HD Fire Protect Ltd IPO
Status: Closed
Overview
IPO date
13 Oct 2026 to 15 Oct 2026
Face value
₹ 5 per share
Price
₹ 258 to ₹271 per share
Issue Size
26,284,500 shares
(aggregating up to ₹ 712.13 Cr)
(aggregating up to ₹ 712.13 Cr)
Allotment Date
16 Oct 2026
Listing at
NSE
Issue type
Book Building
Sector
Capital Goods-Non Electrical Equipment
Unlock Stock of the Month
T&C*
Strengths vs Risks of HD Fire Protect Ltd
Know the pros & cons
Strengths
- Well established global presence in a certification and stringent empanelment driven, high barrier industry.
- Comprehensive equipment and systems portfolio with presence across diverse end use sectors.
- Strong and diversified customer base with long standing global customer relationships.
- Advanced design and manufacturing capabilities, well equipped to deliver high quality fire protection equipment and systems with consistent R&D and innovation.
- Experienced management team and qualified personnel with significant industry experience.
- Track record of profitability and consistent financial performance.
Risks
- Any malfunction or failures of the company's fire protection equipment and systems could result in loss of life, property damage, invocation of warranties, legal claims, and reputational harm, which could adversely affect its business, financial condition, and results of operations.
- The company generated 32.78%, 34.69%, 36.24% and 33.33%, of its revenue from operations from outside India for the three months period ended June 30, 2026, and Fiscals 2026, 2025, and 2024, respectively. Any adverse changes in the conditions affecting the industries in global markets in which the company's products are supplied, including its key markets such as Middle East and Rest of Asia, could materially adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- As of the three months period ended June 30, 2026 and Fiscals 2026, 2025 and 2024, the company's top 10 suppliers contributed to 59.28%, 47.76%, 42.90% and 35.59% of the Total Expenses, respectively. The company relies on a limited number of third-party suppliers to meet its raw material and contract manufactured goods requirements, and the company does not have any long-term purchase agreements or firm commitments with its suppliers. As a result, any loss of or reduced support from one or more such suppliers could adversely impact the company's business, results of operations, and financial condition.
- Any disruption in the availability, timely delivery, or price volatility of raw materials and contract manufactured goods may adversely affect the company's business, financial condition, and results of operations.
- The company's business is subject to stringent regulatory requirements and certifications in India and overseas. Any failures to obtain, maintain, renew or comply with applicable standards, licenses or approvals may adversely affect the company operations, reputation and financial performance.
- The company's manufacturing facilities are located in Maharashtra, India, and the company is dependent on them for a 61.02%, 63.49%, 65.80% and 67.94%, of its Revenue from Operations for the three months period ended June 30, 2026 and Fiscals 2026, 2025, and 2024, respectively, which exposes the company operations to potential geographical concentration risks arising from local and regional factors and any disruption, breakdown or shutdown of its facilities may adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- Under-utilization of the company's manufacturing capacities and an inability to effectively utilize its manufacturing capacities could have an adverse effect on the company's business, future prospects and future financial performance.
- Any defaults or delays in payment by a significant portion of the company's customers may result in working capital risk and could have an adverse effect on business, results of operations, financial condition, cash flows and future prospects.
- One of the company's joint statutory auditors resigned prior to the completion of their term and subsequently was appointed as the CFO of the Company, which may be perceived negatively by investors and stakeholders.
- The Company and its Directors are involved in certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on the company's business, financial condition, cash flows and results of operations.
- The company operations are labour intensive. Any non-availability of contract labourers at reasonable cost or any strikes, work stoppages, increased wage demands, risks of workplace hazards or application of new labour laws could lead to disruption in the company's manufacturing facilities, which could adversely impact its business, financial condition, cash flows and results of operations.
- 79.76%, 85.20%, 86.30%, and 88.05% of the company's revenue from operations has been from repeat customers, for the three months period ended June 30, 2026, Fiscals 2026, 2025, and 2024, respectively. Further, the company relies on short-term work orders and does not have long-term contracts or exclusivity arrangements with the company's customers which exposes it to demand volatility, procurement risks, and customer concentration, which may adversely affect the company's business, financial condition, results of operations, and cash flows.
