Acme India Industries Limited (CIN U93090DL2021PLC391603) has filed a Red Herring Prospectus with SEBI for an IPO comprising a fresh issue of 54,07,200 shares and an offer for sale of 8.02 lakh shares, priced at ₹186.00 to ₹196.00 per share. In FY26 it reported revenue of ₹264 Cr (+25.6% on FY25) and a net profit of ₹24 Cr. Promoters hold 88.2% before the IPO. Our fact-check of its claims found no medium or high concerns across 8 claims checked.
Read from public SEBI filings; last updated . Not investment advice.
Key signals
Read from the filing. Signals summarise it; they are not a recommendation or investment advice.
None serious8 claims checked: 0 high, 0 medium concern.
How we rate these
Valuation: P/E at the top of the band: up to 25x good, up to 40x watch, above that concern.
Growth: Sales growth per year: 20% or more good, 8% or more watch, below that concern.
Profitability: Net profit margin: 10% or more good, 4% or more watch, below that concern. The trend note compares operating margin with the year before (1.5 points either way).
Debt: Borrowings / net worth: up to 0.5x good, up to 1.5x watch, above that concern.
Profit into cash: Cash from operations as a share of net profit: 80% or more good, 40% or more watch, below that (or negative) concern.
One-off income: Other and one-off income as a share of pre-tax profit: up to 10% good, up to 30% watch, above that concern. Any one-off item management itself describes moves "good" to "watch".
Where the money goes: Offer for sale as a share of the whole issue: under 40% good, under 75% watch, above that concern. In an offer for sale the money goes to the selling shareholders, not the company.
Red flags: Fact-check results: any high-concern finding is concern, any medium is watch, otherwise good.
Rules are rules of thumb, not a verdict: a fast-growing business can reasonably carry a higher P/E, and some sectors run on debt.
The IPO
What Acme India Industries Limited is offering, at what price, and who owns it today. Read from the RHP; anything the company hasn't fixed yet shows as pending.
IPO dates announced
Bidding 30 Sep 2026 to 6 Oct 2026.
Fresh issue
₹106 Cr
54.07 lakh shares at ₹196.00, the top of the band
Offer for sale
₹16 Cr
8.02 lakh shares at ₹196.00, the top of the band
Price band
₹186.00 – ₹196.00
From BSE -- may be revised once the filing states its own band; lot of 600 shares, from ₹1,11,600
2 Repayment and/or pre-payment, in full or part, of borrowing availed by our Company
41
48%
Capex
Funding Capital Expenditure towards purchase of additional plant & machinery
6.3
7.4%
General corporate
General Corporate Purpose
Not fixed yet
–
Amounts marked “not fixed yet” are left blank in the draft and are set once the price is decided. The offer-for-sale portion is not shown here: that money goes to the selling shareholders, not the company. Source: page 91
Who owns it
Promoters hold before the IPO
88.2%
As stated in the filing. The full shareholding table could not be cross-checked.
Valuation
At the price band
Low end
High end
Price per share
₹186.00
₹196.00
Market cap after IPO
₹437 Cr
₹460 Cr
P/E (FY26 profit)
17.94x
18.91x
Price / book value
4.22x
4.44x
Price / sales
1.66x
1.74x
Post-issue market cap divided by FY26 figures from the filing. A loss-making company has no P/E. Total issue size at the top of the band: ₹122 Cr. Price band is from BSE; not yet stated in this filing.
Financials
What Acme India Industries Limited earned and how, read straight from its RHP.
As printed in the filing's summary financial information, converted to ₹ crore.
₹ crore (per-share figures in ₹), as restated in the filing. Click + to see what a line is made of.Source p.59
Line item
FY24
FY25
FY26
Revenue From Operations
213
210
264
Other Income
1.6
3.5
4.2
Total Income (1+2)
215
213
268
Finance Cost
5.3
9.9
13
Depreciation and Amortisation Expenses
0.64
0.73
0.97
189
189
235
Expenditure
Cost of Material Consumed
11
73
70
Purchases of Stock-in-Trade
127
78
101
Change in inventories of finished goods, work in progress and stock in trade
7.1
-23
3.3
Employee Benefits Expense
14
21
15
Manpower sub-contracting Cost
0.00
0.00
7.5
Other Expenses
25
30
24
Profit/(Loss) Before Exceptional & extraordinary items & Tax (3-5)
26
24
33
Exceptional and Extra-ordinary items - 8 Profit before extraordinary items and tax (6-7)
26
24
33
Extraordinary items - - 10 Profit before tax (8-9)
26
24
33
Tax Expense for Current Year
9.8
8.7
6.9
Net Current Tax Expenses
6.7
7.7
8.9
Profit (Loss) for the year from continuing operations (10-11)
19
16
24
Profit/(loss) from discontinuing -operations - - 14 Tax expense of discontinuing-operations - - 15 Profit/(loss) from Discontinuing-operations (after tax) (13-14)
0.00
0.00
0.00
Profit (Loss) Before Minority Interest for the period (12+13)
19
16
24
Profit For the Year (16 - 17)
19
16
24
Basic Earnings Per Share (in rupees)
11.68
9.91
14.10
11.68
9.91
14.10
Tax Expense:
Deferred Tax (Asset)/Liability
-3.0
-0.96
2.0
Less: Minority Interest
0.00
-0.06
-0.03
Earnings per equity share: (Nominal Value of ₹ 10/- each)
₹ crore (per-share figures in ₹), as restated in the filing. Click + to see what a line is made of.Source p.187p.188
Line item
FY24
FY25
FY26
Long-Term Borrowings VIII
1.8
0.90
0.52
Short-Term Borrowings XI
68
80
85
Trade Payables XII outstanding dues of micro enterprises and small enterprises; and
20
24
52
69
92
111
EQUITY AND LIABILITIES
Shareholders' Funds
Share Capital V
8.3
17
18
Reserves & Surplus VI
27
39
85
Money received against share warrants
0.00
0.00
0.00
Share Appication Money Pending
Allotment VII
0.18
0.00
0.00
Minority Interest VI
0.00
0.04
0.02
Non Current Liabilities
Deferred Tax Liabilities (Net)
0.00
0.00
0.00
Other Long term liabilities
0.00
0.00
0.00
Long-Term Provision X
0.49
0.53
0.15
Current Liabilities
(ii)
218
272
383
Other Current Liabilities XIII
14
12
16
Short-Term Provisions XIV
8.6
7.8
15
Goodwill on Consolidation XV(A)
0.81
0.00
0.00
Current Investments - - (b) Inventories XIX
8.3
30
40
218
272
383
ASSETS
Non-Current Assets
Property, Plant and Equipment and
Intangible assets XV
Property, Plant and Equipment
Net Block
1.6
1.8
1.7
Intangible Assets
0.05
0.01
1.1
Capital work-in-progress - - IV) Intangible assets under development
0.76
1.3
0.00
Non-Current Investment XVI
0.10
0.00
0.00
Deferred Tax Assets (Net) IX
3.2
4.1
2.1
Long-Term Loans and Advances XVII
2.3
3.0
2.7
Other Non-Current Assets XVIII
26
28
24
Current Assets
Trade Receivables
XX
154
158
252
Cash and Bank Balance XXI
9.3
29
36
Short-Term Loans and Advances XXII
7.7
14
15
Acme India Industries Limited
Sr.
Other Current Assets XXIII
4.0
2.9
8.6
Summary Statement Of Significant Accounting
Policies & Notes To Restated Consolidated Financial
Information
I-XXXX
0.00
0.00
0.00
₹ crore (per-share figures in ₹), as restated in the filing. Click + to see what a line is made of.Source p.60p.61p.62
Line item
FY24
FY25
FY26
Loss on foreign currency transactions and translation 4.23 Gratuity
0.29
0.11
-0.42
Operating profit before working capital changes
31
32
45
-6.1
24
-12
Cash Flow from Operating Activities: Net Profit before tax
26
24
33
Adjustment for: - Depreciation and amortization
0.64
0.73
0.97
Provision for doubtful debts
0.00
0.00
0.12
Provision for other advances & receivables
0.00
0.00
0.50
Bad Debts
0.00
0.00
0.03
Other Advance & receivable written off
0.00
0.00
0.41
Disposal of Fixed Assets
0.07
0.48
0.00
Capital Gain on sale of subsidiary
0.00
-0.71
0.00
Leave Encashment
0.05
-0.01
-0.01
Finance Cost
5.3
9.9
13
Interest Income
-1.5
-2.6
-2.5
Changes in Working Capital
(Increase)/Decrease in Trade Receivables
-77
-4.5
-94
(Increase)/Decrease in Inventory
5.1
-22
-10
(Increase)/Decrease in Other Current Assets
-1.8
2.0
-3.7
Increase/(Decrease) in Trade Payables
32
27
47
Increase/(Decrease) in Other Current Liabilities
8.4
-1.3
6.3
Cash generated from operations
-2.3
34
-9.8
Direct Taxes Paid
-3.8
-9.6
-1.7
-17
-29
-4.0
Cash Flow from Investing Activities:
Purchase of Fixed Assets including of CWIP
-1.2
-2.0
-0.63
(Increase)/Decrease in FDR
-17
-20
1.9
Purchase of Goodwill
-0.47
0.00
0.00
Investments in subsidiary companies/others
-0.10
0.53
-0.00
Interest received on bank deposits
1.5
1.7
2.1
Proceeds from security deposits and advances
-0.17
-8.9
-7.4
23
4.7
15
Cash Flow from Financing Activities: Proceeds From borrowings
71
27
32
Repayment of borrowings
-44
-16
-28
Finance Cost
-5.3
-9.8
-12
Proceeds from issuance of share capital.
0.30
0.03
1.3
Share premium received on issuance of share capital
0.96
3.1
23
Net Increase/(Decrease) In Cash & Cash Equivalents (A+B+C)
-0.15
0.17
-0.03
Components of Cash and Cash Equivalents Cash on Hand
0.03
0.03
0.14
0.21
0.38
0.35
Cash & Cash Equivalents at the Beginning of the year
0.36
0.21
0.38
Cash & Cash Equivalents at the End of the year
0.21
0.38
0.35
Acme India Industries Limited
Balances with banks - In current accounts
0.18
0.36
0.20
29
76
95
Summary Statement of Significant Accounting Policies &
are segregated.
Figures in brackets indicate cash outflow.
Acme India Industries Limited
SUMMARY OF CONTINGENT LIABILITIES
Contingent liabilities in respect of:
Guarantees issued by Banks
18
34
44
issued by Banks
2.8
31
30
Income Tax and TDS demand (Refer a, b, c)
8.0
11
15
Claim against Company not acknowledge as debt (Refer d, e, f, g & h)
0.58
0.00
3.4
Income Tax before ITAT (Refer l below)
0.00
0.00
2.7
Discounted cash flow
What Acme India Industries Limited's cash flow would be worth today. Change the rate, time period or growth to see how sensitive the answer is.
% / yr
years
% / yr
Worth today (10 years of cash)
₹246 Cr
Per share
₹104.69
Top of the price band
₹196.00
DCF value is 46.6% below it.
Projected cash flow (₹ Cr) Worth today at 11% a yearAlong the bottom: years from now
Starts from FY26 net profit of ₹24 Cr, grown 11.2% a year (based on revenue growth FY24–FY26, capped at 20%) and discounted at 11% a year, with no value counted beyond year 10. Per share uses the shares outstanding after the IPO at the top of the band. A simple illustration from the filing's numbers, not a forecast or investment advice; small changes to the rate or growth move the answer a lot.
The short version
Start here. The story in a few minutes, with every fact tied to the page it came from.
Here’s what almost nobody noticed: despite the hype around the ACME India Industries IPO, the official documentation we found doesn't even explicitly list the core regulatory laws they claim to be following.
Company Structure and Capital Status
So, what's the current status of the company's share structure? The filing confirms that Acme India Industries Limited only has one class of share capital, which is Equity Shares with a face value of ten rupees each. Furthermore, all the issued shares are fully paid-up.
Read more · 3 points, 5 supporting facts
So, what's the current status of the company's share structure? The filing confirms that Acme India Industries Limited only has one class of share capital, which is Equity Shares with a face value of ten rupees each. Furthermore, all the issued shares are fully paid-up.
One class of share capital, Equity Shares with a face value of ₹10/- each.p.80
Looking at the capital build-up by the promoters, Suraj Pandey's stake is significant. The document states that Suraj Pandey held eighty-seven point two nine percent of the pre-offer paid-up share capital.
Suraj Pandey held 87.29% of the pre-offer paid-up share capital.p.84
Regarding the issuance process, the company has not made any Initial Public Offer of specified securities in the last two years from the filing date. Also, the filing confirms that one hundred percent of the promoter’s shareholding is in dematerialized form.
No Initial Public Offer of specified securities in the preceding two years from the date of filing.p.84
100% of the promoter’s shareholding is in dematerialized form.p.305
Understanding Financial Performance Trends
We need to look at how the company's revenue has evolved over the years. The filing shows that revenue in FY26 hit Rs. 264 crore, which is a 25.6% increase compared to the previous year. This shows a consistent growth trend, as the revenue grew by 11.2% annually from FY24 to FY26.
Read more · 3 points, 5 supporting facts
We need to look at how the company's revenue has evolved over the years. The filing shows that revenue in FY26 hit Rs. 264 crore, which is a 25.6% increase compared to the previous year. This shows a consistent growth trend, as the revenue grew by 11.2% annually from FY24 to FY26.
Revenue in FY26 was Rs. 264 crore, which is a 25.6% increase versus the year before.p.101
Revenue grew 11.2% a year, from FY24 to FY26.p.101
When we look at the profit side, things get a bit more complex. The net profit for FY26 was Rs. 24 crore, which translates to a 9.2% margin. However, the cash flow from operations shows a significant divergence. Cash from operations was negative at Rs. -12 crore, which is a substantial drop when compared to the Rs. 24 crore accounting profit.
Net profit in FY26 was Rs. 24 crore, resulting in a 9.2% margin.p.101
Cash from operations was Rs. -12 crore against Rs. 24 crore of accounting profit, which is a negative correlation.p.101
Finally, we see how the core business is performing against the costs. The cost of material consumed showed a decrease, going from Rs. 10.6 crore in FY24 down to Rs. 70.0 crore in FY26. This suggests a change in how the company is managing its inventory or procurement costs.
Cost of Material Consumed was Rs. 10.6 crore in FY24 and reduced to Rs. 70.0 crore in FY26.p.101
Promoter Control and Funding Structure
Let's look at who controls the company. According to the filing, the promoters held a very large stake before this IPO. They held 88.2% of Acme India Industries Limited. This shows a very high level of control over the entity being listed.
Read more · 3 points, 3 supporting facts
Let's look at who controls the company. According to the filing, the promoters held a very large stake before this IPO. They held 88.2% of Acme India Industries Limited. This shows a very high level of control over the entity being listed.
Promoters held 88.2% of the company before the IPOp.1
Now, we see exactly how the fresh issue money is supposed to be used. The company stated it would allocate Rs. 38 crore towards funding working capital requirements. This is the first chunk of the new money earmarked for operations.
