There is no shortage of demand for the country’s steel manufacturing firms from various sectors such as the construction, infrastructure, and manufacturing industries, among others. As a result, there have been investments made by the sector towards enhancing its production capacity and infrastructure.
Amid all these developments, it comes as no surprise that Germany-based Green Steel and Power is going ahead with its Rs. 303.90 crore IPO in the primary market.
IPO Key Details
German Green Steel is set to launch its Rs. 303.90 crore IPO, comprising a fresh issue of 2.09 crore shares worth Rs. 290 crore and an offer for sale of 10 lakh shares aggregating to Rs. 13.90 crore. The IPO will open for subscription from September 25 to September 29, 2026, with the allotment expected on September 30 and a tentative listing on the NSE and BSE on October 5, 2026.
The company has fixed the IPO price band at Rs. 132–Rs. 139 per share, with a lot size of 107 shares. Retail investors will need to invest a minimum of Rs. 14,873 at the upper end of the price band. Systematix Corporate Services, Emkay Global Financial Services Limited and Pantomath Capital Advisors Private Limited are the book-running lead managers, while Bigshare Services is the registrar for the issue.
The promoter and promoter group’s shareholding is expected to decline from 96.63% pre-IPO to 68.54% post-IPO, while public shareholding will increase from 3.37% to 31.46% after the issue.
IPO Lot Size & Reservation
The minimum application size for the German Green Steel IPO is 107 shares, requiring a minimum investment of Rs. 14,873 at the upper price band of Rs. 139 per share. Retail investors can apply for up to 13 lots, or 1,391 shares, amounting to Rs. 1,93,349.
For non-institutional investors, the S-HNI category starts at 14 lots, or 1,498 shares, requiring Rs. 2,08,222, while the maximum S-HNI application is 67 lots, or 7,169 shares, amounting to Rs. 9,96,491. The B-HNI category starts at 68 lots, or 7,276 shares, requiring an investment of Rs. 10,11,364.
The German Green Steel IPO has reserved not more than 50% of the offer for Qualified Institutional Buyers (QIBs), while retail investors will be allotted not less than 35% of the issue. The remaining not less than 15% of the offer will be reserved for Non-Institutional Investors (NIIs).
About German Green Steel & Power Ltd
German Green Steel & Power Ltd was incorporated in 2008 and is one of the iron and steel manufacturing firms in Gujarat, India. This firm is involved in the manufacturing of TMT bars, MS billets, and sponge iron, where the TMT bars manufactured by the company are marketed under the brand name of “German TMT,” which is well-known in Gujarat.
This firm has two manufacturing plants in Gujarat, namely the Samakhiali plant and Viramgam plant, operated by its subsidiary company, German TMX Pvt. Ltd. The company is increasing its capacities in terms of sponge iron, MS billets, and TMT bars at the Samakhiali Plant. The primary mode of functioning of the company includes B2B; that is, it supplies its products to distributors and dealers.
As of March 31, 2026, German Green Steel has a total strength of 1,357 employees along with 143 contractual labour employees. The Samakhiali plant of the company is located near the ports of Gujarat.
Financials of the company
German Green Steel & Power reported steady financial growth in FY26, with total income rising to Rs. 1,685.38 crore from Rs. 1,517.21 crore in FY25, an increase of around 11%. PAT increased by 33% to Rs. 79.89 crore from Rs. 59.94 crore, while EBITDA rose to Rs. 166.96 crore from Rs. 116.81 crore during the same period.
The company’s net worth increased to Rs. 421.55 crore in FY26 from Rs. 292.55 crore in FY25, supported by higher reserves and surplus. Total borrowings stood at Rs. 334.37 crore, slightly lower than Rs. 347.86 crore in FY25. Assets also increased to Rs. 1,220.24 crore from Rs. 1,015.20 crore during the year.
GMP of the IPO
The latest German Green Steel IPO Grey Market Premium (GMP) is Rs. 27.5, updated on September 24, 2026. German Green Steel IPO’s upper price band is Rs. 139.00, while its estimated listing price is Rs. 166.5 (cap price + current GMP). Expected gain/loss in percentage is 19.78%.
Objectives of the IPO
It is estimated that German Green Steel & Power will allocate the money raised through the IPO mainly to capital expenditure on its Samakhiyali steel plant in Kutch, Gujarat and the wind and solar power plant. It is estimated that about Rs. 226.33 crore will be allocated for this objective, which represents the largest proportion of funds from the issue.
Further, the company will utilise Rs. 7.70 crore to repay certain borrowings fully or partially. The remaining proceeds will be used for other business purposes, and it amounts to Rs. 234.03 crore.
Strengths of the company
German Green Steel possesses a vertically integrated manufacturing process, even with captive power plants, which ensures efficiency in operations. The company also has a wide distribution network spread across Gujarat and a customer base.
The company has well-experienced promoters and managers, as well as a well-established brand based on the quality of products. In addition, the company has shown financial growth in recent years.
Risk Factors
Customer Concentration: German Green Steel derived 50.62% of its FY26 revenue from its top 10 customers, with its largest customer accounting for 10.67%. The loss of key customers or a reduction in their purchases could affect the company’s revenue and profitability.
Dependence on Dealers and Distributors: Apart from direct institutional sales, the company relies on its dealers and distributors to reach end customers. Any termination of distribution arrangements or weak sales performance by these partners could adversely affect its business.
Raw Material Dependence: The company depends on third-party suppliers for its material requirements, which are largely procured through purchase orders. Supply disruptions or volatility in raw material prices could increase costs and negatively impact profitability.