IPO Size: Rs. 450 cr

• Fresh Issue of Rs. 400 cr for (i) repayment of Rs. 208 cr debt of Rs. 1,146 cr gross debt (ii) purchase of construction equipment worth Rs. 167 cr
• Offer for Sale (OFS) of Rs. 50 cr by promoter (91% stake to shrink to 76% post IPO)

Price band: Rs. 402-424 per share

• Raised Rs. 100 cr pre-IPO in June 2026, at Rs. 424 per share

M cap: Rs. 2,772 cr, implying 16% dilution

IPO Date: Fri 17^th Jul to Tue 21^st Jul 2026, Listing Fri 24^th Jul 2026

Grey Market Premium (GMP): We are strongly against ‘grey market premium’ as it is an unofficial figure, against SEBI guidelines.

Coal Mining and Logistics Service Provider

Caliber Mining is a 12-year-old Nagpur-headquartered provider of end-to-end services for coal extraction, overburden removal, coal loading and unloading, road transportation and coordination of rail transportation. Company owns 1,811 vehicles and 100 taken on lease, to provide these services to subsidiaries of Coal India and other PSUs. Operations are currently spread across 10 mines in Maharashtra, Madhya Pradesh and Chhattisgarh. Nearly entire revenue comes from 2 of Coal India’s subsidiaries. While that dependance implies business risk, former Chairman of Coal India is an Independent Director on company’s board.

Healthy Growth Visibility

Company’s order book has risen from Rs. 5,668 cr as of 31.3.26, to Rs. 9,551 cr as of 15.5.26, implying a book-to-bill of 5.7x, based on FY26 revenue of Rs. 1,678 cr. This provides high growth visibility.

From IPO proceeds of Rs. 167 cr, company plans to purchase 85 dump trucks, bulldozer, excavator, grader. With fixed asset turnover ratio of about 1.3x, this buy can add incremental revenue of nearly Rs. 225 cr.

Capex-led Growth

Caliber Mining has demonstrated high growth, with healthy margins. In last 4 years, revenue grew at 46% CAGR, from Rs. 372 cr in FY22 to Rs. 1,678 cr in FY26. This growth was supported by capex or gross block addition of Rs. 1,470 cr in past 4 fiscals.

On FY26 revenue of Rs. 1,678 cr, EBITDA stood at Rs. 431 cr, translating into 25.6% EBITDA margin. PAT grew 20% YoY to Rs. 158 cr, implying a net margin of 9.4%. On an equity of Rs. 54 cr (FV Rs. 10 each), EPS was at Rs. 29.5, with net worth of Rs. 648 cr. Company’s working capital management is good, with trade receivables outstanding at 1 month, despite having government sector clients.

Since growth has been capex-led, company’s debt is on the higher side, at Rs. 1,146 cr, as of 30.4.26, up from Rs. 1,058 cr as of 31.3.26. After repayment of Rs. 208 cr and equity expansion, post IPO, net debt to equity ratio will nearly halve from 1.5:1 to 0.8:1, although is still elevated. Company’s long-term borrowings are rated BBB+/Stable by CRISIL on 26.3.26.

Attractive Pricing

M cap of Rs. 2,772 cr and enterprise value (EV) of Rs. 3,612 cr imply an EV/EBITDA multiple of 7.5x, based on FY27E EBITDA of close to Rs. 500 cr. On FY27E EPS of approximately Rs. 33, PE multiple stands at Rs. 12.8x.

While there are no exact peers, these valuation multiples are attractive for historic growth and high single digit net margin. While FY26 RoE of 28% will contract to ~20% in FY27E and FY28E once equity expands, the IPO pricing adequately factors in the high debt on the books.

Between Sep to Dec 2024, company had raised Rs. 62.6 cr in primary capital, at Rs. 240 per share. The IPO price is at 77% premium in 2 years, in line with the 78% growth in EBITDA from Rs. 242 cr in FY24 to Rs. 431 cr in FY26.