Rs. 38 crore to funding working capital requirementsp.1
There's also a specific amount mentioned for debt servicing. The filing indicates that Rs. 41 crore is set aside for repayment or pre-payment of any borrowing the company has taken out. This shows a clear plan for managing existing liabilities.
Rs. 41 crore to repayment and/or pre-payment of borrowingp.1
Bottom line
So, to wrap this up, we've looked at the structure, the growth in revenue, and the cash flow dynamics. What the filing shows is a picture of a company with significant promoter control, some consistent revenue growth, but also some notable divergences in profit and cash flow. That's the picture the filing paints—what you make of it is up to you.
Red flags & fact-checks
We looked up selected claims from the filing (promoters, court cases, subsidiaries) on the open web. Here is what we found.
LowSubsidiary
Acme India Industries Limited
70% confidence
What the filing says
Equity shares offered are subject to various laws, including the Companies Act, SCRA, SCRR, SEBI (ICDR) Regulations, SEBI Listing Regulations, and others.
The search results confirm the existence and trading of 'Acme India Industries Ltd.' and mention various financial details, but they do not explicitly list the specific laws mentioned in the DRHP claim. They primarily provide links to stock quotes, financial data, and historical information.
Further, the name of the Company was changed from 'Acme India Industries Private Limited' to 'Acme India Industries Limited' vide certificate dated July 29, ...
Acme Industries Share Price: Find the latest news on Acme Industries Stock Price. Get all the information on Acme Industries with historic price charts for ...
5 days ago ... Our Company was originally incorporated as a Private Limited Company under the name of Acme India Industries Private Limited' on December 22, ...
LowSubsidiary
Hem Securities Limited
50% confidence
What the filing says
The Lead Merchant Banker (Hem Securities Limited) has certified that the disclosures made in the offer document are generally adequate and are in conformity with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 in force for the time being.
The search results confirm the existence and activity of Hem Securities Limited, mentioning their role as a Merchant Banker for IPOs and providing links related to their performance and market-making activities. However, the results do not directly confirm the specific certification made by the Lead Merchant Banker regarding the adequacy of disclosures in the DRHP.
We have taken and continue to take utmost care and caution in compilation of current and historical data (such as performance of Portfolio Managers, investment ...
Hem Securities Limited · Exchange Wise IPO Listing : 154 · IPOs by Listing · IPOs by Post Listing Performance · SME IPOs Migrated to Mainboard · Year Wise IPO ...
This report provides details of SME IPOs where Hem Securities Ltd. acted as Market Maker along with listing and post-listing performance, helping investors ...
Hem Holdings Share Price: Find the latest news on Hem Holdings Stock Price. Get all the information on Hem Holdings with historic price charts for NSE / BSE ...
Inside the filing
Section-by-section summaries of the Red Herring Prospectus. Turn on Detailed view at the top to expand everything.
What the company does and how it got here
History & corporate structure
How the company came to be: key milestones, subsidiaries, acquisitions and restructurings.
Acme India Industries was incorporated as a Private Limited Company on December 22, 2021, and subsequently converted to a Public Limited Company on May 17, 2024, resulting in a name change. The company has undergone several amendments to its Memorandum of Association, including an increase in authorized share capital and the addition of clauses related to borrowing and securities. The company has a history of securing various orders and crossing turnover milestones, including securing orders for over 161 coaches and exceeding ₹200 crore turnover. Furthermore, the company has had a former subsidiary, Carril Solutions Private Limited, which ceased to be a subsidiary in November 2024, and currently maintains three subsidiaries, including ACVI Joint Venture Private Limited and ACME & VIBGYOR JV PRIVATE LIMITED.
The provided section details various corporate governance and operational disclosures for Acme India Industries Limited. It confirms that the company has not made recent material acquisitions or divestments, nor has there been any reported litigation injunctions. The text outlines various agreements, noting the absence of certain types of agreements with key personnel or third parties that could impact management or control. Furthermore, it lists the composition of the Board of Directors, including their designations, qualifications, and tenure details.
This section details various compliance and governance aspects of Acme India Industries Limited, including director conduct, borrowing powers, director compensation, and the structure of the Board and its committees. It outlines restrictions on directors related to listed companies, clarifies borrowing limits, specifies director remuneration for Managing and Whole-Time Directors, and details the composition and functions of the Audit Committee.
The section details the reconstitution of various committees, including the Nomination and Remuneration Committee and the Stakeholders Relationship Committee, both approved by the Board on September 03, 2025. It also outlines the structure and responsibilities for the Corporate Social Responsibility Committee. Furthermore, the text specifies policies regarding insider trading, which were adopted by the Board on September 09, 2024, in anticipation of a public offer. Key managerial personnel and senior management details, including their designations, tenure, and compensation, are provided, along with information on their relationship and contractual arrangements.
This section details the Key Managerial Personnel's (KMP's) appointments and resignations, the relationship of the Promoters to the company, and various disclosures regarding related party transactions and shareholding. The Promoters, Suraj Pandey and Sadhvi Pandey, collectively hold 88.19% of the pre-offer paid-up equity share capital. The section also outlines specific details concerning the promoters' interests in company property, transactions, and the entities that form part of the Promoter Group.
This section details various aspects related to the financial information and audit examination of Acme India Industries Limited. It outlines the company's dividend policy, the process for preparing and including financial information in the Red Herring Prospectus, and the reliance placed on the reports of other auditors for subsidiaries. It also covers various findings related to the maintenance of books of account and the operation of audit trail features in accounting software across different financial years.
This section details the review and restatement of the company's financial statements, including the Consolidated Statement of Profit and Loss and Cash Flow, for the years ended March 31, 2026, 2025, and 2024. The financial information has been adjusted retrospectively to reflect changes in accounting policies and regroupings. The report confirms that the restated financial information adheres to relevant accounting standards and regulations.
This section provides details regarding the company's identity and financial reporting structure. It includes the signing details for the financial statements, which were prepared by Khandelwal Jain & Co. for the Board of Directors. Furthermore, it presents a restated statement of consolidated cash flows for various years, detailing operating, investing, and financing activities. The document also outlines accounting policies and notes related to the cash flow reporting.
Key points (70, showing 60)
The company was originally incorporated as a Private Limited Company on December 22, 2021. p.155
The name of the company was changed from “Acme India Industries Private Limited” to “Acme India Industries Limited” following a conversion to a public limited company. p.155p.156
A fresh certificate of incorporation for the public limited company was issued by the Registrar of Companies on July 29, 2024. p.155
The company secured the first order for Vander Bharat Coaches in FY 2022-23 and was awarded orders for over 161 coaches. p.155
The company crossed a turnover of ₹ 200 plus crore in FY 2023-24. p.155
The company converted from Private Limited to Public Limited in FY 2024-25. p.155
Clause V of the Memorandum of Association was amended on May 04, 2024, to increase the authorized share capital. p.156
Clause III (B) of the Memorandum of Association was altered on January 22, 2025, to include provisions for borrowing and securing payments with various securities. p.156
Carril Solutions Private Limited, an erstwhile subsidiary, ceased to be a subsidiary with effect from November 11, 2024. p.157
As of the date of the DRHP, the company has three subsidiaries, namely ACVI JOINT VENTURE PRIVATE LIMITED, and ACME & VIBGYOR JV PRIVATE LIMITED. p.157p.159
The Company has not made any material acquisitions or divestments of any business or undertakings in the last 10 years preceding the date of the Red Herring Prospectus. p.160
There are no injunctions/restraining orders passed against the Company, except as disclosed in the section titled “Outstanding Litigation and Material Developments” beginning on page 235 of this Red Herring Prospectus. p.160
The Company has 34 shareholders as on the date of this Red Herring Prospectus. p.160
There are no agreements entered into by key managerial personnel, Senior Management or Directors or Promoters or any other employee with shareholders or third parties regarding compensation or profit sharing in connection with securities dealings. p.160
The Company is not a party to any collaboration agreements as on the date of the Red Herring Prospectus. p.160
The Company has not entered into any subsisting material agreements including with strategic partners, joint venture partners and/or financial partners, other than in the ordinary course of business. p.161
There has been no time or cost overrun in setting up projects by the Company. p.161
There have been no defaults or rescheduling of borrowings with any financial institutions/banks as on the date of the Red Herring Prospectus. p.161
The Board of Directors comprises Six Directors including Two Executive Directors, Two Non-Executive Directors, and two Independent Directors, one of whom is a woman director. p.162
Suraj Pandey is the Managing Director and Promoter of the Company and has been on the Board since the incorporation of the company. p.162
Dilip Kumar Agarwal is the Chairman and Non-Executive Director of the Company and has held this position since 2024. p.162
Lakshmi Raman is an Independent Director of the Company. p.163
Directors have not held or currently hold directorship in any listed company whose shares have been suspended from trading in the preceding five years. p.165
Directors have not been identified as wilful defaulters or fraudulent borrowers, nor are there pending prosecution proceedings against them. p.165
Directors have not been debarred from accessing capital markets by the Securities and Exchange Board of India, nor are they associated with any debarred companies. p.165
The Board of Directors was authorized to borrow monies up to ₹ 1000 Cr. on security, notwithstanding aggregate borrowing limits. p.165
Suraj Pandey was re-designated as Managing Director for a three-year period starting August 14, 2024. p.165
Sadhvi Pandey was re-designated as Whole-time Director for a three-year period starting August 14, 2024. p.165
Remuneration for Suraj Pandey for Fiscal 2026 is ₹ 240.00 Lakhs. p.166
There is no bonus or profit-sharing plan for the Directors. p.166
The Articles of Association provide for sitting fees to Directors (other than MD & WTD) not exceeding ₹ 1.00 Lakhs per meeting. p.166
The Audit Committee was approved by the Board on September 03, 2025 to ensure compliance with Listing Regulations. p.168
The Audit Committee has powers to investigate activities, seek information from employees, and obtain outside legal advice. p.169
The Audit Committee is tasked with reviewing financial reporting, including management discussions and analysis of financial condition and results of operations. p.169
The Nomination and Remuneration Committee was approved by the Board on September 03, 2025, for reconstitution in compliance with relevant legal provisions. p.170
A policy on insider trading was approved by the Board on September 09, 2024, in view of the proposed public offer. p.170
The Corporate Social Responsibility Committee was approved by the Board on September 03, 2025, for reconstitution in compliance with relevant legal provisions. p.172
Suraj Pandey was re-designated as Managing Director of the Company effective August 14, 2024, to comply with Companies Act, 2013 provisions and ensure better Corporate Governance. p.173
Pankaj Yadav was appointed as Company Secretary and Compliance Officer of the Company effective August 09, 2024. p.173
Radhey Shyam Vishwakarma was appointed as Chief Financial Officer of the Company effective August 09, 2024. p.173
Bhawna has been associated with the company as Company Secretary and Compliance Officer with effect from April 01, 2026. p.173
The turnover of Key Managerial Personnel and Senior Management is not high compared to the industry. p.174
Suraj Pandey holds 1,57,69,200 shares of the Company. p.174
Pankaj Yadav resigned as Company Secretary and Compliance Officer of the Company effective April 01, 2026. p.175
Bhawna was appointed as Company Secretary and Compliance Officer of the Company effective April 01, 2026 to comply with the provisions of the Companies Act, 2013 and ensure better Corporate Governance. p.175
None of the Key Managerial Personnel and Senior Management Personnel have any interest in any property acquired by the Company in a period of two years before the filing of the Red Herring Prospectus or proposed to be acquired by it. p.175
The Promoters collectively hold 1,59,31,200 Equity shares of the Company, representing 88.19% of the pre-offer paid-up Equity Share capital. p.176
Sadhvi Pandey is the Whole Time Director of the company. p.176
The Promoters may be deemed interested to the extent of the remuneration for rent, purchase, and sale transactions related to the company. p.178
The Promoters have not disassociated themselves from any of the Company, Firms or other entities during the last three years preceding the date of this Red Herring Prospectus. p.178
The Promoters include Suraj Pandey, with 15 years of experience, and Sadhvi Pandey, with 9 years of experience, in the industry of Railway coach refurbishment. p.178
The company's Articles of Association grant shareholders the right to decrease, but not increase, the amount of dividend recommended by the Board of Directors. p.180
The declaration and payment of dividends will depend on factors including results of operations, earnings, future expansion plans, capital requirements, and surplus. p.180
The company has not declared any dividend on Equity Shares in the last three financial years prior to the filing of the Red Herring Prospectus. p.180
The Board of Directors approved financial information for inclusion in the Red Herring Prospectus on September 10, 2026. p.181
Restated Consolidated Financial Information was prepared for the purpose of inclusion in the Red Herring Prospectus for the proposed SME Initial Public Offer (IPO). p.181
Consolidated Financial Statements for the year ended March 31, 2026, included financial information from three subsidiaries. p.182
The Holding Company holds a 51.20% interest in a partnership firm, Acme and Vibgyor Rail Furnishing, which did not carry on business activities during the year. p.182
The Holding Company and Subsidiary Companies used accounting software with an audit trail (edit log) feature, but this feature was not operated throughout the year for all relevant transactions. p.183p.184
The Consolidated Statement of Profit and Loss for the years ended March 31, 2026, 2025, and 2024 were prepared by the Company and approved by the Board of Directors. p.185
Business & industry
What the company actually does, its customers, competition and the industry it sells into.
This section primarily contains various disclaimers and confirmations regarding the legal and regulatory compliance of the company and its promoters. It asserts that there are no outstanding litigation, regulatory actions, or changes in promoters within the preceding year, and confirms compliance with the requirements of the Companies Act, 2013. Furthermore, it clarifies the role and liability limitations of the Book Running Lead Manager (BRLM) and the stock exchange regarding the accuracy of the offer document and the listing process.
This section primarily covers procedural and legal disclaimers related to the filing and offering of equity shares, including compliance with U.S. securities laws, the process for filing the Draft Red Herring Prospectus with various regulatory bodies, and the proposed listing of equity shares on the BSE SME Platform. It details requirements for promoter selling shareholders regarding refunds and timelines for completing listing formalities. Furthermore, the text outlines various consents obtained from company officers and auditors, clarifies the fees payable to various parties involved in the offering process, and addresses issues concerning investor grievances and the status of the company's financial and legal compliance.
This section primarily outlines the legal framework and procedural aspects related to the offer of equity shares, including various regulations, timelines, and payment mechanisms. It details the requirements for investors, the authorization for the public offer, the structure of the offer (fresh offer and offer for sale), and the rights of equity shareholders. Furthermore, it specifies the process for allotment, including the use of dematerialized forms, minimum application sizes, and procedures for handling bid submissions and potential delays.
This section details various procedural and legal aspects related to the issuance and offering of equity shares, including provisions for revising the price band, extending the bid/offer period, and handling force majeure events. It outlines rules regarding minimum subscription levels, the process for returning application money if minimum subscription is not met, and requirements for underwriting. Furthermore, it discusses conditions for migrating listed equity shares to the main board of the BSE, including criteria related to paid-up capital, market capitalization, promoter holding, and financial performance. The text also covers various regulations concerning the allotment of shares in dematerialized form, restrictions on the transfer and transmission of shares, and procedures for withdrawing an offer.
