Teja Engineering Industries IPO
Teja Engineering Industries LtdSME
This IPO has listed.
- Open date
- 30 Jun 2026
- Close date
- 2 Jul 2026
- Min. Investment
- ₹2,64,000
- Lot Size
- -
- Fresh Issue
- ₹37.36 Cr
- Price Range
- -
- Face Value
- -
- IPO Document
- -
Subscription rate
- Qualified Institutional Buyers0.00x
- Non-Institutional Investors0.10x
- Retail-Individual Investors0.01x
- Total0.06x
Schedule
- Completed: IPO open date30 Jun 2026
- Completed: IPO close date2 Jul 2026
- Completed: Allotment date3 Jul 2026
- Completed: Funds unblock or debit6 Jul 2026
- Completed: Tentative listing date7 Jul 2026
About
Promoter shareholding in Teja Engineering Industries Ltd, before and after the issue.
| Promoter | Pre-issue shares | Pre-issue % | Post-issue shares | Post-issue % |
|---|---|---|---|---|
| Srinivasarao Vakalapudi | 43,09,800 | 91.32% | 43,09,800 | 67.16% |
| Suryakumari Vakalpudi | 440 | 0.01% | 440 | 0.01% |
| Tejaswi Vakalapudi | 10 | 0.00% | 10 | 0.00% |
| Amulya Vakalapudi | 10 | 0.00% | 10 | 0.00% |
| Ramu Vakalapudi | 10 | 0.00% | 10 | 0.00% |
Teja Engineering Industries IPO Strengths & Risks
- Extensive Pan-India Presence of our Company enabling wide market access and service coverage to our Business.
- Commitment to Quality and Industry Accreditations.
- Experienced Leadership with Extensive Domain Knowledge.
- Strong Customer Relationships as a Key Business Strength.
- Risks Relating to the Business: We could incur additional cost or loss in revenue in connection with our failure to comply with all our commitments in our customer contracts.
- Risks Relating to the Business: Our Company has acquired the ongoing business of M/s. Teja Engineering Services, a Proprietorship Concern through Business Transfer agreement. If, any of our assumptions, calculations is/are erroneous, it will have adverse effect on our business operations, liquidity and profitability.
- Risks Relating to the Business: We have very short span of operating history as company. Which makes it difficult to assess our future prospects and historic growth rates or results of operations and which may not be representative or reliable indicators of our future performance.
- Risks Relating to the Business: We have to undertake the hazardous operations in carrying out the construction of CNG Gas Pump station on turnkey basis. Hazards operations can cause personal injury and loss of life, severe damage to and destruction of property and equipment, environmental damage and may result in the suspension of operations and the imposition of civil and criminal liabilities.
- Risks Relating to the Business: We have not yet placed orders in relation to the capital expenditure to be incurred for the proposed purchase of equipment / machineries. In the event of any delay in placing the orders, or in the event the vendors are not able to provide the equipment / machineries in a timely manner, or at all, the same may result in time and cost over-runs.
- Risks Relating to the Business: If we are unable to establish and maintain an effective system of internal controls and compliances, our business and reputation could be adversely affected.
- Risks Relating to the Business: Delays in the completion of ongoing or and future projects could result in to payment of liquidated damages to our customers for our engineering, and Commissioning ("E&C") project, which could have an adverse effect on our liquidity, business operations and financial results.
- Risks Relating to the Business: Our failure to perform in accordance with the standards prescribed in work order of our client could result in loss of business or compensation payment.
- Risks Relating to the Business: Our Company's business could be adversely affected by labour disputes, work stoppages and strikes by the labour.
- Risks Relating to the Business: Out top 10 customers and top 5 customers contribute majority of revenue from operations for the Financial Year 2023-24 and for the period ended on December 2024.
- Risks Relating to the Business: The Company is utilising the Adhoc limit of Rs 200.00 Lakhs from Bank of Baroda even though the same has been lapsed.
