- Our view
- May Subscribe
- Market cap then
- ~INR 151.90 Cr.
- Price band
- INR 162 to 171 per share
Taurian MPS Ltd manufactures crushing, screening and washing plants and spare parts from its facility in Roorkee, Haridwar. Minerva Capital Research Solutions recommends May Subscribe to its IPO, citing growth potential and product breadth while noting the company’s small scale, changing margins and working-capital needs.
About Taurian MPS
Incorporated in 2010, Taurian MPS provides engineering and manufacturing machinery, including crushing and screening plants, washing plants and spare parts. Its customers operate in infrastructure, minerals, food processing and waste management. The company’s manufacturing facility is in Roorkee, Haridwar, and spans 64,773 sq.ft.
Taurian MPS IPO Details
| Particulars | Details |
|---|---|
| Price Band (INR) | 162 to 171 |
| Face Value (INR) | 10 |
| Implied M.Cap (INR Cr.) | 151.90 |
| Exchange | NSE SME |
| Min. Lot Size (Retail | HNI) | 1,600 | 2,400 |
| Issue Opens on | 09-Sep’25 |
| Issue Closes on | 11-Sep’25 |
| Listing Date | 16-Sep’25 |
| No. of shares pre-issue (#) | 63,96,000 |
| Fresh Issue of Shares (#) | 24,87,200 |
| Offer for Sale (#) | - |
| No. of shares post-issue (#) | 88,83,200 |
| Funds Mobilized (INR Cr.) – Fresh Issue of Shares | 42.53 |
| Funds Mobilized (INR Cr.) – Offer for Sale | 0.0 |
| QIB shares offered | <=50% |
| Retail shares offered | >=35% |
| NII (HNI) shares offered | >=15% |
| Registrar | Bigshare Services |
| Book Running Lead Managers | Gretex Corporate |
Objects of the Issue
- Production machinery and equipment: Acquisition of machineries & equipment’s for production: INR 6.07 Cr.
- Research and development: Acquisition of equipment’s for Research & Development: INR 1.95 Cr.
- Working capital: Funding working capital: INR 22.60 Cr.
- General corporate purposes: The amount is shown as [●] in the report.
Strengths
- FY26 growth outlook: The report estimates FY26 revenue of INR 106 Cr.+ based on average FY25 and FY26 receivables estimates, to ~ INR 125 Cr.+ based on the FY26 receivables estimate. These imply Y-o-Y revenue growth of 44% to 70%; additional machinery and equipment purchased from IPO proceeds are expected to be put to use by Jan’26.
- Broad product range and in-house production: The company reports 100% in-house production and is in the process of launching three new products under washing systems, wheeler & equipment.
- Mining alliance and export reach: An alliance with Plus Natural Resources is intended to provide solutions for mining and natural resources, with market expansion to North & Latin America, Europe and Africa. Dealers have also been appointed in USA, Saudi Arabia and Nepal.
Taurian MPS Key Financials
| Particulars (INR Cr.) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue (excl. other inc.) | 11 | 38 | 74 |
| Growth Rate Y-o-Y % | 247.3% | 95.6% | |
| EBITDA (excl. other inc.) | 2.2 | 8.1 | 15.1 |
| EBITDA % (excl. other inc.) | 20.8% | 21.7% | 20.5% |
| PAT | 0.2 | 11.3 | 9.5 |
| PAT % | 2.1% | 25.6% | 12.9% |
| Debt (Short+Long) | 14.1 | 7.2 | 9.1 |
| Debt/Equity | 1.77x | 0.37x | 0.27x |
| NWC (days) | 399 | 185 | 175 |
| ROE % | 2.8% | 83.0% | 35.4% |
| ROCE % | 4.4% | 26.1% | 31.6% |
| CFO / EBITDA % | (66.2%) | 12.6% | 3.0% |
NWC includes Inventory, Receivables & Payables; & NWC days is computed as % of rev.
IPO Valuation and Our View
The issue is valued at a P/E ratio of 16.0x based on FY25 PAT. The report weighs expected FY26 revenue growth, product breadth and customer diversification against the company’s small scale, fluctuating gross and PAT margins, and working-capital intensity. Minerva Capital Research Solutions recommends May Subscribe.
