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Hy-Tech Engineers IPO Opens On Aug. 24: 10 Key Things To Know Before You Subscribe

Hy-Tech Engineers is a mainboard book-built issue valued at Rs 136 crore at the upper end of the price band, comprising of a fresh issue of around 1.13 crore shares worth Rs 60 crore and an offer for sale of around 1.43 crore shares worth Rs 76 crore.

Hy-Tech Engineers IPO Opens On Aug. 24: 10 Key Things To Know Before You Subscribe
The Hy-Tech Engineers IPO price band has been fixed at Rs 50-53 per share, with a face value of Rs 5 per equity share.
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NDTV Profit's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer NDTV Profit's subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Anand Rathi Report

1. Price Band

The Hy-Tech Engineers IPO price band has been fixed at Rs 50-53 per share, with a face value of Rs 5 per equity share.

2. IPO Size

Hy-Tech Engineers is a mainboard book-built issue valued at Rs 136 crore at the upper end of the price band. It comprises a fresh issue of around 1.13 crore shares worth Rs 60 crore and an offer for sale of around 1.43 crore shares worth Rs 76 crore.

3. IPO Dates

The IPO will open for subscription on August 24, 2026, and close on August 27, 2026. The shares will be listed on both the National Stock Exchange and the BSE on Sep. 01.

4. Lot size and minimum investment

The minimum lot size is 283 shares. At the upper price band of Rs 53 per share, the minimum investment works out to Rs 14,999 for one lot.

ALSO READ: Augmont Enterprises IPO Opens Today: 10 Key Things To Know Before You Subscribe

5. Object of the issue

The company plans to use proceeds from the fresh issue primarily for capital expenditure to procure machinery and equipment for expansion at its Kavathe, Shirwal and Pithampur Unit-I facilities, repayment or prepayment of certain outstanding borrowings, and general corporate purposes. 
The company plans to deploy around Rs 29.97 crore from net proceeds towards the proposed capacity expansion.

6. BRLM

New Berry Capitals Private Ltd. is the book running lead manager to the IPO while Bigshare Services Private Ltd. is the registrar to the issue.

7. Peer Comparison

Aeroflex Industries, Dynamatic Technologies and Yuken India are the other listed peers in the segment.

8. Financial Performance

  • The company's revenue from operations increased to Rs 189.4 crore in FY26 from Rs 161.4 crore in FY25 and Rs 137.7 crore in FY24. 
  • Ebitda rose to Rs 41.7 crore from Rs 35.8 crore and Rs 22.6 crore, respectively. 
  • Profit after tax increased to Rs 22.6 crore in FY26, versus Rs 19.6 crore in FY25 and Rs 11.6 crore in FY24. 
  • Ebitda margin stood at 22% in FY26, while PAT margin was 12%.

9. Strengths

  • Integrated operations and product development capabilities
  • Diversified customer base with wide market reach
  • Established global presence with access to growing international markets
  • Decentralized cell-based manufacturing model

10. Key Risks

One of the key risk is customer concentration: the company's top 10 customers accounted for 45.32% of FY26 revenue. Exports contributed 29.37% of FY26 revenue, with the US alone accounting for 21.42%, leaving the business exposed to foreign-exchange movements and overseas market conditions.

The top 10 suppliers accounted for 65.61% of FY26 purchases, while manufacturing operations are also geographically concentrated in Maharashtra and Madhya Pradesh.

Brokerage View

At the upper price band, Hy-Tech Engineers is valued at a P/E of 22.25 times FY26 earnings and EV/EBITDA of 12.15 times. The implied post-issue market capitalisation is around Rs 502.7 crore. 

While the company is well-positioned to benefit from the growth of the hydraulic fittings industry, the issue appears reasonably valued considering its growth prospects and established market presence. Hence, Anand Rathi recommends a "Subscribe - Long Term" rating to the IPO.

Click on the attachment to read the full report:

Anand Rathi Ipo Note.pdf
VIEW DOCUMENT

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

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