Sbipl Projects Limited IPO

01At a glance

What the company does: extracts boulder stone and smaller rock suitable for granular sub-base (the crushed-stone layer under a road) from a single 29.5 hectare leased mine at Kalyana, Charkhi Dadri, Haryana, and supplies it as dug, without crushing or grading, to aggregate makers nearby (DRHP p.124, DRHP p.130). Since 2026 it has also started a road subcontract in Assam and coal haulage in Jharkhand (DRHP p.132).

Who pays it: about 154 aggregate makers (stone crushers) in and around Charkhi Dadri in FY26, who collect the stone at the mine and pay for transport themselves (DRHP p.29, DRHP p.126). None is named. The top ten brought 39.08% of FY26 revenue (DRHP p.133).

Why it is raising money: ₹77.5 crore of the fresh issue is for working capital, of which ₹55.0 crore is earmarked as earnest money and security deposits for bidding on new mines not yet identified, and ₹10.9 crore buys machinery for a proposed sand mine at Chitrakoot, Uttar Pradesh (DRHP p.87, DRHP p.91, DRHP p.30). The 8,16,000 offer-for-sale shares go to two promoters, not the company (DRHP p.55).

How fast it has grown: it has not. Revenue went from ₹174.0 crore in FY24 to ₹162.7 crore in FY26, about −3.3% a year, and profit after tax from ₹38.0 crore to ₹29.7 crore, about −11.6% a year (our arithmetic, DRHP p.58).

The one thing to understand: the mine's lease runs only to 2029 and the company says its certified reserves equal about 3.04 years at approved capacity (DRHP p.27), while a disputed GST demand on royalty of ₹84.7 crore sits as a contingent liability against a net worth of ₹57.5 crore (DRHP p.61, DRHP p.57).

02The business, in plain words

What SBIPL Projects does

SBIPL Projects holds a mining lease, won at a Haryana government e-auction in 2016, over 29.5 hectares at Khasra No. 216, Kalyana, Charkhi Dadri (DRHP p.128). Mining began on July 1, 2017 (DRHP p.128). A contractor, Landsworthy Mining & Infra LLP, drills, blasts, digs and hauls the rock to a stack yard inside the lease; another, Godara Enterprises, supplies the explosives (DRHP p.131, DRHP p.132). The company weighs the stone at its own weighbridge and the customer takes it away at its own cost (DRHP p.131).

A stone crusher near Charkhi Dadri needs raw rock → it takes boulder stone and smaller rock straight from the mine face → the company's contractor blasts and loads it, and the company weighs and dispatches it under state transit permits → the company is paid a market rate per tonne, ex-mine, and pays the state royalty on what it extracts (DRHP p.126, DRHP p.131, DRHP p.134, DRHP p.132).

The company owns little mining equipment. Its own list runs to five weighbridges, four generator sets, three JCB machines, two excavators and one crusher plant marked "not in use" (DRHP p.133). It calls this an asset-light contract mining model (DRHP p.127). The biggest cost is not the contractor but the state: royalty, District Mineral Foundation, rehabilitation fund and other levies were ₹69.7 crore in FY26, 56.39% of total expenses (DRHP p.30).

The mine has an approved capacity of 90 lakh tonnes of run-of-mine stone a year (DRHP p.124). Output fell from 73.75 lakh tonnes in FY24 to 63.30 lakh tonnes in FY25 and 60.30 lakh tonnes in FY26 (DRHP p.134). The company owns 55% of S&T Marble and Mining Limited, a Tanzanian marble quarry acquired in 2025 that had no revenue in FY26 (DRHP p.155, DRHP p.156).

Since January 2026 it is a subcontractor on a road upgrade in Assam, and since June 2026 it hauls coal at the Amrapali Open Cast Project of Central Coalfields Limited in Jharkhand with 25 tippers it owns (DRHP p.132). Neither had produced revenue in the FY26 accounts, where all revenue is sale of stone and boulder (DRHP p.217).

Earnings equation: Revenue = tonnes dispatched × price per tonne. The document gives tonnes produced, not tonnes sold, and no price per tonne. Dividing revenue by production gives about ₹236 a tonne in FY24, ₹294 in FY25 and ₹270 in FY26 (our arithmetic, DRHP p.58, DRHP p.134).