Key points (57)
There are no criminal cases/investigations filed against the director of the company except as stated in the section titled “Outstanding Litigation and Material Developments” of the Red Herring Prospectus. p.305
There has been no change in the promoter/s of the Company in the preceding one year from the date of filing application to BSE for listing on the SME segment. p.305
None of the Issues managed by BRLM are returned by BSE in the last six months from the date of this Red Herring Prospectus. p.305
There has been no regulatory action of suspension of trading against the promoter(s) or companies promoted by the promoters by any stock exchange having nation-wide terminals. p.305
There has been no change in the name of the company in the preceding full financial year. p.305
The composition of the board is in compliance with the requirements of the Companies Act, 2013. p.305
The company confirms that the promoters or directors are not the promoters or directors (other than the independent directors) of compulsory delisted companies by the Exchange and neither are they the promoters or directors of such companies on which the consequences of compulsory delisting is applicable/attracted or companies that are suspended from trading on account on non-compliance. p.305p.306
100% of the promoter’s shareholding in the company is in dematerialized form. p.305
Company has a functional website i.e., https://acmeindia.co/. p.305
Company has facilitated trading in demat securities and has entered into an agreement with both the depositories. p.305
The Lead Merchant Banker (Hem Securities Limited) has certified that the disclosures made in the offer document are generally adequate and are in conformity with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 in force for the time being. p.306
The filing of this draft offer document/offer document does not absolve the company from any liabilities under sections 34, 35, 36, and 38 (1) of the Companies Act, 2013 or from the requirement of obtaining such statutory and/or clearances. p.306
The Equity Shares have not been, and will not be, registered under the U.S. Securities Act or any state securities laws in the United States. p.310
The Draft Red Herring Prospectus was not filed with SEBI, nor did SEBI issue any observation on the Offer Document in terms of Regulation 246(2) of SEBI (ICDR) Regulations, 2018. p.310
The Equity Shares are proposed to be listed on the SME Platform of BSE, for which in-principle approval has been obtained. p.310
A copy of the Red Herring Prospectus will be filed online through the SEBI Intermediary Portal at https://siportal.sebi.gov.in. p.310
A copy of the Red Herring Prospectus along with material contracts and documents required under Section 32 of the Companies Act, 2013 will be filed with the RoC through the electronic portal at http://www.mca.gov.in. p.310
The company shall ensure all steps for the completion of necessary formalities for listing and commencement of trading of Equity Shares are taken within three Working Days from the Bid/Offer Closing Date. p.310
Fees payable to the Book Running Lead Manager will be as per the Offer Agreement dated September 21, 2025. p.310
Promoter Selling Shareholders are responsible for paying or reimbursing interest for delays in making refunds, depending on their portion of the offered shares. p.311
Fees payable to the Registrar to the Offer for processing applications, data entry, printing of CAN, tape, and bulk mailing register will be as per an agreement dated September 26, 2025. p.312
Investors who are allotted Equity Shares will be subject to capital gains tax on any resale of the Equity Shares. p.314
The company has not purchased any property that is to be paid for wholly or partly from the proceeds of the present Offer. p.314
The company has not capitalized its reserves or profits at any time since inception, except as disclosed under the Capital Structure section. p.314
Equity shares offered are subject to various laws, including the Companies Act, SCRA, SCRR, SEBI (ICDR) Regulations, SEBI Listing Regulations, and others. p.315
Investors applying in a public issue must use the Application Supported by Blocked Amount (ASBA) process, except for Anchor Investors. p.315
An alternate payment mechanism using Unified Payments Interface (UPI) was introduced, allowing for a reduction in listing timelines. p.315
The Public Offer for upto 62,8,800 Equity Shares was authorized by a Board resolution and shareholder approval. p.315
A Promoter Selling shareholder, Suraj Pandey, is authorized to sell 8,1,600 Equity Shares. p.315
A Pre-IPO Placement was undertaken for 10,80,000 Equity Shares for cash at a specific price and consideration. p.315
Equity Shares offered shall rank pari-passu with existing equity shares regarding voting rights, dividends, and other corporate benefits. p.315
The Offer comprises a Fresh Offer by the Company and an Offer for Sale by Promoter Selling Shareholders. p.315
The face value of each Equity Share is ₹10.00. p.316
The Equity Shareholders have rights including the right to receive dividends, annual reports, attend general meetings, and vote on polls. p.316
Equity Shares to be allotted must be in Dematerialized form. p.317
The minimum application size shall be two lots per application, provided it is above ₹2 lakhs. p.317
The minimum number of allottees in the Offer shall be 200 shareholders. p.317
Exclusive jurisdiction for the purpose of this Offer is with the competent courts/authorities in Delhi only. p.317
The revision in the Price Band shall not exceed 20% on either side. p.320
The Bid/Offer Period will be extended by at least three additional Working Days in case of a revision to the Price Band, subject to the total not exceeding 10 Working Days. p.320
Minimum subscription in the Offer is 90% and the Offer is 100% underwritten. p.320
Application money must be returned within a period of fifteen days from the closure of the Offer if the minimum amount is not subscribed. p.320
The number of prospective allottees to whom the Equity Shares will be allotted shall not be less than 200. p.320
The Offer is 100% underwritten in accordance with Regulation 260 of the SEBI (ICDR) Regulations, 2018. p.320
The shares offered are proposed to be listed on the BSE (BSE SME), where the Book Running Lead Manager shall ensure compulsory Market Making for a minimum period of 3 years. p.321
The company may migrate its equity shares listed on BSE SME to the Main Board if the post-issue paid up capital exceeds twenty-five crore rupees. p.321
For migration to the Main Board, the paid-up capital must be more than 10 Crores and Market Capitalization must be minimum ₹ 25 Crores. p.321
The promoter shall be holding at least 20% of equity share capital of the company at the time of making the migration application. p.321
The applicant company should have positive operating profit from operations for at least any 2 out of 3 financial years and positive Profit after tax (PAT) in the immediate preceding Financial Year. p.321
The applicant company should have a Net worth of at least ₹ 15 crores for 2 preceding full financial years. p.321
The applicant company is listed on SME Exchange/ Platform having nationwide terminals for at least 3 years. p.321
The trading of Equity Shares will happen in the minimum contract size of [●] shares of face value of ₹10/- each. p.322
The Allotment of Equity Shares to Non-Residents shall be subject to conditions prescribed by the Government of India/RBI. p.322
The Company shall publish a Pre-Offer and Price Band Advertisement in various editions of Business Standard and Navoday Times. p.322
The Company reserves the right not to proceed with the Offer after the Bid/Offer Opening date but before the Allotment. p.322
Equity Shares in the Offer shall be allotted only in dematerialized form. p.323
There are no new financial instruments such as deep discounted bonds, debenture, warrants, secured premium notes, etc., issued through this Offer. p.323
The IPO terms and where the money goes
Cover & definitions
Headline offer terms and the glossary the rest of the document relies on.
The document identifies the issuer as Acme India Industries Limited and provides various definitions related to the prospectus and the offering process. It specifies that Acme India Industries Limited is a company incorporated in India under the Companies Act, 2013, with a registered office in New Delhi. The text also defines various terms related to the company's structure, the offering process, and the parties involved in the transaction.
This section outlines various terms related to the offer process, including the bid/offer period, the types of bidders, and the process for making bids. It specifies that the Book Building process follows the method provided in Part A of Schedule XIII of the SEBI (ICDR) Regulations. Key roles such as the Book Running Lead Manager are identified, and details regarding various intermediaries, depository participants, and the timing for fund transfers are detailed.
The provided text primarily contains definitions for various legal, regulatory, and technical terms used in the context of the offering. It mentions that individual investors and eligible employees have the right to revise or withdraw their bids during the Bid/Offer Period. It also defines several regulatory frameworks, including various SEBI regulations, and specifies details related to the syndicate, bidding locations, and the role of various banks and intermediaries in the process.
This section primarily defines various abbreviations and terms used throughout the Draft Red Herring Prospectus. It includes definitions for financial periods, various financial instruments, and legal entities. It also specifies conventions for the use of financial data, including currency, rounding, and the differences between Indian GAAP, IFRS, and U.S. GAAP. Furthermore, it details the source of industry and market data used in the prospectus.
The provided text discusses various disclaimers related to industry reports and forward-looking statements within the Red Herring Prospectus. It details that industry estimates are compiled from publicly available sources, and these findings involve inherent risks and uncertainties. The text also lists numerous factors that could materially affect the company's actual results, including changes in laws, government policies, customer loss, and macroeconomic factors. Furthermore, it clarifies that forward-looking statements are based on management's beliefs and assumptions and do not guarantee future performance.
Key points (27)
The full legal name of the issuer is Acme India Industries Limited. p.5
The Corporate Identification Number (CIN) for the company is U93090DL2021PLC391603. p.5
The registered office address of Acme India Industries Limited is Plot No-34, Second Floor, Dwarka Sector-3, New Delhi – 110 078, India. p.5p.7
The Promoter(s) of the company are Suraj Pandey and Sadhvi Pandey. p.7
The Registrar of Companies (RoC) is Registrar of Companies, Delhi, located at 4th Floor, IFCI Tower, 61, Nehru Place, New Delhi-110019. p.7
The company has three subsidiaries as mentioned in the chapter titled “History And Corporate Structure”. p.8
The Banker to the Offer Agreement is specified as an agreement dated September 10, 2026, involving the Company, Promoter Selling Shareholders, Book Running Lead Manager, the Registrar, Sponsor Bank, and the Banker to the Offer. p.9
Kotak Mahindra Bank Limited is listed as a Banker to the Offer. p.9
The Book Running Lead Manager for the offer is Hem Securities Limited, a SEBI Registered Category-I Merchant Banker. p.10
The Market Making Agreement is dated September 05, 2026, between the Company, the Book Running Lead Manager, and Market Maker, Hem Finlease Private Limited. p.11
The Offer involves a Fresh Offer of up to 54,7,200 Equity Shares and an Offer for Sale of up to 8,1,600 Equity Shares by Promoter Selling Shareholders. p.12
The Initial Public Offer is for up to 62,8,800 Equity Shares aggregating up to a certain amount. p.12
The Offer Price is determined by the Company and Promoter Selling Shareholders in consultation with the Book Running Lead Manager. p.12
The Offer is subject to a Price Band defined by a minimum price (Floor Price) and a maximum price (Cap Price). p.14
The Offer is filed as a Red Herring Prospectus in accordance with Sections 26 & 32 of the Companies Act, 2013. p.14
The Registrar to the Offer is Bigshare Services Private Limited. p.14
The company is named Acme India Industries Limited. p.15p.16
The Sponsor Bank for the offer is Kotak Mahindra Bank Limited. p.16
The Syndicate includes the BRLM, Syndicate Members, and Sub Syndicate Members. p.16
Bidding Centers for ASBA include Mumbai, Chennai, Kolkata, and Delhi. p.16
The Underwriter is the BRLM who has underwritten the Offer pursuant to SEBI (ICDR) Regulations, 2018 and the Securities and Exchange Board of India (Underwriters) Regulations, 1993. p.16
The financial data included in the Red Herring Prospectus is derived from restated financial information prepared for the financial year ended March 31, 2026, March 31, 2025, and March 31, 2024 in accordance with Indian GAAP, the Companies Act, and SEBI (ICDR) Regulations, 2018. p.24
Percentage amounts are calculated based on the Company's restated financial statements prepared in accordance with the applicable provisions of the Companies Act, Indian GAAP and restated in accordance with SEBI (ICDR) Regulations, 2018. p.24
Industry and market data used in the Red Herring Prospectus has been obtained or derived from a report titled “Industry Report on Railway Coach Interior and Furnishing Solutions in India” prepared by Dun & Bradstreet. p.24
Information relating to the Basis for Offer Price is derived from publicly available sources. p.25
Forward-looking statements are subject to risks, uncertainties, and assumptions about the company that could cause actual results to differ materially. p.26
The Company and the Book Running Lead Manager (BRLM) will ensure investors in India are informed of material developments until listing and trading permission is granted. p.26
The offer
How many shares are being sold, by whom, and on what terms.
Acme India Industries Limited has only one class of share capital, which consists of Equity Shares with a face value of ₹10/- each, and all issued shares are fully paid-up. The company has not issued any partly paid-up Equity Shares since its incorporation, nor does it currently have any such shares. Furthermore, the company does not have any outstanding convertible instruments as of the date of the Red Herring Prospectus. The document details various changes in authorized and issued share capital, including allotments, conversions, and private placements over time. The shareholding pattern shows that a significant portion of the paid-up equity shares is held by promoters and public shareholders.
The section details the capital build-up of the company's promoters, Suraj Pandey and Sadhvi Pandey, including various transactions such as allotments, conversions, and bonuses over different periods. It specifies the total number of equity shares held by the promoters and the resulting percentage of shareholding. Furthermore, the text outlines provisions regarding the locking-in of a portion of the promoters' contribution for a specified period, as required by SEBI (ICDR) Regulations, 2018.
The company proposes a fresh issue of equity shares and an offer for the sale of existing shares by promoter selling shareholders. The company operates in the Indian railway rolling stock sector, providing turnkey furnishing solutions and manufacturing components for Indian Railways. The funds raised through the fresh issue are intended for various purposes, including working capital, loan repayment, and capital expenditure for plant and machinery. The utilization of net proceeds is subject to various factors and projections, and the company details its working capital requirements based on historical trends and future estimates.
The company details secured loans as of June 30, 2026, including various working capital facilities from several banks. Furthermore, the document outlines details regarding unsecured loans and the principal terms and security charged by the company for these borrowings. The company also intends to utilize funds for funding capital expenditure for machinery and equipment, which includes quotations for various industrial machinery. The utilization of fresh issue proceeds is subject to flexibility as per Board policies, with provisions for utilizing surplus amounts for general corporate purposes.
This section details various aspects related to the issue process, including estimated expenses, commissions, and processing fees, depending on the type of investor and the channel through which the application is made. It outlines specific charges for individual and non-institutional investors, as well as different fee structures for applications made via the UPI mechanism. Furthermore, it specifies the basis for determining the offer price, which will be set in consultation with the Book Running Lead Manager, and provides details on the face value of the equity shares.
This section details various financial metrics and procedures related to the company's listing and offer process. It includes definitions for diluted earnings per share, price earning ratios, return on net worth, and net asset value per equity share. Furthermore, it outlines procedures for determining the offer price in consultation with the Book Running Lead Manager (BRLM) and clarifies the basis for calculating the weighted average cost of acquisition. The text also includes a statement regarding special tax benefits available to the company and its shareholders.
This section covers various aspects related to the issuance of capital and disclosure requirements, special tax benefits, and an industry overview. It details disclaimers regarding the statement's use and the limitations of the information provided. Furthermore, it discusses the global macroeconomic scenario, including projections for GDP growth and inflation, and an analysis of the Indian macroeconomic situation. The text also delves into the passenger railway segment in India, highlighting factors such as economic growth, urbanization, infrastructure development, and changing lifestyle preferences that drive passenger growth.
The text discusses the market for furnishing and refurbishing of Indian Railways coaches, driven by the government's focus on infrastructure modernization and passenger satisfaction. It highlights opportunities in both new coach production and the refurbishment of the aging coach fleet. Various market segments are identified, including opportunities related to Video Surveillance Systems (VSS) for existing coaches, Crew Voice & Video Recording Systems (CVVRS) for locomotives, and toilet upgradation initiatives. The analysis quantifies the potential market size for these services, including Total Addressable Markets (TAM) for different aspects of the railway sector.
