Lohia Corp IPO opens with 8.5% grey market premium
Lohia Corp has opened a pure Offer for Sale IPO, with robust earnings growth driving an 8.5% grey market premium that signals strong investor appetite for the technical textiles machinery maker.
Lohia Corp opened its initial public offering on July 23, pricing the shares between Rs 404 and Rs 425. The subscription window will remain open until July 27. The offering comprises over 2.59 crore equity shares, with share allotment expected to be finalised on July 28 and trading on the NSE and BSE debuting on July 30.
Because the offering is entirely an Offer for Sale, it represents a pure liquidity event for the founders rather than a capital raise for the business. Raj Kumar Lohia is offloading the bulk of the stake, selling up to 167.28 lakh shares. Other promoters—including Gaurav Lohia, Amit Kumar Lohia and Ritu Lohia—are collectively selling 48.09 lakh shares.
Unofficial grey market activity suggests the IPO is priced to attract buyers. Market trackers report a grey market premium of Rs 36, representing an 8.5% premium over the upper price band of Rs 425. This points to an estimated listing price of around Rs 461 per share, though such indicators do not guarantee trading performance.
The market's pricing of the issue appears supported by accelerating profitability. Net profit surged 64% year-on-year to Rs 193 crore in FY26, significantly outpacing the 25% revenue growth to Rs 1,717 crore. This divergence indicates the manufacturer expanded its profit margins during the period, up from Rs 118 crore in net profit the prior year.
Despite being incorporated only in 2023, the company has established a footprint in industrial packaging machinery. It manufactures equipment for producing polypropylene and high-density polyethylene woven fabrics. Its machinery serves broad industrial sectors, including cement, fertilizers, chemicals and food grains, while also producing components for shopping bags, tarpaulins and geotextiles.
Retail investors must buy in lots of 35 shares, requiring a minimum investment of Rs 14,875 at the top of the price band. Equirus Capital and Motilal Oswal Investment Advisors are managing the books, while MUFG Intime India is serving as the registrar.
