Kheria Autocomp IPO Analysis: Should You Apply? GMP, Review & Details

Kheria Autocomp is a SME IPO in the Auto Components & Equipments sector. The issue price band is ₹96.0–₹101.0 per share. Issue size is ₹46.44 crore. Current GMP is +2.97% over the issue price (unofficial, subject to change).

Kheria Autocomp IPO — Key Details

Company Overview

Kheria Autocomp Ltd. is an auto ancillary company established in 2009, specializing in plastic injection moulding for the automotive sector. Operating as a Tier-II supplier, it produces molded plastic components for Tier-I vendors supplying to OEMs, focusing on both internal combustion and electric vehicles. The company is situated in Tata Vendor Park, Sanand, Gujarat, and is equipped with 30 injection moulding machines. Kheria Autocomp also emphasizes sustainability, featuring a solar power system and groundwater recharge wells at its facility.

Financial Performance

Total Income was ₹62.40 Cr in the year ending 31 Mar 2024, increasing to ₹92.31 Cr by 31 Mar 2025, and further rising to ₹120.30 Cr by 31 Mar 2026. This shows a consistent growth trend in revenue over the periods analyzed. Profit After Tax was ₹3.31 Cr for the year ending 31 Mar 2024, which increased to ₹8.24 Cr by 31 Mar 2025, and further rose to ₹11.42 Cr by 31 Mar 2026. This indicates a positive trend in profitability across the reported periods.

Objects of the Issue

The Company proposes to utilize the Net Proceeds from the Issue towards the following objects: 1. Part funding of capital expenditure for setting up a new manufacturing facility for plastic moulded auto components at GIDC Sanand Industrial Park (₹39.96 Cr), 2. General Corporate Purposes (₹1.43 Cr), 3. Issue Expenses (₹5.06 Cr).

Understanding Grey Market Premium (GMP)

The Grey Market Premium (GMP) reflects the expected listing gains of an IPO based on demand in the unofficial market before the stock is listed. A positive GMP indicates that investors are willing to pay more than the issue price, suggesting strong demand.

Subscription Status

The IPO was subscribed 2.48 times overall, with different categories seeing varied interest. The QIB category was subscribed 1.05 times, NII (HNI) at 2.97 times, bNII (>₹10L) at 2.42 times, sNII (<₹10L) at 4.07 times, and Retail (RII) at 3.08 times.

Peer Comparison

• PPAP Automotive: P/E (x) 5.82, RoNW 13.73%
• Machino Plastics: P/E (x) 104.31, RoNW 1.32%
• Kheria Autocomp: P/E (x) 9.95, RoNW 34.18%

IPO Timeline

The IPO process includes several key dates: the opening date for subscriptions is on 17 September 2026, closing on 21 September 2026, with allotment scheduled for 22 September 2026 and listing on the stock exchange on 24 September 2026.

Should You Apply for Kheria Autocomp IPO?

Investors comfortable with short-term volatility and a long-term horizon typically weigh IPOs like this against their investment objectives and risk tolerance. It's important to consider the company's growth potential and market conditions.

Investors who prefer stable, established companies with predictable earnings may want to avoid IPOs like this, which can be more volatile and uncertain in the short term.

This is general risk-profile education, not a personal recommendation to apply or avoid this specific IPO — TopFund is not a SEBI-registered investment adviser.

Listing Day Risks

Listing gains refer to the potential profit made when an IPO stock is sold on its first day of trading. However, these gains are not guaranteed and can be influenced by market conditions, investor sentiment, and overall demand for the stock.

Trending Searches

Disclaimer: This is educational content, not investment advice. GMP is an unofficial grey-market indicator, unregulated and never guaranteed. TopFund is not a SEBI-registered investment adviser — please do your own research or consult a qualified adviser before applying to any IPO.