Ahead of IPO, Parth Electricals raises ₹13.8 cr from anchor investors

Parth Electricals & Engineering raises ₹13.8 crore from anchor investors ahead of its ₹49.72 crore IPO opening on August 4. Key investors include Capri Global, Beacon Stone, and IndiaMax

Electrical component manufacturer Parth Electricals & Engineering has announced that it secured ₹13.8 crore from anchor investors just ahead of its ₹49.72 crore initial public offering (IPO), which opens on August 4.

 

Among the investors who participated in the anchor round are Capri Global Capital, Beacon Stone Capital, and IndiaMax Investment Fund, the company said in a statement.

IPO details: Price, dates and listing

The company has set the IPO price between ₹160 and ₹170 per share. The ₹49.72 crore IPO will open on August 4 and close on August 6. After that, the shares will be listed on NSE’s SME platform, Emerge.

 

This public offering is a fresh issue of 2.9 million shares. Earlier, the company had raised ₹12 crore through a pre-IPO placement. Parth Electricals plans to use the funds raised through the IPO as follows:

• ₹20 crore to build a GIS (Gas Insulated Switchgear) manufacturing facility in Gujarat.
• ₹19 crore to set up a new plant in Odisha.
• ₹15 crore will go towards repaying debt.
• The remaining amount will be used for general corporate needs.

Expansion and production growth

 

Managing Director Jignesh Patel highlighted the company’s growth, saying: "From 900 RMUs two years ago, we now produce 3,000 annually. We're also manufacturing around 100 compact sub-stations every year." 

 

Currently, Parth Electricals operates from a unit in Vadodara, Gujarat. It is investing ₹40 crore to establish two new plants — one in Vadodara for gas-insulated switchgear, and the other in Khurda, Odisha — to better serve fast-growing areas like eastern India.

 

The company has an order book worth ₹140 crore. This includes a recent ₹48 crore contract from Waaree Energies for a 6.5 GW solar project in Navsari. With rising demand from key clients such as Tata Odisha, TP Western Odisha Distribution Ltd (TPWODL), and Damodar Valley Corporation, the company is also planning to increase its staff from 250 to 550 employees.

High-profile clients and financials

Parth Electricals counts major companies among its customers. These include Aditya Birla, UltraTech Cement, L&T, Reliance Industries, Adani, Tata Power, Schneider Electric, BHEL, Tata Steel, Siemens, GFL, and Jindal Steel & Power.

 

In the financial year 2024–25, the company recorded revenue from operations of ₹174.67 crore and posted a net profit of ₹10.11 crore. Horizon Management is the sole book-running lead manager for the IPO, while KFin Technologies is acting as the registrar.