EPACK Prefab Technologies IPO: From Order Book to Returns, What Investors Should Know

EPACK Prefab Technologies Limited, a company with over two decades in the prefabricated building space, is coming to Dalal Street with its ₹504 crore IPO. The issue opened on September 24 and will close on September 26, 2025, priced between ₹194-₹204 per share. Retail investors can apply for a lot of 73 shares. The GMP is around ₹20 per share, which indicates a ~10% listing gain at current momentum - showing decent but not runaway demand.

In this blog, we’ll break down EPACK Prefab’s business model, why it is coming out with this IPO, its strengths and risks, how it stacks up against peers, the people driving the company, selling shareholders, and finally, an analyst-style view that could help investors make a more informed decision.

IPO Overview

• IPO Date: September 24 to September 26, 2025
• Total Issue Size: ₹504 crore
• Price Band: ₹194 to ₹204 per share
• Lot Size: 73 Shares
• Tentative Allotment Date: September 29, 2025
• Listing Date: October 1, 2025 (Tentative)
• GMP: The GMP for Epack Prefab Technologies IPO is ₹20, reflecting a 9.8% gain over the issue price, according to Chittorgarh.com (as of September 24).
  Disclaimer: GMP is an unofficial indicator and is subject to market volatility.

What Does Epack Prefab Technologies Do?

EPACK Prefab works mainly in two businesses:

• Pre-Fab Business (84% of FY25 revenue) - This includes pre-engineered steel buildings and turnkey prefab construction solutions. The company designs, manufactures, and sets up ready-to-install factories, warehouses, or large industrial structures. It is like a faster and cheaper way to build compared to traditional concrete buildings.
• EPS Packaging Business (16% of FY25 revenue) - It makes expanded polystyrene (EPS) products such as packaging for consumer durables and insulation material used in construction.

The company largely serves businesses across industries like manufacturing, commercial projects, infrastructure, and consumer durables, operating on a business-to-business (B2B) model.

Objectives of the IPO

The IPO proceeds will be used mainly for:

• ₹102.97 crore for a new facility in Rajasthan (Ghiloth Industrial Area) to make sandwich insulated panels and pre-engineered steel buildings.
• ₹58.17 crore for expansion at the Andhra Pradesh plant (Mambattu Unit 4).
• ₹70 crore to reduce debt.
• Remaining for general corporate purposes.

Strengths:

• Strong growth leader: Revenue grew at 25.3% in FY25, the fastest among peers.
• High ROE of 22.69%: For every ₹100 invested, the company made ~₹23 for shareholders in FY25.
• Efficient debt management: Net debt/EBITDA ratio at 0.46x, much lower than peers; this shows low stress on debt repayment.
• Order book visibility: ₹916.96 crore order book in FY25 ensures revenue pipeline for the near term.
• Cash cycle efficiency: Needs only 35 days working capital, better than peers like Pennar (77 days).
• Eco-friendly products: Prefab steel structures reduce carbon emissions compared to RCC.

Risks:

• High employee attrition: At 54.37% in FY25, attrition is a big operational risk.
• Regional reliance: 64% revenue from just two regions (North-Central and West).
• Single supplier concentration: EPS Packaging division depends on one supplier for raw materials.
• Commodity risk: ~70% costs are steel and EPS beads; volatility directly affects margins.
• Capacity utilization risk: Despite higher installed capacity, Unit 4 utilization fell from 73.7% to 50.3% in FY25.
• Contingent liabilities: ₹388.4 crore in guarantees could be a hidden balance sheet risk.

For detailed information, visit Epack Prefab Technologies’ IPO page.

Peer Comparison

The company competes with Pennar Industries, Everest Industries, Interarch Building Solutions, and Beardsell.

• Revenue growth: Epack fastest (25.3%) vs Pennar (3.1%) and Interarch (12.4%).
• ROE: Highest at 22.7%. Interarch at 18%, Pennar at 12.7%, Everest negative.
• EBITDA margin: Best at 10.4%, better than Pennar (9.6%) and Everest (1.74%).
• Net Debt to EBITDA: Lowest at 0.46x, better than Pennar (1.88x) and Everest (5.12x).
• Working Capital Days: Among the best at 35 days vs Pennar (77 days) and Everest (128 days).
• Scale: Mid-sized player with revenue of ~₹1,134 crore, far smaller than Pennar (₹3,226 crore).

Source: RHP, internal calculation

IPO Valuation

At the upper price band of ₹204, the company’s valuation works out to a market cap of ~₹2,049 crore. On FY25 EPS of ₹7.65, the pre-IPO P/E ratio is ~27.6x, while the post-IPO P/E rises to ~34.5x.

This is slightly premium to peers - Pennar at 27.5x, Interarch at 30.3x. Investors are clearly pricing in high growth and debt reduction benefits, but this leaves a limited margin of safety.

