# Karamtara Engineering Limited: IPO analysis > Karamtara Engineering Limited (CIN U45207MH1996PLC099333) has filed a Prospectus with SEBI for an IPO comprising a fresh issue of ₹675 Cr and an offer for sale of ₹200 Cr, priced at ₹241.00 to ₹254.00 per share. In FY26 it reported revenue of ₹4,312 Cr (+36.5% on FY25) and a net profit of ₹229 Cr. Promoters hold 92.1% before the IPO. Our fact-check of its claims found 5 medium or high concerns across 65 claims checked. - Page: https://ipo.innerkore.com/company/U45207MH1996PLC099333/karamtara-engineering-limited/ - CIN: U45207MH1996PLC099333 - Last updated: 24 Sep 2026 ## Key facts - **Company:** Karamtara Engineering Limited - **CIN:** U45207MH1996PLC099333 - **Filing stage:** Prospectus - **Latest SEBI filing:** 24 Sep 2026 - **Fresh issue:** ₹675 Cr - **Offer for sale:** ₹200 Cr - **Price band:** ₹241.00 to ₹254.00 per share - **Final offer price:** ₹254.00 per share - **Lot size:** 59 shares - **Bidding opens:** 9 Sep 2026 - **Bidding closes:** 11 Sep 2026 - **Listing on:** BSE, NSE - **Revenue FY26:** ₹4,312 Cr - **Revenue growth:** +36.5% - **Net profit FY26:** ₹229 Cr - **Revenue CAGR FY24 to FY26:** 33.3% - **Promoter holding (pre-IPO):** 92.1% - **Lead managers:** JM Financial Limited, ICICI Securities Limited, IIFL Capital Services Limited, IIFL Securities Limited - **Registrar:** MUFG Intime India Private Limited - **Fact-check flags:** 1 high, 4 medium, 3 low ## Key signals (read from the filing; not investment advice) - **Valuation** (look closer): 35.7x P/E. At the top of the band, on FY26 profit; 6.7x book value. - **Growth** (looks fine): 33.3% a year. Sales FY24 to FY26; latest year +36.5%. - **Profitability** (look closer): 5.3% net margin. FY26; operating margin steady. - **Debt** (look closer): 0.84x equity. ₹1,030 crore borrowed at the end of FY26. - **Profit into cash** (looks fine): 295% of profit. Operations brought in ₹675 crore against ₹229 crore of profit in FY26. - **One-off income** (look closer): 1% of profit. Other and one-off income is 1% of pre-tax profit; management describes 4 one-off items. - **Where the money goes** (looks fine): 23% for sale. 77% is new shares issued by the company. 95% of the new money repays debt. - **Red flags** (concern): 5 to review. 65 claims checked: 1 high, 4 medium concern. ## Financial snapshot (₹ crore unless stated; consolidated) | | FY24 | FY25 | FY26 | |---|---:|---:|---:| | Sales | 2,425 | 3,158 | 4,312 | | Sales growth | – | 30.2% | 36.5% | | Operating profit | 263 | 347 | 498 | | Operating margin | 10.8% | 11.0% | 11.6% | | Net profit | 103 | 139 | 229 | | Net margin | 4.2% | 4.4% | 5.3% | | Net worth | 553 | 983 | 1,220 | | Borrowings | 509 | 556 | 1,030 | | Return on equity | 18.6% | 14.2% | 18.8% | ## Non-recurring items (as described by management) - Investment properties are derecognised either when they have been disposed of or when they are permanently withdrawn from use and no future economic benefit is expected from their disposal. (p.409) - Revenue from operations in Fiscal 2026 includes recoveries in respect to customs tariffs levied by the United States on products sold to customers in the United States, which were introduced in the fourth quarter of Fiscal 2025 and were reflected for the full year in Fiscal 2026. (p.411) - Other income decreased by 36.62% from ₹6.91 Crore in Fiscal 2025 to ₹4.38 Crore in Fiscal 2026, primarily due to a decrease in profit of sale of investment and profit on sale of property, plant and equipment. (p.411) - No non-recurring items are discussed in this part of the text. (p.420) ## Use of proceeds (fresh issue) - Funding prepayment, repayment and/ or payment obligations to our lenders towards borrowings and Acceptances, in part or full: ₹600 crore - General corporate purposes(1)(3): ₹28 crore ## Fact-checked claims - **HIGH** (PromoterBackground): The group companies are not a party to any outstanding litigation that has or may have a material impact on the Company.. One search result directly references actions by SEBI or Stock Exchanges against the promoter in the last five years, including outstanding action, which contradicts the claim that the group companies are not involved in any such litigation. Another result mentions a settlement