Mangal Electrical Industries to Launch ₹400 Crore IPO for Growth and Debt Reduction

Mangal Electrical Industries IPO

Mangal Electrical Industries Ltd., a homegrown manufacturer of transformers and electrical components, has unveiled plans to raise ₹400 crore through its Initial Public Offering (IPO). The issue will open for subscription on August 20, 2025, and remain available to investors until August 22, 2025.

mangal electrical industries
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The IPO is a fresh issue of  equity shares, with a price band set between ₹533 and ₹561 per share. The company’s shares are proposed to list on both the BSE and NSE, with a tentative debut on August 28, 2025.

Mangal Electrical Industries IPO Objectives

Mangal Electrical intends to channel the proceeds into several key areas:

  • ₹122 crore will support working capital needs to strengthen day-to-day operations.
  • ₹101.27 crore will go toward reducing outstanding debt, which stood at ₹149.12 crore at the close of FY25.
  • ₹87.86 crore is earmarked for capital expenditure, including expansion at its Unit IV facility in Reengus, Sikar district.
  • The balance will be set aside for general corporate purposes.

Mangal Electrical Industries Financial Highlights

The Jaipur-based company has been on an impressive growth trajectory. For FY25, it reported:

  • Total income of ₹551.39 crore, up 22% from the previous year.
  • Profit After Tax (PAT) of ₹47.31 crore, more than double the ₹20.95 crore recorded in FY24.
  • Net worth of ₹162.16 crore as of March 2025.

About the Company

Founded in 2008, Mangal Electrical Industries is engaged in manufacturing transformers ranging from 5 KVA to 10 MVA. It also produces essential transformer components such as lamination, CRGO slit coils, and amorphous ribbons, marketed under its brand Mangal Electrical. In addition, the company provides EPC services for electrical substations and currently operates five production facilities across Rajasthan.

Mangal Electrical Industries IPO Lot Size & Reservations

  • Lot size: 26 shares per lot
  • Minimum retail investment: ₹14,586 (1 lot at upper price band)
  • Maximum retail investment: ₹1,89,618 (13 lots)
  • Up to 50% for Qualified Institutional Buyers (QIBs),
  • At least 35% for Retail Investors, and
  • At least 15% for Non-Institutional Investors.

Promoters Rahul Mangal, Ashish Mangal, Saroj Mangal, and Aniketa Mangal currently hold 100% of the company’s equity. Following the issue, their stake will be diluted, with the overall share base expanding from 2.05 crore shares to 2.76 crore shares.

Systematix Corporate Services Ltd. will act as the book-running lead manager, while Bigshare Services Pvt. Ltd. has been appointed registrar. The basis of allotment is expected by August 25, 2025 and tentative listing date is 28 August.

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Disclaimer: This content is about intended solely for educational and informational purposes and should not be interpreted as financial or investment advice. The information presented is derived from publicly available sources and composed only for information purposes; however, its accuracy or completeness is not guaranteed. Readers are encouraged to conduct their own due diligence and seek guidance from a professional financial advisor before making any investment decisions. Neither the author nor stoxmail.com assumes responsibility for any financial losses or investment actions taken based on this article.
Source: Chittorgarh.com, BSE, SEBI

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