Encompass Design IPO
| DATE | GMP (GREY MARKET PREMIUM) | EXPECTED LISTING GAINS |
|---|---|---|
| 09-Dec-2025 | 5 | 6,000 |
| 08-Dec-2025 | – | – |
| 07-Dec-2025 | – | – |
| 06-Dec-2025 | – | – |
| 05-Dec-2025 | – | – |
The Encompass Design IPO by Encompass Design India Ltd. (branded as ScaleSauce) is scheduled to open for subscription on 5 December 2025. The public offering targets ₹40.21 crore.
Company Overview
Encompass Design India Ltd. operates in the lifestyle, home‑living and consumer‑goods segment under the brand name ScaleSauce. The company’s portfolio includes home textiles, décor products, fabrics, comforters, curtains and related home/lifestyle items. It also handles certain food‑category products and offers e‑commerce services to support its consumer‑brands ecosystem. Encompass combines manufacturing/trading with distribution and digital commerce capabilities, enabling a diversified business model that caters to evolving urban consumer demand in India’s home & lifestyle market.
IPO Details
- IPO Open Date: 5 December 2025
- IPO Close Date: 9 December 2025
- Price Band: ₹101 – ₹107 per share
- Face Value per Share: ₹10
- Lot Size: 1,200 shares per lot
- Minimum Retail Application: 2 lots (2,400 shares) — ~₹2,56,800 at upper price band
- Total Issue Size: 37,58,400 equity shares (aggregating up to ₹40.21 crore) — 100% fresh issue
- Listing Exchange: NSE SME (Emerge)
- Allotment & Listing Timeline: Basis of allotment ~10 Dec 2025; Listing ~12 Dec 2025
- GMP Note: The IPO pack refers to GMP to indicate market‑level interest.
The funds raised through the IPO will be used for capital expenditure (office/ infrastructure setup, refurbishment), working capital, repayment of borrowings and general corporate purposes.
Financials & Recent Performance
For the fiscal year 2024–25 (FY25), Encompass Design reported:
- Revenue: ₹55.01 crore
- Profit After Tax (PAT): ₹10.79 crore
- EBITDA: ~₹16.86 crore
The company turned profitable recently, indicating improving scale and operational stability. This performance suggests that the business model is gaining traction as consumer demand for home‑living and lifestyle products grows.
Key Strengths & Why This IPO Looks Interesting
- Diversified Product & Business Model: Combination of home‑living products, lifestyle goods, and e‑commerce services gives multiple revenue streams.
- Positive Financial Turnaround: From earlier losses to profitability, with healthy margins and growing revenues.
- Manageable IPO Size & SME Format: With ₹40.21 crore issue size — approachable for retail investors seeking entry in consumer goods/ lifestyle segment.
- Market Potential: Growing demand for home & lifestyle products and rising discretionary spending in urban India supports long‑term growth.
- GMP Mention Signals Market Interest: The GMP reference, reflects investor sentiment in informal markets.
Key Risks & Things to Watch
- SME‑Listing Liquidity: Shares listed on SME platform may have lower trading volume compared to mainboard, potentially affecting exit ease.
- Discretionary Demand Sensitivity: As consumer‑goods and lifestyle segment, demand can fluctuate with macroeconomic conditions and consumer sentiment.
- Execution Risk of Expansion: Use of IPO proceeds — for setup, working capital and debt repayment — must be managed carefully to ensure scale‑up delivers value.
- Business Complexity: Managing manufacturing/trading, distribution and e‑commerce together demands operational discipline; any mismanagement may impact results.
The Encompass Design IPO offers a chance to invest in a diversified lifestyle and home‑living company that has recently become profitable. With a modest issue size, clear business model, and growing demand for lifestyle goods, the IPO may appeal to investors with a medium‑term horizon.