Gabion Technologies India IPO: Dates, Price, and Niche Infrastructure Play
Gabion Technologies India Ltd. (GTIL), an integrated geo-engineering solutions company,
is set to launch its Initial Public Offering (IPO). This is a BSE SME IPO, bringing attention to the critical infrastructure protection segment.
Key IPO Details at a Glance
The issue is a 100% fresh issue, meaning all proceeds will be used by the company for business expansion. There is no Offer for Sale (OFS).
| Detail | Value |
|---|---|
| Opening Date | Tuesday, January 6, 2026 |
| Closing Date | Thursday, January 8, 2026 |
| Exchange | BSE SME |
| Price Band | ₹76 to ₹81 per equity share |
| Total Issue Size | Up to ₹29.16 crore |
| Lot Size | 1,600 shares |
As this is an SME IPO, the investment requirement is higher. At the upper price band of ₹81, the minimum retail investment (2 lots / 3,200 shares) is ₹2,59,200.
The Business: Anchored in Infrastructure
Gabion Technologies operates in the geotechnical engineering space, focusing on:
- Manufacturing and Supply: Engineered products such as double twisted hexagonal steel wire mesh gabions, rockfall protection nettings, and reinforced geomats.
- Services: Turnkey design and execution of slope stabilization and ground improvement projects.
These solutions are widely used in roads, railways, airports, irrigation, and defence infrastructure. The company has completed 76 projects with a total contract value exceeding ₹127 crore.
Financial Health and Use of IPO Proceeds
Financial performance shows improving profitability. Profit After Tax (PAT) increased from ₹3.41 crore in FY23 to ₹6.63 crore in FY25, while revenue saw a marginal dip in FY25. Rising margins indicate better operational efficiency.
The IPO proceeds will be used for:
- ₹22.11 crore toward working capital requirements
- ₹1.06 crore for capital expenditure (plant and machinery)
- Remaining funds for general corporate purposes
A high allocation toward working capital is typical for execution-heavy infrastructure businesses handling large government and private contracts.
Investor View: Valuation and Outlook
The IPO appears fairly priced with a post-IPO P/E ratio of around 17, broadly in line with industry peers.
- Outlook: Strong linkage to India’s infrastructure push provides long-term tailwinds.
High subscription is expected due to the small issue size, though liquidity post-listing should be monitored. - Risks: Dependence on government contracts, raw material price volatility, and high minimum investment size for retail investors.
Actionable Steps for Investors
The IPO closes on January 8, 2026.
- Understand Allotment: Retail quota is 35% and NII is 15%. Oversubscription dynamics in SME IPOs should be carefully reviewed.
- Track GMP: Grey Market Premium indicates sentiment but is not a guarantee of listing gains.
- Investment Horizon: SME stocks can be volatile. Investors should be prepared for a medium-to-long-term hold.
Figures may change after official updates.
FAQs on Gabion Technologies IPO
Q1. Is the Gabion Technologies IPO a mainboard or SME IPO?
The Gabion Technologies India IPO is an SME IPO and will be listed on the BSE SME platform.
Q2. How will the IPO proceeds be used?
The majority of the proceeds will be used for working capital requirements, with a smaller portion allocated to capital expenditure.
Disclaimer: This article is for informational purposes only. Investors should conduct independent research and consult a certified financial advisor before making investment decisions. Stock market investments are subject to market risks.
Written by: Anil Sinha – Market Analyst – Naukri Sarkari – https://www.naukri-sarkari.com
