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Karamtara Engineering

• Karamtara Engineering is coming out with a 100% book building; initial public offering (IPO) of 3,63,07,052 shares of face value Rs 10 each in a price band Rs 241-254 per equity share.
• Not more than 50% of the issue will be allocated to Qualified Institutional Buyers (QIBs), including 5% to the mutual funds. Further, not less than 15% of the issue will be available for the non-institutional bidders and the remaining 35% for the retail investors.
• The issue will open for subscription on September 09, 2026 and will close on September 11, 2026.
• The shares will be listed on BSE as well as NSE.
• The face value of the share is Rs 10 and is priced 24.10 times of its face value on the lower side and 25.40 times on the higher side.
• Book running lead managers to the issue are JM Financia, ICICI Securities and IIFL Capital Services.
• Compliance officer for the issue is Manoj Kumar Srivastava. 

Profile of the company

Karamtara Engineering is a backward integrated manufacturer of products for renewable energy and transmission lines sectors. It is the largest integrated manufacturer in terms of installed capacity in India for solar mounting structures and tracker components in Fiscal 2026. Its aggregate installed capacity was 889,200 MTPA (including 492,000 MTPA for solar products equivalent to approximately 16.81 GW) and 480,000 pieces as of March 31, 2026 (excluding its galvanizing capacity). It offers a diverse product portfolio which enables it to serve as a one-stop shop for solar structures (fixed-tilt and trackers). It offers structures and fasteners in the solar energy and transmission sectors, and overhead transmission line (OHTL) hardware fittings and accessories. It was one of the largest exporters of solar products from India to North America in Fiscal 2025. It has also forayed into the wind energy sector by commencing production of angular towers for wind turbines and tubular towers for wind turbines in March 2025 and June 2025, respectively. Further, it intends to enter into the business of battery energy storage systems (BESS) through its wholly owned subsidiary (being Karamtara Green Energy Limited (KGEL)) that was incorporated in May 2025. In addition, it intends to set up manufacturing facilities for prefabricated engineered building (PEB) structures.

The company has a wide geographical footprint with a global delivery model, with exports to over 50 countries cumulatively as of March 31, 2026, across North America, Europe, Asia, Africa, Australia and Latin America. It has built a strong customer base of international customers, including original equipment manufacturers (OEMs) and engineering, procurement and construction (EPC) companies and independent power producers (IPPs). The company serves 16 of the top 24 EPC companies in the United States (in terms of installed capacity totalling to approximately 233 GW) as of March 31, 2026. Its revenue from exports grew at a CAGR of 11.89% from Rs 13,958.32 million in Fiscal 2024 to Rs 17,474.92 million in Fiscal 2026, representing 57.56% and 40.52% of its total revenue from operations during the corresponding years, respectively. The company is recognized as a Four Star Export House by the Directorate General of Foreign Trade, Ministry of Commerce & Industry, Government of India, establishing its contribution to foreign trade.

The company places key focus on its backward integration capabilities. The company is one of the few product manufacturers to operate in-house galvanizing facilities, which is also the largest installed capacity in the solar energy sector in India with a capacity of 276,800 MTPA as of March 31, 2026. It also has two in-house rolling mill furnaces to manufacture various grades of structural steel for a wide range of products, including angles, channels and beams used across the solar energy and transmission industries. These in-house facilities provide it with significant competitive advantages in its manufacturing processes, including supply chain advantages, time efficiency and cost benefits. The company’s manufacturing facilities have received various quality certifications and accreditations, including ISO 9001:2015, ISO 14001:2015, ISO 45001:2018, EN 1090-1:2009+A1:2011, ISO 27001:2022, EN15048 – 1: 2016 and EN 14399-1:2015.

