A Haridwar-based reclaimed rubber manufacturer plans to raise Rs 51.55 crore via the BSE SME platform.
Horizon Reclaim (India) Ltd., a manufacturer of reclaimed rubber products using recycled tyres and rubber waste, opens for subscription on June 12 with the issue closing on June 16. The company is listing on the BSE SME platform. This is a 100% fresh issue.
What the Company Does
Incorporated in 2006 and operating from a manufacturing facility in Haridwar, Uttarakhand, Horizon Reclaim processes used tyres, rubber tubes, tread peelings, and industrial rubber scrap into three categories of reclaimed rubber: natural rubber reclaim, synthetic rubber reclaim, and crumb rubber. These products serve as lower-cost substitutes for natural and synthetic rubber across end-use industries including automotive components, footwear, construction materials, moulded rubber goods, and sports surfaces.
The company is registered with CPCB as a Waste Tyre Recycler and holds registration under the Extended Producer Responsibility (EPR) framework, giving it a regulatory positioning in India’s growing waste recycling ecosystem.
Installed capacity is 14,100 MTPA. The company plans to use IPO proceeds for working capital, debt repayment, and capex including a new Unit III at Bhagwanpur, Haridwar.
Issue Details
| Particulars | Details |
|---|---|
| Issue Opens | June 12, 2026 |
| Issue Closes | June 16, 2026 |
| Listing | BSE SME (June 19, 2026) |
| Price Band | Rs 98 – Rs 103 per share |
| Face Value | Rs 10 |
| Issue Size | Rs 51.55 crore (100% Fresh Issue) |
| Lot Size | 1,200 shares (min 2 lots = 2,400 shares) |
| Min. Retail Investment | Rs 2,47,200 |
| BRLM | GYR Capital Advisors Pvt. Ltd. |
| Registrar | KFin Technologies Ltd. |
| Market Maker | Giriraj Stock Broking Pvt. Ltd. |
Financial Performance
| Particulars (Rs cr) | FY24 | FY25 | FY26 |
|---|---|---|---|
| Revenue | 20.33 | 36.22 | 49.42 |
| EBITDA | 1.17 | 10.46 | 16.32 |
| EBITDA Margin | 5.72% | 28.89% | 33.02% |
| PAT | 0.71 | 7.07 | 10.50 |
| PAT Margin | 3.50% | 19.51% | 21.25% |
| RoCE | 13.11% | 40.70% | 25.45% |
| D/E | 0 | — | 1.44 |
Revenue has grown from Rs 20.33 crore in FY24 to Rs 49.42 crore in FY26, and profit has grown 15x over the same period. However, the margin expansion is extremely sharp — EBITDA margins went from 5.72% in FY24 to over 33% in FY26, and PAT margins from 3.50% to 21.25%. For a reclaimed rubber manufacturer in a commoditised segment, these are extraordinary margins that warrant careful scrutiny.
The sole listed peer, Lead Reclaim, trades at approximately 16.6x P/E — against which the Horizon Reclaim issue at 19.14x on FY26 earnings and 28.45x on FY25 earnings appears moderately to aggressively priced depending on which earnings base is used.
BRLM Track Record: This is the 59th mandate from GYR Capital. Of the last 11 listings, 2 listed at par and the rest with premiums from 4.92% to 90%.
Risks to Consider
The dramatic margin expansion from under 6% to over 33% EBITDA margins in just three years in a reclaimed rubber business is difficult to fully explain on fundamental grounds and invites concern about whether these margins will sustain. The new Unit III at Bhagwanpur has not yet commenced commercial operations, adding execution risk. Total debt rose from nil in FY24 to Rs 35.76 crore in FY26 (D/E: 1.44), and working capital requirements have increased sharply. Business depends on the availability and pricing of used tyres, which are themselves subject to supply chain and regulatory dynamics.
Analyst View
Analysts note that the sudden boost in bottom lines significantly outperforms peers and raises eyebrows and concern over sustainability in a highly competitive and fragmented segment. The issue appears aggressively priced based on the last three fiscals’ earnings, note analysts.