Mangal Electrical Industries files draft papers for Rs 450 cr IPO

Transformer components manufacturer Mangal Electrical Industries Ltd has filed draft papers with the capital markets regulator Sebi to raise Rs 450 crore through an Initial Public Offering (IPO).

The IPO of the Jaipur-based company is completely a fresh issue of shares with no Offer For Sale (OFS) component, according to the Draft Red Herring Prospectus (DRHP).

The company may consider raising Rs 90 crore through a pre-IPO placement. If such placement is completed, the fresh issue size will be reduced.

As per the draft papers filed on Tuesday, proceeds from the fresh issue to the tune of Rs 122 crore will be used for funding working capital requirements of the company, Rs 120 crore for expanding the facility at Sikar, Rajasthan along with civil works at head office in Jaipur, Rajasthan, to increase storage capacity and Rs 96 crore for payment of debt, and general corporate purposes.

Mangal Electrical Industries is a processor of transformer components, transformer lamination, amorphous cores, coil assemblies and core assemblies, wound core, toroidal core, and oil-immersed circuit breakers.

As of November 30, 2024, Mangal Electrical Industries' order book stood at Rs 97.87 crore.

On the financial front, the company's revenue from operations increased by 26.86 per cent to Rs 449.48 crore in fiscal 2024 from Rs 354.31 crore in fiscal 2023. Profit after tax rose to Rs 24.74 crore in fiscal 2024 from Rs 20.95 crore in fiscal 2023.

For the six months ended September 2024, revenue from operations was at Rs 247.02 crore, and profit after tax stood at Rs 19.73 crore.

Systematix Corporate Services is the sole book-running lead manager and Bigshare Services is the registrar of the issue.  Unimech Aerospace subscribed 174.93 times on concluding day

The initial public offering of Unimech Aerospace and Manufacturing received 174.93 times subscription on the last 

day of bidding on Thursday. The Rs 500 crore initial share sale got bids for 82,28,93,040 shares against 47,04,028 shares on offer, according to NSE data.  Qualified institutional buyers garnered a mammoth 317.63 times subscription while the portion for non-institutional investors got subscribed 263.40 times. The category for retail individual investors received 56.16 times subscription.  The IPO has a fresh issue of up to Rs 250 crore and an offer-for-sale (OFS) of up to Rs 250 crore. Price range for the offer has been fixed at Rs 745-785 per share. Anand Rathi Advisors Ltd and Equirus Capital Private Ltd are the book-running lead managers to the offer.