Lohia Corp Limited is a global market leader in India and among the leading manufacturers globally of woven raffia machinery. The company provides an end-to-end, "concept to commissioning" product portfolio for the entire woven fabric ecosystem. Its comprehensive product suite spans the complete production lifecycle and includes tape extrusion lines, circular looms, tape winders, bag conversion machines, lamination machines, and recycling machines. The company boasts a highly diversified, global B2B customer base, having supplied machinery and equipment to around 100 countries in Fiscals 2024, 2025, and 2026. Overseas sales contributed a significant 42.18% of their total revenue from operations in Fiscal 2026. To support this expansive reach, they maintain a robust sales and distribution network that includes four sales offices in India (Ahmedabad, Bengaluru, Kolkata, New Delhi), five international offices located in Brazil, Russia, Thailand, UAE, and the USA, along with exclusive sales agents stationed in 17 countries across Latin America, Africa, and East Asia. Lohia Corp's manufacturing operations span across six advanced machine manufacturing facilities globally. Four of these units are located in India (two in Kanpur, Uttar Pradesh and two in Bengaluru, Karnataka), one in the USA (Burlington, North Carolina), and one in Italy (Como). Additionally, it operates a dedicated live experience center in Kanpur for manufacturing Flexible Intermediate Bulk Containers (FIBCs). In terms of capacity and utilization, during Fiscal 2026, the company operated with an installed capacity of 240 tape extrusion lines operating at 49.58% capacity utilization, 108,000 tape winders operating at 32.07% capacity utilization, and 13,800 circular looms operating at 39.82% capacity utilization. The sheer scale of these operations offers significant market knowledge, operational best practices, and economies of scale. On the research and innovation front, the company operates the Hargovind Bajaj R&D Centre in Kanpur, Uttar Pradesh, which is accredited by the Department of Scientific and Industrial Research. The company possesses strong in-house R&D capabilities, employing 251 personnel in R&D activities, representing 12.49% of its total workforce as of March 31, 2026. This innovation focus is safeguarded by 71 patents granted in India, 56 patents outside India, and 8 design registrations. Furthermore, to bridge the skill gap in machine operation, the company runs the Technical Training and Research Centre (TTRC) and the Manufacturing Technology Training Centre (MTTC) to generate a steady pipeline of skilled machine operators and technical staff. As per financial performance, Lohia Corp Limited has posted total income / net profits of Rs 1,173.60 Cr / Rs 29.76 Cr (FY24), Rs 1,386.47 Cr / Rs 117.84 Cr (FY25) and Rs 1,737.87 Cr / Rs 193.45 Cr (FY26). So as per previous financials data, the company has shown consistent and robust top-line and bottom-line growth, alongside a successful debt reduction strategy that improved its Debt-to-Equity ratio from 1.06x in FY24 to 0.23x in FY26. Company has an FY26 EPS of Rs 18.31 and average RoNW of 73.83% for the last three fiscals. Based on the pre-issue book value, the issue is priced at a Pre-Issue P/BV of 8.61 as per NAV of Rs 49.37 as on 31.03.26. Factoring in the fresh issue proceeds, the Post-Issue P/BV stands at 8.61 (as this is a 100% OFS, there is no fresh equity infusion). If we attribute the latest earnings of FY24, FY25, and FY26 to the expanded equity base post-issue, then the asking price is at a Post-Issue P/E of around 150.71, 38.12, and 23.21 respectively. As per RHP, a comparison between listed peers shows it is fairly valued, trading at a P/E of 23.21x compared to the industry composite of 67.30x (including peers like LMW Limited at 134.25x and Mamata Machinery Limited at 62.07x), while delivering vastly superior return ratios. On BRLM's front, Equirus Capital Limited and Motilal Oswal Investment Advisors Limited are associated with this IPO and Motilal Oswal Investment Advisors Limited has handled 31 IPOs in the last three fiscal years. (As on 20.07.26) As per financials, Lohia Corp Limited has shown exceptional top-line and bottom-line growth driven by global leadership and strong export revenues, RoNW is 72.95% and the Post-Issue P/E is 150.71, 38.12, and 23.21 respectively as per FY24, FY25, and FY26 earnings. So the issue looks fairly priced. The company is a global market leader and end-to-end solutions provider in woven raffia machinery offering products starting from tape extrusion lines to bag conversion machines and circular looms. So, we give a SUBSCRIBE rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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