Aequs LimitedDecember 2, 2025

Aequs IPO: RHP Simplified

A breakdown of Aequs Limited's Red Herring Prospectus and IPO details. The company is a vertically integrated precision component manufacturer.

#IPO#Aerospace#Manufacturing#Consumer Goods#RHP

Business Overview

Aequs Limited is a vertically integrated precision component manufacturer with capabilities in the Aerospace and Consumer segments. It operates three manufacturing ecosystems in India (Belagavi, Koppal, Hubballi) and has facilities in the USA and France.

The company engages in precision machining, forging, surface treatment, and assembly. In the Aerospace segment (89.19% of FY25 revenue), it supplies components for engine systems, landing systems, and structures to global OEMs like Airbus and Boeing.

Key Differentiator: It is the only precision component manufacturer operating within a single SEZ in India to offer fully vertically integrated manufacturing capabilities for the Aerospace segment.

IPO Details

Open Date

2025-12-03

Close Date

2025-12-05

Listing Date

2025-12-10

Price Band

₹118 – ₹124

Lot Size

120

Issue Size

₹921 Crore

Sentiment Analysis

Sentiment Dashboard

Social Media Hype

Neutral

BearishNeutralBullish

Summary: Aequs operates unique engineering-led vertically integrated manufacturing ecosystems in Belagavi, Koppal, and Hubballi. The company has a diverse portfolio across Aerospace and Consumer segments but has reported restated losses in recent fiscal years.

Financials

Financial Performance

₹965Cr₹724Cr₹483Cr₹241Cr₹0Cr

Rev: ₹812.13Cr

Loss: ₹109.5Cr

FY 2023

Rev: ₹965.07Cr

Loss: ₹14.24Cr

FY 2024

Rev: ₹924.61Cr

Loss: ₹102.35Cr

FY 2025

Revenue

Profit

Loss

Metric	FY 2023	FY 2024	FY 2025
Revenue	₹812.13 Cr	₹965.07 Cr	₹924.61 Cr
Net Profit	₹-109.5 Cr	₹-14.24 Cr	₹-102.35 Cr
Margin	-13.48%	-1.48%	-11.07%

Funds Usage

Objective	Amount
Repayment/prepayment of outstanding borrowings (Company & Subsidiaries)	₹433.17 Crore
Capital expenditure for purchase of machinery and equipment	₹64.00 Crore
Inorganic Growth & General Corporate Purposes	Balance Amount

👍 Strengths

Advanced and Vertically Integrated Capabilities: Leading company within a single SEZ in India offering end-to-end capabilities (machining, forging, surface treatment, assembly).
Global Footprint: Manufacturing presence across three continents (India, USA, France) providing strategic proximity to end customers.
Comprehensive Product Portfolio: Over 5,000 distinct products across aerospace (engine systems, landing gear) and consumer segments (electronics, toys, cookware).
Long-standing Relationships: Key supplier to global OEMs like Airbus, Boeing, Safran, and Collins Aerospace with high entry barriers for competitors.

⚠️ Risks

Revenue Concentration: 89.19% of net external revenue in FY25 came from the Aerospace Segment; 88.57% of revenue came from the top 10 customer groups.
History of Losses: The company incurred a loss of ₹102.35 Cr in FY25 and ₹109.50 Cr in FY23.
Order Volatility: Contractual arrangements with OEM customers are typically requirement-based and do not obligate customers to place fixed quantity orders.
Capital Intensive: High working capital and capital expenditure requirements for maintaining and upgrading machinery.

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Disclaimer

The content provided on this website is for informational and educational purposes only and does not constitute financial, investment, or trading advice. We are not SEBI registered advisors. Please consult with a certified financial advisor before making any investment decisions. Investments in the stock market are subject to market risks; read all scheme-related documents carefully.

Business Overview

IPO Details

Sentiment Analysis

Sentiment Dashboard

Financials

Financial Performance

Funds Usage

👍 Strengths

⚠️ Risks

Peer Comparison

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