involving key managerial personnel, which relates to past regulatory actions. - **MEDIUM** (SubsidiaryPerformance): The Company was converted into a public limited company and its name was changed to ‘Karamtara Engineering Limited’ on December 9, 2024.. Search result [3] suggests a conversion to a Public Company named Karamtara Engineering Limited occurred on December 16, 2024, which contradicts the claim that the name change happened on December 9, 2024. Other results relate to stock prices and IPOs, but do not confirm the specific date mentioned in the claim. - **MEDIUM** (SubsidiaryPerformance): A personal guarantee was issued by the Promoter Selling Shareholders in favour of Axis Trustee Services Limited for working capital facilities.. Several search results indicate that Axis Trustee Services Limited is involved in various trust and trustee roles, including as a debenture trustee and for securitisation, which is related to the claim. Some results mention agreements valued up to Rs 10 crore with Axis Trustee Services Limited. - **MEDIUM** (LitigationStatus): A certificate from Chokshi & Chokshi LLP, Chartered Accountants, certifies tax litigation involving the Company, Subsidiaries, Directors, and Promoters.. Search results indicate that Chokshi & Chokshi LLP has been involved in legal matters, including a report submission and an appointment order related to bank statements. This suggests a connection to litigation involving the company or related parties, which is relevant to the claim. - **MEDIUM** (SubsidiaryPerformance): The Company was incorporated as ‘Karamtara Engineering Private Limited’ as a private limited company under the Companies Act, 1956 pursuant to a certificate of incorporation dated May 8, 1996.. The search results do not directly corroborate or contradict the specific incorporation details mentioned in the DRHP claim. Some results refer to the company as 'Karamtara Engineering Ltd.' and others mention an IPO, which suggests a later stage or different legal status than described. - **LOW** (SubsidiaryPerformance): The company incorporated its wholly owned subsidiary, Karamtara Renewables Saudi Limited, in the Kingdom of Saudi Arabia in July 2024 to facilitate the new facility.. Search result [5] corroborates the claim by stating that the company acquired Karamtara Renewables Saudi Limited as a subsidiary in the Kingdom of Saudi Arabia in 2024. This aligns with the claim made in the DRHP. - **LOW** (PromoterBackground): Tilokchand Punamchand Ostwal is an Independent Director with 42 years of experience in accounting and finance and associated with several companies including Divinion Advisory Services Private Limited, ITI Mutual Fund Trustee Private Limited, Mankind Pharma Limited, Polycab India Limited, Supremus Lower Parel Premises Private Limited, and Lambda Therapeutic Research Limited.. The search results mention 'DIVINION ADVISORY SERVICES PVT.LTD' in the context of consent orders, which is related to one of the companies listed in the claim. However, the results do not explicitly confirm the association of Tilokchand Punamchand Ostwal with all the listed companies or provide direct corroboration for the claim regarding his experience or direct association with the listed entities. - **LOW** (PromoterBackground): The Board has the authority to approve the implementation of corporate governance requirements as necessary under applicable laws or SEBI regulations.. The search results mention past regulatory actions and litigation involving promoters or related entities, such as a SEBI case settlement and ED probes against entities, which relates to the context of corporate governance and regulatory compliance. However, the results do not directly confirm or deny the Board's authority to approve corporate governance requirements as stated in the claim. - **NONE** (PromoterBackground): Rajiv Singh's partnership with SRS Innovation is retired on March 31, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Rajiv Singh's partnership with SRS Innovation is retired on March 31, 2026. - **NONE** (PromoterBackground): Tanveer Singh's partnership with PST Innovation is retired on March 31, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Tanveer Singh's partnership with PST Innovation is retired on March 31, 2026. - **NONE** (PromoterBackground): Inderjeet Singh is the settlor of the Inderjeet Rajiv Singh Trust, which was settled on July 12, 2023.