Arete 22 IPO
Arete 22 IPO — date, issue size, SEBI status & DRHP details 2026
Arete 22 filed its draft red herring prospectus (DRHP) with SEBI on 5 Oct 2026 for an IPO of a fresh issue of up to ₹440 crore. SEBI is waiting for in-principle approval from the stock exchanges. The price band, lot size and IPO dates are not announced yet.
Arete 22 makes aluminium alloy wheels for motorcycles and scooters at plants in Bilaspur, Haryana and Kolar, Karnataka. Revenue from operations grew from Rs 112.46 crore in FY2024 to Rs 537.95 crore in FY2026.
Researched & reviewed by
Abhishek Vohera,
Founder, IPO Guru
Last updated
Figures sourced from the DRHP filed with SEBI
Where the Arete 22 IPO stands
From draft to listing. Today is 17 October 2026.
- DRHP filed 05 Oct 2026
- SEBI observations TBA
- RHP & price band TBA
- Bidding TBA
- Listing TBA
| DRHP filed with SEBI | 5 Oct 2026 |
|---|---|
| SEBI status | Awaiting exchange approval · 1 Oct 2026 |
| Last SEBI communication | 1 Oct 2026 |
| Coordinating lead manager | Unistone Capital Private Limited |
| RHP, price band & dates | Not announced |
Arete 22 IPO details
The offer as the DRHP describes it. Terms can change in the RHP.
| Issue type | Fresh issue only |
|---|---|
| Fresh issue | Up to ₹440 Cr |
| Offer for sale | None |
| Total issue size | ₹440 Cr |
| Pre-IPO placement | Up to ₹50 Cr (reduces the fresh issue) |
| Face value | ₹10 per share |
| Proposed listing | BSE, NSE |
| Price band | Not announced (comes with the RHP) |
| Lot size | Not announced |
| IPO dates | Not announced |
| Book running lead managers | Unistone Capital Private Limited |
| Registrar | Bigshare Services Private Limited |
Strengths & risks
The case for and against, from the DRHP's own numbers and risk factors.
Strengths · 7
- 01Revenue from operations rose from Rs 112.46 crore in FY2024 to Rs 537.95 crore in FY2026, and growth was 153.3% in FY2026.
- 02Operating EBITDA margin improved from 12.27% in FY2024 to 14.99% in FY2025 and 17.60% in FY2026.
- 03Profit after tax grew from Rs 2.92 crore in FY2024 to Rs 44.97 crore in FY2026, and PAT margin rose from 2.60% to 8.36%.
- 04Return on equity was 75.22% and return on capital employed was 23.24% in FY2026, up from 18.40% and 9.10% in FY2024.
- 05The company sold 31,78,981 wheels in FY2026 against 7,45,461 in FY2024, and the SKU count rose from 9 to 49.
- 06Order completion rate improved from 78.46% in FY2024 to 90.94% in FY2026.
- 07Promoters and promoter group hold 100.00% before the issue, with promoters alone at 86.66%.
Risks · 10
- 01The top 5 customers gave 98.77% of revenue in FY2026, and the top customer alone gave 49.05%.
- 02The company has no firm long-term volume commitments from its OEM customers, so orders can fall at short notice.
- 03Cash flow from operating activities was negative at Rs 18.42 crore in FY2026 and Rs 17.18 crore in FY2025, even though profit rose.
- 04Total borrowing was Rs 263.06 crore in FY2026 against a net worth of Rs 84.90 crore, and the debt to equity ratio was 3.10 times.
- 05Part of the fresh issue goes to repay debt, which the document says creates no tangible asset.
- 06Aluminium alloy ingots, cast iron rings and paints are key inputs, and the company has no long-term agreements with its suppliers except one.
- 07The company has a limited operating history in making aluminium alloy wheels.
- 08Two-wheeler demand may shift towards electric models, and the document says this may force changes in products and processes.
- 09The whole issue is fresh and the amount for general corporate purposes is not specified, and the object-wise split is yet to be disclosed.
- 10Total revenue grew 153.3% in FY2026 on a small base, and the working capital need is high.
Arete 22 financials
Restated figures in ₹ crore, as reported in the DRHP.
| ₹ crore | 31 Mar 2026 | 31 Mar 2025 | 31 Mar 2024 |
|---|---|---|---|
| Revenue from Operations | 537.95 | 212.39 | 112.46 |
| EBITDA | 94.68 | 31.83 | 13.79 |
| Profit After Tax | 44.97 | 12.36 | 2.92 |
| Net Worth | 84.90 | 34.68 | 17.33 |
| Total Borrowing | 263.06 | 215.00 | 98.90 |
Key ratios (FY26)
P/E and market capitalisation need the price band and are added when the RHP is out.
Where the IPO money goes
How Arete 22 plans to use the fresh issue proceeds.
About Arete 22
The company works on a business-to-business model. It sells directly to two-wheeler OEM customers. It does not sell to individual buyers. Its wholly owned subsidiary, Unicast Autotech Private Limited, makes precision aluminium high-pressure die-cast components for engines, transmissions, powertrains and structural uses in vehicles.
