Steamhouse India IPO is a book-built issue of ₹414.00 crore, comprising a fresh issue of 4.36 crore shares worth ₹353.00 crore and an offer for sale of 75.31 lakh shares aggregating ₹61.00 crore. The IPO will open for subscription on September 9, 2026, and close on September 11, 2026. The basis of allotment is expected to be finalised on September 15, 2026, while the shares are likely to be listed on both NSE and BSE on September 17, 2026.
The company has fixed the IPO price band at ₹77 to ₹81 per share. The minimum application lot is 185 shares, requiring a minimum investment of ₹14,985 at the upper end of the price band.
Equirus Capital Ltd. is the book-running lead manager, while Kfin Technologies Ltd. is the registrar to the issue. Investors can refer to the company’s RHP for detailed information about the IPO.
Company Overview
Steamhouse India Ltd. is an Indian industrial gas company engaged in the generation, procurement and pipeline-based distribution of steam and nitrogen to industrial customers. The company and its Promoters pioneered the community boiler model in India, introducing the system in 2014 as an alternative to individual industrial units setting up their own steam-generation infrastructure.
Steam generation and distribution remains its core business, supported by seven community steam boilers across Gujarat with a combined installed capacity of 345 tonnes per hour. The company also purchases steam from third-party producers and distributes it through its pipeline network. In addition, Steamhouse India commenced commercial nitrogen operations in February 2025 at Ankleshwar, with a capacity of 350 NM³ per hour.
As of July 31, 2026, the company operated and maintained a 60,151-metre pipeline network connecting its facilities with customer premises. Its strategically located facilities serve industrial clusters across Gujarat and are positioned near key ports. The company also uses coal and alternative fuels, including plastic waste and textile chindi, for steam generation while exploring additional non-fossil fuel sources.
IPO Details
| Particulars | Details |
|---|---|
| IPO Date | 9 to 11 Sep, 2026 |
| Allotment | Tue, Sep 15, 2026 |
| Listing Date | Thu, Sep 17, 2026 |
| Face Value | ₹2 per share |
| Price Band | ₹77 to ₹81 per share |
| Lot Size | 185 Shares |
| Issue Type | Bookbuilding IPO |
| Sale Type | Fresh capital cum OFS |
| Total Issue Size | 5,11,11,110 shares (agg. up to ₹414 Cr) |
| Fresh Issue | 4,35,80,246 shares (agg. up to ₹353 Cr) |
| Offer for Sale | 75,30,864 shares of ₹2 (agg. up to ₹61 Cr) |
| Shareholding Pre-Issue | 23,28,26,065 shares |
| Shareholding Post-Issue | 27,64,06,311 shares |
| Listing Exchange | BSE, NSE |
(Compiled from RHP and market updates)
Industry Context
- India’s manufacturing sector contributes 16-17% of GDP and employs over 27 million people, with policy initiatives targeting a 25% GDP contribution through domestic value addition, technology adoption and global value-chain integration.
- Industrial gases are essential across pharmaceuticals, chemicals, textiles, metals and other industries, supporting manufacturing processes, improving efficiency and enabling reliable operations as India’s industrial base continues to expand.
- India’s industrial gas market is shifting towards pipeline-based distribution, offering customers uninterrupted supply, lower logistics costs and reduced infrastructure requirements compared with traditional cylinder and cryogenic tank-based models.
- Community boiler systems are emerging as an alternative to captive steam generation, allowing industrial users to reduce capital expenditure, maintenance responsibilities, compliance requirements and emissions while improving fuel utilisation and operational efficiency.
- India’s process steam demand was estimated at 203,472 TPH in FY2026 and is projected to grow 9.4% annually through FY2031, creating substantial opportunities for steam-as-a-service providers.
Business Strengths
- Steamhouse has pioneered India’s community boiler model, providing centralised steam and industrial gas distribution through pipelines. This model helps customers reduce infrastructure investments, improve energy efficiency and focus resources on their core manufacturing operations.
- The company has established operations across key industrial clusters in Gujarat, with seven community steam boilers and strategically located facilities near customers and ports. Its 345 TPH installed capacity supports scalable industrial gas distribution.