03Where the money comes from

All revenue in FY24, FY25 and FY26 came from the Charkhi Dadri mine (DRHP p.26). By customer type, business customers were 99.97% of FY26 revenue and retail ₹0.05 crore (DRHP p.124). Revenue by quarter swings with weather and pollution curbs: in FY26 the April to June quarter brought 20.18% and July to September 34.25% (DRHP p.46).

Source: DRHP p.217, DRHP p.134, DRHP p.126; revenue per tonne is our arithmetic. The company served about 154 customers in FY26, 91 of them for three straight years (DRHP p.126). It has no long-term or minimum-quantity contracts and sells against purchase orders (DRHP p.29, DRHP p.134).

SBIPL Projects customers: how concentrated the revenue is

Source: DRHP p.133. Revenue does not rest on one customer, but four in ten rupees came from ten crushers in FY26, all within trucking distance of the mine (DRHP p.29). The document does not name them.

Read from the filing: the FY26 largest customer figure, ₹10.0 crore (DRHP p.133), is the same number as FY26 gross stone sales to Krishna Stone Crusher & Supplier, a proprietorship of promoter Suramveer (DRHP p.222, DRHP p.179). Related-party crushers together bought ₹11.4 crore in FY26, 7.0% of revenue (our arithmetic, DRHP p.222, DRHP p.223).

On the supply side the dependence is high: the largest supplier was 57.55% of FY26 purchases of goods and services (excluding government levies) and the top ten 97.58% (DRHP p.133). The largest supplier's FY26 figure, ₹22.4 crore, matches the payment to the mining contractor (DRHP p.133, DRHP p.132).

04The growth record

SBIPL Projects financials: revenue, profit and margins

Source: DRHP p.58, DRHP p.59, DRHP p.57, DRHP p.98, AP p.5. FY26 is consolidated and includes the Tanzanian subsidiary from May 29, 2025; FY24 and FY25 are standalone (DRHP p.57, DRHP p.156). Revenue went from ₹174.0 crore in FY24 to ₹162.7 crore in FY26, and profit after tax from ₹38.0 crore to ₹29.7 crore (DRHP p.58).

Our arithmetic over FY24 to FY26: revenue changed about −3.3% a year (our arithmetic, DRHP p.58), EBITDA about −13.0% a year (our arithmetic, DRHP p.98) and profit after tax about −11.6% a year (our arithmetic, DRHP p.58). EBITDA margin moved from 30.8% to 24.9%, down 588 basis points (DRHP p.98). Revenue rose 7.0% in FY25 and fell 12.6% in FY26 (DRHP p.240, DRHP p.239).

The ratios swing because net worth was negative at March 2024, ₹−8.8 crore, after accumulated losses; RoE and RoCE for FY24 and FY25 are therefore not comparable with FY26 (DRHP p.202, DRHP p.98). The restated profits differ from the audited ones: audited FY25 profit of ₹30.0 crore became ₹36.3 crore after restatement, mainly a ₹16.6 crore write-back of royalty dues (DRHP p.198, DRHP p.199).

The other figures a reader needs from the accounts: operating cash flow was ₹17.1 crore in FY26 (DRHP p.59). Other income was 2.3% of FY26 profit before tax (our arithmetic, DRHP p.58). Total borrowings were ₹28.4 crore at March 2026, of which ₹25.1 crore are interest-free loans to the Tanzanian subsidiary from its own related parties (DRHP p.224, DRHP p.235). Net debt, borrowings less cash and bank balances, was about 0.1× FY26 EBITDA (our arithmetic, DRHP p.57). Return on capital employed was 47.2% (DRHP p.98).

Contingent liabilities were ₹98.2 crore at March 2026 (DRHP p.61). Royalty and statutory levies were 56.39% of FY26 total expenses (DRHP p.30). The mine ran at 67.00% of approved capacity in FY26 (DRHP p.134). The largest customer was 6.16% of FY26 revenue, the top five 24.35% and the top ten 39.08% (DRHP p.133); the largest supplier was 57.55% of FY26 purchases (DRHP p.133). Related-party sales were ₹11.4 crore, 7.0% of FY26 revenue (our arithmetic, DRHP p.222). Working capital is the largest object of the issue, ₹77.5 crore (DRHP p.87). The document counts four income tax demands against the promoters (DRHP p.248).

05What the growth is made of

Revenue fell ₹11.3 crore from FY24 to FY26 (our arithmetic, DRHP p.58). Production fell from 73.75 lakh tonnes to 60.30 lakh tonnes (DRHP p.134). At the FY24 revenue per tonne produced, that fall in tonnes accounts for roughly −₹31.7 crore; the rest, about +₹20.5 crore, is a higher realisation per tonne (our arithmetic, DRHP p.58, DRHP p.134). The split uses production as a stand-in for tonnes sold, because the document gives no sales volume; the company says it sells from the mine head and holds no significant stock of stone (DRHP p.31, DRHP p.90).

