As India’s retail sector transforms, one company is stepping out of the shadows of fancy store displays to take centre stage in public markets. Safe Enterprises Retail Fixtures, a customised in-store solutions and shopfitting specialist, is launching its IPO on 20 June 2025 and looking to raise between INR 161.13 – 169.74 crore. This is the biggest SME IPO of 2025 so far and the largest on NSE EMERGE in terms of size and investor interest. With a price band of INR 131 – 138 per share, the issue consists of a fresh issue of 1.23 crore shares and listing on 27 June 2025.
But beyond the numbers, what makes Safe Enterprises worth investing in? Let’s get into Safe Enterprises IPO review, business model, financials, industry positioning and long-term prospects.
Business Snapshot: More Than Just Fixtures
Safe Enterprises isn’t just a furniture manufacturer; it’s a technology driven, design focused solution provider for retail brands across fashion, electronics and department stores. What sets the company apart is its end to end approach – from conceptual design to prototyping, manufacturing and installation – provide customised solutions that merge functionality, aesthetics and technology.
Its innovations like electrified shop fittings, modular display systems and IoT enabled solutions like “Lift and Learn” makes it a forward thinking player in the “phygital” retail era – where physical store environments meet digital interaction.
The company’s flagship showroom, its Experience Centre in Cochin, is where retailers and architects can see their ideas come to life. With two franchise outlets (Navi Mumbai, Hyderabad) and distributors in Dubai and Kansas City, Safe Enterprises has planted the seeds for global expansion.
Production Capacity & Expansion
Safe Enterprises’ manufacturing is based in three facilities in Navi Mumbai, focusing on metal and wood-based works. As of FY 2025:
- Unit I (Metal Work): 7,006.13 tons installed capacity with 89.42% utilization
- Unit II (Metal Work): 3,116.87 tons installed capacity with 91.77% utilization
- Unit III (Wood Work): 39.10 lakh sq. ft. installed capacity with 87.90% utilization
Its subsidiary, Safe Enterprises Retail Technologies, based in Pune, has capacity to do 5,212 tons of metalwork in FY 2025 with 90.69% utilization.
To meet the growing demand, the company plans to set up a new facility in Nahren, Thane covering 16,290 sq. meters. A significant INR 65.89 crore from IPO proceeds is earmarked for this capex, indicating long term growth strategy focused on scalability and cost efficiency.
Financial Performance: Consistent Growth
In last 3 years Safe Enterprises has shown strong top line growth and operational efficiency:
| Particulars | FY 2023* | FY 2024 | FY 2025 |
| Revenue | 77.22 | 100.91 | 138.31 |
| Net Income | 12.09 | 23.09 | 39.19 |
| EBITDA Margin (%) | 24.85 | 33.94 | 37.67 |
| ROCE (%) | 115.98 | 104.94 | 69.10 |
| RONW (%) | 81.44 | 79.64 | 54.37 |
| Debt/Equity | 0.09 | 0.03 | 0.00 |
* All Standalone data
This impressive run is backed by zero debt, making the company financially resilient, and allowing it to fund aggressive expansion without leverage risk. Its EPS for FY 2025 stands at INR 11.42, and based on the IPO price band, the P/E ratio is an attractive 11.47–12.08, significantly below peers like Naman In-Store India, which trades at a P/E of 21.31.
Diversified Customer Base but With Heavyweight Reliance
The company operates in over 25 Indian states and Union Territories, with international presence in USA, UAE and Oman. The company reported domestic sales revenue of INR 130.87 crore in FY 2025 and INR 94.62 crore in FY 2024. Revenue is geographically diversified but Maharashtra is a stronghold, contributing 17.46% in FY 2025, followed by Karnataka (11.00%) and Telangana (8.14%).
However, a major concentration risk exists—the largest customer alone contributed 84.53% of FY 2025 revenue. Although this includes multiple sub-brands, any disruption could impact financials. That said, the long-term relationships with blue-chip clients suggest customer stickiness.
