Lohia Corp IPO Hits 74% Subscription: GMP Signals Potential Listing Rally in Technical Textiles Space

Lohia Corp IPO Hits 74% Subscription: GMP Signals Potential Listing Rally in Technical Textiles Space​

The Initial Public Offering (IPO) of Lohia Corp, a key manufacturer in the technical textiles industry, witnessed a solid response on its final bidding day. The issue received over 70 percent subscription by 11 am on July 27, as reported by the National Stock Exchange (NSE). This subscription reflects interest in the company’s robust operational footprint and market position.

The Rs 1,101.28-crore public offering saw a total demand of bids for 1,05,76,230 shares against the available offer of 1,43,52,274 shares, resulting in a final subscription rate of 74 percent. Retail investors (RIIs) demonstrated the highest enthusiasm, achieving a subscription multiple of 1.43 times. Non-institutional investors (NIIs) contributed at 71 percent, while Qualified Institutional Buyers (QIBs) subscribed at 51 percent.

IPO Structure and Investor Details​

The Lohia Corp offering is structured entirely as an Offer For Sale (OFS). This means the company is not raising fresh capital through this issue; instead, existing shareholders are selling a total of 2.59 crore equity shares. The company had set a price band ranging from Rs 405 to Rs 425 per share.

Investors can apply for a minimum lot size of 35 shares. At the upper price band of Rs 425, one retail investor lot requires an investment of at least Rs 14,875. A maximum investment across 13 lots (455 shares) is Rs 1,93,375 for a retail applicant. High Net-worth individuals (HNIs) have specific requirements ranging from S-HNIs needing Rs 2,08,250 for 14 lots to B-HNIs requiring a minimum of Rs 10,11,500 for 68 lots.

Grey Market Premium Signals Investor Sentiment​

Despite the offering being an OFS and not a fresh capital raise, market observers noted activity in the grey market. The grey market premium (GMP) was recorded at Rs 7 for the Lohia Corp IPO. Based on the upper end of the price band, this GMP suggests a potential listing gain of approximately 1.65 percent, according to Investorgain data.

While this unofficial premium indicates positive investor sentiment ahead of the listing, industry analysts caution that grey market premiums are speculative and subject to fluctuation prior to the official listing date. The final outcome will depend on actual trading dynamics on the exchange.

Financial Health of Lohia Corp​

Lohia Corp showcased significant financial growth in the fiscal year ending March 2026. Total income increased by 25.3 percent year-on-year, rising from Rs 1,386.47 crore in FY25 to Rs 1,737.87 crore. Profit after tax (PAT) jumped a substantial 64.2 percent, reaching Rs 193.45 crore.

Operational efficiency improved significantly as EBITDA increased by 48.5 percent to Rs 339.45 crore. As of March 31, 2026, the company reported total assets valued at Rs 1,304.66 crore, with reserves and surplus standing at Rs 519.16 crore. Furthermore, the company successfully managed its debt profile, reducing total borrowings to Rs 152.78 crore during that period.

Company Profile and Listing Timeline​

Incorporated in 2023, Lohia Corp is a dedicated manufacturer of machinery for the technical textiles industry. The firm specializes in equipment designed for producing polypropylene (PP) and high-density polyethylene (HDPE) woven fabrics and sacks. Its products serve critical packaging and industrial sectors, including cement bags, geotextiles, tarpaulins, ropes, and twines.

Lohia Corp holds a dominant 80 percent market share across India in its domain, and it commands a 17.5 percent global share in the raffia machinery segment. This market strength is supported by a robust patent portfolio and significant R&D investment. The basis of allotment for the IPO is scheduled to be finalized on July 28, 2026. Shares are tentatively set to list on both the BSE and NSE on July 30, 2026. Equirus Capital Ltd. manages the issue as the book-running lead manager.