The company puts the fall in utilisation from 81.95% to 67.00% down mainly to weather and Graded Response Action Plan (GRAP) curbs on mining in the National Capital Region in winter (DRHP p.27). The management discussion attributes the FY26 revenue fall to "lower sales of stone and boulders" and gives no price or volume figure (DRHP p.239). No acquisition, new product or new geography contributed revenue in the three years (DRHP p.217).

Costs did not fall with output. Royalty and others rose from ₹60.1 crore in FY24 to ₹69.1 crore in FY26 while production fell (DRHP p.218). The company explains it pays the higher of royalty on extraction and a fixed dead rent, ₹54.8 crore a year for FY26 (DRHP p.31). Diesel fell from ₹17.2 crore to ₹8.9 crore and the contractor's bill from ₹25.1 crore to ₹22.4 crore (DRHP p.218). The document does not say how royalty is computed per tonne, so the margin squeeze cannot be split further.

06Earnings quality

The item that needs explaining is cash. Over three years profit was more than twice operating cash flow (our arithmetic, DRHP p.59). The gap is mostly old mining dues being paid down: "mining fees payable" fell from ₹30.3 crore at March 2024 to ₹6.3 crore at March 2026, and advances from customers from ₹7.8 crore to ₹0.71 crore (DRHP p.210). Income tax paid was ₹18.7 crore in FY25 alone (DRHP p.59). Of the ₹24.4 crore cash at March 2026, ₹5.1 crore was cheques in hand (DRHP p.216).

Two more points. Discounts on sales are booked as an expense, ₹3.7 crore in FY26, and ₹2.0 crore of that went to Krishna Stone Crusher & Supplier, about 20% of its gross purchases against about 2.3% across all revenue (our arithmetic, DRHP p.219, DRHP p.222). And the restated accounts net certain old receivables against old payables on the strength of a 2020 agreement with the former promoters, which those counterparties are not bound by (DRHP p.39).

07The balance sheet

At March 31, 2026 total assets were ₹105.3 crore: other non-current assets ₹42.6 crore (including ₹23.7 crore of the Tanzanian mine's acquisition and development cost, ₹10.0 crore of security deposit with the Haryana mining authority and ₹3.3 crore of earnest money for the Chitrakoot sand mine), cash and bank ₹24.4 crore, trade receivables ₹15.2 crore, property and equipment ₹13.3 crore and short-term loans and advances ₹7.8 crore (DRHP p.57, DRHP p.214).

Against that: short-term borrowings ₹26.0 crore, other current liabilities ₹9.3 crore, trade payables ₹3.4 crore, long-term borrowings ₹2.4 crore, minority interest ₹2.7 crore and equity ₹57.5 crore (DRHP p.57). Bank debt was only ₹3.3 crore, vehicle, machinery and office loans; the rest of the ₹28.4 crore is ₹19.4 crore from Service & Trade Mining Investment Co. LLC and ₹5.7 crore from Waqas Sulaiman Mohammed Al Adawi to the subsidiary, interest-free and repayable on demand (DRHP p.206, DRHP p.235). Promoters have personally guaranteed ₹2.7 crore of secured loans (DRHP p.204).

Contingent liabilities of ₹98.2 crore are: ₹84.7 crore of disputed GST under reverse charge on royalty and related contributions, ₹12.6 crore of interest on mining dues still subject to a one-time settlement order, a ₹0.87 crore performance bank guarantee and ₹0.10 crore of GST demand (DRHP p.61). There are no capital commitments (DRHP p.61).

Source: DRHP p.224, DRHP p.243. None of the fresh issue repays debt, so borrowings are not reduced by the issue (DRHP p.87). Net worth after the issue cannot be stated because the price is blank (DRHP p.243).

08What the money is for

SBIPL Projects IPO objects: what the money is for

Source: DRHP p.87, DRHP p.88. The percentages cannot be worked out because the issue amount is blank. The objects have not been appraised by any bank or agency (DRHP p.88).