- The company may not successfully protect its technical know-how, proprietary information, or patents and any unauthorised disclosure, use, or infringement, which may result in the loss of the company's competitive advantage and adversely affect its business, results of operations, and financial condition.
- The company enters into certain related party transactions in the ordinary course of its business, and the company cannot assure you that such transactions will not have an adverse effect on its results of operation, cash flows and financial condition.
- The company is subject to quality requirements, regular inspections and audits, and sales of its products are dependent on the company's quality controls and standards. Any failures to comply with quality standards may adversely affect its business prospects, cash flows and financial performance, including cancellation of existing and future orders.
- If the company is unable to obtain, protect or use its intellectual property rights, the company's business may be adversely affected.
- The company has filed compounding and adjudication applications with the competent regulatory authorities in relation to past non-compliances under the Companies Act, some of which are pending as of the date of this Red Herring Prospectus. There can be no assurance that these applications will have a favourable outcome or that penalties will not be imposed, which may impact the company's financial condition and reputation.
- The company operations involve the uses of certain hazardous chemicals that are subject to environmental, health and safety laws, and subsequent ESG compliances, which could result in material liabilities in the future. Non-compliance with and changes in, safety, health, labour and environmental laws and other applicable regulations, may adversely affect the company's business, financial condition, cash flows and results of operations.
- The company's inability to accurately forecast demand for its products and manage the company's inventory or working capital balances may have an adverse effect on its business, results of operations, cash flows and financial condition.
- Some of the company's business operations are being conducted on premises leased from third parties which includes its corporate office as well. The company's inability to continue operating from such premises, or to seek renewal or extension of such leases may have an adverse effect on its business, operations and financial condition.
- The company's manufacturing facilities have significant water, power and fuel requirements. Any interruption in electricity and fuel supplies to its manufacturing facilities or any irregular or significant hike in tariff rates may lead to disruption in operations, higher operating cost and consequent decline in the company operating margins.
- Unplanned slowdowns or shutdowns of the company's manufacturing operations could have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company is dependent on its distribution and sales network for the sale, delivery and servicing of the company's products. Any disruption, underperformance, or inability to manage this network effectively, or the loss of key distributors, could adversely affect its business, operations, financial condition, and future prospects.
- The company's insurance coverage may not be adequate to protect it against all potential losses or to satisfy potential claims, which may have an adverse effect on the company's business, results of operations, financial condition, cash flows and future prospects.
- The company operations requires a significant amount of working capital. Any inability to meet its working capital requirements may adversely affect the company's business, financial condition, cash flows and results of operations.
- The company is subject to risks associated with rejection of supplied products, and consequential claims and associated product liability costs due to defects in its products, which could generates adverse publicity and adversely affect the company's business, results of operations, cash flows or financial condition.
- The company may not be able to maintain its current market position or successfully expand into new geographies, which could adversely affect the company's business, results of operations, and financial condition.
- The company's success depends on its ability to develop new products in a timely manner. If the company's research and development efforts does not succeed, the introduction of new products may be hindered, which could adversely affect the company's business, cash flows, growth and financial condition.
- Restrictions on import of raw materials and contract manufactured goods, increase in shipment cost and reliance on contract manufacturing may adversely impact the company's business, cash flows and results of operations.
- The company faces foreign exchange risks that could adversely affect its results of operations and cash flows.
- Some of the company's Directors does not have prior experience of holding a directorship in a company listed on the Stock Exchanges, which could adversely affect its compliance with regulations post listing.
- Installation of the company's products is performed by customers or third parties over whom the company has no control, which could result in delays, improper installation, or damage to its equipment, thereby impacting performance, customer satisfaction, and reputation.
- The company is required to furnish bank guarantees and performance guarantees under certain contracts, and any inability or delay in furnishing the same may adversely impact its operations, credit lines, and customer relationships.
- The company's growth is dependent on government policies and regulatory mandates pertaining to fire safety and infrastructure development; any adverse changes or withdrawal of such policies may impact the demand for the company's products and the overall industry outlook.