- Steamhouse has developed an extensive pipeline network within industrial clusters, creating significant entry barriers for competitors. Its expertise in maintaining pressure, temperature and supply reliability supports efficient distribution and strengthens customer relationships.
- The company serves a growing and diversified industrial customer base spanning pharmaceuticals, chemicals, agrochemicals, textiles, tyres, dyes, pigments and polymers. Customer numbers increased from 125 in FY2024 to 202 in FY2026.
- Steamhouse integrates sustainability into its operations by using alternative fuels and centralised boiler systems. Its approach helps customers reduce captive infrastructure requirements while supporting lower emissions, improved fuel utilisation and operational efficiency.
Business Risks
- Steamhouse’s operations are geographically dependent on customers located near its facilities. Limited proximity restricts the addressable customer base for individual plants and makes future expansion dependent on securing suitable land near industrial clusters.
- Customer concentration remains a business risk, with the top 10 customers contributing 47.87% of FY2026 revenue. The substantial dependence on repeat orders also means losing major customers could affect financial performance.
- Steam production depends heavily on coal, which accounted for 77.29% of total purchases in FY2026. Fluctuations in coal prices, availability and transportation costs could increase operating expenses and affect profitability.
- Steamhouse relies significantly on its leading suppliers, with the top 10 accounting for 81.71% of purchases in FY2026. Supply disruptions, quality issues or higher input costs could affect operations and financial performance.
- The company has previously faced instances of non-compliance with Gujarat Pollution Control Board approvals. Future violations could result in penalties, higher costs or regulatory action, potentially disrupting operations and affecting business performance.
Financial Performance
Steamhouse India Ltd. – Financials (₹ in Million)
| Particulars | Fiscal 2026 | Fiscal 2025 | Fiscal 2024 |
|---|---|---|---|
| Revenue from Operations | 4,915.11 | 3,951.06 | 2,917.10 |
| EBITDA | 834.89 | 693.16 | 684.06 |
| Profit / (Loss) After Tax (PAT) | 386.39 | 311.61 | 271.86 |
| PAT Margin (%) | 7.81% | 7.82% | 9.27% |
| Return on Capital Employed (%) | 16.06% | 17.20% | 20.24% |
| Return on Equity (%) | 22.36% | 23.53% | 26.26% |
(Source: RHP)
Key Ratios & Metrics
| KPI | Mar 31, 2026 |
|---|---|
| Return on Equity (ROE) | 22.36% |
| Return on Capital Employed (ROCE) | 16.06% |
| Debt-to-Equity Ratio | 1.57 |
| Return on Net Worth (RoNW) | 23.60% |
| PAT Margin | 7.81% |
| EBITDA Margin | 16.99% |
| Net Asset Value (NAV per share) | ₹7.25 |
(Source: RHP)
Objects of the Offer
- Repayment of Borrowings: A portion of the net proceeds will be used to repay or prepay certain outstanding borrowings of the company, helping reduce its debt obligations.
- Expansion of Existing Facilities: The company plans to fund capital expenditure for expanding its Ankleshwar Facility under Phase 3 and Panoli Facility under Phase 2.
- New Dahej Facility: The proceeds will support capital expenditure for setting up a new steam generation facility at Dahej GIDC as part of Phase 2.
- General Corporate Purposes: The remaining funds will be utilised for general corporate requirements. The listing is also expected to improve the company’s visibility, brand presence and access to the public market.
Conclusion
Steamhouse India IPO offers investors an opportunity to participate in a specialised industrial gas business with an established presence across key industrial clusters in Gujarat. The company has demonstrated steady revenue and profit growth, supported by rising customer numbers, an expanding pipeline network and growing steam demand.
However, its relatively high dependence on coal, concentration among major customers and suppliers, geographical limitations and regulatory risks remain important factors to consider. The IPO proceeds are primarily aimed at reducing borrowings and funding capacity expansion at existing facilities and a new Dahej facility. Investors should weigh the company’s growth prospects against these risks and assess its financial performance, valuation and future expansion plans before making an investment decision.
Disclaimer: Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. This content is purely for informational purposes only and should not be considered as investment advice or a recommendation. Securities quoted are for illustration purposes only and not recommendatory. Investors are requested to do their own due diligence before investing.
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