Working capital, ₹77.5 crore: ₹34.0 crore in FY27 and ₹43.5 crore in FY28 (DRHP p.88). The working capital table assigns ₹25.0 crore of the issue to deposits for a "New Mine-1" in FY27 and ₹30.0 crore for a "New Mine-2" in FY28 (DRHP p.91). The company says it has not identified any specific mining opportunity for this money (DRHP p.30). The rest funds receivables the company projects rising to 50 days by FY28 as road and coal work grows (DRHP p.90).

Machinery, ₹10.9 crore: eight Tata Hitachi excavators (₹4.9 crore), seven tipper trucks (₹3.9 crore) and two JCB loaders (₹2.0 crore) for a riverbed sand and morrum mine at Teerdhumai Gangu Khadar, Chitrakoot, all in FY27, on quotations valid to late October 2026 (DRHP p.91). No orders have been placed, the mining lease deed is not executed, and environmental clearance is not yet obtained (DRHP p.92).

Into the business 66,00,000 new shares, at a price not yet set (DRHP p.54). To selling shareholders 8,16,000 shares by two promoters, amount not yet set (DRHP p.54).

09Who is selling

SBIPL Projects IPO offer for sale: who is selling

Source: DRHP p.55; the last column is our arithmetic. The offer for sale is 8,16,000 shares, 4.68% of the pre-offer capital (DRHP p.76). The offer is 66,00,000 fresh shares, amount not set, and 8,16,000 shares by 2 promoter selling shareholders (DRHP p.54). The certified average cost of acquisition is ₹0.29 a share for Surender Pal and ₹0.03 for Suramveer, after the 5:2 bonus (DRHP p.1). The company receives nothing from the offer for sale; offer expenses are shared pro rata, except listing fees, which the company bears (DRHP p.87).

10Promoters

The promoters are Surender Pal, Suramveer and Vishal Choudhary (DRHP p.175). They are not the original promoters: they took control of the company from its earlier owners under a memorandum of understanding dated February 29, 2020 (DRHP p.176). The promoter group table lists Suramveer as a brother of Surender Pal and Surender Pal as the father of Vishal Choudhary (DRHP p.178).

Surender Pal, aged 60, is Chairman and Managing Director, with about 25 years of experience including about 15 years in banking until a voluntary retirement in 2014, and about 10 years in infrastructure and mining (DRHP p.161, DRHP p.44). Suramveer, aged 59, is Whole Time Director with about 16 years in stone crushing and mining and leads sales (DRHP p.162). Vishal Choudhary, aged 33, is Whole Time Director, a mechanical engineer with 9 years of experience, overseeing finance and administration (DRHP p.162). Degree certificates of Surender Pal and Suramveer, and some experience certificates of Surender Pal, could not be traced (DRHP p.43).

Pay: Surender Pal was paid ₹0.18 crore in FY24, ₹3.25 crore in FY25 and ₹1.15 crore in FY26; Vishal Choudhary ₹0.24 crore in FY26 (DRHP p.222). Promoter pay therefore went from ₹0.18 crore in FY24 to ₹1.39 crore in FY26 (our arithmetic, DRHP p.222). Present terms are up to ₹0.75 crore a year for Surender Pal and ₹0.24 crore for Vishal Choudhary from FY27; Suramveer has waived pay (DRHP p.163). The wives of Surender Pal and Suramveer each drew a salary of ₹0.18 crore in FY26 (DRHP p.223).

Other businesses: the promoter group includes several stone crushers and allied firms: Krishna Stone Crusher & Supplier (proprietor Suramveer), Shree Shyam Grit Udhyog, Shri Ram Stone Crusher, New Jai Shree Bala Ji Stone Crusher, HS Buildwell (proprietor Vishal Choudhary), HS Infra LLP, SAN21 Infra LLP and Charkhi Dadri Infracon LLP (DRHP p.179). The group company is Oflo Blush Private Limited, a cosmetics company formed in 2023 that has made losses (DRHP p.262, DRHP p.43).

Pledges and guarantees: no promoter shares are pledged (DRHP p.81). Promoters guarantee bank loans of ₹2.7 crore (DRHP p.204).

Cases: four income tax demands against Surender Pal and Suramveer, together ₹0.07 crore, one of them a concealment penalty on Surender Pal for 2012-13 (DRHP p.248). No criminal case and no SEBI action against the promoters (DRHP p.247, DRHP p.248).