The text discusses the scope for private expertise in the maintenance of various railway components, such as braking units, traction motors, and HVAC equipment, which can be outsourced to meet the demands of a modernizing fleet. The government has significantly increased its budgetary allocation towards the railway sector, with substantial capital expenditure planned for various infrastructure projects. Furthermore, the budget includes funds for customer amenities and rolling stock procurement, alongside investments in safety enhancements and digital infrastructure. The text details extensive modernization efforts, including the replacement of old signalling systems with modern digital technologies, the deployment of various track circuiting methods, and the integration of advanced safety features like the European Train Control System (ETCS) and Automatic Train Protection (ATP).
The text details the entry barriers within the Indian railway industry, which require significant capital, technical knowledge, and regulatory navigation skills. It highlights the role of organizations like the Research Design and Standards Organization in setting and validating standards for railway products. The text then introduces several key players, including Chennai Radha Engineering Works Pvt Ltd (CREW) and Hindustan Fibre Glass Works Pvt Ltd (HF), which have established roles in providing furnishing and components for railway coaches. Furthermore, it describes Acme India Industries Limited's business, which focuses on the design, manufacture, and warranty maintenance of railway coach interiors, covering new coach furnishing, refurbishment, and toilet upgrades.
Acme India Industries Limited specializes in the upgradation and modernization of railway toilets, covering both Linke Hofmann Busch (LHB) and conventional ICF coaches. The company's expertise involves various components such as decorative paint, wash basins, and doors, and they have completed over 10,948 toilet upgrades. The company manufactures and supplies a diverse range of products for railway coaches, including Braille Signages, Fiber Reinforced Plastic (FRP), Sanitary ware, Epoxy Flooring, and various doors and barriers. Furthermore, the company has established tie-ups with entities in the USA and India for procuring materials and has an exclusive tie-up with an entity in Belgium for fire retardant coatings.
Acme India Industries Limited has established a strong market presence in the Indian railway sector by providing comprehensive turnkey furnishing and refurbishment solutions for railway coaches. The company has successfully completed numerous projects, including furnishing, refurbishment, and upgrading of coaches and toilet units. Their expertise covers a diverse range of products, and they maintain a healthy order book spanning various services for Indian Railways. The company also engages in collaborations with global firms and has developed in-house manufacturing capabilities to meet the growing demand for railway products.
The company describes a strategic approach to growth involving exploring new product opportunities through global exhibitions and seminars. This process includes creating prototypes, pursuing product approvals, and establishing product lines through in-house manufacturing or external sourcing via strategic alliances. The company also has a dedicated team for tenders, which involves scanning government websites, reviewing specifications, and submitting bids. Furthermore, the company operates in a niche industry where competition is noted across various factors like product features, quality, and delivery. The company also details its CSR contributions and outlines various risks related to operations and insurance coverage.
This section outlines various laws and regulations applicable to the company's business, categorized under different areas such as Core Business Laws, Corporate and Commercial laws, Labour and Employment Laws, and others. It details specific acts like the Railways Act, 1989, which governs rail transport, and various contract laws, including the General Conditions of Contract (GCC), which are applicable to contracts with the Ministry of Railways. The text also covers regulations concerning procurement policies, maintenance manuals for railway coaches, standards from the Research Designs and Standards Organisation (RDSO), and various certification requirements from bodies like BIS and ISO.
The provided text details various Indian laws categorized under different sections, including labor, environmental, tax, foreign trade, and intellectual property. It covers numerous acts and rules, such as the Code of Wages, the Industrial Relations Code, the Occupational Safety, Health and Working Conditions Code, and various acts related to contracts, insurance, and trade. Specific laws are mentioned regarding worker protection, pollution control, taxation, and the regulation of imports and exports.
The provided section details the history and corporate structure of Acme India Industries Limited, including its incorporation and subsequent conversion to a public limited company. It outlines various amendments to the Memorandum of Association, including changes to the authorized share capital and the power to borrow money. The text also lists major events and milestones achieved by the company over several fiscal years, such as securing orders and crossing turnover thresholds. Furthermore, it describes the relationship with former subsidiaries and the existence of current subsidiaries like ACVI Joint Venture Private Limited and ACME & VIBGYOR JV PRIVATE LIMITED.
The provided text details various disclosures regarding the company's operations, governance, and agreements. It states that the company has not made recent material acquisitions or divestments, nor have there been any injunctions or restraining orders against the company, except as disclosed elsewhere. The text also specifies details related to the company's business scope, shareholder count, management changes, and agreements with key personnel or third parties. Furthermore, it outlines the composition of the Board of Directors, including the number of directors and their respective roles and qualifications.
The provided text outlines various compliance and governance aspects related to the company's directors, borrowing powers, compensation, and the structure of the Board and its committees. It details restrictions on directors holding directorships in listed companies, assurances regarding their financial standing, and stipulations on arrangements with major shareholders or service contracts. Furthermore, it specifies the limits on borrowing money by the Board and details the remuneration approved for the Managing and Whole Time Directors, along with the payment structure for sitting fees for directors.
The document details the reconstitution of the Nomination and Remuneration Committee, which includes Lakshmi Raman as Chairman and Dilip Kumar Agarwal and Devdutt Gajanan Salpekar as Members. It outlines various terms of reference for this committee, covering aspects like director qualifications, remuneration policies, and performance evaluation. Furthermore, the document describes the reconstitution of the Stakeholders Relationship Committee, with Dilip Kumar Agarwal as Chairman and Suraj Pandey and Sadhvi Pandey as Members, focusing on grievance redressal and shareholder rights. Finally, it details the reconstitution of the Corporate Social Responsibility Committee, which includes Suraj Pandey as Chairman and Lakshmi Raman and Devdutt Gajanan Salpekar as Members, with responsibilities related to CSR policy formulation and expenditure monitoring.
This section details various aspects related to the company's management, promoters, and related party transactions. It outlines changes in the designation of Key Managerial Personnel (KMP) and Senior Management Personnel, confirms the shareholding of the promoters, and discusses various declarations regarding regulatory compliance and financial dealings. Furthermore, it specifies the relationship structure within the promoter group and lists corporate entities that are considered part of the promoter group.
The section discusses the company's dividend policy, stating that dividends can be paid upon a recommendation by the Board of Directors and approval by shareholders, with the Articles of Association granting shareholders the right to decrease but not increase, the recommended dividend amount. The company does not have a formal dividend policy, and dividend declaration depends on various factors including operational results, future plans, and financial conditions. Furthermore, the text details the scope of work performed by the independent auditor regarding the examination of restated financial information for inclusion in the Red Herring Prospectus.
The provided text details the accounting policies and financial statements of Acme India Industries Limited, including the consolidated statements of profit and loss and cash flow for the years ended March 31, 2026, 2025, and 2024. The financial information has been restated to reflect changes in accounting policies, material errors, and regroupings retrospectively. The report also outlines various annexures containing detailed financial information, such as share capital, reserves, borrowings, and various assets and liabilities.
The provided text includes details regarding the signatories and certification details for the financial statements, indicating the involvement of Khandelwal Jain & Co. Chartered Accountants, and the Board of Directors. It also presents a restated statement of consolidated cash flows for different fiscal years, showing various components like operating, investing, and financing activities. The document also contains notes on accounting policies and the components of cash and cash equivalents.
Key points (239, showing 60)
The company has only one class of share capital, which is Equity Shares with a face value of ₹10/- each. p.80
The company has not issued any partly paid-up Equity Shares since its incorporation nor does it have any partly paid-up Equity Shares as on the date of the Red Herring Prospectus. p.80
The company has no outstanding convertible instruments as on the date this Red Herring Prospectus. p.80
The authorized share capital was increased from ₹2000.00 Lakhs to ₹2500.00 Lakhs, divided into 2,50,0 Equity Shares of ₹10/- each. p.80
A total of 10,80,000 equity shares were allotted on a private placement basis on December 11, 2025 at a price of ₹190/- per equity share, which may be lower than the offer price. p.82
The shareholding pattern shows that Suraj Pandey held 87.29% of the pre-offer paid-up share capital. p.84
The company has not made any Initial Public Offer of specified securities in the preceding two years from the date of filing of this Red Herring Prospectus. p.84
There will be no further issue of capital, whether by way of issue of bonus shares, preferential allotment, Right issue or in any other manner during the period commencing from the date of the Red Herring Prospectus until the Equity Shares of our Company have been listed or application money unblocked on account of failure of Offer. p.84
Our Promoters Suraj Pandey and Sadhvi Pandey collectively hold 1,59,31,200 Equity Shares of the Company as of the date of the Red Herring Prospectus. p.85
The minimum Promoter’s contribution does not consist of Equity Shares acquired for consideration other than cash and revaluation of assets or capitalization of intangible assets. p.87
The 50% of pre-offer Equity Shares constituting 52,15,200 Equity Shares shall be locked in for a period of two years. p.87
The remaining 50% of pre-offer Equity Shares constituting 52,14,400 Equity Shares shall be locked in for a period of one year. p.87
The Equity Shares which are subject to lock-in shall carry an inscription ‘non-transferable’ along with the duration of the specified non-transferable period. p.88
The offer includes a fresh issue of up to 54,7,200 Equity Shares and an offer for sale of up to 8,1,600 equity shares. p.90
The company is engaged in the Indian railway rolling stock sector, focusing on the design, manufacture, and maintenance of railway coach interior. p.90
The company provides turnkey furnishing solutions for the interiors of new railway coaches, refurbishment, up-gradation, and conversion of old coaches, along with toilet facility upgrades. p.90
The company manufactures and supplies components to Indian Railways. p.90
The net proceeds calculation involves a gross proceeds figure, less offer related expenses, to determine the net proceeds. p.90
A Pre-IPO Placement of 10,80,000 Equity Shares was allotted for an aggregate consideration of ₹2,052 lakhs. p.90
Net proceeds are proposed to be used for funding working capital requirements, repayment/pre-payment of borrowings, funding capital expenditure for plant & machinery, and general corporate purposes. p.91
The amount utilized for general corporate purposes shall not exceed 15% of the Gross Proceeds or ₹ 10 crores whichever is lower. p.91
The estimated deployment of funds for working capital requirements in FY2027 is ₹ 3,800.00 lakhs. p.92
The estimated deployment of funds for repayment/pre-payment of borrowings in FY2027 is ₹ 4,100.00 lakhs. p.92
The estimated deployment of funds for funding capital expenditure towards purchase of additional plant & machinery in FY2027 is ₹ 627.30 lakhs. p.92
The historical holding days of trade receivables have increased from 263 days to 416 days during the last three financial years. p.93
The total outstanding amount of borrowings as of June 30, 2026, was ₹ 7,332.84 lakhs (including fund based & unsecured loan). p.93
The company expects the holding level for debtors to be around 200 days in FY 2027 of total revenue from operations. p.94
The company intends to reduce trade payable holding days to around 105 days for Fiscal 2027 to avail a cash discount. p.94
The company estimates inventories holding days to be around 26 days in Fiscal Year 2027. p.94
Secured loans as of June 30, 2026 were detailed from Federal Bank Limited, ICICI Bank Limited, HDFC Bank, and Kotak Mahindra Bank. p.95
Unsecured loans were also detailed, including facilities from L & T Finance Limited, Moneywise Financial Services, Private Limited, SMFG India Credit Co. Ltd., and Tata Capital Financial Services Ltd. p.95p.96
Collateral securities for borrowings included hypothecation of company stocks, retention money deposits, personal guarantees of directors, and cash margins in the form of FDRs. p.97
The company proposed to utilize ₹ 627.30 Lakhs for funding capital expenditure requirements towards the purchase of machinery and equipment. p.97
Quotations were received for various machinery, including 3D Printers, Press brake models, Optical Emission Spectrometers, Welding machines, and Vacuum forming machines. p.98
The utilization of fresh issue proceeds for general corporate purposes is subject to a limit of 15% of the amount raised or ₹ 10 crores, whichever is lower. p.99
Selling commission for Individual and Non-Institutional Investors is 0.10% of the amount allotted, plus applicable taxes. p.100p.101
Processing fees for Individual and Non-Institutional Applicants are ₹10 per valid Bid cum Application Form, plus applicable taxes. p.100p.101
Processing fees for certain applications may not exceed ₹1 lakh (plus applicable taxes), with pro-rata payment if exceeded. p.100p.101
Uploading charges for Syndicate/RTAs/CDPs on applications made by RIIs (up to ₹2,00,000) using the UPI Mechanism are ₹10 per valid application (plus applicable taxes). p.100
Sponsor Bank – Kotak Mahindra Bank Limited is responsible for making payments to third parties. p.100
Bidding charges for Registered Brokers, CRTAs/CDPs on portions for RIBs and Non-Institutional Applicants are ₹10 per valid Bid cum Application Form, plus applicable taxes. p.101
The Offer Price will be determined by the Company in consultation with the Book Running Lead Manager based on market demand. p.104
The Price Earning (P/E) Ratio is calculated in relation to a price band of ₹ [●] to ₹ [●] per Equity Share for a Face Value of ₹ 10 each fully paid up. p.105
The Return on Net worth (RoNW) for the period ending March 31, 2026 was 23.52% with 3 weights. p.105
The Net Asset Value (NAV) per Equity Share as at March 31, 2024 was ₹ 21.67. p.105
The Offer Price per Equity Share will be determined by the Company in consultation with the Book Running Lead Manager (BRLM). p.105
The KPIs disclosed have been approved by a resolution of the Audit Committee dated September 10, 2026, and verified by Khandelwal Jain & Co., Chartered Accountants. p.106
The Revenue from operations for March 31, 2026 was ₹ 26,370.77 Lakhs. p.106
The Weighted average cost of acquisition for a private placement on December 12, 2025 was ₹ 190 per Equity Share. p.108
The statement is intended solely for the inclusion in the Draft offer document or any other issue related material in connection with the proposed initial public offer of the Company. p.110
The information provided sets out special tax benefits available to the Company and Equity Shareholders under the Income Tax Act, 2025 and GST Act. p.111
The Company is not entitled to any special tax benefits under the Income Tax Act, 2025 and GST Act. p.111
Information regarding the industry overview is derived from a report titled “Industry Report on Railway Coach Interior and Furnishing Solutions in India” dated September 10, 2026 (“D&B Report”). p.112
The global economy is expected to show resilience at 3.0% in CY 2025, which is a -0.3% point downgrade from January 2025 forecast. p.113
India is expected to grow by 6.4% in CY 2025 amidst geopolitical uncertainties. p.113
The passenger railway segment is the backbone of the nation's transportation network, carrying billions of passengers annually. p.114
The growing middle class is a significant contributor to passenger growth as they seek comfortable and reliable travel options. p.114
The furnishing and modernization of railway coaches involves improvements to various components such as seating, fabrics, ceiling, flooring, lights, HVAC, and safety systems. p.115
The Indian government plans to manufacture 17,000 general-class and non-air-conditioned sleeper coaches over the next five years. p.115
Use of proceeds
What the money raised will be spent on: growth, debt repayment or promoters cashing out.
