Safety Controls IPO opens today. Check GMP, price band, subscription and other details
Why it matters: The IPO's subscription trend will determine the listing performance of Safety Controls and Devices, valued at Rs 159 crore.
- Safety Controls and Devices is an EPC player focusing on substations, solar projects, firefighting, and healthcare infrastructure, primarily serving government entities.
- The IPO seeks to raise funds, with Rs 31.5 crore allocated for working capital and Rs 6 crore for debt repayment.
- Anchor investors contributed nearly Rs 13 crore, with 49% of the net offer reserved for qualified institutional buyers, 15% for non-institutional investors, and 36% for retail investors.
- The company reported a profit after tax of Rs 8.5 crore for January 2026, a slight decrease from Rs 9 crore in FY25, with revenue moderating to Rs 68 crore from Rs 103 crore.
- Investor sentiment is cautious, reflected by a flat GMP, as investors weigh execution risks, working capital intensity, and SME liquidity factors, despite the company's diversification into solar and EV infrastructure.
Safety Controls and Devices' IPO opened today, aiming to raise funds primarily for working capital and debt repayment, valuing the company at Rs 159 crore pre-issue. Despite steady profitability and a government-linked order book, cautious investor sentiment is noted due to a flat Grey Market Premium (GMP) and typical EPC business execution risks.