- The company faces competition from alternative suppliers for many of its products and if consumers preferences for any of these substitutes increases it could lead to a reduction in the demand for the company's products, which could have a material adverse effect on its business, financial condition and results of operations. Further, increased competition may result in lower prices of or a decreased market share for its products. The company failures to effectively compete may reduce its profitability.
- The company's business and future growth are dependent on the growth of the industrial, commercial, and residential sectors. Any slowdown or stagnation in these sectors could adversely affect its operations, financial performance, and growth prospects.
- The company is subject to stringent labour laws and industry regulations, and any disputes or non-compliance could adversely affect its operations, financial condition, and reputation.
- The company could be adversely affected if its fails to keep pace with technological and technical developments in the fire protection industry.
- Any reputational damage to the company's brand could have a material adverse effect on its business, results of operations, financial condition, and future prospects.
- The company is currently entitled to certain incentives including duty drawback under government schemes. Any change in these benefits and incentives applicable to the company or a delay in disbursement of benefits under such schemes may affect its results of operations. The unavailability, reduction or elimination of government incentives could have a material adverse effect on the company's business, prospects, financial condition, results of operations and cash flows.
- Pricing pressure from customers may affect the company's gross margin, profitability and ability to increase its prices, which in turn may materially adversely affect the company's business, results of operations, cash flows and financial condition.
- The company may not be successful in implementing its growth strategies, such as portfolio expansion , strategic capacity expansion at the company Jalgaon and Thane facilities, enhancing product credibility through international approvals , and expanding geographic presence internationally which could have a material adverse effect on the company's business, financial condition, results of operations and cash flows.
- The number of orders the company has received in the past, its current order book and the company's growth rate may not be indicative of the number of orders its will receive in future. The projects that are included in the company Order Book may be delayed, modified, cancelled, not fully paid, or suspended by its customers and, therefore the company Order Book is not necessarily indicative of its future revenue or profit. Any inability to realise the value of the company's projects could have a material adverse effect on its business, results of operation and financial condition.
- The company is in the process of setting up new manufacturing facilities and expanding its existing operations, and any delay, cost overrun, or failures to successfully operationalize these facilities may adversely affect the company's business, financial condition and results of operations.
- The company is highly dependent on its Promoters and the company's management team, Senior Management and Key Managerial Personnel and the loss of any key team member may adversely affect its business performance.
- There have been certain instances of delays in payment of statutory dues by the company in the three months period ended June 30, 2026 and the last three Fiscals. Any delay in payment of statutory dues by the company in future, may result in the imposition of penalties and in turn may have an adverse effect on its business, financial condition, results of operation and cash flows.
- If the company is unable to sustain or manage its growth, the company's business, results of operations, financial condition, cash flows and future prospects may be materially adversely affected.
- Certain of the company's Promoters, Directors and Key Managerial Personnel have interests in the Company in addition to their normal remuneration or benefits and reimbursement of expenses incurred.
- Technology failures or breaches in the company IT and enterprise resource planning ("ERP") systems could disrupt its operations, compromise sensitive information and adversely affect the company's business operations, cash flows and financial performance.
- The company has invested in marketing over multiple channels; there is no guarantee that this expense will continue to yield results and may adversely impact its profitability, return on investment, and financial performance.
- The improper handling, processing or storage of raw materials and contract manufactured goods, or spoilage of and damage to such raw materials and contract manufactured goods, or any real or perceived contamination in the company's products, could subject it to regulatory and legal action, damage the company's reputation and have an adverse effect on its business, results of operations and financial condition.
- Industry information included in this Red Herring Prospectus has been derived from an industry report prepared by CRISIL exclusively commissioned and paid for by the company for such purpose.
- The company is dependent on third party transportation providers and logistic services for the supply of raw materials and contract manufactured goods and delivery of its products.
- The company's ability to maintain and grow its revenues and profitability significantly depends on the company's success in retaining and expanding its customer base including direct customers and distributors, deepening relationships with such existing customers, and consistently meeting their expectations for quality. Failures to achieve these strategic objectives could materially adversely affect the company's business, reputation, financial condition, and results of operations.
- The Offer Price, Market Capitalization to Revenue from Operations multiple and price to earnings ratio based on the Offer Price of the Company, may not be indicative of the market price of the Equity Shares on listing.