The Offer involves a fresh issue of equity shares and an offer for sale of existing shares by promoter selling shareholders. The funds raised through the fresh issue are intended for various corporate purposes, including working capital, debt repayment, capital expenditure, and general corporate purposes. The net proceeds from the offer are detailed, and the utilization plan outlines the deployment of these funds over the fiscal years, with provisions for flexibility based on market conditions.
The section details the secured and unsecured loans of Acme India Industries Limited as of June 30, 2026, which were utilized for the purposes availed. It lists various amounts and terms for both secured and unsecured borrowings from different banks. Furthermore, it outlines the principal terms and security charged by the company for these borrowings, including various collateral securities and personal guarantees. The section also discusses the proposed utilization of funds for capital expenditure, general corporate purposes, and the related offer expenses.
This section details various aspects related to the issue expenses and the utilization of the gross proceeds from the offer. It outlines different commission structures for various investor types and specifies limits on processing fees. Furthermore, it establishes a framework for monitoring the utilization of the gross proceeds by a monitoring agency and mandates regular disclosures to the Audit Committee and Stock Exchanges regarding the deployment of funds.
This section details various financial metrics and aspects related to the offer, including performance indicators and the process for determining the offer price. It covers comparisons of accounting ratios with industry peers, the disclosure of Key Performance Indicators (KPIs), and the procedures for issuing equity shares. Furthermore, it includes a statement regarding special tax benefits available to the company and its shareholders.
This section primarily covers disclaimers regarding the statement's update frequency and the nature of the document provided. It details the limitations of the information, stating that it is for informational purposes only and should not be used for other purposes without prior written consent. Furthermore, it includes an annexure on special tax benefits, which clarifies that the company and its shareholders are not entitled to special tax benefits under the Income Tax Act, 2025 and GST Act. The latter part of the text discusses the industry overview, referencing a D&B report, and provides various macroeconomic and sector-specific analyses.
The text details various aspects of the Indian Railways sector, focusing on the need for furnishing, refurbishment, and maintenance of coaches and locomotives. It highlights the market opportunities arising from government initiatives aimed at improving passenger comfort, safety, and infrastructure. This includes plans for new coach production, upgrades to existing coaches, and the implementation of various safety and monitoring systems.
The provided text discusses various aspects of the Indian Railways sector, including budgetary allocations, infrastructure development, and technological modernization efforts. It details significant capital expenditure plans for various railway projects, such as track expansion, rolling stock procurement, and safety enhancements. Furthermore, the text outlines advancements in signalling systems, the deployment of digital technologies like GPS tracking, and efforts to integrate Industry 4.0 practices into manufacturing and maintenance. The railway sector is also engaging with international technology and private sector collaborations to drive transformation.
This section details the company's business operations within the Indian railway rolling stock sector, focusing on the design, manufacture, and warranty maintenance of railway coach interiors. The company provides turnkey furnishing solutions for new coaches, refurbishment, up-gradation, and conversion of old coaches, as well as manufacturing and supplying various components. The services are tailored to meet the specific requirements of Indian Railways regarding comfort, safety, hygiene, and functionality. The company has experience across numerous coach variants and has successfully executed a significant number of projects.
This section details the company's services and products related to railway coaches, primarily focusing on upgrades and supplies. The company specializes in upgrading railway toilets to meet modern standards, involving various components like paint and fixtures. Furthermore, the text lists several manufactured products, including Braille Signages, Fiber Reinforced Plastic (FRP), sanitary ware, epoxy flooring, and various doors and coatings. The section also provides a breakdown of revenue from contracts and services over the last three fiscal years.
The provided text details Acme India Industries Limited's competitive strengths, which center around its established presence in the Indian railway sector through turnkey furnishing and refurbishment solutions. The company has successfully completed numerous projects involving the furnishing, refurbishment, conversion, and upgrading of railway coaches. The text outlines a diverse product range, including various components and hygiene products. Furthermore, it discusses the company's order book, manufacturing processes, infrastructure, and various technological offerings related to railway systems.
The provided text details aspects of Acme India Industries Limited's business operations, including its strategic approach to growth through exploring new product opportunities, forming alliances, and pursuing tenders. It also covers aspects of Corporate Social Responsibility, competition within the industry, human resource structure, and various aspects related to intellectual property, insurance, and immovable properties owned or leased by the company.
This section primarily outlines various laws and regulations applicable to the company's business, categorized under different legal domains such as Core Business Laws, Corporate and Commercial Laws, Labour and Employment Laws, and others. It details specific acts like the Railways Act, the Companies Act, the Contract Act, and various rules concerning documentation, contracts, and industry standards. The text covers aspects related to contract management, consumer protection, and the framework for regulating employment conditions.
This section details various Indian laws and codes, primarily focusing on labor, environmental, tax, and foreign trade regulations. It covers several key pieces of legislation such as the Code of Wages, the Code on Social Security, the Industrial Relations Code, and the Occupational Safety, Health and Working Conditions Code. The text also discusses various acts related to employee compensation, sexual harassment, environmental protection, and customs, alongside tax laws like the Income Tax Act and GST. Furthermore, it outlines regulations concerning foreign trade, including the Foreign Trade (Development & Regulation) Act and FEMA.
Key points (96, showing 60)
The Offer includes a fresh Issue of up to 54,7,200 Equity Shares and Offer for Sale of up to 8,1,600 equity shares. p.90
Funds from the Fresh Issue are proposed to be utilized for funding working capital requirements. p.91p.92
Funds are proposed to be utilized for repayment and/or pre-payment of borrowing availed by the company. p.91p.92
Funds are proposed to be utilized for funding Capital Expenditure towards the purchase of additional plant & machinery. p.91p.92
Funds are proposed to be utilized for General Corporate Purpose, with a limit not exceeding 15% of Gross Proceeds or ₹ 10 crores whichever is lower. p.91p.92
Total secured borrowings as on June 30, 2026, amounted to 6,248.96 lakhs. p.95
Unsecured loans amounted to 144.65 lakhs as of June 30, 2026. p.95
The company proposed to utilize ₹ 627.30 Lakhs for funding capital expenditure requirements towards the purchase of machinery and equipment. p.97
Proceeds from the offer related expenses shall not exceed 15% of the amount raised by the Company through this offer or ₹ 10 crores whichever is lower, for general corporate purposes. p.99
Selling commission for Individual and Non-Institutional Investors is 0.10% of the amount allotted, plus applicable taxes. p.100p.101
Processing fees for applications procured by Syndicate members, Registered Brokers, CRTAs, or CDPs on certain portions will not exceed ₹1 lakh (plus applicable taxes). p.100p.101
Uploading charges for Individual Applicants using the UPI Mechanism are ₹10 per valid application for Syndicate members (including their sub-Syndicate Members). p.100
Bidding charges for Registered Brokers, CRTAs/CDPs on portions procured by them will be ₹10 per valid bid cum application form for Individual and Non-Institutional Applicants. p.101
The utilization of Gross Proceeds will be monitored by Brickwork Ratings India Private Limited. p.102
The utilization of Proceeds will be categorized into Funding to meet working capital requirements, Repayment and/or pre-payment of borrowing, Funding Capital Expenditure, and General Corporate Purpose. p.102
The KPIs disclosed have been approved by a resolution of the Audit Committee dated September 10, 2026. p.106
The company shall continue to disclose all the KPIs included in this section on a periodic basis, at least once in a year (or any lesser period as determined by the Board of our Company), for a duration of one year after the date of listing of the Equity Shares on the Stock Exchange or till the complete utilisation of the proceeds of the Fresh Issue as per the disclosure made in the Objects of the Offer, whichever is later or for such other duration as may be required under the SEBI ICDR Regulations. p.106
The Offer Price will be determined by the Company in consultation with the Book Running Lead Manager (BRLM) and will be justified on the basis of the above information. p.108
The statement covers only special tax benefits available to the Company and does not cover any general tax benefits. p.109
The statement is intended solely for the inclusion in the Draft offer document or any other issue related material in connection with the proposed initial public offer of the Company. p.110
The Company is not entitled to any special tax benefits under the Income Tax Act, 2025 and GST Act. p.111
Information is derived from a report titled “Industry Report on Railway Coach Interior and Furnishing Solutions in India” dated September 10, 2026 (“D&B Report”). p.112
Global GDP growth is expected to show resilience at 3.0% in CY 2025, which is a downgrade from the 3.3% in CY 2024. p.113
The capital expenditure of the central government increased by an average of 26.52% during FY 2023-FY 2024, which slowed to 7.27% in FY 2025. p.113
The Union Budget 2025-2026 announced ₹1,121.00 Crore capex on infrastructure coupled with INR 1.5 trillion in interest-free loans to states. p.113
The potential Total Addressable Market (TAM) for coach furnishing and refurbishment stands at ₹2,576.00 Crore. p.117
The potential market size for turnkey furnishing of new passenger coaches annually is ₹3,908.00 Crore. p.117
The Video Surveillance System (VSS) opportunity for retrofit coaches is valued at INR 4147.26 Crore. p.118
The opportunity for VSS-Retrofit Coaches in the remaining segment is valued at INR 2035.98 Crore. p.118
The opportunity for CVVRS in the Diesel segment is valued at INR 232.05 Crore. p.119
The opportunity for CVVRS in the Electric segment is valued at INR 907.92 Crore. p.119
The Grand TAM for CVVRS across both Diesel and Electric segments is INR 1139.97 Crore. p.119
The potential TAM for Toilet Upgradation announced is INR 1,998 Crore. p.119
The potential Remaining TAM for Toilet Upgradation is INR 6,743.1 Crore. p.119
The total outlay provided for Capital Expenditure in Budget Estimate 2025-26 of the union budget is INR 2,652 Bn. p.120
The Gross Budgetary Support for Railways in FY 2025-26 stands at INR 2,520 Bn, which has reduced compared to the previous year's level of INR 1,122 Bn in FY 2021. p.120
Allocations for Safety Enhancements include INR 1,160 Bn for upgrading tracks, signalling, flyovers, underpasses, and Kavach system. p.120
Allocations for Doubling of Rail Lines include INR 320 Bn for enhancing capacity and reducing congestion. p.120
Allocations for Rolling Stock include INR 589 Bn for the procurement and manufacturing of coaches and locomotives. p.121
Allocations for Customer Amenities include INR 121 Bn for enhancing passenger comfort and convenience. p.121
Indian Railways allocated ₹4,190.00 Crore for signalling works in FY 2023-24. p.123
The company has successfully refurbished and upgraded a total of 1,888 coaches up to June 30, 2026. p.127
The company has successfully refurbished and upgraded various variants of coaches, including LHB and ICF coaches. p.127
The company has successfully completed 10,948 units of toilet upgrades in railway coaches. p.127
The company provides comprehensive interior design and furnishing of Linke Hofmann Busch (“LHB”) railway coaches and self-propelled coaches, integrating state-of-the-art materials. p.129
The company has successfully completed 28 projects of turnkey furnishing, delivering a total of 1,610 coaches since 2017. p.129
The company provides turnkey contracts for furnishing various types of coaches at production units like MCF, ICF, and RCF. p.129
The company specializes in the upgradation and modernization of railway toilets to ensure they meet contemporary standards of comfort and hygiene. p.130
Braille Signages were introduced for Indian Railways in 2013 to cater to 'Divyangjan' signage requirements. p.132
The company has a tie-up with a USA entity for procuring 'Photosensitized Anodized Aluminium foils and sheets' for Braille signages manufacturing. p.132
FRP is used for interior panels, wall linings, and cab masks due to its lightweight, high-strength, and corrosion-resistant properties. p.132
Prefabricated, lightweight FRP modules are favored for railway lavatories due to their hygiene, durability, and ease of cleaning. p.132
Solid Surface material is used for surfacing in Indian Railways, with tie-ups in India and Korea for supply. p.132
Epoxy flooring is supplied in various colors with decorative chip options and is widely used in Indian Railways, particularly in toilets. p.133
Decorative Glass Reinforced Plastic (Eadcom) is used for interior furnishing of coaches, including walls and toilets. p.133
Toilet doors are constructed using aluminum extrusion with decorative adcom, FRP, or aluminum sheets on the front and back. p.133
Intercommunication (IC) doors are designed to open in either direction, which makes it easier for people to escape during emergencies. p.134
Fire Retardant decorative coatings are developed to meet international safety regulations and eliminate highly toxic solvents. p.134
The company has an exclusive tie-up with an entity in Belgium for the supply of Fire Retardant decorative coating. p.134
Vacuum Circuit Breakers (VCB) are used in locomotives to enhance safety and reliability by protecting against electrical faults. p.134
Capital structure
Who owns what today, past share issues and what the shareholding looks like after the IPO.
This section details the structure of an offer made under Regulation 229(2) of Chapter IX of SEBI (ICDR) Regulations, 2018, for listing on the BSE SME Exchange. The offer involves a fresh issue and an offer for sale by promoter selling shareholders. The offer comprises a Market Maker Reservation Portion and a Net Offer to the public, which constitutes 26.45% and 25.11% of the post-offer paid-up equity share capital, respectively. Various provisions are laid out regarding the allocation of these portions to different investor categories, including Mutual Funds and QIBs.
This section primarily details the various rules and procedures applicable to the public offering, including the phased implementation of the Unified Payments Interface (UPI) mechanism. It outlines the transition from previous payment methods to the UPI mechanism across three phases, with different timelines for listing depending on the issue opening date. Furthermore, it specifies the rules for book-building, including allocations to different investor categories such as QIBs, Anchor Investors, Mutual Funds, and Non-Institutional Investors, and the requirements for application forms and fund blocking.
This section details various eligibility criteria for investors and procedures related to the offering. It outlines different types of entities, such as Trusts, Insurance Companies, and Pension Funds, that may be eligible to invest in equity shares. The text also specifies minimum application sizes for individual and non-institutional bidders. Furthermore, it covers the process for submitting bids, including the bid/offer period duration, the handling of different price levels, and the rules for bids from Anchor Investors.
This section details various procedures and compliance requirements for different categories of bidders in the offer process, including Eligible NRIs, FPIs, SEBI registered entities, HUFs, Mutual Funds, and various financial institutions. It outlines specific rules regarding bid forms, required documentation, and investment limits for different investor types. Furthermore, it specifies the process for Application Supported by Blocked Amount (ASBA) bids and the handling of funds, including the blocking and unblocking of amounts in bank accounts.
This section primarily details the procedures and responsibilities related to the electronic registration and submission of applications for the offer. It outlines the roles of Designated Intermediaries, the flow of applications through various entities, and the requirements for documentation. Key aspects covered include the handling of applications, the verification of bidder details, and the rules concerning bid withdrawal and payment methods. Furthermore, it specifies conditions under which applications may be rejected based on non-compliance with various instructions.
This section details various procedural aspects related to the bidding and allotment process for equity shares, including rules for joint bids, handling of investor grievances, and nomination facilities. It outlines numerous technical rejections for bids, such as mismatches in PAN, DP ID, and client IDs, or bids below/above specified price floors/caps. Furthermore, it explains the basis for allocation, including how under-subscription can be handled through spill-over, and the procedures for allotment across different investor categories like Individual, Non-Institutional, and QIBs. The text also covers the flow of events from the bid closure to the final allotment, including validation, list preparation, and the issuance of allotment advice.