- Risks Relating to the Business: Any major disruptions of information technology systems or breaches of data security could adversely affect our business.
- Risks Relating to the Business: We are also dependent on third party transportation service providers apart from our own vehicles for delivery of materials and equipment required at the project site. Any failure on part of such transport service providers to meet their obligations could have a material adverse effect on our business, financial condition and results of operation.
- Risks Relating to the Business: We have projects in diverse geographical regions which may expose us to various challenges.
- Risks Relating to the Business: Our projects are typically awarded to us on satisfaction of prescribed pre-qualification criteria and following a competitive bidding process. Our business and our financial condition may be adversely affected if new projects are not awarded to us or if contracts awarded to us are prematurely terminated.
- Risks Relating to the Business: Our insurance coverage may not be sufficient or adequate to protect us against all material hazards, which may adversely affect our business, results of operations, financial condition and cash flows.
- Risks Relating to the Business: The requirements of being a public listed company may strain our resources and impose additional requirements.
- Risks Relating to the Business: There have been instances of delay in filing of Provident Fund (PF) returns, Goods and Service Tax returns (GST) and return of Tax Deducted at Source (TDS) dues.
- Risks Relating to the Business: We do not own registered office from which we operate.
- Risks Relating to the Business: Our two Premises from where we will start the testing and Maintenance Center and repairing of critical part of compressor and gas gathering equipments are on lease basis. If, on completion of lease period, the same is not renewed, we have to find out the alternate premises, which affect our business adversely.
- Risks Relating to the Business: Our company avails credit facilities from the Bank of Baroda, as per sanction terms there are certain restrictive covenants imposed on the issuer company.
- Risks Relating to the Business: Our Promoters/Directors have issued personal guarantees and/or mortgaged their property in relation to debt facilities availed by us, which if revoked, may require alternative guarantees, repayment of amounts due or termination of the facilities.
- Risks Relating to the Business: Our Promoter and members of the Promoter Group will continue jointly to retain majority control over our Company after the Issue, which will allow them to determine the outcome of matters submitted to shareholders for approval.
- Risks Relating to the Business: We are required to obtain, renew or maintain statutory and regulatory permits, licenses and approvals to operate our business and our manufacturing facility, and any delay or inability in obtaining, renewing or maintaining such permits, licenses and approvals could result in an adverse effect on our results of operations.
- Risks Relating to the Business: There are certain instances of delays in the past with ROC/Statutory Authorities
- Risks Relating to the Business: Our Company does not have intellectual property rights over its corporate logo "TEJA ENGINEERING INDUSTRIES LTD"
- Risks Relating to the Business: We are dependent upon the experience and skill of our promoter, management team and key managerial personnel and senior management personnel. Loss of our Promoter or our inability to attract or retain such qualified personnel, could adversely affect our business, results of operations and financial condition.
- Risks Relating to the Business: We may not be able to successfully manage the growth of our operations and execute our growth strategies which may have an adverse effect on our business, financial condition, results of operations and future prospects.
- Risks Relating to the Business: We operate in a competitive business environment. Competition from existing players and new entrants and consequent pricing pressures may adversely affect our business, financial condition and results of operations.
- Risks Relating to the Business: We have experienced negative cash flows in previous years / periods. Any operating losses or negative cash flow in the future could adversely affect our results of operations and financial condition.
- Risks Relating to the Business: The average cost of acquisition of Equity Shares held by our Promoters is lower than the Issue Price.
- Risks Relating to the Business: Our Promoters, Directors and Key Managerial Personnel may have interest in our Company, other than reimbursement of expenses incurred or remuneration.
- Risks Relating to the Business: We have entered into certain transactions with related parties. These transactions or any future transactions with our related parties could potentially involve conflicts of interest.
- Risks Relating to the Business: There is no monitoring agency appointed by Our Company and the deployment of funds are at the discretion of our Management and our Board of Directors, though it shall be monitored by our Audit Committee.
- Risks Relating to the Business: We have not identified any alternate source of financing the `Objects of the Issue'. If we fail to mobilize resources as per our plans, our growth plans may be affected.