Proceed is being used for: 

• Funding prepayment, repayment and/ or payment obligations to its lenders towards borrowings and Acceptances, in part or full
• General corporate purposes

Industry overview

India’s installed electricity generation capacity has expanded dramatically since independence, not just in scale, but in the composition of sources. Growth in demand has been answered not only by thermal power (coal, gas, lignite) but increasingly through renewables, particularly solar and wind. As of March 31, 2026, renewable and non-fossil fuel sources have crossed 53% of installed capacity, ahead of the Fiscal 2030 target. India is transitioning from coal-based power to renewable energy, with a projected total power generation capacity of 868 GW by Fiscal 2031E and surpassing renewable energy target of 500 GW by CY2030E, including 282 GW from solar power. Simultaneously, the country is strengthening and expanding its power transmission infrastructure to accommodate rising electricity demand and the increasing penetration of renewable energy into the grid. As India advances toward its target of 500 GW of nonfossil fuel power capacity by 2030, significant investments are being made in grid modernization, transmission corridors, and interstate transmission networks to facilitate the integration of renewable power. Consequently, demand for transmission infrastructure and related equipment is expected to witness sustained growth.

India possesses immense solar energy potential, with approximately 5,000 trillion kWh of solar energy received annually, translating to 4-7 kWh per square meter per day. This abundant resource positions the country as a key player in harnessing solar energy for sustainable development. According to the National Institute of Solar Energy, India's theoretical potential for solar power generation stands at approximately 749 GWp, based on the assumption that 3.0% of the nation's wasteland can be utilized for installing Solar PV modules. As of April 1, 2026, India has tapped into around 21% of this potential, with a total installed solar capacity reaching 157 GW. This significant progress reflects India's commitment to renewable energy expansion, supported by favourable government policies and large-scale projects.

Meanwhile, India boasts a robust domestic wind power industry that has consistently driven sector expansion over the past two decades. This growth has fostered a strong ecosystem of developers, EPC contractors, component suppliers, and turbine manufacturers, while also strengthening project execution and operational capabilities. As of Fiscal 2026, India has an annual wind turbine manufacturing capacity of approximately 18,000 MW (18 GW), supported by a well-established domestic supply chain for blades, towers generators, gearboxes, and other key components. As a testament to this success, India continues to rank as the fourth-largest wind power market globally in terms of cumulative installed wind energy capacity, with over 56 GW of installed wind power capacity as of Fiscal 2026.

Pros and strengths 

Market leadership and strong product portfolio: The company is the largest integrated manufacturer in terms of installed capacity in India for solar mounting structures and tracker components in Fiscal 2026. Its product offerings include a comprehensive range of products, including Solar MMS, solar tracker piles and piers, solar torque tubes, lattice towers for transmission lines, angular towers, tubular towers for wind turbines and fasteners for solar, transmission lines, wind power projects applications and industrial fasteners, together with OHTL hardware fittings and accessories. Its operations are equipped with enhanced backward integration capabilities that offer it several competitive advantages.

Diversified product portfolio across renewable energy: The company is a one-stop shop equipped to design, manufacture and supply various solar structures (fixed-tilt and trackers). It has established a diverse product portfolio, including products in the solar energy sector (such as module mounting structures, tracker piles and piers and torque tubes) and the transmission sector (such as lattice towers for transmission lines). It also produces fasteners (such as bolts, nuts, studs and washers) and OHTL hardware fittings and accessories (such as insulator string fittings, jumper tubes, suspension clamps and vibration dampers). Further, its foray into the production of angular towers for wind turbines and tubular towers for wind turbines led it to venture into the wind energy sector, which will enable it to strengthen its market position in the renewable energy sector.

Expanding global footprint through export growth: The company’s capabilities have enabled it to serve various customers in the international markets and it supplied its products to over 50 countries as of March 31, 2026 across North America, Europe, Asia, Africa, Australia and Latin America. It was one of the largest exporters of solar products from India to North America in Fiscal 2025. Its in-house rolling mill furnace and large galvanizing facilities enhance its capability to convert raw material into finished goods at a fast pace ensuring high quality. These capabilities together with efficient logistics arrangement allow it to supply its products based on customer demands and in a timely manner across the world. Its revenue from exports grew at a CAGR of 11.89% between Fiscals 2024 and 2026 from Rs 13,958.32 million in Fiscal 2024 to Rs 17,474.92 million in Fiscal 2026. Further, it served 42 international customers as of March 31, 2026.

