Propshop Events & Exhibitions IPO (27-29 July) Analysis

IPO Analysis | NSE Emerge | 100% Book Built Offer (Fresh Issue and Offer for Sale) | Regulation 229(2)

Based on Red Herring Prospectus dated July 21, 2026 | Trade Show and Exhibition Booth Rental and Manufacturing | Mumbai, Maharashtra

STATUS: LIVE RHP, BIDDING OPENS MONDAY JULY 27 AND CLOSES WEDNESDAY JULY 29, 2026

Fresh Issue: up to 33,40,000 Equity Shares | Offer for Sale: up to 8,00,000 Equity Shares by 2 Promoters | Total: up to 41,40,000 Equity Shares

NSE Emerge Platform | Only 1 Listed Peer (Exhicon Events Media Solutions) | Financials Based on an 11 Month Stub Period Ended February 28, 2026

 Propshop Events and Exhibitions Limited was incorporated as Propshop Events and Exhibitions Private Limited on August 22, 2019, and converted to a public limited company on February 10, 2025. Its CIN is U92490MH2019PLC329470 and its registered office is at 18E AC Shed, Plot No. 837, TPS 3, Mori Road, Mahim West, Mumbai. The Promoters are Prathamesh Shantaram Pusalkar and Aarti Prathamesh Pusalkar.

The Company is engaged in trade show and exhibition booth rental and manufacturing, offering both custom-built and modular exhibition solutions spanning concept design, 3D visualization, project management, logistics, on-site supervision, fabrication, installation and post-event dismantling. Its clients span industries including industrial machinery and equipment, building materials, furnishing and decor, chemicals, media and entertainment, healthcare and cosmetics, and food and beverages.

The Company has more than 12 years of operating experience (predating its 2019 incorporation, reflecting the Promoters' prior track record) executing both B2B and B2C-focused events, with a physical presence in India and working relationships with local teams in key global exhibition hubs including the United States, the United Kingdom, Dubai, Germany, Spain and Singapore. It engages subcontractors on a partial or full basis depending on project needs, directly hires and manages them, and also takes on subcontracted work from other firms.

Revenue from operations grew from Rs.2,591.09 Lakhs in Fiscal 2023 to Rs.5,151.82 Lakhs in Fiscal 2025, and reached Rs.5,980.78 Lakhs in the 11 month stub period ended February 28, 2026, already exceeding the whole of Fiscal 2025.

PAT grew from Rs.96.84 Lakhs in Fiscal 2023 to Rs.632.30 Lakhs in Fiscal 2025, with a further Rs.646.37 Lakhs recorded in the 11 month stub period. Investors should note throughout this report that the most recent period presented is an 11 month stub (through February 28, 2026), not a full 12 month fiscal year, which affects direct year over year comparability, particularly for cash flow and any annualised ratios.

The IPO: Key Basics

Particulars	Details
Document Type	Red Herring Prospectus (RHP) dated July 21, 2026. This is a live offer with a very short window: Bid or Offer opens Monday, July 27, 2026 and closes Wednesday, July 29, 2026.
Issue Structure	100% Book Built Offer comprising a Fresh Issue of up to 33,40,000 Equity Shares by the Company and an Offer for Sale of up to 8,00,000 Equity Shares by the 2 Promoters, aggregating to up to 41,40,000 Equity Shares. Face value Rs.10 per share.
Face Value	Rs.10 per Equity Share.
Promoters and Selling Shareholders	Both Promoters are Selling Shareholders: Prathamesh Shantaram Pusalkar (Managing Director, holding 75.00% pre-Offer) is offering up to 5,00,000 shares at a WACA of Rs.0.03; Aarti Prathamesh Pusalkar (Non-Executive Director, holding 19.55% pre-Offer) is offering up to 3,00,000 shares at a WACA of Rs.7.03. Together the Promoters and 1 other KMP hold 94.55% of pre-Offer capital.
Eligibility Route	Regulation 229(2) of the SEBI ICDR Regulations, 2018.
Listing Exchange	Emerge Platform of the National Stock Exchange of India (NSE Emerge), with approval dated December 31, 2025. This is one of the few reports in this series listing on NSE Emerge rather than BSE SME.
BRLM	Unistone Capital Private Limited.
Registrar	MUFG Intime India Private Limited (formerly Link Intime India Private Limited).
Bid or Offer Dates	Opens: Monday, July 27, 2026. Closes: Wednesday, July 29, 2026.
Listed Peers, One Line	Only 1 listed peer, Exhicon Events Media Solutions Limited, roughly 2.8 times larger by revenue, with lower RoNW than the Company.