- Information relating to the installed manufacturing capacity and capacity utilization of the company's manufacturing facilities included in this Red Herring Prospectus are based on certain assumptions and future production and capacity may vary.
- The company has certain contingent liabilities as per Ind AS 37 that have been disclosed in its financial statements, which if materialised, may adversely affect the company's financial condition and cash flows.
- Failures in internal control systems could cause operational errors which may have an adverse impact on the company profitability, results of operations and cash flows.
- Negative publicity against the company, its suppliers, the company's customers or any of its or their affiliates could cause the company's reputational harm and could have a material adverse effect on its business, financial condition, cash flows, results of operations and prospects.
- The Company may not be able to pay dividends in the future. The company's ability to pay dividends in the future will depends upon its future earnings, financial condition, cash flows, working capital requirements and capital expenditures and the terms of the company's financing arrangements.
- The company will be controlled by its Promoters along with members of the Promoter Group so long as they hold a majority of the Equity Shares, which will allow them to influence the outcome of certain matters submitted for approval of the company's Shareholders and their interests may not be aligned with the interest of other Shareholders.
- The company has in this Red Herring Prospectus included certain non-GAAP financial measures and certain other industry measures related to its operations and financial performance. These non-GAAP measures and industry measures may vary from any standard methodology that is applicable across the industry in which the company operates, not be comparable with financial, operational or industry related statistical information of similar nomenclature computed and presented by other similar companies.
- Failures to maintain confidential information of the company's customers could adversely affect its results of operations and or damage the company's reputation.
- The Company will not receive any proceeds from the Offer. The Promoter Selling Shareholders will receive the net proceeds from such Offer.
HD Fire Protect Ltd Peer Comparison
Understand the company’s industry standing
HD Fire Protect Ltd
Azad Engineering Limited
KSB Limited
Face Value
5
2
2
Standalone / Consolidated
Standalone
Consolidated
Consolidated
Total Income Rs. Cr.
505.12
648.63
2754.87
EPS-Basis
6.66
20.57
15.54
EPS-Diluted
6.66
20.57
15.54
NAV Per Share
21.45
236.74
96.46
P/E-Basic EPS
---
145.13
50.08
P/E-Diluted EPS
---
145.13
50.08
RONW(%)
31.07
8.74
16.11
Latest NAV Period
---
---
---
Latest NAV
---
---
---
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The IPO opens on 13 Oct 2026 & closes on 15 Oct 2026.
HD Fire Protect Limited was incorporated as D.H. Fire Protect Private Limited' as a Private Limited Company on April 24, 1997, with the Registrar of Companies, Mumbai. The name of Company was changed to HD Fire Protect Private Limited', on April 1, 2005. Subsequently, Company was converted into a Public Limited Company and the name of Company was changed to HD Fire Protect Limited' vide fresh Certificate of Incorporation on June 19, 2025 issued by the RoC.
Company is an Indian manufacturer and supplier of fire protection equipment and systems, offering a comprehensive portfolio spanning water, foam, and gas-based fire suppression systems. It develops majority of the products in-house with proprietary designs to meet national and international standards, serving high-hazard industrial applications as well as residential and commercial sectors.
In 1996, M/s HD Fire Protect Co. was the first Indian fire protection equipment manufacturing firm to receive UL certification for deluge valve. The Company acquired the partnership firm M/s HD Fire Protect Co. in 2005 and became the first Indian fire protection equipment manufacturing company to receive FM approval for firefighting monitors and monitor nozzles in 2006. By opening the regional sales office in New Delhi, the Company has expanded the manufacturing plant to 8.50 acres in 2023. The product distribution has scaled to over 90 countries in FY 2025.
Company is planning the Initial Public Offer of 26,284,500 Equity Shares having the face value of Rs 5 each, through Offer for Sale.
HD Fire Protect Ltd IPO will close on 15 Oct 2026.
- Well established global presence in a certification and stringent empanelment driven, high barrier industry.
- Comprehensive equipment and systems portfolio with presence across diverse end use sectors.
- Strong and diversified customer base with long standing global customer relationships.
- Advanced design and manufacturing capabilities, well equipped to deliver high quality fire protection equipment and systems with consistent R&D and innovation.