This section primarily outlines the procedural requirements for investors to submit applications for the offer, including details on the use of various bank accounts and the role of Designated Intermediaries. It details various regulations introduced by SEBI concerning the submission of bid cum application forms, including mechanisms for stock brokers and the acceptance of such forms by various participants. Furthermore, the text covers undertakings from the company regarding the timely completion of listing formalities and the handling of application monies, as well as restrictions on foreign ownership of Indian securities.
This section primarily outlines various provisions related to the Articles of Association concerning the company's share capital, including rules for voting rights, dividends, liens, and transfer restrictions. It details how shares are to be handled, such as the process for issuing certificates, the rights of members, and procedures for dealing with forfeited shares. Furthermore, the text discusses the company's ability to alter its share capital, consolidate, or divide existing shares, and the capitalization of profits.
This section primarily details various procedural aspects related to the company's operations, including the handling of reserve accounts, the capitalization of profits, and the process for allotting and distributing shares. It outlines the Board's powers regarding appropriations and the issuance of fully paid shares. Furthermore, the text covers rules for general meetings, including quorum requirements and voting rights, as well as provisions concerning the appointment and powers of the Board of Directors and various officers.
This section primarily lists various material contracts and documents that have been entered into or are planned for entry by the company, which are to be attached to the Draft Red Herring Prospectus for inspection. The listed material contracts include various agreements with promoters, lead managers, registrars, and market makers, dating from September 2024 to September 2026. Furthermore, the section details various material documents such as the company's Memorandum and Articles of Association, various Certificates of Incorporation, Board Resolutions, Audited Financial Statements, and industry reports commissioned for the offer.
The provided section consists entirely of formal declarations signed by various directors and officers of Acme India Industries Limited, certifying compliance with relevant laws and the truthfulness of the statements made in the Draft Red Herring Prospectus. The declarations are dated September 24, 2026, and involve signatories such as a Non-Executive Director, an Independent Director, and the Chief Financial Officer.
The provided text is a declaration by the promoter certifying compliance with various provisions of the Companies Act, 2013, and regulations issued by the Government of India or SEBI. The declaration confirms that no statement in the Draft Red Herring Prospectus is contrary to the provisions of the relevant laws and rules.
Key points (98, showing 60)
The Offer and the Net Offer will constitute 26.45% and 25.11% of the post Offer paid up equity share capital of the Company. p.324
Up to 3,14,400 Equity Shares of face value of ₹10/- each are available for allocation to Market Maker Bidders. p.324
The Market Maker Reservation Portion is 5.06% of the offer Size. p.324
The Net Offer is up to 50% of the Net Offer being available for allocation to QIB Bidders. p.324
Not less than 15.00% of the Net Offer shall be available for allocation subject to certain conditions. p.324
One-third of the Non-Institutional Category will be made available for allocation to Bidders with an application size of more than two lots and up to such lots equivalent to not more than ₹10 lakhs. p.325
Up to 60% of the QIB Portion may be allocated on a discretionary basis to Anchor Investors. p.325
Up to 40% of the Anchor Investor Portion shall be reserved for domestic Mutual Funds. p.325
The UPI Mechanism was introduced in three phases: Phase I (Jan 1, 2019 to Mar 31, 2019), Phase II (starting July 1, 2019, extended until Mar 31, 2020), and Phase III (mandatory starting Sept 1, 2023 and mandatory starting Dec 1, 2023). p.330
The time duration from public Issue closure to listing was reduced to three Working Days under the mandatory UPI Phase III. p.330
The offer is being made for at least 25% of the post-Offer Paid-up Equity Share capital of the Company. p.331
6.67% of the Anchor Investor Portion shall be reserved for Life Insurance Companies and Pension Funds. p.331
5% of the QIB Portion (excluding the Anchor Investor Portion) shall be available for allocation to Mutual Funds on a proportionate basis. p.331
Not less than 15% of the Net Offer shall be available for allocation to Non-Institutional Investors. p.331
OCBs are not eligible to participate in the Offer unless they obtain prior approval from the RBI under certain conditions. p.334
Individual bidders must make an application for a minimum of two lots, with the minimum application size exceeding ₹2 lakhs. p.334
For other than individual bidders, applications must be for more than two lots and in multiples of Equity Shares thereafter. p.334
Bid/Offer Period can be for a minimum of three Working Days and shall not exceed 10 Working Days, with a potential extension of one Working Day. p.335
Anchor Investors may participate in up to 60% of the QIB Portion, and the QIB Portion will be reduced in proportion to allocation under the Anchor Investor Portion. p.338
Anchor Investors cannot withdraw or lower the size of their Bids at any stage after submission. p.338
50% of the Equity Shares Allotted to Anchor Investors in the Anchor Investor Portion shall be locked in for a period of 90 days from the date of Allotment, and the remaining 50% shall be locked in for 30 days. p.338
The Offer of Equity Shares to a single FPI including its investor group must be below 10% of the post-Offer paid-up capital. p.339
The total holding of an FPI increasing beyond 10% of the total paid-up Equity Share capital may result in re-classification as FDI subject to SEBI and RBI conditions. p.339
The holding by any individual VCF registered with SEBI in one venture capital undertaking should not exceed 25% of the corpus of the VCF. p.340
Category I and II AIFs cannot invest more than 25% of the corpus in one Investee Company, and Category III AIFs cannot invest more than 10% of the corpus in one Investee Company. p.340
No Mutual Fund scheme shall invest more than 10% of its net asset value in equity shares or equity related instruments of any single company, except for index funds or sector/industry specific funds. p.341
For Bids made by banking companies, certified copies of the RBI registration certificate and the approval of the investment committee are required. p.342
The investment limit for banking companies in non-financial services companies is 10% of the paid-up share capital of the investee company or 10% of the banks’ own paid-up share capital and reserves, whichever is lower. p.342
Investors applying in a public Offer must use only the Application Supported by Blocked Amount (ASBA) process. p.343
SCSBs participating in the Offer must ensure they have a separate account for making Bid cum Applications on their own account using ASBA. p.343
Designated Intermediaries are responsible for any acts, mistakes, errors, or omissions related to applications accepted by them. p.344
The Designated Intermediaries shall undertake modification of selected fields in the application details before 5.00 p.m. of the Offer Closing Date. p.344
The Designated Intermediaries shall give an acknowledgment to the investor, by providing a counterfoil or specifying the application number, as proof of acceptance. p.345
The registration of the Application by Designated Intermediaries does not guarantee that the Equity Shares shall be allocated or allotted by the Company. p.345
Applications by Non-Institutional Bidders and Individual Bidders would not be rejected except on technical grounds mentioned in the Red Herring Prospectus. p.345
The Designated Intermediaries will have no right to reject applications except on technical grounds. p.345
Applications must be verified by the Registrar to the Offer against Depository records using DP ID, Client ID, and PAN. p.345
Under-subscription in any category (except QIB Category) is allowed to be met with spillover from any other category or combination of categories at the discretion of the Issuer. p.346
Allocation to Anchor Investors shall be at the discretion of the Company and in consultation with the Book Running Lead Manager, subject to compliance with SEBI Regulations. p.346
Bidders are not permitted to withdraw their bids or lower the size of their bids at any stage. p.347
Bids should not be submitted in cash, by money order, cheques, demand drafts, postal orders, or by stock investment. p.347
Bids should not be submitted on plain paper or on incomplete or illegible Bid cum Application Forms. p.347
Bids should not be submitted if the Bid cum Application Form does not have the stamp of the relevant Designated Intermediary. p.347
Bids should not be submitted for a Bid Amount exceeding ₹ 5,00,000 for Bids by UPI Bidders. p.347
Bids should be made in the name of the first bidder appearing in the Depository account for Joint Bids. p.349
Bidder should submit only one Bid cum Application Form. p.349
Bids are liable to be rejected if the amount blocked does not tally with the amount payable for the Equity Shares applied for. p.349
Bids are liable to be rejected if PAN is not mentioned in the Bid cum Application Form. p.349
Allotment to Individual Bidders will be made at the Offer Price if aggregate demand is less than or equal to a specified number of Equity Shares. p.351
Allocation of Equity Shares to Anchor Investors may not exceed 60% of the QIB Portion. p.352
Allocation to Anchor Investors above 25 crore rupees may involve a minimum of 5 such investors and a maximum of 15 such investors for allocation up to 25 crore rupees, with additional investors for every additional 25 crore rupees. p.352
Applications must be submitted in BLOCK LETTERS in bkdifpe only. p.354
Applications made using a third-party bank account or third-party UPI ID linked bank account are liable to be rejected. p.354
ASBA Bid Cum Application Forms that do not bear the stamp of the Designated Intermediaries will be rejected. p.354
The Company undertakes that allotment and listing of Equity Shares shall be made within 3 working days of the Offer Closing Date. p.355
The Company undertakes that the funds required for making refunds shall be made available to the Registrar and Share Transfer Agent by the Company. p.356
The existing individual and aggregate investment limits for an FPI in the Company are not exceeding 10% of the total paid-up Equity Share capital for each FPI. p.358
The total holdings of all FPIs in the Company shall not exceed 24% of the total paid-up Equity Share capital. p.358
The aggregate limit of 24% for FPIs may be increased up to the sectoral cap/statutory ceiling by the Company through a Board Resolution and a special resolution by shareholders. p.358
Eligible NRIs and OCIs investing on a repatriation basis are subject to an individual investment limit of 5% of the total paid-up equity capital on a fully diluted basis. p.358
The numbers behind the story
Financial information
Revenue, profit, debt, cash flow and the auditors' notes behind them.
This section details the significant accounting policies and notes to the restated financial information for Acme India Industries Limited and its subsidiaries. It covers corporate information, the structure of the business models (refurbishment and furnishing of coaches), the subsidiaries involved, consolidation principles, and various accounting conventions. The notes also specify the basis of preparation, use of estimates, accounting conventions, treatment of assets like PPE and intangible assets, employee benefits, investments, inventories, revenue recognition, and cash flow reporting methods.
This section details various accounting treatments and disclosures as per Indian Accounting Standards (AS). It covers recognition principles for revenue, interest, income taxes, provisions, contingent liabilities, cash, leases, foreign currency transactions, customs duty, segment reporting, borrowing costs, and various audit and financial statement related disclosures. It also includes specific details regarding the reconciliation of quarterly returns with unaudited books, details of outstanding statutory dues, and various accounting standards applied to employee benefits and related party transactions.
This section details various accounting policies and disclosures related to the financial statements, including provisions for income tax, business acquisitions, segment reporting, and details on loans, investments, and guarantees. It outlines the nature of the group's business, which is focused on the refurbishment of old coaches and interior furnishing of new Passenger Rail Coaches, catering exclusively to the Indian market. Furthermore, the text provides tables detailing loan amounts given to various entities, investment balances, director remuneration, and various details concerning imports, exports, and foreign currency expenditures.
This section provides detailed reconciliation of financial statements for the fiscal years ending March 31, 2024, 2025, and 2026, including quarterly data for FY 2024-25. It details various balance sheet items such as Trade Receivables, Inventory, and Security Deposits, noting differences between reported amounts and unaudited books, along with the reasons for these discrepancies. Furthermore, it includes a summary of restatements made in the audited financial statements, showing the impact on net profit after tax and the reconciliation of equity and reserves.
This section details the changes in the number of shares held by various parties and the restated summary of assets and liabilities, including surplus, profit, and securities premium. It also provides information on minority interests in subsidiaries and details regarding long-term borrowings from various financial institutions.
This section details various security, hypothecation, and guarantee arrangements with several financial institutions. It outlines charges on current assets, movable fixed assets, and various personal guarantees provided by directors. It also lists details regarding the sanctioning, interest rates, and repayment schedules for numerous unsecured loans from different lenders, including various banks and NBFCs.
This section details various financial arrangements, including loans from different financial institutions, and restated details concerning tax provisions and long-term provisions. It lists details of business loans with varying interest rates and repayment schedules, as well as summaries of assets and liabilities, including deferred tax and provisions for employee benefits.
This section details various actuarial and liability calculations for Defined Benefit Plans, including changes in the present value of obligations, key results for the Balance Sheet, and expenses recognized in the Profit and Loss statement. It also provides membership data, actuarial assumptions, and various sensitivity analyses on discount rates, salary growth rates, and withdrawal rates. Furthermore, the text includes restated details of short-term borrowings, trade payables, liquid liabilities, and short-term provisions.
This section details the restated details of various assets, liabilities, and investments for Acme India Industries Limited across different fiscal years. It includes breakdowns of Property, Plant and Equipment, Intangible Assets, and Non-Current Investments. Specific notes clarify the treatment of subsidiary acquisitions and divestments, as well as the nature of investments in joint ventures and partnership firms.
This section provides details on various financial statement line items, including loans and advances, inventories, trade receivables, cash and bank balances, revenue from operations, and income. It details comparative figures for the years ending March 31, 2026, March 31, 2025, and March 31, 2024. The data includes information on security deposits, fixed deposits, inventory levels, trade receivables aging, cash balances, and revenue components.
This section details various components of the financial statements, including purchases of stock, cost of material consumed, employee benefits expenses, finance costs, depreciation and amortization, liquidation expenses, and various other operating and administrative expenses. It also provides details on inventory changes, employee benefits, manpower sub-contracting costs, finance charges, and the breakdown of various expenses incurred during the reporting periods. Furthermore, the document presents details on contingent liabilities and capital commitments.
This section details various legal and regulatory proceedings, financial scrutiny, and related party transactions involving Acme India Industries Limited. It covers instances where the company faced demands from various entities, including cheque dishonors, civil suits, and proceedings under the Negotiable Instruments Act. Furthermore, it outlines the review of pending litigations, provisions made for contingent liabilities, and details regarding capital commitments and CSR expenditure. The text also includes various financial figures for different accounting periods.
This section provides various financial data points, including transactions with related parties, consolidated profit before tax, and various mandatory accounting ratios for the years ending March 31, 2026, 2025, and 2024. The data includes details on receivables, payables, investment transactions, and performance metrics such as debt ratios, return on equity, and inventory turnover.
This section details various financial ratios for Acme India Industries Limited across different fiscal years, including changes in profitability and leverage metrics. It also provides disclosures related to dues to Micro or Small-Scale Industrial Enterprises and a comprehensive list of secured loans and credit facilities as of June 30, 2026.
This section details various collateral and security arrangements provided by Acme India Industries Limited to a Bank, including various forms of security like hypothecation of stocks, deposits, and personal guarantees. It also lists specific property details for collateral purposes. Furthermore, the section presents Key Performance Indicators (KPIs) for the company's financial performance across three fiscal years, including metrics such as Revenue from Operations, EBITDA, EBITDA Margin, PAT, PAT Margin, Net Worth, Return on Net Worth, and Return on Capital Employed.
This section details the accounting policies, significant factors, and a comparison of financial results across different fiscal years. It outlines various operational and financial risks, including regulatory changes, market slowdowns, and supply interruptions. The data provided includes a breakdown of revenue, expenses, and profit/loss figures for the years ended March 31, 2025, and March 31, 2024, along with year-on-year comparisons. The text also elaborates on the components of revenue, expenses, and other income.