Promoter economics: Suramveer bought 10,00,000 shares in September 2018 and 14,93,950 in October 2020, both at ₹0.10 a share (DRHP p.82). Under the 2020 agreement the promoters' side agreed to acquire 37,43,448 shares for ₹0.04 crore (DRHP p.157). Surender Pal bought 24,86,450 shares from Parveen Rawal, an earlier promoter, on March 26, 2025 at ₹1 a share, ₹0.25 crore (DRHP p.99, DRHP p.82). A 5:2 bonus on September 27, 2025 took the promoters to 1,74,36,650 shares (DRHP p.78).

11Who already owns it

SBIPL Projects promoter holding before and after the IPO

Source: DRHP p.81, DRHP p.80, DRHP p.83. There are seven shareholders and no investor outside the promoters holds 1% or more (DRHP p.85, DRHP p.81). Promoters hold 99.87% before the issue (DRHP p.83). The document leaves the post-issue holding blank (DRHP p.83). If all 66,00,000 new shares and all 8,16,000 offered shares are issued and sold, promoters would hold 1,66,20,650 of 2,40,57,650 shares, about 69.1% (our arithmetic, DRHP p.83). So promoter holding goes from 99.9% to about 69.1% (our arithmetic, DRHP p.83).

The five public holders, Parveen Rawal, Satyavir Singh, Sanjay Kumar, Rajbir Singh and Vinay Sangwan, received bonus shares in September 2025 (DRHP p.78). Two years before filing, Parveen Rawal held 49.87% (DRHP p.81).

12What changed just before the IPO

• Revenue and profit: revenue went from ₹174.0 crore in FY24 to ₹162.7 crore in FY26 and profit after tax from ₹38.0 crore to ₹29.7 crore (DRHP p.58).
• Output fell: production from 73.75 to 60.30 lakh tonnes, utilisation from 81.95% to 67.00% (DRHP p.134).
• Receivable days went from 29 in FY24 to 34 in FY26 (DRHP p.90).
• Promoter pay went from ₹0.18 crore in FY24 to ₹1.39 crore in FY26, after ₹3.25 crore in FY25 (our arithmetic, DRHP p.222).
• Change in a promoter's holding: Surender Pal bought Parveen Rawal's 24,86,450 shares on March 26, 2025 at ₹1 a share (DRHP p.99).
• Bonus issue: 5:2, allotted September 27, 2025, the last allotment before the IPO, with no price paid (DRHP p.78).
• No pre-IPO placement: no share issue other than the bonus in the 18 months before filing (DRHP p.99).
• Auditor: no change of auditor in the last three years (DRHP p.73). The restated statements were prepared by a peer-review accountant, R K Jagetiya & Co., rather than the statutory auditor, Vinod Ajay & Associates (DRHP p.30, DRHP p.67).
• Public company status: incorporated in August 2012; a fresh certificate of September 5, 2012 recorded the company as public after the first certificate wrongly showed it as private (DRHP p.35).
• Subsidiary bought: 55% of S&T Marble and Mining Limited, Tanzania, under an agreement of June 1, 2025, with the consideration still unpaid at March 2026 (DRHP p.157, DRHP p.227).
• New lines of work: Chitrakoot sand mine letter of intent on May 27, 2025; Assam road subcontract on January 13, 2026; coal haulage from June 1, 2026 (DRHP p.91, DRHP p.132).
• Property: two flats in a Dwarka housing society bought for ₹2.45 crore and ₹2.40 crore in December 2025, used as registered office and guest house, and a Gurugram office for ₹1.36 crore in February 2026 (DRHP p.137, DRHP p.138).
• Board: independent directors appointed from January 2026, after none were on the board from September 1, 2022 to January 16, 2026 (DRHP p.34, DRHP p.165).
• Mining contract renewed: a new mining services agreement on June 15, 2026, continuing the 2020 one (DRHP p.158).

13Capacity and expansion

Source: DRHP p.134, DRHP p.91. Approved capacity is set by the state-approved mining plan and certified by a chartered engineer, Karan Rajendra Mody of AKV Consulting LLP (DRHP p.134). The environmental clearance of May 31, 2023 covers expansion from 5.6 to 9 million tonnes a year (DRHP p.254).

Reserves are the binding limit. A registered qualified person, Foresta Mine Enviroconsultants, certified mineable reserves of 2,73,25,611 tonnes at August 1, 2026, about 3.04 years at approved capacity (DRHP p.27). At the FY26 output of 60.30 lakh tonnes that is about 4.5 years (our arithmetic, DRHP p.27, DRHP p.134). The lease runs to April 10, 2029 and the mining plan to April 10, 2028 (DRHP p.124, DRHP p.255).

