Medistep Healthcare Ltd. IPO

Gulf Lloyds (India) 

• Gulf Lloyds (India) is coming out with an initial public offering (IPO) of 18,19,200 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 100 per equity share.
• The issue will open on July 20, 2026 and will close on July 22, 2026.
• The shares will be listed on SME Platform of BSE.
• The share is priced at 10 times higher to its face value of Rs 10.
• Book running lead manager to the issue is Interactive Financial Services.
• Compliance Officer for the issue is Suchi Jain.

Profile of the company

Gulf Lloyds (India) operates in the Services Sector, providing third party Inspection, Auditing, Certification, Testing, and Training, services across various industries and regions. It provides Third-Party Inspection, Auditing, Testing, Training and Certification services to public sector undertakings as well as private organizations. It also deploys trained and technically qualified personnel to perform inspection, verification and audit services as per client requirements and applicable standards. It undertakes assignments across multiple sectors, assessing whether the products, works, or processes meet prescribed quality and safety standards, technical specifications, and client requirements. Its services support the organizations of various sizes and industries in maintaining quality and safety compliance, controlling costs and operational efficiency. 

As part of its inspection and certification activities, it evaluates compliance and documents, its findings in detailed reports submitted to clients for review and necessary action. It undertakes Third-Party Inspection assignments in India as well as overseas through contractual arrangements. Through such contracts, it provides inspection, verification services for projects located outside India. By leveraging its network of qualified inspectors and technical professionals, it is capable of executing assignments across multiple countries and supporting clients in meeting international quality, safety, and compliance standards and requirements. This enables it to extend its services globally and effectively cover projects across different regions of the world.

Its registered office is located in Ahmedabad, Gujarat, India. With over a decade of experience, it has executed projects in India and internationally, including USA, UAE, Sudan, South Sudan, China, Burundi, Singapore, Germany, UK, England, Panama, Egypt, Muyinga, Jordan etc. It provides a wide spectrum of customer-oriented Certification and Inspection services. It has served a customer base across sectors such as infrastructure, oil and gas, engineering, manufacturing, irrigation, energy, and industrial equipment. It aims to meet the needs of customers and organization by delivering services wherever required. Its role is to provide business solutions that helps to improve the quality, safety, productivity, and risk management while helping customers operate within regulatory and compliance frameworks. Its independent services support the clients’ efficient operations and long-term business continuity.

Proceed is being used for:

• Capital expenditure for office premises 
• Repayment of unsecured loans 
• Working capital requirement
• General corporate purposes

Industry Overview

The expansion of India’s services sector has been closely linked to the economic reforms of the 1990s. While the sector began to grow in the mid-1980s, it gained significant momentum after India initiated a series of structural reforms in response to a severe balance of payments crisis. Today, the services sector is not only the largest contributor to India’s GDP but also a major driver of employment, foreign investment, and exports. It encompasses a wide range of activities, including trade, hotels and restaurants, transport, storage and communication, finance, insurance, real estate, business services, community and personal services, and services associated with construction. 

To enhance India’s share in the global services market from 3.3% and enable multi-fold growth in GDP, the government has implemented several initiatives to strengthen commercial services exports. As a result, India’s services exports stood at around Rs 20,40,317 crore ($237.55 billion), while imports were Rs 10,20,974 crore ($118.87 billion), highlighting India’s strong position in global trade. The services trade surplus of Rs 10,19,343 crore ($118.68 billion), up from Rs 8,71,698 crore ($101.49 billion) in FY25 (April-October 2024).

India’s services sector has steadily increased its share of Gross Value Added, rising from 50.6% in FY14 to about 55.3% in FY25, with an average growth of 8.3% since FY23. The sector also ranked first in attracting Foreign Direct Investment, according to data from the Department for Promotion of Industry and Internal Trade. India’s unique skills and competitive advantage in knowledge-based services, supported by initiatives such as Smart Cities, Clean India, and Digital India, have created a conducive environment for growth and innovation.

Pros and strengths

Comprehensive range of services: It offers a broad and integrated portfolio of services encompassing inspection, verification, auditing, testing, training, and certification across diverse industrial sectors. This multi-disciplinary service capability allows clients to obtain complete quality assurance and compliance solutions through a single, coordinated source. It undertakes assignments covering material inspection, vendor assessment, third-party verification, destructive and non-destructive testing, quality audits, and conformity assessments in line with national and international standards. It also provides technical training and certification programs to improve client understanding of quality, safety, and regulatory requirements. By offering services from inspection and testing to audit and certification, it removes the need for multiple external agencies, improving efficiency, consistency, and control in project execution. This approach builds client confidence, ensures compliance with regulatory frameworks, and establishes it as a service provider in the quality and inspection field.

Nationwide and regional reach: The company manages its operations across several regions in India, with its head office based in Ahmedabad. It supports its activities through head office that are positioned to handle client requirements without delay. It takes up assignments in different states and union territories, including remote project sites, allowing it to remain accessible and responsive to varied operational needs. This spread of locations helps it deploy trained personnel and testing resources quickly, which reduces travel time, limits idle periods, and improves project turnaround. The regional network also gives it a solid operational platform for pursuing new opportunities and enables it to participate in large infrastructure and industrial projects across the country. 

