Kanpur-based Lohia Corp, a global leader in machinery and equipment for technical textiles, has refiled its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) for an IPO. The proposed issue will comprise entirely an Offer for Sale (OFS) of 4.22 crore equity shares by its promoters and members of the Lohia family, with no fresh issue component.
This is the company’s second attempt at listing. Its earlier 2022 filing for a smaller 3.16 crore-share OFS was approved by SEBI but never launched.
Lohia Corp IPO Snapshot
- Issue Type: 100% OFS (4,22,59,970 equity shares, face value INR 1 each)
- Book Running Lead Managers: Equirus Capital and Motilal Oswal Investment Advisors
- Registrar: MUFG Intime India
- Proceeds Use: Entirely to selling shareholders; no inflow to the company
Selling Shareholders & Offer Details
| S. No. | Name of Selling Shareholder | Category | Shares Offered |
|---|---|---|---|
| 1 | Raj Kumar Lohia | Promoter Selling Shareholder | 2,46,77,000 |
| 2 | Amit Kumar Lohia | Promoter Selling Shareholder | 35,78,000 |
| 3 | Gaurav Lohia | Promoter Selling Shareholder | 50,92,000 |
| 4 | Neela Lohia | Promoter Group | 5,12,000 |
| 5 | Ritu Lohia | Promoter Group | 16,71,000 |
| 6 | Alok Kumar Lohia | Other Selling Shareholder | 21,71,460 |
| 7 | Anurag Lohia | Other Selling Shareholder | 25,45,610 |
| 8 | Anuja Lohia | Other Selling Shareholder | 20,12,900 |
Business Overview
Lohia Corp manufactures machinery for polypropylene (PP) and high-density polyethylene (HDPE) woven fabric & sacks (Raffia) — including extrusion lines, circular looms, lamination, printing, conversion machines, and recycling equipment.
It holds:
- 15.4% global market share in woven Raffia machinery (2024)
- 40.7% domestic market share (FY25)
- Sales to ~100 countries with manufacturing in India, USA, Italy
Financial Performance
Lohia Corp’s consolidated FY25 revenue stood at INR 1,376.87 crore with a PAT of INR 117.84 crore, translating into an EBITDA margin of 16.49% and PAT margin of 8.50%. Overseas markets contributed 58.18% of FY25 revenue, up from 35.81% in FY23, reflecting the company’s accelerating global focus.
Key Metrics (FY25):
- ROE: 31.71%
- ROCE: 30.45%
- Net Debt/Equity: 0.47x
- Order Book: INR 828.45 crore as of 31 March 2025
Strategic Priorities
- International Expansion – growing presence in MENA, Asia Pacific, and the Americas with warehouses and sales offices abroad.
- Processing & Conversion Machines – tapping into a 10% CAGR domestic market.
- High-Performance Fibres – scaling monofilament and multifilament product lines.
- Recycling Machinery – leveraging the 10.24% CAGR plastic recycling market in India.
- Operational Efficiencies – automation, ERP/CRM upgrades, and Zero Error Excellence Programme.
- Strategic Acquisitions – past deals include Leesona Corp (US) and Sundarlam Industries (India).
Final Words
The OFS-only structure means the IPO is purely a liquidity event for the promoters, without balance sheet strengthening for the company. For investors, the bet is on Lohia’s dominant market position, export momentum, and high ROCE profile.
Valuation, peer comparison, and sectoral demand trends will determine whether the market embraces this second IPO attempt. With global expansion and sustainability themes in play, Lohia Corp could attract long-term institutional interest, but pricing discipline will be key.
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