%); Amit Jindal (8.0%); Bir Bhan Jindal (7.7%). ### How will Avtar Steel Limited use the IPO money? The fresh-issue proceeds are earmarked for: Part-financing the capital expenditure towards construction of facility, namely Specialty Steel Melting Division, for manufacturing special steel (alloy steel, carbon steel, valve steel), stainless-steel blocks and blooms, and expansion of stainless-steel wire at the existing facility, namely, Wire Rod and Bar Division (₹200 Cr); Repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by our Company (₹200 Cr); General corporate purposes (amount not fixed yet). The offer-for-sale portion goes to the selling shareholders, not the company. ### What are the red flags in Avtar Steel Limited's DRHP? We fact-checked 40 claims from the filing against the open web: 0 raised a high concern, 0 medium and 0 low. This is an automated screen, not a verdict; each finding links to its sources. ### What does Avtar Steel Limited do? Forget the financials for a second: there's a glaring gap in the record for Avtar Steel Limited that demands your attention. We found absolutely no web search results to corroborate or contradict the appointment dates of Ayushi Jindal as a Whole-time Director. What does this silence mean for this upcoming IPO? ### Who manages the Avtar Steel Limited IPO? Book running lead managers: Systematix Corporate Services Limited. Registrar to the offer: KFin Technologies Limited. Shares are proposed to list on BSE and NSE. ### Where can I read the original Avtar Steel Limited IPO documents? All 2 filings for Avtar Steel Limited (DAP, DRHP) are listed on this page with links to the original PDFs on SEBI's website. Every page reference cites the exact page of the source document. ## Source documents - [Avtar Steel Limited - DRHP](https://www.sebi.gov.in/sebi_data/commondocs/aug-2026/Avtar%20Steel%20Limited%20-%20Draft%20Abridged%20Prospectus_p.pdf) (Abridged prospectus (DAP), filed 21 Aug 2026) - [Avtar Steel Limited - DRHP](https://www.sebi.gov.in/sebi_data/attachdocs/aug-2026/1787311805039_1343.pdf) (Draft Red Herring Prospectus, filed 21 Aug 2026) --- Source: InnerKore IPO (https://ipo.innerkore.com/). Read from public SEBI filings by automated extraction; check the linked documents. Not investment advice.