- Risks Relating to the Business: Our ability to pay dividends in the future will depend upon future earnings, financial condition, cash flows, working capital requirements and capital expenditures.
- Risks Relating to the Business: Delay in raising funds from the IPO could adversely impact the implementation schedule.
- Risks Relating to the Business: We have not independently verified certain data in this Draft Prospectus.
- Risks Relating to the Business: Our funding requirements and proposed deployment of the Net Proceeds are based on management estimates and have not been independently appraised and may be subject to change based on various factors, some of which are beyond our control.
- Risks Relating to the Business: Any future issuance of Equity Shares may dilute the shareholding of the Investor or any sale of Equity Shares by our Promoter or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
- Risks Relating to the Business: The issue price of the Equity Shares may not be indicative of market price of our equity shares after the issue and the market price of our Equity shares may decline below the issue price.
- Risks Relating to the Business: All of our directors do not have any prior experience of being a director in any other listed company in India.
- Risks Relating to the Business: Sale of shares by our promoters or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
- Risks Relating to the Business: Our future funds requirements, in the form of fresh issue of capital or securities and/or loans taken by us, may be prejudicial to the interest of the shareholders depending upon the terms on which they are eventually raised.
- Risks Relating to the Business: There is no guarantee that the Equity Shares issued pursuant to the Issue will be listed on the SME Platform of NSE in a timely manner or at all.
- Risks Relating to the Business: The Equity Shares have never been publicly traded, and, after the Issue, the Equity Shares may experience price and volume fluctuations, and an active trading market for the Equity Shares may not develop. Further, the price of the Equity Shares may be volatile, and you may be unable to resell the Equity Shares at or above the Issue Price, or at all.
- Risks Relating to the Business: The company failures to meet the standards prescribed in client work orders could result in loss of business or compensation payments.
- Risks Relating to the Business: The company significant portion of its revenue is derived from Operations & Maintenance (O&M) services, and any delay or default by clients in making payments for such services could materially affect the company cash flows, working capital, and overall financial performance.
- Risks Relating to the Business: The company has to undertake the hazardous operations in carrying out the construction of CNG Gas Pump station on turnkey basis. Hazards operations can cause personal injury and loss of life, severe damage to and destruction of property and equipment, environmental damage and may result in the suspension of operations and the imposition of civil and criminal liabilities.
- Risks Relating to the Business: Delays in the completion of ongoing or and future projects could result in to payment of liquidated damages to the company customers for its engineering, and Commissioning ("E&C") project, which could has an adverse effect on its liquidity, business operations and financial results.
- Risks Relating to the Business: Over the past three years, the company top 10 customers has consistently contributed over 98% of its revenue. The loss of any of these key customers could has a significant adverse impact on its financial position.
- Risks Relating to the Business: The Company has acquired the ongoing business of M/s. Teja Engineering Services, a Proprietorship Concern through Business Transfer agreement. If, any of its assumptions, calculations is/are erroneous, it will has adverse effect on the company business operations, liquidity and profitability.
- Risks Relating to the Business: The company has very short span of operating history as company. Which makes it difficult to assess its future prospects and historic growth rates or results of operations and which may not be representative or reliable indicators of the company future performance.
- Risks Relating to the Business: The company has not yet placed orders in relation to the capital expenditure to be incurred for the proposed purchase of equipment / machineries. In the event of any delay in placing the orders, or in the event the vendors are not able to provide the equipment / machineries in a timely manner, or at all, the same may result in time and cost over-runs.
- Risks Relating to the Business: If the company is unable to establish and maintain an effective system of internal controls and compliances, its business and reputation could be adversely affected.
- Risks Relating to the Business: The Company received an adverse qualification for not maintaining an audit trail in FY 2023-24, which may result in penalties or regulatory notices that could impact its financial condition.