- Experienced management team and qualified personnel with significant industry experience.
- Track record of profitability and consistent financial performance.
| S.No | Promoters Name | Pre Issue Shares | Pre Issue Percentage | Post Issue Shares | Post Issue Percentage |
|---|---|---|---|---|---|
| 1 | Harish Narshi Dharamshi | 98351000 | 56.13 | 89367300 | 51 |
| 2 | Kusum Harish Dharamshi | 31240000 | 17.83 | 13939200 | 7.95 |
| 3 | Miheer Sadanand Ghotikar | 18392000 | 10.49 | 18392000 | 10.49 |
| 4 | Parika Miheer Ghotikar | 11594000 | 6.62 | 11594000 | 6.62 |
| 5 | Anik Narendra Dharamshi | 7458000 | 4.26 | 7458000 | 4.26 |
| 6 | Narendra Visanji Dharamshi | 6006000 | 3.43 | 6006000 | 3.43 |
| 7 | Hiren Narshi Dharamshi (HUF) | 792000 | 0.45 | 792000 | 0.45 |
| 8 | Frenal Rishi Lodaya | 462000 | 0.26 | 462000 | 0.26 |
| 9 | Avika Miheer Ghotikar | 440000 | 0.25 | 440000 | 0.25 |
| 10 | Riaan Miheer Ghotikar | 440000 | 0.25 | 440000 | 0.25 |
| 11 | Usha Ashwin Shah | 55000 | 0.03 | 55000 | 0.03 |
- Any malfunction or failures of the company's fire protection equipment and systems could result in loss of life, property damage, invocation of warranties, legal claims, and reputational harm, which could adversely affect its business, financial condition, and results of operations.
- The company generated 32.78%, 34.69%, 36.24% and 33.33%, of its revenue from operations from outside India for the three months period ended June 30, 2026, and Fiscals 2026, 2025, and 2024, respectively. Any adverse changes in the conditions affecting the industries in global markets in which the company's products are supplied, including its key markets such as Middle East and Rest of Asia, could materially adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- As of the three months period ended June 30, 2026 and Fiscals 2026, 2025 and 2024, the company's top 10 suppliers contributed to 59.28%, 47.76%, 42.90% and 35.59% of the Total Expenses, respectively. The company relies on a limited number of third-party suppliers to meet its raw material and contract manufactured goods requirements, and the company does not have any long-term purchase agreements or firm commitments with its suppliers. As a result, any loss of or reduced support from one or more such suppliers could adversely impact the company's business, results of operations, and financial condition.
- Any disruption in the availability, timely delivery, or price volatility of raw materials and contract manufactured goods may adversely affect the company's business, financial condition, and results of operations.
- The company's business is subject to stringent regulatory requirements and certifications in India and overseas. Any failures to obtain, maintain, renew or comply with applicable standards, licenses or approvals may adversely affect the company operations, reputation and financial performance.
- The company's manufacturing facilities are located in Maharashtra, India, and the company is dependent on them for a 61.02%, 63.49%, 65.80% and 67.94%, of its Revenue from Operations for the three months period ended June 30, 2026 and Fiscals 2026, 2025, and 2024, respectively, which exposes the company operations to potential geographical concentration risks arising from local and regional factors and any disruption, breakdown or shutdown of its facilities may adversely affect the company's business, results of operations, financial condition, cash flows and future prospects.
- Under-utilization of the company's manufacturing capacities and an inability to effectively utilize its manufacturing capacities could have an adverse effect on the company's business, future prospects and future financial performance.
- Any defaults or delays in payment by a significant portion of the company's customers may result in working capital risk and could have an adverse effect on business, results of operations, financial condition, cash flows and future prospects.
- One of the company's joint statutory auditors resigned prior to the completion of their term and subsequently was appointed as the CFO of the Company, which may be perceived negatively by investors and stakeholders.
- The Company and its Directors are involved in certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on the company's business, financial condition, cash flows and results of operations.
- The company operations are labour intensive. Any non-availability of contract labourers at reasonable cost or any strikes, work stoppages, increased wage demands, risks of workplace hazards or application of new labour laws could lead to disruption in the company's manufacturing facilities, which could adversely impact its business, financial condition, cash flows and results of operations.
