Atlanta Electricals IPO opens today: GMP up 19%; should you subscribe?

Atlanta Electricals IPO: Check price band, lot size, GMP, review, allotment date, listing date, and other key details here

Atlanta Electricals IPO opens for subscription: The initial public offering (IPO) of inverter-duty transformers manufacturering company, Atlanta Electricals, opens for public subscription today, Monday, September 22.

 

The company aims to raise ₹687.34 crore from the public offering. Ahead of the opening of the offering, Atlanta Electricals successfully raised ₹205 crore from anchor investors in a bidding that concluded on Friday, September 19.

 

The anchor portion saw participation from Kotak Mutual Fund (MF), Axis MF, HDFC MF, ICICI Prudential MF and Pinebridge Global Funds among others.

Here are the key details of t​he Atlanta Electricals IPO as outlined in its red herring prospectus (RHP):

Atlanta Electricals IPO structure

Atlanta Electricals's IPO is a book-built issue that consists of a fresh issue of 5.3 million shares worth nearly ₹287.34 crore, along with an offer for sale (OFS) with promoters and shareholders divesting up to 3.8 million equity shares worth ₹287.34 crore.

 

 

Atlanta Electricals has reserved not more than 50 per cent of the net offer for qualified institutional buyers (QIBs), at least 35 per cent for retail investors, and at least 15 per cent for non-institutional investors (NIIs).  CHECK VMS TMT IPO ALLOTMENT TODAY HERE

Atlanta Electricals IPO price band, lot size

The public issue of Atlanta Electricals is available at a price band of ₹718-754 per share, with a lot size of 98 shares. Investors can bid for a minimum of 98 shares of the Atlanta Electricals IPO and in multiples thereof.

 

A retail investor would require a minimum of ₹14,326 to bid for one lot of the Atlanta Electricals IPO, and a maximum of 13 lots (1,274 shares) with an investment amount of ₹1,86,238.

Atlanta Electricals IPO grey market premium (GMP)

Ahead of the opening of the public issue, the unlisted shares of Atlanta Electricals were commanding a decent premium in the grey market. Sources tracking unofficial market activities revealed that Atlanta Electricals shares were trading at around ₹896 per share, reflecting a grey market premium (GMP) of ₹142 or 18.83 per cent over the upper end of the issue price.

Atlanta Electricals IPO allotment date, listing date

The three-day subscription window for the Atlanta Electricals IPO is set to close on Wednesday, September 24. Following the closure of the subscription window, the basis of allotment for Atlanta Electricals IPO shares is likely to be finalised on Thursday, September 25.

 

The successful allottees will receive the company’s shares in their demat accounts on Friday, September 26.

 

Shares of Atlanta Electricals are expected to make their debut on the BSE and NSE on Monday, September 29.

Atlanta Electricals IPO registrar, lead managers

MUFG Intime India serves as the registrar for the public issue, while Motilal Oswal Investment Advisors and Axis Capital are the book-running lead managers.

Atlanta Electricals IPO objective

Atlanta Electricals will not receive any proceeds from the OFS. “The Selling Shareholders will be entitled to their respective portion of the proceeds of the Offer for Sale after deducting their proportion of offer expenses and relevant taxes thereon,” said Atlanta Electricals in its RHP.

 

However, the company intends to use the proceeds from the fresh issue for repayment/prepayment, in full or in part, of certain outstanding borrowings availed, funding working capital requirements, and general corporate purposes.

 

Should you subscribe to the Atlanta Electricals IPO?

Anand Rathi Research Team - Subscribe for long-term

Analysts at Anand Rathi Research Team have recommended the investors to subscribe to the public issue of Atlanta Electricals IPO for the long-term perspective. The analysts pointed out that the company’s robust order book provides strong visibility for future growth and operational stability. The company also benefits from a well-spread customer base across multiple industries and regions. Its advanced manufacturing facilities emphasise superior quality, efficiency, and technological excellence.

 

“At the upper price band, the company is valued at a P/E of 48.8x to its FY25 earnings, with EV/Ebitda of 30.1x and a market cap of ₹57,975 million post issue of equity shares. We believe that the IPO is fully priced and recommend a ‘Subscribe – Long Term’ rating to the IPO,” wrote the analysts at Anand Rathi Research Team in a note. 

Geojit - Subscribe

Analysts at Geojit have also recommended that investors subscribe to the issue. The analysts pointed out that at the upper price band of ₹754, AEL is available at a P/E ratio of 49x (FY25 diluted basis), which appears premium compared to its peers.

 

"AEL’s strong fundamentals, healthy return ratios, capacity expansion, robust order book, and strategic initiatives support its valuation, making it appealing for long-term investors in India’s power infrastructure growth. Hence, we recommend a ‘Subscribe’ rating with a long-term investment perspective," wrote the analysts in a research note.

About Atlanta Electricals

Atlanta Electricals (AEL) is one of India’s leading transformer manufacturers, specialising in power, auto, and inverter-duty transformers. The company designs and manufactures transformers with capacities of up to 200 Mega Volt-Amps (MVA) and voltage ratings of up to 220 kilovolts (kV).

 

As of March 31, 2025, Atlanta Electricals’ product portfolio comprises six categories: power transformers, inverter-duty transformers, furnace transformers, generator transformers, and special-duty transformers.  The company operates five manufacturing facilities with a combined installed capacity of 63,060 MVA.