The issue adds no capacity at Charkhi Dadri. For Chitrakoot the document gives the machinery list but no approved production capacity (DRHP p.91). The working capital table assumes one new mine starts commercial operation on January 1, 2028 and another after FY28 (DRHP p.91). Coal haulage runs under a seven-year work order from August 22, 2026 with a minimum of 25,000 tonnes a day (DRHP p.132).

14Market size and industry structure

SBIPL Projects industry: market size and growth

The Industry Overview chapter is not a commissioned report. It is compiled from public websites and documents, chiefly the World Bank's Global Economic Prospects of June 2026, the Economic Survey 2025-26 and India Brand Equity Foundation sector notes on mining, infrastructure and roads (DRHP p.106, DRHP p.112, DRHP p.115, DRHP p.119). The company and the lead manager have not verified it (DRHP p.23).

As claimed: the chapter gives no size for minor minerals, boulder stone or construction aggregates. The nearest figure is the estimated value of all mineral production in India, ₹1,71,460 crore in FY26 against ₹1,52,431 crore in FY25 (DRHP p.115). The chapter does not say whether minor minerals such as building stone are included.

The part that is addressable: the company supplies crushers in one cluster around Kalyana, Kheri Battar, Birhi Kalan, Pandwan and nearby villages in Charkhi Dadri (DRHP p.126). The document does not size that regional market, and says long-distance transport of such material may not pay (DRHP p.29).

What the company is today: FY26 revenue of ₹162.7 crore is about 0.1% of the all-India mineral production value (our arithmetic, DRHP p.58, DRHP p.115). That comparison is loose, because the two figures measure different things.

Size over time: the chapter gives one-year movements only. Mineral production value rose about 12.5% in FY26 (our arithmetic, DRHP p.115). Gross value added from mining and quarrying fell from ₹5,40,788 crore in 2024-25 to ₹5,08,554 crore in 2025-26, about 6.0% (our arithmetic, DRHP p.115). Construction gross value added rose from ₹26,27,009 crore to ₹27,99,847 crore, about 6.6% (our arithmetic, DRHP p.116). Real GDP grew 7.7% in FY26 (DRHP p.112).

The Economic Survey, as quoted, projects FY27 real growth of 6.8% to 7.2% (DRHP p.115); a JM Financial report, as quoted, projects cement demand growth of 7% to 8% a year over FY25 to FY27 (DRHP p.120). Those are the sources' projections, not the company's.

Segments: the chapter divides mining by metals (steel, aluminium, iron ore, copper) and critical minerals, and infrastructure by roads, housing and logistics (DRHP p.115, DRHP p.116, DRHP p.120). The company sits in none of these directly; it supplies raw stone to the crushers that feed road and building work (DRHP p.124).

What drives demand: road building. The Ministry of Road Transport and Highways got ₹3,09,875 crore in the 2026-27 budget, 8% above the revised ₹2,87,142 crore, with ₹1,21,999 crore for roads and bridges (DRHP p.121). The national highway network grew from 91,287 km in 2014 to 1,46,572 km in 2025 (DRHP p.122). The government announced an ₹11 lakh crore plan in September 2025 for 17,000 km of access-controlled expressways by 2033 (DRHP p.122). The company says its own demand depends on road and infrastructure work in Haryana and the National Capital Region (DRHP p.45).

Structure: the company describes minor mineral mining in Haryana as fragmented, with lease holders of varying size (DRHP p.134). Competition turns on distance to the crushers, the quality of the rock, approved capacity, price and relationships, because the buyer pays the freight (DRHP p.42, DRHP p.134). The chapter names no competitor, and the company says no listed Indian company is comparable (DRHP p.97). New leases come through state auctions, and the earnest money and security deposits run at about 25% of dead rent, held until the lease ends (DRHP p.28, DRHP p.90).

Inputs and trade: the main inputs are explosives, diesel, electricity and water, none under long-term contract (DRHP p.28). Diesel cost ₹8.9 crore and explosives ₹5.7 crore in FY26 (DRHP p.135). There are no imports or exports (DRHP p.227). The World Bank forecast quoted in the chapter puts Brent crude at $94 a barrel in 2026 (DRHP p.106).