- 79.76%, 85.20%, 86.30%, and 88.05% of the company's revenue from operations has been from repeat customers, for the three months period ended June 30, 2026, Fiscals 2026, 2025, and 2024, respectively. Further, the company relies on short-term work orders and does not have long-term contracts or exclusivity arrangements with the company's customers which exposes it to demand volatility, procurement risks, and customer concentration, which may adversely affect the company's business, financial condition, results of operations, and cash flows.
- The company may not successfully protect its technical know-how, proprietary information, or patents and any unauthorised disclosure, use, or infringement, which may result in the loss of the company's competitive advantage and adversely affect its business, results of operations, and financial condition.
- The company enters into certain related party transactions in the ordinary course of its business, and the company cannot assure you that such transactions will not have an adverse effect on its results of operation, cash flows and financial condition.
- The company is subject to quality requirements, regular inspections and audits, and sales of its products are dependent on the company's quality controls and standards. Any failures to comply with quality standards may adversely affect its business prospects, cash flows and financial performance, including cancellation of existing and future orders.
- If the company is unable to obtain, protect or use its intellectual property rights, the company's business may be adversely affected.
- The company has filed compounding and adjudication applications with the competent regulatory authorities in relation to past non-compliances under the Companies Act, some of which are pending as of the date of this Red Herring Prospectus. There can be no assurance that these applications will have a favourable outcome or that penalties will not be imposed, which may impact the company's financial condition and reputation.
- The company operations involve the uses of certain hazardous chemicals that are subject to environmental, health and safety laws, and subsequent ESG compliances, which could result in material liabilities in the future. Non-compliance with and changes in, safety, health, labour and environmental laws and other applicable regulations, may adversely affect the company's business, financial condition, cash flows and results of operations.
- The company's inability to accurately forecast demand for its products and manage the company's inventory or working capital balances may have an adverse effect on its business, results of operations, cash flows and financial condition.
- Some of the company's business operations are being conducted on premises leased from third parties which includes its corporate office as well. The company's inability to continue operating from such premises, or to seek renewal or extension of such leases may have an adverse effect on its business, operations and financial condition.
- The company's manufacturing facilities have significant water, power and fuel requirements. Any interruption in electricity and fuel supplies to its manufacturing facilities or any irregular or significant hike in tariff rates may lead to disruption in operations, higher operating cost and consequent decline in the company operating margins.
- Unplanned slowdowns or shutdowns of the company's manufacturing operations could have an adverse effect on its business, results of operations, financial condition, cash flows and future prospects.
- The company is dependent on its distribution and sales network for the sale, delivery and servicing of the company's products. Any disruption, underperformance, or inability to manage this network effectively, or the loss of key distributors, could adversely affect its business, operations, financial condition, and future prospects.
- The company's insurance coverage may not be adequate to protect it against all potential losses or to satisfy potential claims, which may have an adverse effect on the company's business, results of operations, financial condition, cash flows and future prospects.
- The company operations requires a significant amount of working capital. Any inability to meet its working capital requirements may adversely affect the company's business, financial condition, cash flows and results of operations.
- The company is subject to risks associated with rejection of supplied products, and consequential claims and associated product liability costs due to defects in its products, which could generates adverse publicity and adversely affect the company's business, results of operations, cash flows or financial condition.
- The company may not be able to maintain its current market position or successfully expand into new geographies, which could adversely affect the company's business, results of operations, and financial condition.
- The company's success depends on its ability to develop new products in a timely manner. If the company's research and development efforts does not succeed, the introduction of new products may be hindered, which could adversely affect the company's business, cash flows, growth and financial condition.
- Restrictions on import of raw materials and contract manufactured goods, increase in shipment cost and reliance on contract manufacturing may adversely impact the company's business, cash flows and results of operations.
- The company faces foreign exchange risks that could adversely affect its results of operations and cash flows.
- Some of the company's Directors does not have prior experience of holding a directorship in a company listed on the Stock Exchanges, which could adversely affect its compliance with regulations post listing.
- Installation of the company's products is performed by customers or third parties over whom the company has no control, which could result in delays, improper installation, or damage to its equipment, thereby impacting performance, customer satisfaction, and reputation.
