German Green Steel and Power (GTMT) IPO
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About German Green Steel and Power (GTMT)
Incorporated in 2008, German Green Steel and Power Ltd is a vertically integrated iron and steel manufacturer with a strong presence in western India, particularly Gujarat. The company operates two manufacturing facilities – one at Samakhiyali, a fully integrated plant, and another at Viramgam, managed by its subsidiary, German TMX Private Limited. Its core products include TMT Bars (ranging from 8 mm to 40 mm), MS Billets, and Sponge Iron. Headquartered in Ahmedabad and strategically located near major Gujarat ports, the company leverages strong logistical advantages. A major share of its revenue is generated through a well-established network of dealers and distributors.
Financials of German Green Steel and Power (GTMT)
Issue size
| Funds Raised in the IPO | Amount |
| Overall | |
| Fresh Issue | ₹450 crores |
| Offer for sale |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Funding the capital expenditure requirements of its manufacturing facility at Samakhiyali, Kutch, Gujarat and hybrid wind and solar power plant | 325.21 (72.26%) |
| Prepayment or re-payment, in full or in part, of certain outstanding borrowings availed by the Company | 55.01 (12.22%) |
| Issue related expenses |
Strengths
- Vertically integrated manufacturing setup supported by captive power plants ensures supply chain control, cost efficiency, and consistent quality
- Robust distribution network in Gujarat, with established ties to dealers, distributors and institutional clients
- Promoters with extensive industry experience backed by a skilled management and execution team
- Strong “German TMT” brand recall driven by quality products
Risks
- Heavy reliance on Gujarat makes the business vulnerable to regional disruptions
- Customer concentration with Top 10 contributing to over 57% of revenue(FY24)
- Reliance on dealers and distributors, for product distribution
- Contingent liabilities and legal proceedings, if materialised unfavourably, may adversely affect financials and growth
- Business dependency on real estate, infrastructure and other related sectors