Established relationships with global solar customers: The company has established strong relationships with global customers, primarily comprising OEMs, EPCs and IPPs. Its customers include certain solar energy solutions companies globally. It is an approved supplier and critical partner to many of the leading solar energy companies in the world as of March 31, 2026. The total number of customers it served for solar energy products was 48 in Fiscal 2024, 73 in Fiscal 2025 and 65 in Fiscal 2026. In addition, its average revenue per customer from its solar energy products have increased from Rs 413.05 million in Fiscal 2024 to Rs 524.02 million in Fiscal 2026.

Risks and concerns

High exposure to Maharashtra-based operations: The company is significantly dependent on its manufacturing facilities. Any unscheduled, unplanned or prolonged disruption, slowdown or shutdown of its manufacturing facilities could have a material adverse effect on its business, financial condition, cash flows and results of operations. Further, the majority of its manufacturing facilities are located in Maharashtra in India. The company’s revenue attributable to its facilities in Maharashtra, India accounted for 90.84%, 98.61% and 99.18% of its total revenue from operations in Fiscals 2026, 2025 and 2024, respectively, which exposes its operations to potential risks arising from local and regional factors which may restrict its operations and adversely affect its business, financial condition, cash flows and results of operations.

High dependence on the solar energy industry: The company has derived a substantial portion of its revenue from the sale of products in the solar industry (78.99%, 81.40% and 81.75% of its total revenue from operations in Fiscals 2026, 2025 and 2024, respectively), and any adverse trend in the solar energy industry could have a material adverse effect on its business, financial condition, cash flows and results of operations.

Significant dependence on major customers: The company depends on certain key customers for a significant portion of its revenues (its top 10 customers contributed to 48.63%, 40.40% and 63.47% of its total revenue from operations in Fiscals 2026, 2025 and 2024, respectively). Any decrease in revenues from any of its key customers or any loss of these customers may adversely affect its business, financial condition, cash flows and results of operations.

High dependence on export markets: The company derives a significant portion of its revenue from operations from exports (40.52%, 51.31% and 57.56% of its total revenue from operations in Fiscals 2026, 2025 and 2024, respectively) which exposes it to risks inherent to operations in these foreign jurisdictions. Any adverse developments in the international markets that it operates or intend to expand to, including but not limited to foreign currency exchange rate fluctuations, could have an adverse effect on its business, financial condition, cash flows and results of operations.

Outlook

Karamtara Engineering is engaged in the business of manufacturing Products for renewable energy and transmission lines. The company offers a diverse product portfolio, serving as a one-stop shop for solar structures (fixed-tilt and trackers), fasteners for solar energy and transmission sectors, and overhead transmission line hardware fittings. It is largest integrated manufacturer in India for solar mounting structures and tracker components. It has diverse product offerings acting as a one-stop shop for solar structures (fixed-tilt and trackers). On the concern side, the company has significant dependence on major customers, making its revenues vulnerable to the loss or reduction in orders from key clients. Its high exposure to the solar energy industry means any slowdown in solar demand, project delays or changes in government policies could impact business performance. The company also has a high concentration of manufacturing operations in Maharashtra. Any disruption due to local events, regulatory issues, supply constraints or other operational factors in the region could affect production and revenues.

The issue has been offering 3,63,07,052 shares in a price band of Rs 241-254 per equity share. The aggregate size of the offer is around Rs 875.00 crore to Rs 922.20 crore based on lower and upper price band respectively. Minimum application is to be made for 59 shares and in multiples thereof thereafter. On performance front, the company’s revenue from operations increased by 36.52% from Rs 31,584.45 million in Fiscal 2025 to Rs 43,119.76 million in Fiscal 2026. Moreover, the company’s profit after tax increased by 64.18% from Rs 1,393.32 million in Fiscal 2025 to Rs 2,287.54 million in Fiscal 2026.

