The railway power electronics company will offer its shares between ₹ 400 and ₹ 425, which will value the company at ₹ 1,160 crore at the higher end after listing.
MV Electrosystems fixed a price band of ₹ 400 to ₹ 425 per share on Monday for its ₹ 290-crore initial public offering. At the top end of the range, the company’s post-listing market valuation is estimated at ₹ 1,160 crore. The IPO is entirely a fresh issue of shares, with no offer-for-sale component from existing shareholders. Subscription opens July 30 and closes August 3, with listing on the BSE and NSE proposed for August 6.
What the Company Does
MV Electrosystems designs, develops, assembles, and manufactures electrical and power electronics equipment used in railway rolling stock, including advanced propulsion systems for electric locomotives and switchgear panels for railway coaches — positioning it within India’s expanding railway infrastructure and electrification push.
How the Funds Will Be Used
Proceeds from the fresh issue will go toward supporting long-term working capital requirements, funding research, design, and development of new power electronic equipment, and covering general corporate purposes.
Allocation and Issue Management
The allotment of shares under the IPO was in the ratio of 75% for qualified institutional buyers, 15% for non-institutional investors, and 10% for retail investors. Sundae Capital Advisors has been appointed as the sole book-running lead manager for the issue. KFin Technologies has been appointed as the registrar to the issue.
The IPO comes against the backdrop of a busy primary market as Indian railway and industrial equipment makers tap capital markets to fund growth plans and innovation efforts.