The section details various changes in expenses and profit/loss figures for the financial years 2023-24 and 2024-25, noting significant increases in certain expenditures. It also provides a statement on the absence of unusual events, economic changes, or known uncertainties affecting continuing operations, and mentions the company's dependence on single customers and its exposure to seasonality. Furthermore, it outlines material legal proceedings, including cases filed by creditors and disputes related to intellectual property.
This section primarily details various legal and trademark matters involving Acme India Industries Limited, including civil suits, trademark applications, and tax proceedings. The text covers disputes related to software installations, unpaid employment dues, trademark similarity claims, and challenges to contract terminations by the Railways. Several cases are pending before different courts and tribunals, with various hearing dates scheduled for September 2026. Furthermore, there is a mention of a tax assessment order where purchases were treated as unexplained and a subsequent appeal is pending before the Income Tax Appellate Tribunal.
This section details various tax and litigation proceedings involving the company and its promoters across different assessment years and tax regimes. It covers proceedings related to Income Tax, including appeals, demands, and rectifications, as well as proceedings under GST. The text highlights disputes over income, interest, and various allowances, such as the concessional tax rate, and the status of these cases, which are pending for final disposal or payment.
This section primarily details various legal and regulatory proceedings, including disputes with tax authorities and civil suits, as well as the company's approvals for an offer. It covers several instances where the company has been involved in proceedings related to tax liabilities, including demands, rectifications, and subsequent court proceedings. Furthermore, it outlines the company's compliance with various governmental and regulatory requirements, including obtaining necessary licenses and approvals for business activities and the offer process.
This section primarily details various approvals and licenses required for the business operations of Acme India Industries Limited, categorized into Tax Related, General, Labour Law Related, Business Operations Related, and Environmental Law Related approvals. It also lists quality certifications, intellectual property registrations, and information regarding group companies as defined under SEBI (ICDR) Regulations. The section provides numerous details regarding the registration numbers, validity periods, and relevant laws for these various compliance documents.
This section primarily details various corporate entities, including Fictive Box Digital Private Limited, Acme Welfare Foundation, Tashvika India Private Limited, Tashvika India Food Private Limited, Acme Mobility Solutions Private Limited, and Vibgyor Innovations Private Limited, along with various regulatory and statutory disclosures. It also covers confirmations regarding litigation, compliance with various regulations, and eligibility for an Offer for Sale. The text clarifies that financial details from group companies' websites are not part of the DRHP and outlines approvals obtained from the Board and shareholders for the offer, as well as confirmations related to promoter eligibility and regulatory compliance.
This section primarily contains regulatory confirmations and compliance statements related to the listing process and the company's standing. It confirms agreements with market makers, the status of the company's equity shares, and compliance with various SEBI regulations regarding promoters and the company's financial history. Furthermore, it details the company's incorporation history, paid-up capital limits, and track record of operating profits and positive net-worth over the last three financial years.
Key points (361, showing 60)
The Company was incorporated as ACME India Industries private limited on December 22, 2021. p.193
The Company has revenue segments including Turnkey Furnishing, Refurbishment, Upgradation & Conversion of coaches, Toilet Upgradation of coaches, Supply-Electricals and Others, and Other Services. p.193
The Group includes subsidiaries such as ACVI Joint Venture Private Limited, Acme & Vibgyor JV Private Limited, and Acme and Vibgyor MLR JV Private Limited. p.193
Restated Consolidated Financial Information relates to the Group for the years ended March 31, 2024, March 31, 2025, and March 31, 2026. p.193
Consolidation involves adding together like items of assets, liabilities, income, and expenses. p.194
Goodwill is recognized when the cost to the parent of its investment in a subsidiary exceeds the parent’s portion of equity of the subsidiary. p.194
Minorities' interest in the net income of consolidated subsidiaries must be identified and adjusted against the income of the group. p.194
The shareholding in Carril Solutions Pvt. Ltd. was sold by Acme India Industries Ltd. in November 2024, impacting the Restated Consolidated Financial Information. p.195
Restated Consolidated Financial Information are prepared in accordance with Indian Generally Accepted Accounting Principles (GAAP) under the historical cost convention on the accrual basis. p.195
Operating cycle for the purpose of current and non-current classification of assets and liabilities is ascertained as 12 months. p.195
Depreciation on Plant and Machinery is determined based on the estimated useful life using the written down value method. p.196
Investments readily realizable and intended to be held for not more than one year are classified as current investments. p.196
Cash flows are reported using the indirect method, adjusting profit before tax for non-cash transactions and deferrals/accruals. p.197
Basic earnings per share is computed by dividing the net profit after tax by the weighted average number of equity shares outstanding during the period. p.197
Unbilled revenue is carried at the transaction value, net of returns, allowances, trade discounts, and volume rebates. p.198
Interest income is recognized on a time proportion basis taking into account the amount outstanding and the applicable rate of interest, and is included under the head “Other Income” in the statement of profit and loss. p.198
Income taxes are accounted for based on the Accounting Standard on ‘Accounting for Taxes on Income’ (AS-22), comprising current and deferred taxes. p.198
Provisions are recognized when the Group has a present obligation, it is probable that an outflow of resources will be required, and a reliable estimate of the obligation can be made. p.198
Contingent liabilities are disclosed in the Restated Consolidated Financial Information by way of notes to accounts unless the possibility of an outflow of resources is remote. p.198
Cash comprises cash on hand and demand deposits with bank, and cash equivalents are short-term, highly liquid investments. p.198
Finance Lease or similar arrangements are capitalized and disclosed as leased assets. p.198
Operating lease payments are recognized as an expense in the statement of profit and loss on a basis reflecting the time pattern of such payment. p.198
Audit fees for the year ended March 31, 2026 were 16.00 for Statutory Audit Fees, 10.00 for Tax Audit Fees, and 3.32 for Certification. p.198
The Company has confirmed that adequate provisions have been made for all known and determined liabilities, not in excess of amounts reasonably required to be provided for. p.198
Transactions denominated in foreign currency are normally recorded at the exchange rate prevailing at the time of the transactions. p.199
Monetary items denominated in foreign currency at the year-end are translated at the year-end rate. p.199
Custom Duty is accounted for on an accrual basis, and a provision is made for customs duty for imported goods and lying-in bonded warehouse. p.199
Segments are identified in line with the Accounting Standard on Segment Reporting (AS-17) considering the organization structure, differential risk and returns of the segments. p.199
Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized as part of the cost of such asset. p.199
Quarterly returns for June 30, 2025 showed a difference in Trade Receivable with ICICI Bank being 3,312.9 lakhs. p.200
Trade Receivable for December 31, 2025 showed a difference with HDFC Bank being 1,179.77 lakhs. p.200
Trade Receivable for March 31, 2026 showed a difference with Kotak Bank being 1,319.34 lakhs. p.200
Trade Receivable for March 31, 2025 showed a difference with HDFC Bank being 9,738.26 lakhs. p.200
Quarterly returns for June 30, 2024 showed a difference in Trade Receivable with HDFC Bank being 2,927.18 lakhs. p.200
Quarterly returns for December 31, 2024 showed a difference in Trade Receivable with ICICI Bank being 868.74 lakhs. p.200
Statutory dues outstanding as of March 31, 2026 included Income Tax dues of 819.53 for FY 2024-25. p.201
Advance Tax for FY 2025-26 was not yet paid as of June 15, 2025. p.201
A dispute regarding Income Tax dues was pending with CIT (A) for AY 2022-23. p.201
A dispute regarding Income Tax dues was pending with ITAT for AY 2023-24. p.201
Trade Receivable for March 31, 2024 showed a difference with ICICI Bank being 1,319.34 lakhs. p.202
Quarterly returns for December 31, 2023 showed a difference in Trade Receivable with Kotak Bank being 184.65 lakhs. p.202
Quarterly returns for March 31, 2024 showed a difference in Inventory with ICICI Bank being 133.86 lakhs. p.202
Quarterly returns for March 31, 2024 showed a difference in Security Deposit with HDFC Bank being 311.39 lakhs. p.202
The Income tax provision was recalculated on the restated Profit of the respective year as per prevailing tax rates, and the effect of the revised provision was made in the Restated Statement of Profit and Loss. p.203
During the acquisition of M/s ACME India, net consideration of ₹811.20 lakhs was discharged through the issuance of 81,12,000 equity shares of ₹10 each. p.203
Certain personal assets amounting to ₹1,824.72 lakhs and unidentified liabilities amounting to ₹3,543.61 lakhs originally pertaining to the proprietor were transferred to the Director’s Loan Account. p.203
The Group is considered as a single reportable primary segment for the business of refurbishment of old coaches and interior furnishing of new Passenger Rail Coaches. p.203
The Company caters only the Indian market, resulting in no reportable Geographical Segment. p.203
Loan given to Acme And Vibgyor Rail Furnishing was 28.10 in FY2026, 15.10 in FY2025, and 28.10 in FY2024. p.203
Loan given to Tashvika India Private Limited was 40.72 in FY2026, 40.72 in FY2025, and 40.0 in FY2024. p.203
Loan given to ACVI Joint Venture Private Limited was 15.8 in FY2026, 15.81 in FY2025, and 15.81 in FY2024. p.203
Loan given to Acme & Vibgyor JV Private Limited was 10.7 in FY2026, 10.73 in FY2025, and 10.73 in FY2024. p.203
Loan given to Carril Solutions Private Limited was 48.39 in FY2026, 48.39 in FY2025, 0.54 in FY2024. p.203
Loan given to Fictive Box India Pvt. Ltd. was 78.50 in FY2026, 78.50 in FY2025, and 86.50 in FY2024. p.203
Investments made/withdrawn/adjustment in ACVI Joint Venture Private Limited showed a balance of 5.10 in all three years. p.204
Investments made/withdrawn/adjustment in Acme & Vibgyor JV Private limited showed a balance of 5.15 in all three years. p.204
Investments made/withdrawn/adjustment in Acme And Vibgyor Rail Furnishing showed a balance of 0.20 in all three years. p.204
Director Remuneration (Salary, Perquisites and other contributions) for FY2026 was 484.00, for FY2025 was 386.53, and for FY2024 was 72.00. p.204
Lease payments under non-cancelable operating leases showed a total of 522.78 in FY2026, 7.72 in FY2025, and 105.03 in FY2024. p.205
Imports of Goods for FY2026 was 117.17, for FY2025 was 123.31, and for FY2024 was 24.84. p.205
What could go wrong, per the company
Risk factors
The risks the company is legally required to disclose, in its own words.
Investors should be aware of several material risks associated with the company's operations and industry. A significant risk stems from the company's heavy reliance on the Indian Railways for revenue, meaning changes in government policy could severely impact contracts. Furthermore, the company faces risks related to securing new contracts due to competitive bidding processes and the potential for competitors to offer more favorable terms. There are also concerns regarding outstanding legal proceedings involving the company, its directors, and promoters. The business is also vulnerable to quality issues from suppliers and potential disruptions in the supply of raw materials. Finally, the company's high working capital requirements expose it to risks from payment delays and financing issues.
The company has faced several issues related to the treatment of assets and liabilities, which may raise concerns about the accuracy of its financial statements and expose it to regulatory scrutiny. There are noted discrepancies and clerical errors in corporate filings with the Registrar of Companies, leading to late fees. Furthermore, the company has faced potential penalties from regulatory authorities for non-compliance with certain provisions of the Companies Act, 2013. The company also has contingent liabilities, including guarantees and claims against the company, which could negatively impact its financial position. Operational risks exist concerning the reliance on third-party agreements for premises and the potential for disruptions due to non-renewal or disputes over leases.
The company faces several risks related to intellectual property, including the potential for infringement claims that could force operational changes and incur significant costs. There is also a risk of conflicts of interest arising from subsidiary companies operating in the same line of business, which may lead to unfair allocation of business opportunities. Furthermore, the company is dependent on key personnel, including promoters and senior management, and the loss or inability to retain them could negatively impact business operations and financial health. Operational risks include dependency on turnkey furnishing contracts, exposure to fluctuations in raw material costs, and potential issues with timely payments from clients and suppliers. Finally, there are concerns regarding delays in statutory filings and payments to various authorities, which could result in penalties or adverse financial impacts.
The risk factors identified in this section cover several critical areas impacting the company's operations, finances, and legal standing. Risks include potential delays in order completion and cost overruns, dependency on labor availability and exposure to changes in labor laws, and potential adverse impacts from personal guarantees provided by promoters. There are also concerns regarding insurance adequacy to cover operating hazards, risks associated with equipment failure, and potential liabilities arising from employee misconduct or fraud. Furthermore, the business faces risks from changes in technology, competition, and the inability to execute strategic plans effectively. Finally, there are concerns about liquidity, reliance on third-party transportation, and potential issues with unsecured loans and market maker continuity.
The risk factors outlined in this section cover several areas, including potential issues with related party transactions, indebtedness, management experience, and the impact of public listing requirements. Risks include potential adverse effects from future related party transactions, significant outstanding indebtedness that could strain cash flows, and the lack of prior experience among directors regarding listed company governance. Furthermore, the company faces burdens from public listing scrutiny, potential weaknesses in internal controls, and uncertainty arising from changing laws and regulations. Finally, the business is exposed to external economic and market conditions, as well as uncertainties regarding the accuracy of industry reports and the stability of the equity share price.
The company's equity shares are subject to various risks stemming from global economic and political conditions, including changes in interest rates, government policies, and market volatility. Risks also include potential disruptions from inadequate physical infrastructure, outbreaks of infectious diseases, and natural calamities. Furthermore, financial market turmoil can negatively impact operations, and there are concerns regarding the impact of political instability, terrorist attacks, and social unrest on business sentiment. The company is also exposed to various tax implications on capital gains, potential issues with foreign exchange controls, and the ability to raise foreign capital due to regulatory restrictions.
The provided text details various aspects of the offer structure and financial statements for Acme India Industries Limited. It outlines rules regarding the allocation of bids from different investor categories, such as Non-Institutional Buyers (NIBs), and the handling of oversubscription. Furthermore, the text presents restated financial statements, including the balance sheet, profit and loss, and cash flow statements for recent years. Specific details are provided on the eligibility of promoter selling shareholders and the allocation of Qualified Institutional Buyers (QIB) portions to Anchor Investors.
The section summarizes contingent liabilities, including guarantees from banks, Letters of Credit (LCs), and income tax/TDS demands, with figures for different reporting periods. It also details related party transactions, identifying key management personnel and directors, as well as entities controlled or jointly controlled by these individuals. The related parties include family members of key management, and various joint ventures and subsidiaries.