Meanwhile, the company intends to undertake capacity expansion to enhance its existing production capabilities. For instance, it is in the process of setting up a new structural steel profile manufacturing facility in Taluka Bhachau, Kutch, Gujarat by Fiscal 2027, in addition to its existing structural steel profile manufacturing capacity at Unit Profiles, located at Palghar, Maharashtra (which it utilizes for its captive consumption). The company’s expansion activities, once successfully completed and operational, will enable it to expand its footprint in the solar energy and transmission line sector in India and internationally, cater to increased customer demand, serve an increased number of customers at a given time and otherwise reduce its exposure to risks related to insufficient capacities. An expanded capacity base will also enable it to cater to a larger customer base and reduce its dependency on a limited number of customers. In addition to higher economies of scale, these expansion strategies upon completion will enable it in enhancing its overall operating efficiency and cost optimization.

Desco Infratech has informed that the Company has published newspaper advertisements on 8th September, 2026, containing information relating to the convening of the 15th Annual General Meeting of the Company, Remote e-voting facility being provided to members, and Other related instructions including book closure details. The advertisement has been published in the newspapers, both of which also have electronic editions: The Financial Express (English) and The Financial Express (Gujarati). These advertisements have been published in accordance with the provisions of Section 108 of the Companies Act, 2013, read with Rule 20 of the Companies (Management and Administration) Rules, 2014 (as amended), and Regulation 44 of the SEBI (LODR) Regulations, 2015. The same has also been made available on the Company's website at www.descoinfra.co.in.

The above information is a part of company’s filings submitted to BSE.

Infrax Renewable 

• Infrax Renewable is coming out with an initial public offering (IPO) of 39,31,200 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 104 per equity share.
• The issue will open on September 09, 2026 and will close on September 11, 2026.
• The shares will be listed on SME Platform of BSE.
• The share is priced at 10.40 times higher to its face value of Rs 10.
• Book running lead manager to the issue is Smart Horizon Capital Advisors.
• Compliance Officer for the issue is Shreya Siddhartha Mehta.

Profile of the company

Infrax Renewable is an ISO 9001:2015 certified. It is engaged in providing solar Engineering, Procurement and Construction (EPC) services, including solar power solutions for Rooftop and Ground Mount solar projects. Its EPC services encompass project design, engineering, procurement, installation, testing, commissioning and comprehensive operation & maintenance services, enabling it to manage all aspects of project execution from site assessment to final commissioning. Installation is undertaken majorly by its dealers or by third parties hired by the company, as the case may be. It is engaged in the supply and distribution of a wide range of solar products, including Solar PV (Photovoltaic) modules, Solar PV inverters and related solar products. It is also engaged in Independent Power Producer (IPP) activities through execution of Power Purchase Agreements (PPAs) with Paschim Gujarat Vij Company (PGVCL) by establishing its own solar power plant situated at Bhadla (Jasdan) Gujarat for generation and sale of electricity to PGVCL. 

The company supplies its services and products through a diversified sales and distribution network comprising authorised dealers across various regions, enabling wider market reach and efficient customer servicing. Further, the company has been empaneled as a national vendor for implementation of solar power projects under government-sponsored schemes including the PM Surya Ghar: Muft Bijli Yojana Rooftop Solar Programme. It procures the raw materials required for providing the aforesaid services from domestic suppliers located across Gujarat, Madhya Pradesh, Rajasthan, Telangana, Maharashtra and Uttar Pradesh based on project specifications, technical requirements and commercial considerations. As of March 31, 2026, it operated 3 warehouses situated at Rajkot, Ahmedabad and Kanpur, where raw materials are stored for execution of its services. Further, it has a presence across 4 states in India namely Gujarat, Maharashtra, Madhya Pradesh and Uttar Pradesh through its branch offices. 

Currently, the components/products required for execution of its projects are procured from third-party vendors and suppliers. Going forward, the company intends to establish in-house manufacturing facility for (A) solar panel recycling and silver extraction production line, (B) manufacturing of structures for solar roofing and mounting applications, and (C) solar frame production line. The proposed facilities are expected to provide the benefits of backward integration, reduce dependency on third-party vendors, improve operational efficiencies and strengthen the overall profitability of the company.

Proceed is being used for:

• Funding of capital expenditure of the company towards purchase of machineries and equipments for proposed manufacturing facility.
• Funding working capital requirements of the company.
• General corporate purposes.