Disclaimer: The P/E ratio here is calculated using the company’s post-IPO equity and its most recent FY25 net profits at the upper end of the price band.

The People Behind Epack Prefab Technologies

EPACK Prefab is driven by a mix of promoters with strong industry roots.

• Sanjay Singhania (MD & CEO) has been with the company since its founding days in 1999. With an MBA from Swinburne University, Australia, and 25+ years in the prefab and EPS industry, he has been central to its growth. In FY25, he drew a pay of ₹1.36 crore. Notably, he signed important IPO declarations from Vietnam, underlining his global exposure.
• Bajrang Bothra (Chairman, Non-Executive Director) brings 34 years of experience, combining electronics manufacturing and steel buildings, and holds a commerce degree from SRCC, Delhi.
• Nikhil Bothra (Whole-Time Director) has ~12 years of experience and earlier worked as a consultant in strategy and business development before officially joining the board in 2024.
• Rahul Agarwal (CFO), a CA with 18+ years of experience, joined in 2024 from CRISIL’s Irevna division.
• Nikita Singh (CS & Compliance Officer) is a seasoned company secretary with 13+ years in compliance.

The board also has private equity representation via Krishnan Ganesan (Nominee Director), and an independent director from IPS background, Dharam Chand Jain.

The Money Makers from the IPO

A significant part of the IPO is the offer for sale of ₹204 crore, mainly driven by promoters and their families. This does not bring fresh funds into the company - rather, it allows existing shareholders to cash out.

• Rajjat Bothra leads, selling shares worth ₹32.6 crore, booking astronomical returns of ~2,911x on his negligible acquisition cost.
• Laxmi Pat Bothra exits ₹28.3 crore worth, earning ~552x returns.
• Preity Singhania (₹20.6 crore, ~1,073x multiple) and Pinky Ajay Singhania (₹20.5 crore, ~582x multiple) are also big sellers.
• Promoter-CEO Sanjay Singhania himself is cashing out ₹20.4 crore, reflecting faith in monetization at listing.
• Smaller exits include Bajrang Bothra (₹2 crore, ~435x), Nikhil Bothra (₹4.6 crore, ~1,203x), and several family members with multibagger returns.

Industry Outlook

India’s prefabricated market is estimated at ₹465–485 billion in FY25 and is projected to grow at a 9–11% CAGR, reaching ₹730–₹800 billion by FY30. The sector is attractive given the rising need for fast, cost-effective, and sustainable construction. Prefabricated steel structures reduce time, costs, and carbon footprint compared to concrete buildings. Organized players like Pennar, Interarch, and Everest are gaining share as demand moves away from the fragmented unorganized space (currently 53-58%).

Analyst View

EPACK Prefab enters the IPO with a rapid growth record, sector-leading profitability, and low debt. Its efficient working capital and high ROE make it a standout among peers. However, investors should note the premium valuations and the heavy OFS component.

For investors with a higher risk appetite and belief in the prefabricated sector’s long-term growth story, this IPO offers participation in India’s shift to sustainable construction. For conservative investors, the premium valuations and execution risks around capacity utilization and employee churn might call for caution.

How to Apply for an IPO on INDmoney?

1. Download the INDmoney app and complete your KYC.
2. Go to INDstocks → IPO, or just search “IPO”.
3. Tap on an IPO from the list of live IPOs.
4. View key details like price band, lot size, and dates.
5. Tap Apply Now and choose the number of lots.
6. Use INDpay UPI for instant mandate tracking.
7. Your funds will be blocked until the share allotment is finalized.

For a seamless application process, visit the INDmoney IPO page.

Disclaimer

Source: Epack Prefab Technologies' RHP. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Please be informed that merely opening a trading and demat account will not guarantee investment in securities in the IPO. Investors are requested to do their own independent research and due diligence before investing in an IPO. Please read the SEBI-prescribed Combined Risk Disclosure Document prior to investing. This post is for general information and awareness purposes only and is nowhere to be considered as advice, recommendation, or solicitation of an offer to buy or sell, or subscribe for securities. INDstocks is acting as a distributor for non-broking products/services such as IPO, Mutual Fund, and Mutual Fund SIP. These are not exchange-traded products. All disputes with respect to the distribution activity would not have access to the Exchange investor redressal forum or the Arbitration mechanism. INDstocks Private Limited (formerly known as INDmoney Private Limited) does not provide any portfolio management services, nor is it an investment adviser. Logos above are the property of respective trademark owners, and by displaying them, INDstocks has no right, title, or interest in them. SEBI Stock Broking Registration No: INZ000305337, Trading and Clearing Member of NSE (90267, M70042) and BSE, BSE StarMF (6779), SEBI Depository Participant Reg. No. IN-DP-690-2022, Depository Participant ID: CDSL 12095500, Research Analyst Registration No. INH000018948 BSE RA Enlistment No. 6428.