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Inderjeet Singh is the settlor of the Inderjeet Rajiv Singh Trust settled on July 12, 2023. - **NONE** (PromoterBackground): Inderjeet Singh is the settlor of the Inderjeet Tanveer Singh Trust, which was settled on July 12, 2023.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Inderjeet Singh is the settlor of the Inderjeet Tanveer Singh Trust settled on July 12, 2023. ## Common questions ### How big is the Karamtara Engineering Limited IPO? Karamtara Engineering Limited's IPO comprises a fresh issue of ₹675 Cr and an offer for sale of ₹200 Cr, according to its Prospectus. The price band was ₹241.00 to ₹254.00 per share and the final offer price was ₹254.00 per share. ### What are Karamtara Engineering Limited's revenue and profit? Karamtara Engineering Limited reported revenue from operations of ₹4,312 Cr in FY26, +36.5% versus FY25. Net profit was ₹229 Cr (FY25: ₹139 Cr). Revenue grew at a compound rate of 33.3% a year from FY24 to FY26. Figures are read from the Prospectus, as printed there. ### How much do promoters own in Karamtara Engineering Limited? Promoters hold 92.1% of Karamtara Engineering Limited before the IPO. Largest holders listed: Inderjeet Tanveer Singh Trust(1) (23.7%); Inderjeet Rajiv Singh Trust(2) (23.7%); Tanveer Singh# (22.2%). ### How will Karamtara Engineering Limited use the IPO money? The fresh-issue proceeds are earmarked for: Funding prepayment, repayment and/ or payment obligations to our lenders towards borrowings and Acceptances, in part or full (₹600 Cr); General corporate purposes (₹28 Cr). The offer-for-sale portion goes to the selling shareholders, not the company. ### What are the red flags in Karamtara Engineering Limited's Prospectus? We fact-checked 65 claims from the filing against the open web: 1 raised a high concern, 4 medium and 3 low. The most notable: One search result directly references actions by SEBI or Stock Exchanges against the promoter in the last five years, including outstanding action, which… Search result [3] suggests a conversion to a Public Company named Karamtara Engineering Limited occurred on December 16, 2024, which contradicts the claim… Several search results indicate that Axis Trustee Services Limited is involved in various trust and trustee roles, including as a debenture trustee and for… This is an automated screen, not a verdict; each finding links to its sources. ### What does Karamtara Engineering Limited do? Karamtara Engineering Limited के IPO की बात कर रहे हैं, लेकिन यहाँ एक डिटेल है जो शायद ही किसी ने नोटिस किया होगा: पिछले पाँच सालों में, इस ग्रुप के प्रोमोटर के खिलाफ SEBI या Stock Exchanges द्वारा कोई एक्शन दर्ज किया गया है, जो इस बात को contradict करता है कि ग्रुप की कोई भी कंपनी किसी भी तरह की लिटिगेशन में शामिल… ### Who manages the Karamtara Engineering Limited IPO? Book running lead managers: JM Financial Limited, ICICI Securities Limited, IIFL Capital Services Limited, IIFL Securities Limited. Registrar to the offer: MUFG Intime India Private Limited. Shares are proposed to list on BSE and NSE. ### Where can I read the original Karamtara Engineering Limited IPO documents? All 4 filings for Karamtara Engineering Limited (Addendum, DAP, RHP, Prospectus) 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 - [Karamtara Engineering Limited - Prospectus](https://www.sebi.gov.in/sebi_data/attachdocs/sep-2026/1790230572435.pdf) (Prospectus, filed 24 Sep 2026) - [Karamtara Engineering Limited - RHP](https://www.sebi.gov.in/sebi_data/commondocs/sep-2026/Annexure%20II%20-%20Abridged%20Prospectus_p.pdf) (Abridged prospectus (DAP), filed 3 Sep 2026) - [Karamtara Engineering Limited - RHP](https://www.sebi.gov.in/sebi_data/attachdocs/sep-2026/1788514905936.pdf) (Red Herring Prospectus, filed 3 Sep 2026) - [KARAMTARA ENGINEERING LIMITED - Addendum to DRHP](https://www.sebi.gov.in/sebi_data/attachdocs/aug-2026/1787804373286.pdf) (Addendum, filed 27 Aug 2026) --- Source: InnerKore IPO (https://ipo.innerkore.com/). Read from public SEBI filings by automated extraction; check the linked documents. Not investment advice.