Industry Overview

India’s energy demand is projected to rise more than any other country in the coming decades, driven by its large population and growth potential. To meet this surge sustainably, most of the additional demand must come from low carbon, sources. India’s commitment to net zero emissions by 2070 and 50% renewable electricity by 2030 marks a major global climate milestone. As of May 2026, India’s installed renewable energy capacity, including large hydro projects, stood at 282.75 GW, underscoring the country’s continued progress in expanding its clean energy portfolio. India ranked 3rd globally in renewable energy installed capacity, reaching 250.52 GW as of December 2025. China leads with 2,258.02 GW, followed by the United States at 467.92 GW, while India remains ahead of countries such as Brazil (228.20 GW) and Germany (199.92 GW). India is the market with the fastest growth in renewable electricity, and by 2026, new capacity additions are expected to double. India has officially surpassed Japan to become the world's third-largest solar energy producer. India generated 1,08,494 GWh of solar power, exceeding Japan's 96,459 GWh.

India has set ambitious climate and energy goals, including reducing the carbon intensity of its economy by 45% by 2030, achieving 50% of cumulative installed power capacity from renewables by 2030, and reaching net-zero emissions by 2070. Low-carbon technologies alone could create a market worth up to $80 billion in the country by 2030. Green hydrogen is expected to play a pivotal role in this transition. India targets production of five million tonnes of green hydrogen annually by 2030, supported by an electrolyser manufacturing capacity projected to reach 8 GW per year by 2025. To meet this goal, at least 50 GW of electrolysers will be required, and the cumulative value of the green hydrogen market could reach $8 billion by 2030. 

The transformation of India’s power sector is being accelerated by rising population, rural electrification, and growing energy needs. Clean energy adoption is enabling villages to become self-sustainable, reducing pollution and dependence on fossil fuels. With advances in battery storage, solar costs could reduce by as much as 66% from current levels. Replacing coal with renewables could also save the country Rs 54,000 crore ($8.43 billion) annually. Renewable energy’s share in power generation is projected to rise from 18% in 2022 to 44% by 2030, while thermal power is expected to fall from 78% to 52%. By then, India’s total power demand is estimated to reach 817 GW, underlining the scale of opportunity for the renewable energy sector.

Pros and strengths

Strong relationship with customers: The company generates its revenue primarily from domestic operations. Through its network of dealers and third-party partners, as applicable, it has developed a client base that provides recurring business for their ongoing requirements. Its strong relationship with its customers has been one of the most significant factors contributing to its growth. Its commitments to timely delivery and quality have been a contributing factor to its robust customer relations. Even though it does not have any long-term supply agreements with them, it has continually received repeat business from many of its customers. This indicates their level of confidence in its ability to deliver its products. This has helped it to maintain a long-term working relationship with its customers and improve its customer retention strategy. Its existing relationship with its clients represents a competitive advantage in gaining new clients and increasing its business. Further, because of the trust of its customers, it has been able to attain orders from a diverse range of client base.

Wide range of products: Along with turnkey solutions for various renewable projects, it is engaged in the supply and distribution of a wide range of solar products, including Solar PV (Photovoltaic) modules, Solar PV inverters and related solar products. Maintaining a diversified portfolio of solar products enables it to cater to the evolving energy requirements of a broad customer base across different segments. Its revenue streams are driven by the sale and supply of solar products across various regions. Over the years, it has focused on strengthening its distribution and service network, recognizing its importance in enhancing market reach and customer satisfaction. This strategic approach has contributed to the steady growth of its business and customer base.

Financial stability through the IPP Model: The company has developed a solar power plant under the Power Purchase Agreement (PPA) through IPP model, which establishes a steady and reliable revenue stream over an extended period. By selling electricity directly to government, the company generates consistent cash flow, allowing it to maintain financial stability. This approach provides a dependable source of income and lays the groundwork for the company to invest in further growth and expansion efforts.

