Dhara Rail Projects IPO is a book-built issue with a total size of ₹50.20 crore. The entire issue consists of a fresh issue of 0.40 crore shares, aiming to raise funds for the company’s business needs. The IPO opens for subscription on December 23, 2025, and will close on December 26, 2025.
The basis of allotment is expected to be finalised on December 29, 2025, and the shares are likely to be listed on NSE SME on December 31, 2025. The price band for the issue is set between ₹120 and ₹126 per share, offering investors an entry at different levels.
The minimum application size is 1,000 shares, making the minimum investment for retail investors ₹2,52,000 at the upper band. For HNI investors, the minimum lot size is 3 lots, equivalent to 3,000 shares, amounting to ₹3,78,000.
Hem Securities Limited is acting as the book running lead manager, while Bigshare Services Private Limited has been appointed as the registrar to the issue. Hem Finlease Private Limited is serving as the market maker for this IPO.
Dhara Rail Projects IPO Objectives
The company plans to allocate the net proceeds from the issuance to the following purposes:
- Funds will be used for repayment and/or pre-payment, in full or part, of borrowing availed by our company.
- Part of the proceeds will meet working capital needs.
- Remaining funds will be used for general corporate purposes.
About Dhara Rail Projects Limited
Incorporated in 2010, Dhara Rail Projects Limited is an ISO 9001:2015 certified company engaged in the execution of contractual railway projects and related services.
The company undertakes Annual Maintenance Contracts (AMC) and repair services for a range of railway rolling stock systems. Its railway projects include Supply, Installation, Testing, and Commissioning (SITC) of electrical equipment across various types of rolling stock.
AMC activities cover maintenance, repair services, inspections, and periodic servicing of railway assets such as train lighting equipment, power car equipment, and tower wagons following commissioning and installation.
The company’s services include annual maintenance and repair of train lighting equipment across all rolling stock categories, including Vande Bharat trains. It also provides annual maintenance and repair services for Overhead Equipment (OHE) maintenance vehicles (tower wagons), power car equipment, and heating, ventilation, and air conditioning (HVAC) systems used in rolling stock.
Dhara Rail Projects Limited provides services to the Ministry of Railways, Government of India, through contracts awarded directly via competitive tendering, which may have durations of up to three years, as well as through pre-bid arrangements with original equipment manufacturers (OEMs).
The company primarily undertakes annual maintenance contracts and repair services for train lighting equipment across all categories of rolling stock, including Vande Bharat trains; OHE maintenance vehicles (tower wagons); power car equipment; and HVAC systems used in rolling stock.
It also undertakes SITC of electrical equipment across various types of rolling stock and provides outsourcing services for passenger coaches, including en route operations and troubleshooting.
Dhara Rail Projects Limited regularly reviews government railway projects through sources such as notifications published on railway authority websites, national newspapers, government procurement portals, the GeM portal, the Indian Railways E-Procurement System (IREPS), and industry publications.
After evaluating project scope, timelines, technical requirements, and eligibility criteria, the company submits bids to undertake railway projects on a contractual basis for specified periods.
Industry Outlook
- The Indian railway network is expanding at a steady pace, supported by sustained infrastructure development and capacity augmentation.
- Over the next five years, the Indian railway market is expected to become the third largest globally, accounting for approximately 10% of the global railway market.
- The Government of India has announced initiatives to attract private investment, including the operation of passenger trains by private operators and the redevelopment of railway stations nationwide.
- These initiatives are expected to generate investments of over USD 7.5 billion over the next five years, as per Indian Railways estimates.
- Indian Railways plans to introduce approximately 3,000 new trains over the next four to five years to increase passenger carrying capacity from 800 crore to 1,000 crore, addressing the needs of a growing population.
- The Adarsh Station Scheme, initiated in 2009–10, focuses on upgrading and modernising railway stations to improve passenger amenities based on identified requirements.
- Under the Adarsh Station Scheme, 1,253 stations have been identified for development, of which 1,215 stations have already been upgraded.
How To Apply for the Dhara Rail Projects IPO Online?
- Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
- Locate the IPO Section: Navigate to the 'IPO' section on the platform.
- Select IPO: Find and select the Dhara Rail Projects IPO from the list of open IPOs.
- Enter the Lot Size: Specify the number of lots you want to bid for.
- Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
- Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.
How To Check the Allotment Status of Dhara Rail Projects IPO?
Steps to check IPO allotment status on Angel One’s app:
- Log in to the Angel One app.
- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
- Angel One will notify you of your IPO allotment status via push notification and email.
Contact Details of Dhara Rail Projects Limited
Registered office: Gala No. O, 196-K, Girgaum Gaiwadi, Girgaum, Mumbai – 400004, Maharashtra, India.
