Sham Foam IPO

SME • BSE SME • Fresh capital only

LISTEDSMEBSE SME

Sham Foam

Price band

₹130

Lot size

1000 shares

Min investment

₹1,30,000

Issue size

₹40.48 Cr

About the company

Sham Foam Limited was started in 2020. The company makes and sells polyurethane foam, that is PU foam, along with mattresses, pillows, cushions and other home comfort products. It also makes industrial grade PU foam that is used in furniture, clothing, sports goods and automobiles. The company sells mattresses under the brands Featherfresh and Restivia, in pure foam as well as hybrid versions using spring and rebonded foam. Pillows and cushions are sold mainly under the Featherfresh brand. It also makes customised foam as per customer requirement. The company is vertically integrated, which means it handles design, manufacturing, distribution and customer service on its own. Its factory at Ambala in Haryana is spread over 2,04,460 square feet with a foam production capacity of 15,000 tonnes per year, and it holds ISO 9001:2015 and BIS certification. It currently supplies to 13 states including Punjab, Haryana, Delhi, Uttar Pradesh, Rajasthan, Gujarat, Maharashtra and Madhya Pradesh.

Sham Foam Limited makes polyurethane foam, mattresses, pillows and cushions under the Featherfresh and Restivia brands. Its Ambala plant in Haryana has a capacity of 15,000 tonnes per year, and the company supplies to 13 states across north and west India.

IPO details

Issue price: ₹130
Price band: ₹130
Face value: ₹10
Lot size: 1000
Min investment: ₹1,30,000
Issue size: ₹40.48 Cr
Sale type: Fresh capital only
Listing on: BSE SME
BSE scrip code: 7881
NSE symbol: SHAMFOAM.BO

Lot size & investment by category

APPLICATION	LOTS	SHARES	AMOUNT
Retail (Min)	1	1,000	₹1,30,000
Retail (Max)	1	1,000	₹1,30,000
HNI (Min)	2	2,000	₹2,60,000

Investor reservation

CATEGORY	RESERVED
NII	14,79,000 shares (50.00% of the Offer)
Retail	14,79,000 shares (50.00% of the Offer)

Objects of the issue

1To finance the Capital expenditure requirements for civil construction and purchase of Machineries and Equipments for existing manufacturing facility14.72

2To part finance the requirement of Working Capital14.25

3To meet General Corporate Purposes6.04

Financials

Rs. Crore • restated

METRIC	31 Mar 2026	31 Mar 2025	31 Mar 2024
Assets	49.32	36.58	33.55
Total Income	92.39	81.62	73.89
Profit After Tax	8.65	3.58	2.97
EBITDA	11.00	4.69	4.43
NET Worth	21.11	12.46	8.88
Reserves and Surplus	12.74	4.25	8.70
Total Borrowing	3.99	9.22	10.11

Key performance indicators

P/E Ratio

17.26

EPS (₹)

7.53

RoCE

45.73%

RoNW

40.97%

PAT Margin

9.37%

✓ Strengths

• Profit has grown strongly. Profit after tax went from Rs 2.97 crore in FY2024 to Rs 3.58 crore in FY2025 and Rs 8.65 crore in FY2026, a rise of 142% in the last year.

• The company reduced its debt. Total borrowing came down from Rs 10.11 crore in FY2024 to Rs 3.99 crore in FY2026, while net worth rose from Rs 8.88 crore to Rs 21.11 crore.

• EBITDA more than doubled in the last year, from Rs 4.69 crore to Rs 11.00 crore.

• The company is vertically integrated and runs the full chain from design to distribution, which helps it protect margin.

• It has its own brands, Featherfresh and Restivia, instead of only doing job work for others.

• The Ambala factory is large at 2,04,460 square feet with 15,000 tonnes per year capacity and holds ISO 9001:2015 and BIS certification.

• Sales are spread across 13 states rather than one region.

• It sells both home comfort products and industrial grade foam, so it is not dependent on the mattress market alone.

⚠ Risks

• The company was started only in 2020, so it has a short track record of about six years.

• Sales growth is slow. Total income rose only 13% in FY2026, from Rs 81.62 crore to Rs 92.39 crore, while profit rose 142%. This means the profit jump came from margin improvement, which may not repeat.

• PU foam is made from chemicals linked to crude oil. Any sharp rise in raw material prices will directly reduce margin.

• The entire manufacturing is at one plant in Ambala, Haryana, so there is single location risk.

• The mattress market has strong national brands with large advertising budgets, and competing with them on brand pull is difficult.

• This is a fixed price issue at Rs 130 per share, so there is no price discovery through bidding as happens in a book built issue.

• Promoter holding will come down from 100% to 72.90% after the issue.

• This is an SME issue. One lot is 1,000 shares, which is Rs 1.30 lakh at the issue price, and SME shares usually trade in low volume after listing.

Promoters & holding

Rajinder Kumar Jindal, Sanjeev Kumar Jindal, Monica Jindal, Deepika Jindal, Abhinav Jindal, Kunal Jindal and Charming Fashions Pvt.Ltd

Pre-issue promoter holding

100%

Post-issue promoter holding

72.9%

Data refreshed 07 Nov 2026, 05:07 pm IST. GMP is unofficial market sentiment, not investment advice.