# S G Encon Limited: IPO analysis > S G Encon Limited (CIN U45208HR2008PLC037614) has filed a Draft Red Herring Prospectus with SEBI for an IPO comprising a fresh issue of 71,90,400 shares and an offer for sale of 13.71 lakh shares. In FY26 it reported revenue of ₹287 Cr (+3.9% on FY25) and a net profit of ₹23 Cr. Promoters hold 88.4% 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/U45208HR2008PLC037614/s-g-encon-limited/ - CIN: U45208HR2008PLC037614 - Last updated: 30 Sep 2026 ## Key facts - **Company:** S G Encon Limited - **CIN:** U45208HR2008PLC037614 - **Filing stage:** DRHP - **Latest SEBI filing:** 30 Sep 2026 - **Offer for sale:** 13,71,300 shares - **Listing on:** BSE, NSE - **Revenue FY26:** ₹287 Cr - **Revenue growth:** +3.9% - **Net profit FY26:** ₹23 Cr - **Revenue CAGR FY24 to FY26:** 10.8% - **Promoter holding (pre-IPO):** 88.4% - **Lead managers:** Marwadi Chandarana Intermediaries Brokers Private Limited - **Registrar:** SHARE TRANSFER AGENT NAME AND MAS Services Limited - **Fact-check flags:** 0 high, 0 medium, 0 low ## Key signals (read from the filing; not investment advice) - **Growth** (look closer): 10.8% a year. Sales FY24 to FY26; latest year +3.9%. - **Profitability** (look closer): 8% net margin. FY26; operating margin improving. - **Debt** (looks fine): 0.09x equity. ₹8.6 crore borrowed at the end of FY26. - **Profit into cash** (concern): -8% of profit. Operations brought in ₹-1.8 crore against ₹22.9 crore of profit in FY26. - **One-off income** (look closer): 2% of profit. Other and one-off income is 2% of pre-tax profit; management describes 3 one-off items. - **Where the money goes** (looks fine): 16% for sale. 84% is new shares issued by the company. - **Red flags** (looks fine): None serious. 40 claims checked: 0 high, 0 medium concern. ## Financial snapshot (₹ crore unless stated; standalone) | | FY24 | FY25 | FY26 | |---|---:|---:|---:| | Sales | 234 | 276 | 287 | | Sales growth | – | 18.0% | 3.9% | | Operating profit | 12 | 21 | 31 | | Operating margin | 5.2% | 7.6% | 10.8% | | Net profit | 9.2 | 14 | 23 | | Net margin | 3.9% | 5.1% | 8.0% | | Net worth | 38 | 52 | 95 | | Borrowings | 14 | 14 | 8.6 | | Return on equity | 24.3% | 26.7% | 24.0% | ## Non-recurring items (as described by management) - The Company determines policies and procedures for recurring fair value measurement and non-recurring fair value measurement. (p.370) - Depreciation & amortisation expenses decreased by 14.75% from Fiscal 2025 to Fiscal 2026 primarily due to the fact that no new assets were purchased and old assets were written off during the period. (p.384) - Certain exceptional miscellaneous balances standardized in the previous year were not recorded during the current year. (p.385) ## Use of proceeds (fresh issue) - Funding of Working Capital Requirement: ₹43 crore - Funding capital expenditure requirements of our Company for purchase of machinery or equipment: ₹32 crore - General Corporate Purposes(1)(2): amount not fixed yet ## Fact-checked claims - **NONE** (PromoterBackground): The Promoters have not dissociated themselves from any companies or firms in the three years preceding the Draft Red Herring Prospectus.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that the promoters have not dissociated themselves from any companies or firms in the three years preceding the DRHP. - **NONE** (PromoterBackground): Pankaj Setia is the Managing Director of the Company.. No current web search results were found to corroborate or contradict the claim that Pankaj Setia is the Managing Director of S G Encon Limited. - **NONE** (PromoterBackground): Rajiv Gandhi is a Promoter, Whole-Time Director, and Chairperson of the Company.