The most distinctive feature of this offer is that both Promoters are simultaneously selling shareholders, at very different WACAs (Rs.0.03 for the Managing Director versus Rs.7.03 for the Non-Executive Director), both a tiny fraction of the likely Offer Price. This is also a services business with no manufacturing facility Object, unlike most manufacturing-sector reports in this series, and it lists on NSE Emerge rather than BSE SME.

How Will the IPO Money Be Used?

Object	Estimated Amount (Rs. Lakhs)	Substantiation
Funding working capital requirements	1,662.00	Backed by a Statutory Auditor certificate (HRJ & Associates, dated July 13, 2026) and a stated schedule of deployment across FY 2027 (Rs.662.00 Lakhs) and FY 2028 (Rs.1,000.00 Lakhs). This is consistent with the Company's own disclosed working capital trend, which shows Net Working Capital Requirements rising from Rs.91.53 Lakhs in FY 2023 to Rs.1,597.39 Lakhs in the 11 month stub period.
General corporate purposes	[TBD]	Capped at 15% of Gross Proceeds or Rs.1,000 Lakhs, whichever is lower. No further breakdown provided, as is standard.

Unlike most manufacturing companies in this report series, this Offer has no capital expenditure Object at all: the entire Fresh Issue is earmarked for working capital and general corporate purposes, which is consistent with the Company's asset-light, services-based business model (booth rental, fabrication and project management rather than owned heavy manufacturing).

The working capital Object is reasonably well grounded in the Company's own historical trend, which shows a genuine and rapid increase in net working capital requirements as revenue has scaled. As with all RHPs at this stage, the Gross Proceeds, Net Proceeds and General Corporate Purposes figures remain undetermined until the Offer Price is fixed.

Financial Performance

P&L and Key Metrics (Rs. Lakhs unless stated)

Particulars	Feb 28, 2026 (11mo stub)	FY 2025	FY 2024
Revenue from operations	5,980.78 (11mo stub)	5,151.82	3,051.48
Total income	5,994.39 (11mo stub)	5,158.72	3,056.67
Profit after tax	646.37 (11mo stub)	632.30	219.46
Basic and Diluted EPS (Rs.)	5.72 (11mo stub)	6.09	2.30
Return on net worth / RoNW (%)	36.35 (not annualized)	55.86	52.69
NAV per equity share (Rs.)	15.75	10.90	4.36

Balance Sheet and Cash Flow Highlights (Rs. Lakhs)

Particulars	Feb 28, 2026 (11mo stub)	FY 2025	FY 2024
Total assets	2,570.70	1,846.15	1,110.08
Net working capital requirement	1,597.39	1,159.20	375.79
Net cash from / (used in) operating activities	225.17	14.01	(9.34)

This is one of the reports in this series where the most recent financial period presented is an 11 month stub (through February 28, 2026) rather than a clean 12 month fiscal year, so direct comparison against the full FY 2025 and FY 2024 figures should be read with that caveat in mind rather than treated as a like-for-like annual comparison.

Within that constraint, the underlying trend is strong: revenue grew from Rs.2,591.09 Lakhs in FY 2023 to Rs.5,151.82 Lakhs in FY 2025 (roughly 41% and 69% year on year growth in FY24 and FY25 respectively, independently recomputed and reconciling with the RHP's figures), and the Company had already matched or exceeded full year FY 2025 revenue and profit within an 11 month window.

RoNW has been consistently high but on a declining trend: 92.08% in FY 2023, 52.69% in FY 2024, 55.86% in FY 2025, and 36.35% (not annualized) in the 11 month stub. Part of this decline reflects a genuinely growing net worth base (NAV per share rose from Rs.4.36 to Rs.15.75 over the same period) rather than a deterioration in profitability, but investors should not extrapolate the very high early-year RoNW figures forward.

On cash flow, the Company's own Risk Factors disclose negative operating cash flow of Rs.(9.34) Lakhs in FY 2024, despite a healthy Rs.294.62 Lakhs of profit before tax that year, driven primarily by a Rs.256.42 Lakhs unfavourable change in working capital; operating cash flow recovered to positive Rs.14.01 Lakhs in FY 2025 and Rs.225.17 Lakhs in the 11 month stub.

This is a real, disclosed instance of profit and operating cash flow diverging in FY 2024 specifically, consistent with a fast-growing services business where receivables and other current assets are growing faster than payables.