Quality and compliance-driven processes: It maintains a robust Quality Management System (QMS) aligned with ISO 9001 and ISO/IEC 17020 standards. Every inspection, test, and audit follows a defined process for planning, execution, review, and reporting to ensure transparency, accuracy, and traceability. Internal audits, document reviews, and management evaluations are conducted periodically to assess system effectiveness and implement continual improvement measures. The company’s emphasis on quality and procedural compliance ensures that all services meet or exceed client expectations while conforming to statutory and regulatory requirements.

Risks and concerns

Dependence on third-party NABL accredited laboratory: It currently does not hold accreditation from the National Accreditation Board for Testing and Calibration Laboratories (NABL). Certain testing and inspection assignments undertaken by it require testing to be carried out through laboratories accredited by NABL in order to comply with applicable industry standards and client requirements. In order to facilitate such services, the company has entered into a Memorandum of Understanding on February 05, 2025 with Industrial Testing Center, an NABL-accredited laboratory based in Ahmedabad, for conducting Non-Destructive Testing (NDT) on behalf of the company. The arrangement has been entered into for a period of 3 years commencing from February 05, 2025, pursuant to which Industrial Testing Center provides NABL-accredited laboratory testing support for assignments executed by the company. Any disruption in the availability of NABL-accredited laboratory services may affect its ability to execute certain assignments within the stipulated timelines and may lead to delays in project execution, loss of potential business opportunities or reputational risks.

Reliance on key customers for revenue: It derives a significant portion of its revenue from a limited number of key customers. Its customer base includes companies that engage it for third-party inspection, testing, verification and other related services. Due to the nature of its business, certain customers contribute a relatively higher proportion of its revenue in a given financial period depending on the scale, duration and number of assignments awarded to it. Consequently, its revenue may be significantly influenced by the volume of inspection and related service assignments received from these customers during the relevant periods. The top 10 customer accounted for 73.93%, 60.48%, and 93.85% of its revenue from operations for the Fiscal 2026, Fiscal 2025 and Fiscal 2024, respectively. The loss of any one or more of its key customers, a reduction in the volume of assignments awarded to it by such customers, or the inability to renew or secure new service contracts on commercially acceptable terms could adversely affect its revenue and profitability.

Risk of errors or deficiencies in inspection and testing services: It is engaged in providing third-party inspection, verification and testing services to clients operating across various industries. The services provided by it involve examining materials, equipment, structures, processes or systems and issuing inspection reports, test results or certifications based on its observations and professional assessment. Its clients rely on such reports and test results for quality assurance, regulatory compliance, project approvals, operational decisions and contractual obligations. The accuracy, reliability and credibility of the inspection and testing results issued by it are therefore critical to its business. Any error, omission, deficiency or delay in the inspection reports or test results issued by it, whether due to human error, equipment malfunction, improper calibration of instruments, incorrect interpretation of technical standards, limitations in information provided by clients, or other operational factors, may affect the reliability of such reports. If any inspection report or certification issued by it is found to be inaccurate, incomplete or deficient, it may lead to disputes with clients or other stakeholders who rely on such reports. Such situations may require re-inspection, rectification, or may expose it to claims, contractual disputes, reputational damage or potential legal liabilities. Further, any adverse perception regarding the reliability or quality of it services may lead to loss of existing clients or difficulty in securing new assignments. Any such occurrence may adversely affect its reputation in the market, its relationships with clients and its ability to secure future contracts.

Outlook

Gulf Lloyds (India) operates in the Services Sector, offering inspection, verification, auditing, testing, training, and certification services across various industries and regions. It provides Third-Party Inspection, Auditing, Testing, Training and Certification services to public sector undertakings as well as private organizations. It places emphasis on continuous learning and capability building of its workforce through the implementation of both internal and external training programs. These programs are designed to enhance employees’ technical skills, professional knowledge, safety awareness and overall job performance, enabling them to effectively perform their roles and responsibilities. On the concern side, its business is subject to regulatory and accreditation requirements applicable to third-party inspection and certification service providers, and any failure to obtain, maintain or renew necessary approvals, certifications or accreditations may adversely affect its operations and revenue. Further, the sizable portion of revenue is generated from the state of Gujarat, any adverse development affecting its operations in the state could have an adverse impact on its business, financial condition and results of operations.

The company is coming out with an IPO of 18,19,200 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 100 per equity share to mobilize Rs 18.19 crore. On performance front, its revenue from operations increased by 0.20% to Rs 3,567.94 lakh for FY 2026 from Rs 3,560.82 lakh for FY 2025. Profit after tax has decreased by 7.82% from Rs 466.80 lakh for FY 2025 to Rs 430.29 lakh for FY 2026.

Meanwhile, it plans to grow its footprint by reaching more sectors and geographical areas where demand for inspection, verification, auditing, testing, training, and certification services is increasing. Right now, it already works in several core sectors-such as infrastructure, power, oil and gas, manufacturing, utilities, transportation, and industrial projects. The goal is to deepen involvement in these sectors while also entering related areas where similar compliance and inspection needs exist. Going forward, it intends to further strengthen its engagement with central and state government departments, statutory authorities, and public sector undertakings, which form a significant part of its client base. These entities undertake large-scale development, procurement, and infrastructure programs that require continuous inspection, verification, auditing, testing, and certification support. It aims to maintain an active presence in these segments by aligning its services with the procedural and compliance requirements applicable to public projects.