Phone: +91-22-23865040
E-mail: cs@drppl.com
Dhara Rail Projects IPO Reservation
| Investor Category | Shares Offered |
| Market Maker Shares Offered | 2,04,000 (5.12%) |
| QIB Shares Offered | 18,89,000 (47.41%) |
| − Anchor Investor Shares Offered | 11,33,000 (28.44%) |
| − QIB (Ex. Anchor) Shares Offered | 7,56,000 (18.98%) |
| NII (HNI) Shares Offered | 5,67,000 (14.23%) |
| Retail Shares Offered | 13,24,000 (33.23%) |
| Total Shares Offered | 39,84,000 (100.00%) |
Dhara Rail Projects IPO Lot Size Details
| Application | Lots | Shares | Amount |
| Individual investors (Retail) (Min) | 2 | 2,000 | ₹2,52,000 |
| Individual investors (Retail) (Max) | 2 | 2,000 | ₹2,52,000 |
| S-HNI (Min) | 3 | 3,000 | ₹3,78,000 |
| S-HNI (Max) | 7 | 7,000 | ₹8,82,000 |
| B-HNI (Min) | 8 | 8,000 | ₹10,08,000 |
Dhara Rail Projects IPO Promoter Holding
The promoters of the company include Tejas Lalit Mehta, Jagruti Tejas Mehta & Dhara Tejas Mehta.
| Share Holding Pre-Issue | 98.33% |
| Share Holding Post Issue | 72.36% |
Note: Equity dilution will be determined by subtracting the Shareholding Post Issue from the Shareholding Pre Issue.
Key Performance Indicators for Dhara Rail Projects IPO
| KPI | Values |
| ROE | 67.85% |
| ROCE | 25.59% |
| Debt/Equity | 1.66 |
| RoNW | 50.66% |
| PAT Margin | 14.67% |
| EBITDA Margin | 11.88% |
| Price to Book Value | 10.85 |
Dhara Rail Projects IPO Registrar and Lead Managers
Dhara Rail Projects IPO Lead Managers
- Hem Securities Limited
Registrar for Dhara Rail Projects IPO
Bigshare Services Private Limited
- Contact Number: +91-22-6263 8200
- Email Address: ipo@bigshareonline.com
Financial Performance of Dhara Rail Projects Limited
| Particulars | Year ending March 31, 2025 | Year ending March 31, 2024 | Year ending March 31, 2023 |
| Revenue from Operations (₹ in lakhs) | 4,448.42 | 3,146.84 | 2,660.11 |
| EBITDA (₹ in lakhs) | 528.47 | 133.07 | 74.52 |
| EBITDA Margin (%) | 11.88% | 4.23% | 2.80% |
| Profit After Tax (PAT) | 652.78 | 296.78 | 106.42 |
| PAT Margin (%) | 14.67% | 9.43% | 4.00% |
| Return on Equity (RoE) (%) | 67.85% | 60.89% | 37.24% |
| Return on Capital Employed (RoCE) (%) | 25.59% | 11.73% | 5.71% |
| Net Worth (₹ in lakhs) | 1,288.56 | 635.77 | 338.99 |
Strengths and Opportunities of Dhara Rail Projects Limited
- Diversified order book with projects executed across multiple geographies in India, reducing dependence on any single region and supporting revenue stability.
- Long-standing association with Indian Railways since incorporation, supported by consistent execution of contracts awarded through competitive tendering as well as pre-bid arrangements with original equipment manufacturers (OEMs).
- Established presence across a broad range of railway services, including supply, installation, testing, commissioning, operations, and annual maintenance contracts for power cars, coaches, rolling stock, and related electrical and mechanical equipment.
- ISO 9001:2015 certification, reflecting standardized processes and adherence to defined quality management systems for service delivery.
- Proven capability to deliver assured quality services across critical railway assets, supporting repeat business and long-term client relationships.
- Experienced senior management with deep domain expertise, industry knowledge, and long-standing relationships within the railway ecosystem.
- Promoters’ direct involvement in core functions such as business planning, operations, finance, marketing, documentation, and vendor management, enabling effective control and timely decision-making.
- In-house operational experience and execution capabilities that support efficient project implementation and ongoing maintenance activities across diverse railway projects.
Risks and Threats of Dhara Rail Projects Limited
- Volatility in raw material prices and high working capital requirements may adversely affect our cost structure, liquidity, and profitability.
- Our business is significantly dependent on policies, budgetary allocations, and regulatory decisions of the Ministry of Railways and the Government of India; any adverse changes could impact operations and growth.
- Inability to anticipate, respond to, or adapt effectively to evolving industry trends, including fashion trends and changing customer preferences, may reduce our market competitiveness.
- Failure to regularly upgrade, diversify, or align our product portfolio with market and customer requirements could limit business opportunities and revenue growth.
- Changes in government policies, including revisions to tax laws, duties, or fiscal regulations, may result in increased tax liabilities and compliance costs.
- Our performance depends on the ability to attract and retain key management personnel and skilled employees; loss of such personnel could disrupt operations and strategy execution.
- Macroeconomic factors such as slowdown in infrastructure spending, fluctuations in interest rates and inflation, political or economic instability, and reduced railway sector investments may negatively impact demand and growth prospects.
- Delays in expansion into new territories, non-compliance with applicable laws, regulations, or prescribed quality standards may lead to cancellation of existing or future orders and constrain business expansion.