Arete 22 runs two manufacturing facilities, one in Bilaspur, Haryana and one in Kolar, Karnataka. Together they cover about 27,042 square metres. All operations are in India, and the company is present across 10 states: Karnataka, Tamil Nadu, Haryana, Uttarakhand, Andhra Pradesh, Rajasthan, Maharashtra, Gujarat, Uttar Pradesh and Himachal Pradesh.
Volumes have grown fast. The company sold 31,78,981 wheels in FY2026, against 13,45,515 in FY2025 and 7,45,461 in FY2024. The number of SKUs sold rose from 9 in FY2024 to 49 in FY2026. Revenue per wheel was Rs 1,671.46 in FY2026 against Rs 1,457.58 in FY2024. The order completion rate was 90.94% in FY2026.
The company is led by promoters Pawan Kumar Gupta, Abhishek Gupta, Konica Gupta and Naveen Gupta. Abhishek Gupta is the Managing Director. The document says the company has a limited operating history in making aluminium alloy wheels.
The industry
The document quotes a Crisil report. According to the SIAM annual report for FY25, the automotive industry contributes about USD 240 billion, or Rs 20 lakh crore, to the economy and exports about USD 37 billion of vehicles. As per ACMA FY25 data, alloy wheels fall under the Body/Chassis/BiW category, which is 14% of total auto component industry sales. Two-wheelers took 20% of domestic OEM component supplies in FY25, second after passenger vehicles at 43%.
Customer concentration: Top customer gave 49.05% of revenue from operations in FY2026 (84.04% in FY2025). Top 3 customers gave 98.58% and top 5 gave 98.77% in FY2026.
Promoters & management
Promoters hold 86.66% and the promoter group holds 13.34% before the issue, and there are no other top shareholders.
| Name | Role |
|---|---|
| Pawan Kumar Gupta | Chairman and Non-Executive Director |
| Abhishek Gupta | Managing Director |
| Konica Gupta | Whole-time Director |
| Botu Srinivasa Rao | Chief Financial Officer |
| Deepika Rathi | Company Secretary and Compliance Officer |
The bankers & the filings
Who is running the issue, and the SEBI documents this page is built from.
Lead Manager Track Record
How the book-running lead managers on this issue have priced their past IPOs, measured on listing day.
Unistone Capital
4 issues handled (2 mainboard, 2 SME)Best listing: Pace Digitek (+2.7%). Weakest: Fabtech Technologies (0.0%).
Listing gain compares the listing-day opening price with the issue price, using the IPOs on IPO Guru that this lead manager has taken to market. A strong record reflects how the banker has priced past issues — it is not a forecast for this one. See every issue they have handled on the lead managers page.
Arete 22 IPO: frequently asked
When will the Arete 22 IPO open?
The Arete 22 IPO dates are not announced yet. SEBI is waiting for in-principle approval from the stock exchanges. The company announces the dates and price band after it files its red herring prospectus (RHP) with the Registrar of Companies, usually a week or two before bidding opens. This page switches to the full IPO page with dates, price band and lot size as soon as that happens.
What is the Arete 22 IPO price band?
The price band is not announced yet. It is set by the company and its lead managers and published with the RHP, a few days before the issue opens. The DRHP fixes only the face value of ₹10 per share.
How big is the Arete 22 IPO?
Arete 22 filed its draft red herring prospectus (DRHP) with SEBI on 5 Oct 2026 for an IPO of a fresh issue of up to ₹440 crore. The DRHP puts the total at about ₹440 crore.
Has SEBI approved the Arete 22 IPO?
SEBI is waiting for in-principle approval from the stock exchanges. SEBI observations are valid for 12 months; the IPO has to open within that window or the company must file again.
What is the Arete 22 IPO GMP?
There is no grey market premium to report before the price band is announced. IPO Guru starts tracking the Arete 22 IPO GMP once the RHP and price band are out.
What will Arete 22 do with the IPO money?
As per the DRHP: Fund working capital requirements of the company; Repay or prepay certain debts of the company; Purchase plant and machinery for existing manufacturing facilities; General corporate purposes.
Who are the lead managers of the Arete 22 IPO?
The book running lead managers are Unistone Capital Private Limited. Bigshare Services Private Limited is the registrar.
Is Arete 22 profitable?
Yes. Profit after tax was Rs 44.97 crore in FY2026, Rs 12.36 crore in FY2025 and Rs 2.92 crore in FY2024.
Who are the customers of Arete 22?
Arete 22 sells aluminium alloy wheels directly to two-wheeler OEMs. The top 5 customers gave 98.77% of revenue from operations in FY2026.
Who owns Arete 22?
Promoters Abhishek Gupta, Pawan Kumar Gupta, Naveen Gupta and Konica Gupta hold 86.66% together. The promoter group holds the other 13.34%.
Other companies in the IPO pipeline
Mainboard companies with drafts filed with SEBI, same bankers first.
Know the day the price band is out.
We track every mainboard draft from SEBI filing to listing. When Arete 22 files its RHP, this page becomes the full IPO page with dates, price band, lot size, GMP and subscription.
Not investment advice. Figures are from the company's draft offer document filed with SEBI and may change in the RHP.