Rules: mining runs under the Mines and Minerals (Development and Regulation) Act, 1957 and the Haryana Minor Mineral Concession, Stocking, Transportation of Mineral and Prevention of Illegal Mining Rules, 2012 (DRHP p.140, DRHP p.141). The mine needs an environmental clearance, a blasting permission from the Director of Mines Safety, consent to establish and operate from the Haryana State Pollution Control Board, an approved mining plan, and e-Ravana transit permits for every dispatch (DRHP p.254, DRHP p.255, DRHP p.134). Royalty, District Mineral Foundation and rehabilitation fund payments are statutory (DRHP p.132).

What the chapter says can go wrong: the chapter itself mostly flags global risks, a slowdown to 2.5% world growth in 2026 and higher energy prices (DRHP p.107). The risk factors add the local ones: GRAP and other pollution curbs that halt mining in winter, heavy rain, orders of the Commission for Air Quality Management or the National Green Tribunal, changes in royalty rates, and substitutes such as manufactured sand and recycled construction waste (DRHP p.36, DRHP p.45, DRHP p.30). Nothing in the chapter sizes the boulder stone market or its growth.

15Competitive position

SBIPL Projects competitors

Source: DRHP p.98, AP p.5. The document names no competitor, listed or unlisted, and gives no peer table (DRHP p.97, DRHP p.134).

What the company puts forward: an approved 90 lakh tonne lease with certified reserves, a place inside an established crushing cluster, repeat customers at 94.18% of FY26 revenue, experienced promoters and a contract mining model (DRHP p.96, DRHP p.126). Against that: one mine, a lease to 2029, reserves of about three years at capacity, a fixed dead rent, no processing of its own, no sales team, and no written long-term customer contracts (DRHP p.27, DRHP p.31, DRHP p.40, DRHP p.29). The document's reason customers choose it is proximity, since they pay the freight (DRHP p.29).

16Peers the company named

Peers named in the offer document: none. The document says there are no listed companies in India in a similar line of business (DRHP p.97).

The company adds that the absence of a listed peer limits the benchmarks available to investors (DRHP p.48). With no band and no peer, nothing can be compared.

17Risks, in plain words

SBIPL Projects IPO risks

Business, one mine: 100% of revenue came from the Charkhi Dadri mine in each of the three years (DRHP p.26). Operations were suspended once before, in FY20, including over unpaid dead rent (DRHP p.27, DRHP p.31). Any suspension stops all mining revenue.

Business, reserves and lease: certified reserves equal about 3.04 years at approved capacity (DRHP p.27), and the lease expires in April 2029 (DRHP p.124). The document gives no assurance of renewal (DRHP p.129). The working capital object assumes new mines from 2028 that are not yet identified (DRHP p.30, DRHP p.91).

Customers: the top ten crushers were 39.08% of FY26 revenue, all near the mine, with no minimum offtake (DRHP p.29). Freight is the buyer's cost, so selling farther away would mean cutting price or paying freight (DRHP p.29).

Suppliers: one contractor did substantially all extraction, ₹22.4 crore in FY26, 18.11% of total expenses (DRHP p.29). The largest supplier was 57.55% of FY26 purchases (DRHP p.133).

Regulation and levies: statutory levies were 56.39% of FY26 total expenses (DRHP p.30). Dead rent of ₹54.8 crore a year is payable whatever the output and escalates every three years (DRHP p.31). The company had no independent directors from September 2022 to January 2026 and has applied for adjudication of penalties for that (DRHP p.34).

Financial: disputed GST on royalty of ₹84.7 crore is a contingent liability, 1.5 times FY26 net worth (our arithmetic, DRHP p.61, DRHP p.57). A further ₹12.6 crore of interest on mining dues depends on a final one-time settlement order not yet received (DRHP p.61).

Promoters and related parties: related-party crushers bought ₹11.4 crore of stone in FY26, 7.0% of revenue, and Krishna Stone Crusher & Supplier received a ₹2.0 crore discount (our arithmetic, DRHP p.222, DRHP p.223). Promoters hold 99.87% before the issue (DRHP p.83).

Issue-specific: promoters' average cost is ₹0.29 and ₹0.03 a share (DRHP p.1). Of the ₹77.5 crore working capital object, ₹55.0 crore is for deposits on mines not yet found (DRHP p.91). The price band, issue amount and general corporate purposes are blank (DRHP p.87).

18Litigation and regulatory matters

Cases against SBIPL Projects and its promoters

Tax: the four GST orders of April 25, 2024 each demand tax, interest and an equal penalty for not paying GST under reverse charge on royalty paid to Haryana: ₹21.2 crore for FY18, ₹19.7 crore for FY19, ₹22.4 crore for FY20 and ₹20.3 crore for FY21 (DRHP p.245, DRHP p.246). The document says the question is before the Supreme Court and recovery is stayed (DRHP p.246). The FY19 statutory audit was qualified for the same unpaid GST on royalty, ₹1.99 crore, and for unsupported debtor balances (DRHP p.37).