- Risks Relating to the Business: The Company is highly dependent on its skilled workforce for operations across client sites and facilities, and any errors, accidents, or disruptions involving employees may expose the Company to service-related claims, operational losses, or temporary service interruptions.
- Risks Relating to the Business: There are certain instances of delays in the past with ROC/Statutory Authorities.
- Risks Relating to the Business: The company has experienced negative cash flows in previous years / periods. Any operating losses or negative cash flow in the future could adversely affect its results of operations and financial condition.
- Risks Relating to the Business: The Company's operations is manpower-intensive, and any labour disputes, work stoppages, strikes, or challenges in attracting and retaining skilled personnel could adversely affect business performance and service delivery.
- Risks Relating to the Business: The Company may be unable to conduct thorough background verification of personnel, including billable employees, prior to their deployment at client sites, which could result in complaints, regulatory actions, fines, or damage to the Company's reputation.
- Risks Relating to the Business: The requirements of being a public listed company may strain the company resources and impose additional requirements.
- Risks Relating to the Business: The company has entered into certain transactions with related parties. These transactions or any future transactions with its related parties could potentially involve conflicts of interest.
- Risks Relating to the Business: The company two Premises from where its will start the testing and Maintenance Center of SRV and repairing of critical part of compressor and gas gathering equipments are on lease basis. If, on completion of lease period, the same is not renewed, the company has to find out the alternate premises, which affect its business adversely.
- Risks Relating to the Business: Certain key operational licenses, including the PESO certification, are presently held in the name of the acquired proprietorship firm and are in the process of being updated to the Company's name, which may expose its to compliance and operational risks.
- Risks Relating to the Business: The Company's business is manpower-intensive and requires substantial working capital, and any shortage or unavailability of such capital may adversely affect its operations.
- Risks Relating to the Business: A significant portion of the Company's revenues is derived from a limited number of geographical regions, and any adverse developments in these regions could materially affect its business operations and financial performance.
- Risks Relating to the Business: The Company employs more than 2,750 employees as on March 31, 2026, across various functions. Changes in labor laws, grievances raised by employees, or evolving regulatory requirements may result in increased wages costs, higher statutory contributions, and additional administrative expenses.
- Risks Relating to the Business: The company projects requires significant deployment of labour and any unavailability of such labour may adversely impact its business operations.
- Risks Relating to the Business: Although the company currently has no major litigations, its cannot assure that future legal or regulatory proceedings will not arise, which could adversely impact the company business, financial condition, or operations.
- Risks Relating to the Business: Any major disruptions of information technology systems or breaches of data security could adversely affect the company business.
- Risks Relating to the Business: The company is also dependent on third party transportation service providers apart from its own vehicles for delivery of materials and equipment required at the project site. Any failures on part of such transport service providers to meet their obligations could has a material adverse effect on its business, financial condition and results of operation.
- Risks Relating to the Business: The company projects is typically awarded to its on satisfaction of prescribed pre-qualification criteria and following a competitive bidding process. The company business and its financial condition may be adversely affected if new projects is not awarded to the company or if contracts awarded to its is prematurely terminated.
- Risks Relating to the Business: The company insurance coverage may not be sufficient or adequate to protect its against all material hazards, which may adversely affect the company business, results of operations, financial condition and cash flows.
- Risks Relating to the Business: "The leased agreements executed by the Company is not registered hence the lessor may has the right to terminate the lease without notice or compensation, which can adversely impact the Company's operation".
- Risks Relating to the Business: There has been instances of delay in filing of Provident Fund (PF) returns, Goods and Service Tax returns (GST) and return of Tax Deducted at Source (TDS) dues.
- Risks Relating to the Business: The company does not own registered office from which its operates.
- Risks Relating to the Business: The company business is dependent on government and large corporate clients, and any delays, reductions, or cancellations of projects from these clients could adversely affect its operations and financial performance.
- Risks Relating to the Business: The Company is subject to risks associated with its contracts, including the ability to accurately assess pricing terms, employee costs, and other financial obligations, the increased complexity of contractual arrangements, and the potential for early termination or changes in the scope of contracts by clients.
