Euro Pratik Sales IPO opens on Sept 16; key risks, strengths you must know

Euro Pratik Sales IPO: The initial public offering (IPO) of decorative wall panels seller will open for bidding on Tuesday, September 16, 2025. The public issue worth ₹451.31 crore comprises an offer for sale (OFS) of 18.3 million equity shares, with no fresh issue component.  

 

The three-day subscription window is scheduled to close on Thursday, September 18, 2025. Euro Pratik Sales IPO is available at a price band of ₹235-247 per share, with a lot size of 60 shares. 

 

MUFG Intime India is the registrar for the issue. Axis Capital and DAM Capital Advisors are the book-running lead managers.

 

 

The entire proceeds of the issue will be received by selling shareholders, and the company will not receive any money from the offer.

Here are the key risks associated with investing in Euro Pratik Sales IPO:

Dependence on key manufacturer: The company is materially dependent on its largest contract manufacturer for product manufacturing. In financia year 2025, 2024, and 2023, purchases from this manufacturer accounted for 24.03 per cent, 70.56 per cent, and 56.18 per cent of total procurement, respectively. Any disruption or loss of this key partner could significantly impact the company's operations, financial health and performance. 

 

Strain on operating cash flows: The company reported negative cash flows from operating activities in financial year 2024-25. Continued negative cash flow could impact working capital availability hinder business operations, and limit execution of growth strategies, potentially affecting overall finanial performance. 

 

Revenue concentration risk: Euro Pratik derives a significant portion of its revenue from the sale of Decorative Wall Panels contributing 66.13 per cent, 76.54 per cent and 66.12 per cent of operational revenue in fiscals 2025, 2024, and 2023, respectively. Any decline in demand or increased competition from substitute products could materially impact business performance. 

 

Brand Ownership: The company does not own the "Euro Pratik" brand name, which is crucial to its business operations. Inability to use, safeguard, or effectively leverage this brand could negatively impact the company's market position.

 

Regulatory warning to promoters: The company’s Promoters, Jai Gunvantraj Singhvi and Pratik Gunvantraj Singhvi, have previously received an administrative warning from the Securities and Exchange Board of India (Sebi). Any past or future regulatory actions could impact its reputation, divert management focus, and potentially affect the company’s business and performance.  ALSO READ | Airfloa Rail Technology IPO ends today: Subscription nears 62x, GMP up 118%

Here are the key competitive strengths of Euro Pratik Sales IPO, as outlined in the RHP:

Leading player in wall panels: Euro Pratik is a recognised as one of India's leading and largest organised brands in the Decorative Wall Panels segment, holding a 15.87 per cent  market share in the organised sector as of fiscal 2023. According to a Technopark Report, revenue from Decorative Wall Panels during the year stood at ₹1,742.89 million. 

 

Diverse product range: As of March 31, 2025, the company offered over 30 product categories and more than 3,000 designs. As a product innovator in the Louvers, Chisel and Auris segments within India's Decorative Wall Panels and Laminates industry, Euro Pratik has introduced several first-to-market products by anticipating consumer and industry trends. Over the past seven years, the product portfolio has steadily expanded under the “Euro Pratik” and “Gloirio” brands, reinforcing the company’s focus on innovation and market relevance. 

 

Asset-light business model: The company follows an asset-light model, emphasising product design and development while outsouring manufacturing to trusted partners Manufacturing is carried out by global players such as Miga, South Korea, who bring advanced technology and expertise. This approach reduces the need for significant capital investment in production infrastructure.