Criminal: one cheque case against the company; none against or by the promoters and directors (DRHP p.244, DRHP p.247). Regulatory: the company was on the EPFO defaulter list published November 11, 2024 and paid the ₹48,414 differential in December 2025 (DRHP p.247). It has filed for adjudication of penalties over Companies Act lapses (DRHP p.34). Civil: the company's writ in the Punjab and Haryana High Court follows a lead case (DRHP p.246). An independent director, Vipul Vishnu Awaghade, has a ₹0.01 crore income tax demand under rectification (DRHP p.248).

19Related-party transactions

Source: DRHP p.222, DRHP p.223. Krishna Stone Crusher & Supplier is a proprietorship of Suramveer; Shree Shyam Grit Udyog has Vishal Choudhary as a partner; HS Infra LLP is under the common management of Surender Pal and Vishal Choudhary; Creative Industries has Suramveer as a designated partner (DRHP p.221). Krishna Stone Crusher & Supplier owed ₹3.0 crore at March 2026, up from ₹0.61 crore a year earlier (DRHP p.222). Mahadev Stone Crusher, in which a director was a 60% partner until December 7, 2023, bought ₹2.4 crore of stone in that period (DRHP p.223).

What appeared in the two years before filing: loans of ₹1.05 crore to the group company Oflo Blush Private Limited in FY26, repaid in the year (DRHP p.222); salaries to the wives of Surender Pal and Suramveer from FY25 (DRHP p.223); pay to Vishal Choudhary from FY26 (DRHP p.222); and, through the subsidiary, ₹25.1 crore of interest-free loans from Service & Trade Mining Investment Company LLC and Waqas Sulaiman Mohammed Al Adawi, a director of the subsidiary (DRHP p.223, DRHP p.221). The company says all related-party sales were at arm's length on price lists (DRHP p.223).

20What the offer document does not say

Tonnes sold, price per tonne, and the split of revenue between boulder stone and the smaller rock used for road sub-base are not disclosed. The customers are not named, including the largest. How royalty is computed per tonne is not given, though it is the largest cost. The value of the Assam road subcontract to the company, and revenue from road work and coal haulage, are not given.

The terms and amount of the consideration for 55% of the Tanzanian subsidiary are not given beyond an investment value of ₹3.29 crore and a payable of ₹3.76 crore (DRHP p.227, DRHP p.221). The group company's financials are not in the document (DRHP p.262). The issue amount, price band, general corporate purposes and offer expenses are blank (DRHP p.87).

Some inconsistencies are recorded as document matters, not business ones. The lease expiry is April 10, 2029 in the business chapter, "April 2029" in the risk factors and June 10, 2029 in the abridged prospectus (DRHP p.124, DRHP p.30, AP p.2). The strategy section says the mine produced 67.00 lakh tonnes in FY26, while the capacity table says 60.30 lakh tonnes, which is 67.00% of capacity (DRHP p.127, DRHP p.134).

The Tanzanian quarry is said to have started operations in FY26 in one place and in FY27 in another (DRHP p.40, DRHP p.125). A risk factor says the ₹98.2 crore of contingent liabilities "has been provided" in the accounts, while the notes say the disputed GST is not recognised (DRHP p.38, DRHP p.61). The management discussion's list of material developments leaves the board approval date of the draft blank (DRHP p.242).

21Five questions for management

1. How many tonnes were sold, as against produced, in FY24, FY25 and FY26, and at what average price per tonne for boulder stone and for sub-base material?
2. How was royalty per tonne computed in FY26, and at what output would the fixed dead rent exceed royalty?
3. Was Krishna Stone Crusher & Supplier the largest customer in FY26, and why did it receive a discount of about 20% of gross purchases against about 2% for all customers?
4. What is the plan for the Charkhi Dadri lease and reserves after April 2029, and what would renewal cost in deposits and dead rent?
5. What did the company pay or owe for 55% of S&T Marble and Mining Limited, and on what terms will the ₹25.1 crore of related-party loans to the subsidiary be repaid?

1Sources and cited facts

This study was read from 1 document the company filed. The 187 figures it cites are listed under the document each came from, with the page and the sentence as printed.