Ridhi display equipments IPO
| DATE | GMP (GREY MARKET PREMIUM) | EXPECTED LISTING GAINS |
|---|---|---|
| 10-Dec-2025 | 0 | 0 |
| 09-Dec-2025 | 10 | 12,000 |
| 08-Dec-2025 | 1 | 1,200 |
Riddhi Display Equipments IPO – Price, Dates & Detailed Analysis
IPO Key Dates & Issue Structure
- IPO Opening Date: 08 December 2025
- IPO Closing Date: 10 December 2025
- Basis of Allotment Date: 11 December 2025
- Refund / Demat Share Credit (tentative): 12 December 2025
- Listing Date (expected): 15 December 2025 on BSE SME platform
Issue Price Band: ₹ 95 to ₹ 100 per share (face value ₹10)
Issue Size: ₹ 24.68 crore (fresh issue)
Issue Type: Book-building fresh issue (no offer-for-sale)
Minimum Application (Retail): 2 lots = 2,400 shares → at upper band ~ ₹ 2,40,000
Company Overview
Riddhi Display Equipments is based in Gondal / Rajkot, Gujarat. The company specializes in manufacturing and supplying display counters, commercial-kitchen equipment, and refrigeration solutions. Their products cater to restaurants, bakeries, sweet-shops, cafes, supermarkets, ice-cream parlours, and retail outlets.
They offer customized solutions — from refrigerated or ambient display counters (for sweets, snacks, bakery, fast food, ice-cream, etc.) to commercial kitchen equipment like cooking ranges, storage racks, work-tables, and refrigeration units.
The company operates an ISO-certified manufacturing facility, and as of August 2025 employed around 55 people.
Financial Snapshot & Growth
- For the year ending FY25, revenue rose to ~₹ 25.09 crore from ~₹ 18.90 crore in FY24 — representing ~33% growth in topline.
- Profit after tax (PAT) more than doubled — from ~₹ 2.02 crore in FY24 to ~₹ 4.14 crore in FY25.
- EBITDA and margin profile also improved — indicating better operational efficiency and improving profitability.
IPO Purpose & Use of Funds
The proceeds from the IPO are planned to be used for:
- Setting up a new manufacturing + assembly unit in Lucknow (UP)
- Upgrading existing plant at Gondal (Rajkot)
- Establishing a showroom in Gondal / Rajkot
- Meeting working-capital needs
- General corporate purposes
This shows the company aims to expand manufacturing capacity, improve scale, and support business growth — potentially enabling larger orders and better delivery turnaround for clients across food, hospitality, and retail segments.
Strengths & Competitive Advantages
- Niche Market Segment & Customisation: Riddhi Display caters to commercial kitchens, bakeries, sweet shops, and retail outlets — a segment that demands customised display and refrigeration solutions. This specialised focus can help the company maintain differentiation and client loyalty.
- Fresh Growth & Margin Improvement: Recent growth in revenue and profit indicates improving business performance and possibly growing demand for its offerings.
- Planned Expansion & Capacity Build: With funds earmarked for a new facility and upgrades, the company is positioning for scale — which can enhance order capacity and reduce lead times.
- Diverse Client Base Across Hospitality & Retail: Their customer base spans bakeries, restaurants, supermarkets, ice-cream parlours etc. — reducing dependence on a single client type or sector.
Risks & What to Watch Out
- SME & Small-Cap Risk: Being a relatively small company (on SME platform), business can be more volatile compared to large, diversified firms — e.g. demand cycles in hospitality, budget constraints for clients, or cost pressures could impact orders.
- Dependence on Discretionary/Hospitality Sector: Since clients are often restaurants, bakeries, or retail shops, demand may fluctuate with consumer spending, inflation, or economic slowdowns.
- Execution Risk on Expansion Plans: While the IPO proceeds are earmarked for expansion and new facility, execution — timely completion, cost overruns, or demand ramp-up — will be crucial for value delivery.
- Limited Public Information / SME Listing Specificities: As a SME-listed entity, liquidity may be lower, and investor scrutiny/coverage might be limited — making transparency and performance even more important for investors.
IPO Sentiment & What to Expect
Given the company’s recent financial growth, clear use of proceeds for capacity expansion, and niche focus on commercial-kitchen/display equipment — the IPO could attract investors looking for small-cap growth plays in manufacturing + hospitality-support sectors.
If demand remains steady and expansion executes well, medium-term prospects may look reasonable. However, as with any SME IPO, it carries higher risk — so potential investors should consider a medium-to-long term horizon rather than expecting quick listing-gains.