- The company is required to furnish bank guarantees and performance guarantees under certain contracts, and any inability or delay in furnishing the same may adversely impact its operations, credit lines, and customer relationships.
- The company's growth is dependent on government policies and regulatory mandates pertaining to fire safety and infrastructure development; any adverse changes or withdrawal of such policies may impact the demand for the company's products and the overall industry outlook.
- The company faces competition from alternative suppliers for many of its products and if consumers preferences for any of these substitutes increases it could lead to a reduction in the demand for the company's products, which could have a material adverse effect on its business, financial condition and results of operations. Further, increased competition may result in lower prices of or a decreased market share for its products. The company failures to effectively compete may reduce its profitability.
- The company's business and future growth are dependent on the growth of the industrial, commercial, and residential sectors. Any slowdown or stagnation in these sectors could adversely affect its operations, financial performance, and growth prospects.
- The company is subject to stringent labour laws and industry regulations, and any disputes or non-compliance could adversely affect its operations, financial condition, and reputation.
- The company could be adversely affected if its fails to keep pace with technological and technical developments in the fire protection industry.
- Any reputational damage to the company's brand could have a material adverse effect on its business, results of operations, financial condition, and future prospects.
- The company is currently entitled to certain incentives including duty drawback under government schemes. Any change in these benefits and incentives applicable to the company or a delay in disbursement of benefits under such schemes may affect its results of operations. The unavailability, reduction or elimination of government incentives could have a material adverse effect on the company's business, prospects, financial condition, results of operations and cash flows.
- Pricing pressure from customers may affect the company's gross margin, profitability and ability to increase its prices, which in turn may materially adversely affect the company's business, results of operations, cash flows and financial condition.
- The company may not be successful in implementing its growth strategies, such as portfolio expansion , strategic capacity expansion at the company Jalgaon and Thane facilities, enhancing product credibility through international approvals , and expanding geographic presence internationally which could have a material adverse effect on the company's business, financial condition, results of operations and cash flows.
- The number of orders the company has received in the past, its current order book and the company's growth rate may not be indicative of the number of orders its will receive in future. The projects that are included in the company Order Book may be delayed, modified, cancelled, not fully paid, or suspended by its customers and, therefore the company Order Book is not necessarily indicative of its future revenue or profit. Any inability to realise the value of the company's projects could have a material adverse effect on its business, results of operation and financial condition.
- The company is in the process of setting up new manufacturing facilities and expanding its existing operations, and any delay, cost overrun, or failures to successfully operationalize these facilities may adversely affect the company's business, financial condition and results of operations.
- The company is highly dependent on its Promoters and the company's management team, Senior Management and Key Managerial Personnel and the loss of any key team member may adversely affect its business performance.
- There have been certain instances of delays in payment of statutory dues by the company in the three months period ended June 30, 2026 and the last three Fiscals. Any delay in payment of statutory dues by the company in future, may result in the imposition of penalties and in turn may have an adverse effect on its business, financial condition, results of operation and cash flows.
- If the company is unable to sustain or manage its growth, the company's business, results of operations, financial condition, cash flows and future prospects may be materially adversely affected.
- Certain of the company's Promoters, Directors and Key Managerial Personnel have interests in the Company in addition to their normal remuneration or benefits and reimbursement of expenses incurred.
- Technology failures or breaches in the company IT and enterprise resource planning ("ERP") systems could disrupt its operations, compromise sensitive information and adversely affect the company's business operations, cash flows and financial performance.
- The company has invested in marketing over multiple channels; there is no guarantee that this expense will continue to yield results and may adversely impact its profitability, return on investment, and financial performance.
- The improper handling, processing or storage of raw materials and contract manufactured goods, or spoilage of and damage to such raw materials and contract manufactured goods, or any real or perceived contamination in the company's products, could subject it to regulatory and legal action, damage the company's reputation and have an adverse effect on its business, results of operations and financial condition.
- Industry information included in this Red Herring Prospectus has been derived from an industry report prepared by CRISIL exclusively commissioned and paid for by the company for such purpose.
- The company is dependent on third party transportation providers and logistic services for the supply of raw materials and contract manufactured goods and delivery of its products.
