MV Electrosystems has announced a price band of Rs 400 to Rs 425 per share for its upcoming initial public offering (IPO), which aims to raise Rs 290 crore. At the higher end of the price range, the company’s market valuation is projected to reach Rs 1,160 crore post-listing.
The IPO, entirely consisting of a fresh issue of shares with no offer for sale, will open for subscription on July 30 and conclude on August 3. The funds generated from this offering are planned to address long-term working capital needs, enhance investment in research, design, and development of new power electronic equipment, as well as to cover general corporate expenses.
MV Electrosystems operates as a technology-focused firm involved in the design, assembly, and manufacture of electrical and power electronics equipment, primarily for railway applications. Its offerings include advanced propulsion systems for electric locomotives and switchgear panels for railway coaches.
In terms of allocation, 75 percent of the shares have been set aside for qualified institutional buyers (QIBs), 15 percent for non-institutional investors (NIIs), and 10 percent for retail investors. The company’s shares are expected to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on August 6. Sundae Capital Advisors serves as the sole book-running lead manager for the issue, while KFin Technologies is responsible for its registration.
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