Human Capital & Organizational Strength
Safe Enterprises has 266 full time employees with 0% attrition in FY 2023, indicating high employee retention. Their design and development team has 15 members with experience, enabling continuous product innovation. With 15 registered designs under the Designs Act 2000, the company has taken proactive steps to protect intellectual property.
Management is led by Mr Saleem Shabbir Merchant, a retail industry veteran with 48 years of experience, supported by his sons—Mr Mikdad (CFO) and Mr Huzefa (Whole Time Director)—bringing a balance of legacy and youthful vision.
IPO Objectives & Capital Allocation
Safe Enterprises is utilizing IPO proceeds as follows:
- INR 65.89 crore – New manufacturing unit (Nahren, Thane)
- INR 6.99 crore – Capital expenditure in subsidiary (Safe Enterprises Retail Technologies)
- INR 30 crore – Working capital for Safe Enterprises
- INR 10 crore – Working capital for subsidiary
- Balance – General corporate purposes
This allocation clearly prioritizes capacity enhancement and operational liquidity, suggesting the firm is positioning itself to meet increased demand from modern retailers.
Unique Offerings: The Phygital Edge
What truly sets Safe Enterprises apart is its commitment to merging traditional retail furniture with digital technology:
- Lift and Learn: Pick up a product, and a screen displays its features—driven by integrated sensors.
- Plug & Play Shop Fittings: Easily reconfigurable units designed for changing store layouts.
- Electrified Fixtures: Integrated lighting, display screens, and touch monitors make for interactive environments.
This puts the company in a position to service a market that’s increasingly focused on experiential retail—a trend that’s only going to accelerate post COVID.
Safe Enterprises IPO Review: Risks and Challenges
While Safe Enterprises looks good, investors should also consider:
- Equity Pricing Risk: Bonus shares to be issued in Nov 2024; no shares were issued below IPO price in last 12 months except 1650:1 bonus issue.
- Unsecured Loans Risk: INR 24 lakhs as of 31 March 2025 which can be recalled anytime and impact liquidity and operations.
- E-Commerce Threat: Rapid growth in online retail (Quick Commerce market projected to be USD 19.9 billion (~INR 1.72 lakh crore) by 2030 may reduce demand for physical retail fixtures.
- Group Company Losses: Inscite Fintech lost INR 0.88 lakhs (FY22), INR 4.34 lakhs (FY23), INR 40.95 lakhs (FY24); Safe Enterprises Shopfittings lost INR 3.21 lakhs (FY22) impacting group stability.
- Conflict of Interest: Subsidiary Safe Enterprises Retail Technologies operates in same business; shared promoters may create conflict in business allocation and priorities.
- Contingent Liabilities: Contingent liabilities jumped to INR 25.75 crore as of 31 March 2025, although majority of it (INR 24.4 crore) are for purchase of land, plant and equipment.
- Litigations Risk: The company has pending tax litigations of INR 1.34 crore; Promoter has personal tax demand of INR 0.10 crore which can impact financially and reputationally.
Safe Enterprises IPO Review: Peer Comparison
| Company | PE ratio | EPS | RONW (%) | Book Value (INR) | Revenue (Cr.) |
| Safe Enterprises | 11.47 – 12.08 | 11.42 | 54.37 | 21.01 | 139.73 |
| Naman In-Store (India) | 21.31 | 5.34 | 7.91 | 60.75 | 157.13 |
Compared to its peer, Safe Enterprises has higher EPS, better RONW and is available at lower valuation. So it’s a good bet for value investors.
Final Word: Should You Subscribe?
Safe Enterprises is a rare combination of profitability, innovation and scalability. With deep expertise in retail shopfitting, cutting edge technology integration, near capacity utilization of its manufacturing units and debt free balance sheet, the company is poised for long term growth. Revenue concentration is a risk but long standing client relationships and intent to diversify geographies and customers are mitigating factors.
Verdict:
If you are a growth investor looking to participate in India’s growing organized retail space, Safe Enterprises Retail Fixtures is a high margin, scalable and differentiated play. At a P/E of just over 11, the IPO is fairly priced if not underpriced considering its EBITDA margins and return ratios.
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