- The company's ability to maintain and grow its revenues and profitability significantly depends on the company's success in retaining and expanding its customer base including direct customers and distributors, deepening relationships with such existing customers, and consistently meeting their expectations for quality. Failures to achieve these strategic objectives could materially adversely affect the company's business, reputation, financial condition, and results of operations.
- The Offer Price, Market Capitalization to Revenue from Operations multiple and price to earnings ratio based on the Offer Price of the Company, may not be indicative of the market price of the Equity Shares on listing.
- Information relating to the installed manufacturing capacity and capacity utilization of the company's manufacturing facilities included in this Red Herring Prospectus are based on certain assumptions and future production and capacity may vary.
- The company has certain contingent liabilities as per Ind AS 37 that have been disclosed in its financial statements, which if materialised, may adversely affect the company's financial condition and cash flows.
- Failures in internal control systems could cause operational errors which may have an adverse impact on the company profitability, results of operations and cash flows.
- Negative publicity against the company, its suppliers, the company's customers or any of its or their affiliates could cause the company's reputational harm and could have a material adverse effect on its business, financial condition, cash flows, results of operations and prospects.
- The Company may not be able to pay dividends in the future. The company's ability to pay dividends in the future will depends upon its future earnings, financial condition, cash flows, working capital requirements and capital expenditures and the terms of the company's financing arrangements.
- The company will be controlled by its Promoters along with members of the Promoter Group so long as they hold a majority of the Equity Shares, which will allow them to influence the outcome of certain matters submitted for approval of the company's Shareholders and their interests may not be aligned with the interest of other Shareholders.
- The company has in this Red Herring Prospectus included certain non-GAAP financial measures and certain other industry measures related to its operations and financial performance. These non-GAAP measures and industry measures may vary from any standard methodology that is applicable across the industry in which the company operates, not be comparable with financial, operational or industry related statistical information of similar nomenclature computed and presented by other similar companies.
- Failures to maintain confidential information of the company's customers could adversely affect its results of operations and or damage the company's reputation.
- The Company will not receive any proceeds from the Offer. The Promoter Selling Shareholders will receive the net proceeds from such Offer.
The Issue type of HD Fire Protect Ltd is Book Building.
The minimum application for shares of HD Fire Protect Ltd is 55.
The total shares issue of HD Fire Protect Ltd is 26284500.
Initial public offering of 26,284,500 equity shares of face value of Rs. 5 each ("Equity Shares") of HD Fire Protect Limited ("The Company" or the "Company" or the "Issuer") for cash at a price of Rs. 271 per equity share (Including a Securities Premium Of Rs. 266 Per Equity Share) (the "Offer Price") aggregating to Rs. 712.13 Crore through an offer for sale ("The Offer") of upto 8,983,700 equity shares of face value of Rs. 5 each aggregating to Rs. 243.40 Crore by Harish Narshi Dharamshi and 17,300,800 equity shares of face value of Rs. 5 each aggregating up to Rs. 468.74 Crore by Kusum Harish Dharamshi (together, the "Promoter Selling Shareholders", and such offer for sale of equity shares by the promoter selling shareholders, the "Offer For Sale" and such equity shares, the "Offered Shares").
The offer includes a reservation of 71,138 equity shares of face value of Rs. 5 each, aggregating to Rs. 1.75 Crore (Constituting 0.04% Of The Post-Offer Paid-Up Equity Share Capital), for subscription by eligible employees (the "Employee Reservation Portion"). The company in consultation with the brlms, offered a discount of Rs. 25.00 per equity share to eligible employees bidding in the employee reservation portion ("Employee Discount"). The offer less the employee reservation portion is hereinafter referred to as the "Net Offer". The offer and the net offer constituted 15.00% and 14.96%, respectively, of the post-offer paid-up equity share capital of the company.
Price Band: Rs. 271 per equity share bearing face value of Rs. 5 each.
The floor price 54.20 times of the face value of the equity shares.
Bids can be made for a minimum of 55 equity shares of face value of Rs. 5 each and in multiples of 55 equity shares of face value of Rs. 5 each thereafter.
A Discount of Rs. 25 per equity share is being offered to eligible employees bidding in the employee reservation portion.