Dhara Rail Projects Ltd
IPOIssue Details
Issue Size
– Cr
Fresh Issue
– Cr
OFS
– Cr
Price Band
₹120 – ₹126
Lot Size
1000
₹1,26,000
Face Value
₹10
Listing Price
₹150
Important Dates
Open Date
23 Dec 2025
Close Date
26 Dec 2025
Allotment
29 Dec 2025
Refund
30 Dec 2025
Listing
31 Dec 2025
About Company
Incorporated in 2010, Dhara Rail Projects Ltd is an ISO 9001:2015 certified company providing various services for railway rolling stock systems.
The company provides annual maintenance contracts (AMC) and repair services for train lighting systems across all types of trains, including Vande Bharat.
It undertakes AMC and repairs for Overhead Equipment (OHE) maintenance vehicles (Tower Wagons).
The company provides AMC and repairs of Power Car equipment and HVAC systems in trains.
It executes supply, installation, testing and commissioning (SITC) of electrical equipment for all types of railway rolling stock.
The company also offers outsourced services for coach operations and troubleshooting.
Dhara Rail Projects mainly works with the Ministry of Railways, Government of India, either by directly participating in tenders or working with OEMs.
Objects of the Issue
| # | Description | Amount (₹ Cr) |
|---|---|---|
| 1 | Repayment and/or pre-payment, in full or part, of borrowing availed by the Company. | ₹7 |
| 2 | To meet working capital requirements of the Company. | ₹30.5 |
| 3 | General corporate purposes. | ₹6.87 |
Financial Performance
Share Reservations
QIB
18,89,000
Anchor
11,33,000
NII
5,67,000
Retail
13,24,000
Employee
0
Total
39,84,000
RHP Insights
AI-powered analysis from Red Herring Prospectus
SME IPO with Pure Fresh Issue
The ₹50.20 crore IPO is entirely a fresh issue, indicating funds are being raised for debt reduction, working capital and general corporate purposes.
Impact: ModerateStrong Growth in Revenue and Profit
Revenue increased by around 40% and PAT by 120% between FY 2024 and FY 2025, reflecting strong operational traction.
Impact: HighHigh Return Ratios with Elevated Leverage
The company reports high ROE and RoNW alongside a debt-to-equity ratio of 1.66 in FY 2025, indicating strong returns but with leverage risk.
Impact: ModerateFocused Railway Maintenance and Project Player
Business concentration in railway rolling stock and electrical systems provides specialization but also links growth to railway capex and policy.
Impact: ModerateIssue Valuation Appears Fully Priced
Analyst review notes that, based on recent financials, the issue is fully priced though suitable for well-informed investors with a long-term view.
Impact: LowSWOT Analysis
AI-generated strategic view
Strengths
- •Diversified order book of projects across India with an order book of Rs 14,409.81 lakhs as on September 29, 2025.
- •Revenue generated from multiple geographies reducing concentration risk.
- •Assured quality services supported by ISO 9001:2015 certification.
- •Experienced senior management team with domain knowledge in railway projects.
Weaknesses
- •Business dependent on contracts from Ministry of Railways and related entities, leading to tender-based revenue visibility.
- •High working capital requirements typical of EPC and maintenance contracts.
- •Boost in bottom line from FY25 onwards may raise sustainability concerns.
- •Operating in a sector exposed to regulatory and policy changes in Indian Railways.
Opportunities
- •Increasing investments in Indian Railways modernization and rolling stock upgrades.
- •Rising focus on specialized maintenance and AMC outsourcing by Indian Railways.
- •Potential to expand services to more zones and divisions across India.
- •Scope for adding new service lines within rolling stock and electrical systems.
Threats
- •High competition in railway EPC and maintenance contracts, including from larger players.
- •Dependence on government tendering process and budget allocations.
- •Delay in payments or project execution can impact cash flows.
- •Changes in technical standards or qualification norms for tenders.
Dhara Rail Projects Ltd - Documents & Links
Registrar
Company contact
Dhara Rail Projects Ltd
Address: Gala No. O, 196-K, Girgaum Gaiwadi, Girgaum, Mumbai, Maharashtra, 400004
cs@drppl.comhttps://drppl.com/Lead managers
Frequently Asked Questions
Common questions about Dhara Rail Projects Ltd IPO.