New Delhi-based A-One Steels India, a backward-integrated steel manufacturer, launched its initial public offering (IPO) for subscription on Thursday, September 24, 2026. The company is offering shares within a price band of Rs 385-405 apiece, targeting a total fundraising of Rs 405 crore.
Investors can apply for a minimum of 37 equity shares, and in multiples thereafter, with the issue set to close on Monday, September 28, 2026. The IPO comprises a fresh issue of shares worth Rs 355 crore and an offer-for-sale (OFS) of up to 12,34,567 equity shares, amounting to Rs 50 crore, by its promoters. Proceeds from the fresh issue are earmarked for debt repayment and general corporate purposes.
Company Profile and Financial Performance
Incorporated in 2012, A-One Steels India specializes in both long and flat steel products, along with industrial products essential for steel manufacturing. Its diversified portfolio includes HR and CR coils, which are processed into HR pipes, CR pipes, and galvanized tubes.
The company demonstrated significant financial growth, reporting a net profit of Rs 127.41 crore on a revenue of Rs 4,202.05 crore for the financial year ended March 31, 2026. This marks a substantial increase from the net profit of Rs 7.71 crore and revenue of Rs 3,569.63 crore recorded in FY2024-25. Ahead of the IPO, A-One Steels successfully raised Rs 120.9 crore from 11 anchor investors, allocating 29,85,160 equity shares at Rs 405 per share to institutions like Morgan Stanley Asia (Singapore) and Taurus Mutual Funds.
IPO Allocation and Grey Market Premium
The IPO allocates 50 percent of the net offer to qualified institutional bidders (QIBs), 15 percent to non-institutional investors (NIIs), and 35 percent to retail investors. Market sentiment, as indicated by the grey market premium (GMP), suggested a potential listing gain of 12-14 percent, with shares trading at a premium of Rs 55-60 apiece.
Brokerage Reviews and Recommendations
Several brokerage firms have issued recommendations on the A-One Steels IPO:
- SBI Securities: 'Subscribe for long-term'
Highlighting the company's revenue, EBITDA, and adjusted PAT CAGR of 4 percent, 29.3 percent, and 80.9 percent respectively over FY24–FY26, SBI Securities noted growth driven by volume increases in TMT bars and pipes & tubes, alongside backward integration. They anticipate further support from a new iron ore beneficiation plant, a waste heat recovery boiler power plant, and logistics efficiencies. The proposed debt repayment is expected to reduce finance costs.
- BP Equities: 'Subscribe'
BP Equities recommended a 'subscribe' rating, citing A-One Steels' integrated operations, improving profitability, reduced leverage, and planned capacity expansion. However, they cautioned investors to consider the cyclical nature of the steel industry and raw material price volatility.
- Swastika Investmart: 'Subscribe'
While acknowledging the significant improvement in profitability with an EBITDA margin of 7.29 percent in FY26, Swastika Investmart noted that the valuation, at 24.55 times post-issue FY26 P/E, requires sustained margins and earnings growth in the cyclical steel business. They suggested a 2–3 year investment horizon, viewing it as fundamentally interesting due to earnings recovery and debt reduction, but not a low-risk listing-gain IPO.
- Marwadi Financial Services: 'Subscribe'
Marwadi Financial Services assigned a 'subscribe' rating, emphasizing the company's position as a backward-integrated steel products manufacturer in southern India with a diversified portfolio, available at a reasonable valuation compared to its peers.
PL Capital and Khambatta Securities are the book-running lead managers for the IPO, with Bigshare Services acting as the registrar. Shares of A-One Steels are scheduled to list on both the NSE and BSE Ltd on Thursday, October 1, 2026.