Risks and concerns

Significant business reliance on government policies and incentives: Its business is significantly dependent on the continued support of various central and state government policies, schemes, subsidies, incentives and regulatory frameworks promoting the adoption of solar power solutions. Demand for its products and services, particularly in the rooftop solar and ground-mounted solar segments, is influenced by the availability and continuity of such support mechanisms. Any reduction, withdrawal, delay, suspension or unfavourable modification of government policies, subsidies, incentives, net-metering regulations, approval processes or other regulatory frameworks, whether due to regulatory changes, political developments or budgetary constraints, may adversely affect the commercial viability and attractiveness of solar projects for customers. Further, changes in policies relating to grid connectivity, power evacuation, environmental clearances or project approvals may result in delays in project execution, increased compliance costs, lower project profitability or reduced customer demand. Any adverse regulatory developments or uncertainty regarding the continuation of government support mechanisms may negatively impact investment decisions by customers and the overall growth of the solar energy market.

Dependence on dealers for significant portion of revenue: Its dealers play an important role in its business development by identifying and generating leads, acquiring customers, and creating market opportunities through their industry experience, local market knowledge, business networks, customer relationships, and established presence within their respective territories. Their connections and credibility in the market helps it to expand its customer base and secure new business opportunities. Its business model focuses on establishing a dealership network across various states, thereby ensuring high visibility and easy accessibility for customers. It focuses on deepening its presence in the regions it operates in before venturing into new markets which has led it to establish presence. Its dealership model enables it to establish a network of dealers who are residents of the regions in which it operates and are therefore able to effectively penetrate the markets through their understanding of local market dynamics, familiarity with the area and relationships with target customers.

Geographic concentration of revenue in Gujarat: Currently it is supplying services and selling solar products in various states of India includes Gujarat, Uttar Pradesh, Madhya Pradesh, Maharashtra, Rajasthan and Telangana. It derives a significant portion of its revenues from the state of Gujarat, that accounted for 97.41%, 100%, and 100% of its revenue from operations in Fiscals 2026, 2025 and 2024, respectively. Such geographical concentration of its business in these regions heightens its exposure to adverse developments related to competition, as well as economic and demographic changes in these regions which may adversely affect its business prospects, financial conditions and results of operations.

Outlook

Infrax Renewable is engaged in providing solar Engineering, Procurement and Construction (EPC) services, including solar power solutions for Rooftop and Ground Mount solar projects. It focuses on building sustained and long-term relationship with its suppliers. Its long-term relationships with suppliers will enable it to continue to grow its business. A key aspect of its supply chain strength also lies in its ability to manage the complexities of logistics effectively. On the concern side, it is exposed to risks associated with fluctuations in the prices and availability of solar products (i.e., Solar PV (Photovoltaic) Modules, solar panels, Solar PV Inverters and other solar products) procured from third-party suppliers. Any increase in procurement costs, supply chain disruptions or shortage of components may adversely affect its business, financial condition and results of operations.

The company is coming out with an IPO of 39,31,200 equity shares of face value of Rs 10 each for cash at a fixed price of Rs 104 per equity share to mobilize Rs 40.88 crore. On performance front, its revenue from operations increased by 205.94% to Rs 9,321.49 lakh for FY 2026 from Rs 3,046.86 lakh for FY 2025. Profit after tax has increased by 257.72% from Rs 285.18 lakh for FY 2025 to Rs 1,020.14 lakh for FY 2026.

Meanwhile, it intends to expand its business operations by entering into the manufacturing segment of solar panel recycling and silver extraction production line, manufacturing of structures for solar roofing and mounting applications and Solar frame production line. Currently, it is primarily engaged in providing and sale of solar EPC solutions, including design, engineering, procurement, installation, testing, commissioning and maintenance of rooftop solar systems. At present, the components/products required for execution of its projects are procured from third-party vendors and suppliers. Going forward, it intends to establish an in-house manufacturing facility in order to strengthen its operational capabilities, achieve higher efficiency, reduce lead times and ensure better quality control over key components/products used in its operations. Proposed facility will provide advantages of backward integration, reduce dependency on third-party vendors, improve operational efficiencies and strengthen the overall profitability of the company.