Shareholding
| Particulars | Pre-Issue | Post-Issue |
|---|---|---|
| Promoter & Promoter Group | 88.61% | 63.80% |
| Public | 11.39% | 36.20% |
| Total | 100.00% | 100.00% |
Key Risks
- Lactose processing: The company reported revenues of ~INR 28 Cr. in FY25 from a lactose processing plant, a new line of business. The report identifies food-grade standards and the company’s ability to continue serving this industry as risks.
- Working capital: Operations are working-capital intensive, with a production cycle ranging from 90 to 120 days and a significant portion of raw materials procured in advance.
- Audit qualification: Statutory auditors for FY23 provided a qualified opinion because they could not verify quarterly statements submitted to banks. The statutory auditor was subsequently changed for FY24 & FY25.
- Scale and margins: The report flags small scale of operations and fluctuating gross and PAT margins as factors weighing against the investment strengths.
Our View
Taurian MPS’s growth outlook, in-house production and expansion across products and geographies support the IPO case, while its small scale, margin fluctuations and working-capital requirements remain important counterweights. The report’s verdict is May Subscribe.
Standard disclosures
- Research Analyst has served as an officer, director or employee of subject company(ies): No
- We or our associates have received compensation from the subject company(ies) in the past 12 months: No
- We or our associates have managed or co-managed public offering of securities for the subject company(ies) in the past12 months: No
- We or our associates may have received compensation for investment banking or merchant banking or brokerage services from the subject company(ies) in the past 12 months –No
- We or our associates may have received compensation or other benefits from the subject company(ies) or third party in connection with the research report –No
- We or our associates or Research Analyst or his/her relative's financial interest in the subject company(ies)- No
- Nature of financial interest in subject company, if any –Nil
- We, our associates or Research Analyst have actual/beneficial ownership of 1% or more securities of the subject company (ies) at the end of the month immediately preceding the date of publication of Research Report – No
- Subject company (ies) may have been client during twelve months preceding the date of distribution of the research report-No.
- We or our Associates or Research Analyst are engaged in market making of subject company – No
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Regulatory disclosures
Minerva Capital Research Solutions is an independent investment advisory firm founded by Nishant Gupta(SEBI registration no. INH000018896).
Registration granted by SEBI and certification from NISM in no way promise or guarantee that the research recommendation will provide any assured, minimum or risk-free return to the investors.
The research report serves as general information and does not account for individual investment goals, financial situations, or needs. Minerva Capital Research Solutions strives to provide reliable and comprehensive information, sourced from what are believed to be trustworthy channels. However, this information has not been independently verified by Minerva Capital Research Solutions or its analysts, and no guarantees are made regarding its accuracy or completeness. The opinions expressed in this report reflect the views of the research analyst at the time of publication and may change over time. Minerva Capital Research Solutions and its affiliates as on date of publication of this report may or may not hold any positions in the securities discussed. The views presented are general and do not consider individual risk tolerance or investment objectives; therefore, readers should seek independent professional advice before making investment decisions. Minerva Capital Research Solutions does not guarantee a favorable outlook for any specific industry or sector and urges investors to consider all relevant risk factors, including their financial circumstances, before investing. The analyst certifies that their views accurately represent their personal opinions on the companies discussed and that no part of their compensation is tied to specific recommendations made in this report. This material should not be interpreted as an offer or solicitation to buy or sell securities in jurisdictions where such offers would be illegal. Consequently, brokerage and investment services described herein are not available to Canadian or U.S. persons. Distribution outside India requires prior written consent. This Research Report assumes that the recipient will assume all risks associated with its contents. If there are any disagreements or dissatisfaction with this report or its disclaimer, the only recourse is to cease using it. Minerva Capital Research Solutions and its affiliates will not be liable for any direct or indirect losses resulting from the use of this report. Recipients are required to adhere to these restrictions. The material is for the personal use of authorized individuals and does not constitute a solicitation or offer to buy or sell any securities in jurisdictions where such actions would be illegal.
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Rating rationale
Minerva Capital Research Solutions endeavors to provide objective opinions and recommendations. Ratings are assigned to stocks according to their fair value vs current market price and then categorizes them as Buy, Hold, Reduce, Sell. The performance horizon is one year unless specified and fair value is defined as analyst’s valuation for a stock.
- Buy:> 15%
- Hold: -5% to 15%
- Reduce: -15% to -5%
- Sell: <-15%