The Rs 400 crore issue was subscribed nearly 10 times overall, with robust participation across investor categories. However, in the grey market, the stock is trading flat with a premium of Rs 0, indicating a listing close to the issue price of Rs 561 per share.
The IPO, which was open from August 20 to 22, attracted solid interest from institutional and non-institutional investors alike. The qualified institutional buyers’ (QIB) portion was subscribed 11.09 times, while the non-institutional investors’ (NII) quota saw bids 19.78 times the shares on offer. The retail segment also drew good demand, with a subscription of 5.09 times.
Objects of the IPO
The company plans to use the proceeds for partial or full repayment of certain outstanding borrowings, capital expenditure, including civil works for expanding its Unit IV facility at Reengus, Sikar district, Rajasthan, working capital requirements, and other general corporate purposes.
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Company background and strengths
Founded in 2008, Mangal Electrical Industries is a leading player in the power equipment sector, specialising in transformers for electricity distribution and transmission.Its product portfolio spans CRGO coils, amorphous cores, coil assemblies, wound cores, toroidal cores, and oil-immersed circuit breakers. The company operates five manufacturing units in Rajasthan with significant capacity for transformer components and also undertakes EPC projects for electrical substations.The “Mangal Electrical” brand is well recognised in the industry, supported by strong backward and forward integration that ensures cost efficiency and quality control. The company is expanding into high-voltage (132 KV–200 MVA), inverter-duty and dry-type transformers, while enhancing backward integration through in-house CRGO processing and tank fabrication. Expansion of Unit IV will begin in phases from January 2026.
Financial performance
Mangal Electrical Industries (MEIL) reported strong growth in FY25, with revenue rising 22% year-on-year to Rs 551.39 crore. Profit after tax more than doubled to Rs 47.31 crore from Rs 20.95 crore in FY24, reflecting robust operational performance.
The company also delivered healthy returns, with Return on Net Worth (RoNW) at 34.14% in FY25, compared to 20.05% in FY24 and 30.32% in FY23. Return on Capital Employed (RoCE) stood at 25.38% in FY25, up from 19.92% in FY24 and 23.24% in FY23.
The IPO was managed by Systematix Corporate Services, while Bigshare Services acted as the registrar.
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