The primary market saw significant activity on Wednesday as six mainboard initial public offerings (IPOs) commenced their subscription periods. Among these, Gaurav Sharma, VP and Head of Research at Globe Capital, has specifically highlighted Karamtara Engineering Ltd and Manipal Payment and Identity Solutions Ltd as preferred issues for investors.
Why Experts Recommend Karamtara and Manipal Payment IPOs
Speaking on the matter, Sharma indicated that the valuations for both Karamtara Engineering and Manipal Payment and Identity Solutions appear favorable when compared to their listed industry counterparts. He emphasized that Karamtara Engineering is a well-priced company with comfortable valuations, making it a recommended application for clients.
Similarly, Manipal Payment and Identity Solutions also received a positive nod due to its attractive valuation. Sharma noted that at its higher price band, the company's price-to-earnings (P/E) valuation remains reasonable relative to its peers. Both the Karamtara Engineering and Manipal Payment IPOs are scheduled to close for subscription on September 11.
Karamtara Engineering IPO Details
The Karamtara Engineering IPO is structured with a fresh issue of shares valued at Rs 675 crore, complemented by an offer-for-sale (OFS) of up to Rs 200 crore. This brings the total issue size to Rs 875 crore. Based in Mumbai, Karamtara Engineering specializes in manufacturing products crucial for renewable energy and transmission lines.
Its diverse product portfolio includes solar structures, encompassing fixed-tilt and tracker systems, along with fasteners for both solar energy and transmission sectors. The company also produces overhead transmission line hardware fittings. For the financial year ending March 31, 2026, Karamtara Engineering reported a net profit of Rs 228.75 crore on a total income of Rs 4,316.36 crore. In the preceding fiscal year (FY25), its net profit was Rs 139.33 crore, with a total income of Rs 3,165.36 crore.
Manipal Payment and Identity Solutions IPO Overview
The Manipal Payment and Identity Solutions IPO consists of a fresh issue of shares worth Rs 320 crore. Additionally, it includes an OFS of 1.43 crore shares, valued at Rs 485 crore, by its promoter, Manipal Technologies. The company holds a prominent position as one of the largest manufacturers of payment cards globally and within India.
Manipal Payment and Identity Solutions estimated its market share in the credit card issuance sector at approximately 36.4 percent and in the debit card market at about 30.9 percent for FY26. While its revenue increased by 5.6 percent year-on-year to Rs 1,326.8 crore for the year ended March 2026, the company's profit saw a decline of 10.2 percent to Rs 253.5 crore. This profit reduction was partly attributed to a high base from the previous year, which included exceptional gains of Rs 110 crore.
Other Mainboard IPOs Open This Week
In addition to Karamtara Engineering and Manipal Payment and Identity Solutions, four other mainboard IPOs also opened for subscription on Wednesday. These include Steamhouse India Ltd, Asset Reconstruction Company (India) Ltd (Arcil), LCC Projects Ltd, and Rentomojo Ltd.
Disclaimer: This article provides information for general knowledge and informational purposes only, and does not constitute investment advice. Readers should consult with a qualified financial advisor before making any investment decisions.