- Risks Relating to the Business: The company avails credit facilities from the Bank of Baroda, as per sanction terms there are certain restrictive covenants imposed on the issuer company.
- Risks Relating to the Business: The company Promoters/Directors has issued personal guarantees and/or mortgaged their property in relation to debt facilities availed by its, which if revoked, may requires alternative guarantees, repayment of amounts dues or termination of the facilities.
- Risks Relating to the Business: The company Promoter and members of the Promoter Group will continue jointly to retain majority control over its Company after the Issue, which will allow them to determine the outcome of matters submitted to shareholders for approval.
- Risks Relating to the Business: The company business operations is dependent on statutory and regulatory approvals, and any failures or delay in obtaining or renewing such permits and licenses in the future may adversely affect its operations and financial performance.
- Risks Relating to the Business: The Company does not has intellectual property rights over its corporate logo.
- Risks Relating to the Business: The company is dependent upon the experience and skill of its promoter, management team and key managerial personnel and senior management personnel. Loss of the company Promoter or its inability to attract or retain such qualified personnel, could adversely affect the company business, results of operations and financial condition.
- Risks Relating to the Business: The company may not be able to successfully manage the growth of its operations and execute the company growth strategies which may has an adverse effect on its business, financial condition, results of operations and future prospects.
- Risks Relating to the Business: The company operates in a competitive business environment. Competition from existing players and new entrants and consequent pricing pressures may adversely affect its business, financial condition and results of operations.
- Risks Relating to the Business: Fraud, theft, employee negligence, or similar incidents may adversely affect the company business and operations.
- Risks Relating to the Business: The average cost of acquisition of Equity Shares held by the company Promoters is lower than the Issue Price.
- Risks Relating to the Business: The company Promoters, Directors and Key Managerial Personnel may has interest in its Company, other than reimbursement of expenses incurred or remuneration.
- Risks Relating to the Business: The company funding requirements and proposed deployment of the Net Proceeds are based on management estimates and has not been independently appraised and may be subject to change based on various factors, some of which are beyond its control.
- Risks Relating to the Business: The company ability to pay dividends in the future will depends upon future earnings, financial condition, cash flows, working capital requirements and capital expenditures.
- Risks Relating to the Business: Delay in raising funds from the IPO could adversely impact the implementation schedule.
- Risks Relating to the Business: The company funding requirements and proposed deployment of the Net Proceeds are based on management estimates and has not been independently appraised and may be subject to change based on various factors, some of which are beyond the company control.
- Risks Relating to the Business: Any future issuance of Equity Shares may dilute the shareholding of the Investor or any sale of Equity Shares by the company Promoter or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
- Risks Relating to the Business: The issue price of the Equity Shares may not be indicative of market price of the company equity shares after the issue and the market price of its Equity shares may decline below the issue price.
- Risks Relating to the Business: All of the company directors does not has any prior experience of being a director in any other listed company in India.
- Risks Relating to the Business: Sale of shares by the company promoters or other significant shareholder(s) may adversely affect the trading price of the Equity Shares.
- Risks Relating to the Business: The company future funds requirements, in the form of fresh issue of capital or securities and/or loans taken by its, may be prejudicial to the interest of the shareholders depending upon the terms on which they are eventually raised.
- Risks Relating to the Business: There is no guarantee that the Equity Shares issued pursuant to the Issue will be listed on the SME Platform of NSE in a timely manner or at all.
- Risks Relating to the Business: The Equity Shares has never been publicly traded, and, after the Issue, the Equity Shares may experience price and volume fluctuations, and an active trading market for the Equity Shares may not develop. Further, the price of the Equity Shares may be volatile, and you may be unable to resell the Equity Shares at or above the Issue Price, or at all.
- Risks Relating to the Business: There are restrictions on daily weekly monthly movement in the price of the equity shares, which may adversely affect the shareholder's ability to sell for the price at which it can sell, equity shares at a particular point in time.