Shayona Engineering IPO: A Deep Dive into the Vadodara-Based Engineering Specialist
Shayona Engineering Limited, a diversified manufacturer of precision castings and piping systems, has concluded its bidding window today. With a fresh issue size of ₹14.86 crore and a focus on industrial automation and infrastructure, this blog analyzes the final subscription trends, financial growth, and what investors should expect for the listing on January 30, 2026.
Live IPO Tracking Available
Check live GMP, allotment status, and deep analysis for this IPO.
1. Business Overview: More Than Just Castings
Founded in 2017, Shayona Engineering Limited has evolved from a specialized fabrication unit into a multi-faceted engineering powerhouse. Operating from three manufacturing facilities in Vadodara, Gujarat, the company offers a "one-stop shop" for industrial solutions.
Their Core Verticals Include:
Precision Engineering: CNC and VMC machined components for high-precision industries.
Casting & Forging: Specializing in sand, centrifugal, and investment casting (lost wax) for components ranging from 60g to 3 metric tons.
Shayona Pipes: A strategic expansion into HDPE and PVC pipes and fittings, catering to the growing agriculture and infrastructure sectors.
Industrial Automation: Custom process automation equipment and turnkey machinery projects.
2. Final IPO Timelines & Allotment Updates
The bidding for the Shayona Engineering IPO closed today. If you have applied, here are the key dates to track your allotment:
| Event | Status / Date |
|---|---|
| IPO Price Band | ₹140 to ₹144 per share |
| Bidding Period | Jan 22 – Jan 27, 2026 |
| Final Allotment Date | Wednesday, January 28, 2026 |
| Refund Initiation | Thursday, January 29, 2026 |
| Listing Date | Friday, January 30, 2026 |
| Listing Exchange | BSE SME |
3. Subscription Status (Day 3 Update)
The IPO saw a moderate to healthy response from institutional and retail investors. As of the final day:
QIB Category: Subscribed ~3.33x (Leading the demand).
NII Category: Subscribed ~1.67x (Steady interest from high-net-worth individuals).
Retail Category: Subscribed ~1.18x (Fully covered).
Overall Subscription: The issue stands subscribed over 1.4x, indicating a successful closure.
4. Financial Health: Rapid Top-Line Growth
Shayona has demonstrated strong revenue momentum over the last three fiscal years:
Revenue Growth: Revenue surged from ₹12.56 Cr (FY23) to ₹23.09 Cr (FY25), representing a CAGR of over 35%.
Profit After Tax (PAT): Grew from ₹0.61 Cr (FY23) to ₹2.42 Cr (FY25).
H1 FY26 Performance: For the first 8 months (ending Nov 30, 2025), the company reported a PAT of ₹2.45 Cr, already surpassing its entire FY25 profit.
Debt-to-Equity: Currently at 1.4x. While growth is funded by debt, the management plans to use ₹2.17 Cr of the IPO proceeds for repayment to strengthen the balance sheet.
5. Grey Market Premium (GMP) & Listing Expectations
As of January 27, 2026, the Shayona Engineering IPO GMP stands at ₹0.
Interpretation: A "Nil" or flat GMP suggests that the shares are currently trading at their issue price of ₹144 in the unofficial market.
Investor Sentiment: While the subscription is over 1x, the lack of a premium indicates a neutral listing outlook. This IPO is viewed more as a medium-to-long-term industrial play rather than a quick listing-gain opportunity.
6. Risks & Opportunities
Opportunities:
Diversification: The entry into the pipe manufacturing segment allows the company to tap into government-backed irrigation projects.
Automation Focus: Increasing industrial demand for automation gives them a high-margin growth lever.
Risks:
Negative Cash Flow: The company has reported negative operating cash flows in the past due to heavy capital expenditure.
EPCG Obligations: They have outstanding export obligations of ₹4.40 Cr; failure to meet these could lead to penalties.
7. Conclusion
Shayona Engineering presents an interesting case of a small-scale manufacturer rapidly scaling its capabilities. While the current market sentiment (GMP) is muted, the company's valuation at a post-issue P/E of ~15.2x is relatively attractive compared to some of its peers.