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Rajiv Gandhi is a Promoter, Whole-Time Director, and Chairperson of S G Encon Limited. - **NONE** (PromoterBackground): Pankaj Setia holds 1,18,79,640 Equity Shares, representing 44.18% of the pre-Offer paid-up Equity Share capital.. No web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Pankaj Setia holds 1,18,79,640 Equity Shares representing 44.18% of the pre-Offer paid-up Equity Share capital. - **NONE** (PromoterBackground): Rajiv Gandhi holds 1,18,79,640 Equity Shares, representing 44.18% of the pre-Offer paid-up Equity Share capital.. No web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Rajiv Gandhi holds 1,18,79,640 Equity Shares representing 44.18% of the pre-Offer paid-up Equity Share capital. - **NONE** (PromoterBackground): The dividend distribution policy was approved and adopted by the Board on September 23, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that the dividend distribution policy was approved and adopted by the Board on September 23, 2026. - **NONE** (PromoterBackground): Inderjit Kaur and Adarsh Jot transferred 10,000 Equity Shares aggregation to Rajiv Gandhi and Pankaj Setia on May 31, 2011, making them the promoters.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim about Inderjit Kaur and Adarsh Jot transferring equity shares to Rajiv Gandhi and Pankaj Setia on May 31, 2011. - **NONE** (PromoterBackground): Gaurav Jindal was appointed as Additional Independent Director on June 1, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Gaurav Jindal was appointed as an Additional Independent Director on June 1, 2026. - **NONE** (PromoterBackground): Samridhi Batra was appointed as Additional Independent Director on June 1, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Samridhi Batra was appointed as an Additional Independent Director on June 1, 2026. - **NONE** (PromoterBackground): Gaurav Jindal resigned due to retirement on June 1, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Gaurav Jindal resigned due to retirement on June 1, 2026. - **NONE** (PromoterBackground): Samridhi Batra resigned due to retirement on June 1, 2026.. No current web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Samridhi Batra resigned due to retirement on June 1, 2026. - **NONE** (PromoterBackground): Ravinder Kumar was appointed as Executive Director on March 15, 2025.. No web search results were found to corroborate, contradict, update, or provide any information regarding the claim that Ravinder Kumar was appointed as Executive Director on March 15, 2025. ## Common questions ### How big is the S G Encon Limited IPO? S G Encon Limited's IPO comprises a fresh issue of 71,90,400 shares and an offer for sale of 13.71 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 S G Encon Limited's revenue and profit? S G Encon Limited reported revenue from operations of ₹287 Cr in FY26, +3.9% versus FY25. Net profit was ₹23 Cr (FY25: ₹14 Cr). Revenue grew at a compound rate of 10.8% a year from FY24 to FY26. Figures are read from the DRHP, as printed there. ### How much do promoters own in S G Encon Limited? Promoters hold 88.4% of S G Encon Limited before the IPO. ### How will S G Encon Limited use the IPO money? The fresh-issue proceeds are earmarked for: Funding of Working Capital Requirement (₹43 Cr); Funding capital expenditure requirements of our Company for purchase of machinery or equipment (₹32 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 S G Encon 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 S G Encon Limited do? Here’s a detail about the S G ENCON IPO that almost nobody noticed: the documents show the promoters haven't separated themselves from any other companies in the three years leading up to the DRHP. That’s a significant point you need to understand before you invest. ### Who manages the S G Encon Limited IPO? Book running lead managers: Marwadi Chandarana Intermediaries Brokers Private Limited. Registrar to the offer: SHARE TRANSFER AGENT NAME AND MAS Services Limited. Shares are proposed to list on BSE and NSE. ### Where can I read the original S G Encon Limited IPO documents? All 1 filing for S G Encon Limited (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 - [S G Encon Limited](https://www.sebi.gov.in/sebi_data/attachdocs/sep-2026/1790767812069_1377.pdf) (Draft Red Herring Prospectus, filed 30 Sep 2026) --- Source: InnerKore IPO (https://ipo.innerkore.com/). Read from public SEBI filings by automated extraction; check the linked documents. Not investment advice.