Key points (120, showing 60)
Business operations and revenues are entirely dependent on the Indian Railways. p.27
Any adverse change in policy of the Ministry of Railways may lead to contracts being foreclosed, terminated, restructured, or renegotiated, materially affecting business and results of operations. p.27
The company derives a significant portion of its revenues from the Indian Railways, with revenue representing 46.77%, 91.54%, and 88.00% of total revenue for Fiscal years 2026, 2025, and 2024 respectively. p.27
Operations involve providing turnkey furnishing solutions for new railway coaches, refurbishment, up-gradation, and conversion of existing coaches, including modernization of toilet facilities and manufacturing/supply of components to railways. p.28
Future changes in government policy could lead to the Indian Railways to reduce spending on coaches. p.28
Competitors may take greater or unusual risks or terms in contracts during an economic downturn, potentially leading to the loss of new awards. p.28
The company may face adverse effects on business growth, financial condition, and results of operations if the Indian Railways reduce their volume of business due to policy amendments or withdrawal of beneficial programs. p.28
The company depends on the Indian Railways for contracts awarded on a tender basis, with no assurance that future contracts will be awarded. p.29
The growth of the business mainly depends on the ability to obtain new contracts through competitive bidding processes. p.29
Outstanding legal proceedings exist involving the Company, its Directors, and its Promoters, which could impact cash flows and profitability. p.29
The company is subject to strict quality requirements and customer inspections, and failure to comply may lead to rework/replacement of orders and negatively impact reputation and operations. p.29
Dependence on third-party suppliers for raw materials poses a significant risk to project execution, customer satisfaction, and overall business reputation. p.30
Failure by suppliers to provide raw materials on time or as per specifications could adversely impact the ability to meet manufacturing and delivery schedules. p.30
The loss of supplies from one or more third-party suppliers may adversely affect purchases of stock and ultimately revenue and results of operations. p.30
The company may not be able to secure alternate sources for raw materials if principal suppliers discontinue supply. p.30
Deviations in execution compared to pre-bid estimates could have a material adverse effect on cash flows, results of operations, and financial condition. p.31
The business is subject to seasonal variations and cyclicality related to the timing and availability of government tenders. p.31
High working capital requirements expose the company to risks from payment delays by clients, which may restrict the ability to procure raw materials and make payments when due. p.31
Delays or failures by clients to meet payment obligations may have a material effect on the business, financial condition, and results of operations. p.31
The transfer of personal assets and unidentified liabilities of a proprietorship to the Company may expose the company to unforeseen financial obligations and regulatory risks. p.31
Assets were transferred back to Mr. Suraj Pandey, raising concerns regarding the accuracy and consistency of the Company’s financial statements. p.32
Regulatory scrutiny, audit qualifications, or disputes arising from the treatment of assets may pose financial and reputational risks to the Company. p.32
Certain liabilities unrelated to the business acquired were reversed back to the original proprietor for discharge. p.32
Creditors may raise disputes regarding the non-transfer of their claims by the Company, potentially resulting in financial exposure. p.32
The Company has not complied with certain statutory provisions under the Companies Act, 2013, including the non-filing of Form CHG-1 for creating a charge on past loans. p.33
A loan originally taken by the Proprietorship and subsequently assumed by the Company constituted non-compliance with Section 73 of the Companies Act, 2013. p.33
Penalties may be imposed by regulatory authorities in connection with past non-compliances, which could adversely affect the Company’s financial condition. p.33
Termination or non-renewal of rent/lease agreements may cause disruption in inventory management, corporate affairs, and business operations. p.34
The inability to renew rent agreements on commercially acceptable terms could result in increased rental rates, affecting the financial condition and operations. p.34
The termination or non-renewal of lease/rent agreements could cause a disruption in manufacturing operations, materially and adversely affecting business, financial condition, and results of operations. p.34
The Order Book may not be representative of future results, and actual income may be significantly less than estimates. p.34
Problems executing projects may arise due to factors beyond the company's control or the control of its clients, such as delays or cancellations. p.34
Delays in project completion can lead to clients delaying or refusing to pay amounts due, which can harm cash flow, revenues, and earnings. p.34
Problems with execution, such as delays, scope changes, or cancellations, could result in failure to receive payments on time or at all. p.34
There is no assurance that relevant authorities will issue or renew required permits and licenses in time, or that they will not be suspended or revoked. p.35
Unanticipated delays in receipt of approvals could have an adverse impact on the growth, prospects, cash flows, and financial condition. p.35
The company has made an application for trademark registration that is currently 'Objected'. p.35
The company has made an application under the Trademarks Act to register a word trademark, which is at the 'Objected' stage. p.37
The use of the company's logo and word trademark by third parties could adversely affect the company's reputation and business results. p.37
Obtaining, protecting, and defending intellectual property rights can be time-consuming and expensive, requiring the diversion of management and technical personnel's time and resources. p.37
There is no assurance that the company will not face intellectual property infringement claims that may require changes to operations. p.37
Infringement claims could force the company to incur significant costs in responding to, defending, and resolving such claims, diverting management and technical personnel's efforts. p.37
Subsidiary companies are engaged in the similar line of business as the main company, which may involve a conflict of interest. p.37
Subsidiary companies hold significant equity stakes (51.04%, 51.53%, and 51.60%) in the company. p.37
The company will execute a non-compete agreement with the said entity. p.37
Conflicts of interest may arise in allocating business opportunities between the company and its subsidiary companies. p.37
The company is dependent on its promoters, senior management, and key personnel, and the loss of such persons could affect business, operations, financial condition, and cash flows. p.38
Key personnel have experience in the line of business and have built relations with various stakeholders. p.38
There is no assurance that senior management or other members of the promoter group will not leave or join a competitor. p.38
The company may require a long period to hire and train replacement personnel when qualified personnel terminate their employment. p.38
The loss of services of such personnel may have an effect on the company's business, operations, financial condition, and cash flows. p.38
The objects of the offer are based on management estimates, and no bank or financial institution has appraised the same. p.39
The deployment of funds is entirely at the discretion of the Board of Directors and is not subject to monitoring by any external independent agency. p.39
The current business plan may need to be revised due to the competitive and dynamic nature of the business, which may affect fund requirements. p.39
A significant portion of revenue is derived from turnkey furnishing work contracts. p.39
Risks include a decline in the number of coach production plans by the Indian railways, unanticipated technological advancements, fluctuations in raw material prices, changes in regulations or import duties, and broader economic conditions, which could impact revenue. p.39
The company has established other segments to mitigate dependency on turnkey furnishing work, such as turnkey refurbishment of coach interiors and comprehensive up-gradation of toilet/lavatory of trains. p.39
Under-utilization of manufacturing facilities may adversely affect business and future financial performance. p.39
Actual manufacturing volumes and capacity utilization rates may differ significantly from estimated production capacities. p.39
The company is exposed to counterparty credit risk from clients or counterparties who may delay or fail to make payments, potentially causing cash flow mismatches. p.40
Who runs and controls the company
Management & board
Directors and senior management: who they are, their background and pay.
This section details various financial transactions and relationships between Acme India Industries Limited and other entities, including receivables, payables, and loans. It also lists key managerial personnel and their appointments or resignations. The section outlines the board of directors, including their designations and DINs, as of the filing date, and identifies the CFO and Company Secretary.
This section details the procedures for investor grievances, the identification of key intermediaries involved in the offer process, and various regulations governing the book-building process. It outlines how investors can address pre-offer or post-offer issues, including specific requirements for documentation when using the ASBA process. Furthermore, it specifies the rules for allocation across different investor categories, such as QIBs, Anchor Investors, Non-Institutional Bidders, and Individual Bidders, and mandates the use of the ASBA process for most public offers.
This section primarily details procedural aspects related to the bid/offer process, including indicative timelines for various events, rules for bid/application forms, and conditions under which the company may withdraw the offer. It outlines various regulations concerning the involvement of Market Makers, including the reservation of a portion of the offer size and the agreement for compulsory market making for a specified period. Furthermore, it specifies various margin requirements, penalty provisions for market makers, and the applicable price band limits based on the size of the offer.
This section details the capital structure of Acme India Industries Limited, outlining the authorized, offered, and post-offer equity share capital. It specifies the components of the offer, including a fresh issue of equity shares and an offer for the sale of shares. Furthermore, it mentions the allotment of a Pre-IPO Placement and the authorization for the sale of shares by a Promoter Selling Shareholder.
Key points (39)
Mr. Suraj Pandey is listed as a Key Managerial Personnel (KMP) and Significant Shareholder. p.64
Mr. Radhey Shayam Vishwakarma was appointed as Chief Financial Officer (CFO). p.64
Mr. Pankaj Yadav was appointed as Company Secretary. p.64
Carril Solutions Private Limited became a subsidiary on July 19, 2023, and ceased to be a subsidiary on November 11, 2024. p.67
Ms. Pragati Pandey resigned from the directorship of the Company effective September 04, 2025. p.67
Radhey Shyam Vishwakarma was appointed as CFO effective August 09, 2024. p.67
The Board of Directors includes Suraj Pandey as Managing Director and Dilip Kumar Agarwal as Chairman & Non-Executive Director. p.68
The Board of Directors includes Lakshmi Raman as an Independent Director and Devdutt Gajanan Salpekar as an Independent Director. p.68
Bhawna was appointed as Company Secretary effective April 01, 2026. p.68
Investors can contact the Company Secretary and Compliance Officer, or the Registrar, regarding pre-offer or post-offer issues such as non-receipt of allotment letters or refund orders. p.69
Complaints related to the ASBA process should be addressed to the Registrar to the offer, providing detailed information such as the applicant's name, ASBA Form number, and relevant IDs. p.69
All offer-related queries and complaints should be forwarded to the Book Running Lead Manager (BRLM), who is Hem Securities Limited. p.69
The Book Running Lead Manager for the offer is Hem Securities Limited, with contact details provided. p.69
The Legal Advisor to the Offer is Vedanta Law Chambers. p.69
The Registrar to the Offer is Bigshare Services Private Limited. p.69
Investors applying through UPI for IPOs must ensure the bank name appears on the list of Self Certified Syndicate Banks (SCSBs) on the SEBI website. p.70
Individual Investors applying in public offers may use either the ASBA process or UPI with Application Supported by Blocked Amount (ASBA). p.70
The Monitoring Agency appointed for the offer is Brickwork Ratings India Private Limited, as the offer size exceeds ₹5,000 Lakhs. p.71
The Syndicate Member is Hem Securities Limited, as the sole Book Running Lead Manager. p.72
The offer is subject to the Book Building Process, where the Price Band is determined in consultation with the Book Running Lead Manager. p.72
The process of Book Building and price discovery is illustrated in the chapter titled “Offer Procedure” on page 286 of the Red Herring Prospectus. p.72
Investors are advised to use only the ASBA process for applications, except for Anchor Investors. p.72
The Bid/Offer Opened Date is scheduled for Wednesday, September 30, 2026. p.74
The Bid/Offer Closing Date is scheduled for Tuesday, October 06, 2026. p.74
The UPI mandate end time and date shall be at 5:00 p.m. on the Bid/Offer Closing Day. p.74
Bid Cum Application Forms will be accepted only between 10.00 A.M. to 5.00 P.M. (IST) during the Offer Period (except for the Bid/Offer Closing Date). p.75
QIBs and Non-Institutional Bidders are not allowed to withdraw or lower the size of their Application. p.75
The Company reserves the right to not proceed with the offer before the Bid/Offer Opening Date without assigning any reason. p.75
The Offer will be 100% Underwritten by Hem Securities Limited in the capacity of Underwriter. p.75
The Market Maker shall provide a 2-way quote for 75% of the time in a day. p.77
The Market Maker shall not sell in lots less than the minimum contract size allowed for trading on the SME Platform of BSE. p.77
Punitive action may be initiated against Market Makers for failing to provide liquidity, including monetary penalties or suspension of market making activities. p.77
The market maker spread shall be within 10% or as intimated by the Exchange from time to time. p.78
For Offer size up to ₹20 Crore, the Re-Entry threshold for buy quote is 24%. p.78
The company has an Authorized Share Capital of 2,50,0 Equity Shares with a Face Value of ₹10/- each. p.79
The company has Offered, Subscribed & Paid-up Share Capital prior to the Offer amounting to 1,80,65,000 Equity Shares. p.79
The Present Offer is for up to 62,8,800 Equity Shares in terms of this Red Herring Prospectus. p.79
The Promoter Selling Shareholders have confirmed and authorized their participation in the Offer for Sale pursuant to their consent letters. p.79
Promoters
The people or entities controlling the company, and what else they own.
The section details the capital build-up in respect of the shareholding of the company's promoters, Suraj Pandey and Sadhvi Pandey, and outlines various regulatory compliance and offer procedures. The promoters collectively hold a significant portion of the equity shares, and specific provisions regarding the locking-in of promoter's contribution for three years are disclosed. Furthermore, the text confirms that no equity shares held by the promoters are subject to pledge, and clarifies restrictions on financing arrangements and transactions related to the public offer.
Key points (3)
Our Promoters, Suraj Pandey and Sadhvi Pandey collectively hold 1,59,31,200 Equity Shares of the Company as of the date of the Red Herring Prospectus. p.85
The entire pre-offer shareholding of the Promoters, excluding the Minimum Promoters’ Contribution, shall be locked in in a phased manner (50% for 2 years and 50% for 1 year). p.87
The BRLM, i.e., Hem Securities Limited and their associates, do not hold any Equity Shares in the Company as of the filing date. p.89
Updates since the first filing
Addenda, corrigenda and the abridged prospectus, newest first.
No amendments or updates have been filed yet. They will appear here as SEBI publishes them, on this same page.
Acme India Industries Limited IPO: common questions
Short answers drawn from the filings above.
How big is the Acme India Industries Limited IPO?
Acme India Industries Limited's IPO comprises a fresh issue of 54,07,200 shares and an offer for sale of 8.02 lakh shares, according to its Red Herring Prospectus. The price band is ₹186.00 to ₹196.00 per share.
What are Acme India Industries Limited's revenue and profit?
Acme India Industries Limited reported revenue from operations of ₹264 Cr in FY26, +25.6% versus FY25. Net profit was ₹24 Cr (FY25: ₹16 Cr). Revenue grew at a compound rate of 11.2% a year from FY24 to FY26. Figures are read from the RHP, as printed there.
How much do promoters own in Acme India Industries Limited?
Promoters hold 88.2% of Acme India Industries Limited before the IPO.
How will Acme India Industries Limited use the IPO money?
The fresh-issue proceeds are earmarked for: 1 Funding to meet working capital requirements; (₹38 Cr); 2 Repayment and/or pre-payment, in full or part, of borrowing availed by our Company (₹41 Cr); Funding Capital Expenditure towards purchase of additional plant & machinery (₹6.3 Cr); General Corporate Purpose (amount not fixed yet). The offer-for-sale portion goes to the selling shareholders, not the company.
What are the red flags in Acme India Industries Limited's RHP?
We fact-checked 8 claims from the filing against the open web: 0 raised a high concern, 0 medium and 2 low. This is an automated screen, not a verdict; each finding links to its sources.
What does Acme India Industries Limited do?
Here’s what almost nobody noticed: despite the hype around the ACME India Industries IPO, the official documentation we found doesn't even explicitly list the core regulatory laws they claim to be following.
Who manages the Acme India Industries Limited IPO?
Book running lead managers: HEM SECURITIES LIMITED. Registrar to the offer: BIGSHARE SERVICES PRIVATE LIMITED. Shares are proposed to list on BSE.
Where can I read the original Acme India Industries Limited IPO documents?
All 1 filing for Acme India Industries Limited (RHP) 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
Every page reference on this site links to the original SEBI PDF.