How Does It Compare to Peers?

Company	Revenue FY25 (Rs. Lakhs)	Diluted EPS (Rs.)	P/E (times)	RoNW (%)	NAV/Share (Rs.)
Propshop Events and Exhibitions Limited	5,151.82	6.09	N/A (Price TBD)	55.86	10.90
Exhicon Events Media Solutions Limited	14,351.22	15.56	27.31 (industry P/E)	27.00	86.46

The RHP discloses only 1 listed peer, Exhicon Events Media Solutions Limited, and notes plainly that this is due to the specific nature and size of the Company's business, similar to several other single-peer or no-peer companies in this report series.

Exhicon is roughly 2.8 times larger than Propshop by FY 2025 revenue, yet Propshop's RoNW of 55.86% is more than double Exhicon's 27.00%, and Propshop's NAV per share of Rs.10.90 is considerably lower than Exhicon's Rs.86.46, reflecting Propshop's smaller, more recently capitalised equity base following its 2025 public company conversion. As with other single-peer comparisons in this series, this should be read as a limited, directional data point rather than a robust industry benchmark.

Key Risks

l The most recent financial period in this RHP is an 11 month stub (through February 28, 2026), not a full fiscal year, which affects the comparability of headline growth and ratio figures against the FY 2023 to FY 2025 full year numbers presented alongside it.

l The Company experienced negative operating cash flow in FY 2024 (Rs.(9.34) Lakhs) despite Rs.294.62 Lakhs of profit before tax that year, driven by an unfavourable working capital swing, illustrating that reported profitability and cash generation have diverged in at least one recent year.

l Sales are concentrated in Gujarat, Maharashtra and Karnataka, and a significant portion of domestic sales are derived from the West zone specifically, exposing the Company to regional demand or disruption risk.

l The Company has outstanding tax proceedings against it (Rs.24.47 Lakhs) and against its Promoters individually (Rs.27.78 Lakhs), the outcomes of which are not guaranteed to be favourable.

l The Company depends on third-party outsourced subcontractors to deliver services, and its Registered Office and godown facilities are on leased premises with no guarantee of renewal on similar terms.

l Working capital requirements have grown very rapidly, from Rs.91.53 Lakhs in FY 2023 to Rs.1,597.39 Lakhs in the 11 month stub period, and the Fresh Issue's largest identified Object is funding this growing requirement rather than a fixed asset with a defined completion date.

l The Promoters have extended personal guarantees in connection with certain of the Company's debt facilities, linking their personal financial exposure to the Company's borrowings.

l There is a documented history of delayed statutory filings with the Registrar of Companies (INC-20A, ADT-1, INC-27, AOC-4) and delayed payment of statutory dues (ESIC and EPF), with delays in some instances exceeding 100 days.

l The Company is exposed to counterparty credit risk, with delays in receiving payments from customers a recurring feature of its Risk Factors.

l The Company faces significant competition for skilled professionals in a labour-intensive services business, and its success depends materially on its people.

l The Company is exposed to casualty risk during the physical events and exhibitions it services, and its insurance coverage may not adequately protect against all such risks.

l The Company depends on third-party transportation providers for delivery of materials, introducing logistics execution risk around event timelines.

Positives to Note

l The Company has scaled revenue substantially, from Rs.2,591.09 Lakhs in FY 2023 to Rs.5,151.82 Lakhs in FY 2025, and had already matched that full year figure within an 11 month stub period through February 2026.

l RoNW of 55.86% in FY 2025 is more than double that of the Company's sole listed peer, Exhicon Events Media Solutions Limited (27.00%), despite Propshop being the smaller of the two.

l The Fresh Issue is entirely directed at working capital, an asset-light use of proceeds with no execution risk tied to constructing or commissioning a physical facility, unlike the capital expenditure heavy Objects seen in most manufacturing IPOs in this series.

l The Company has an international footprint for a business of its size, with working relationships in major global exhibition hubs including the United States, United Kingdom, Dubai, Germany, Spain and Singapore, alongside its India operations.

l The Company's own disclosure shows no litigation by the Company against any party, and no litigation at all involving its Directors, Senior Management Personnel or Key Managerial Personnel, limiting the scope of disclosed legal risk to specific tax matters against the Company and Promoters.

l The Promoters and 1 other KMP together hold 94.55% of pre-Offer share capital, indicating a concentrated, aligned ownership base with strong incentive to see the Company perform post listing.

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