Last chance to bid! Mangal Electrical IPO ends today; subscription nears 3x

Mangal Electrical IPO Day 3 update: Check latest subscription status, GMP, review, allotment date, listing date, other key details of the public issue here

Mangal Electrical IPO subscription status: The three-day subscription window for the initial public offering (IPO) of electric transformer manufacturer Mangal Electrical Industries is set to conclude today, August 22. The public offering, which opened for subscription on August 20, has received a decent response from investors so far.

 

According to data available on the NSE, the ₹400 crore offering of Mangal Electrical Industries has received bids for 1,39,45,724 equity shares against 52,53,301 shares on offer, resulting in a subscription of 2.65 times as of 11:20 AM on August 22.

 

Among the individual investor categories, the quota reserved for non-institutional investors (NIIs) saw the highest demand and was subscribed 5.95 times. This was followed by retail investors and qualified institutional buyers (QIBs), who subscribed to their respective portions by 2.68 times and 0.14 times, respectively.

 

Mangal Electrical IPO details

Mangal Electrical Industries IPO is a book-built issue comprising a fresh issue of 7.1 million equity shares, with no offer-for-sale (OFS) component.

 

The company has set the price band for the offering at ₹533–₹561 per share, with a lot size of 26 shares. Accordingly, investors can bid for a minimum of 26 shares and in multiples thereof.

 

At the upper end of the price band, a retail investor would require a minimum investment of ₹14,586 to bid for one lot of 26 shares, and ₹1,89,618 to bid for the maximum of 13 lots (338 shares).

 

Bigshare Services is acting as the registrar for the IPO, while Systematix Corporate Services is the sole book-running lead manager.  

Mangal Electrical Industries plans to utilise the proceeds from the IPO for the repayment/prepayment, in full or in part, of certain outstanding borrowings availed by the company, as well as for capital expenditure, including civil works, to expand the facility at Unit IV, situated in Rajasthan, to optimise space usage and increase storage capacity.

 

The company will also deploy the proceeds from the public offering for funding working capital requirements and general corporate purposes.

Mangal Electrical IPO grey market premium (GMP)

The unlisted shares of Mangal Electrical were commanding a decent premium in the grey market ahead of the opening of the public issue. Sources tracking unofficial market activity revealed that Mangal Electrical shares were seen trading at around ₹586 per share, reflecting a grey market premium (GMP) of ₹25, or 4.46 per cent, over the upper end of the issue price.

Mangal Electrical IPO review

The company has received favourable reviews from brokerages for its public issue. Analysts at Ventura Securities have recommended investors to subscribe to the Mangal Electrical IPO, while those at Anand Rathi Research and Canara Bank Securities have suggested subscribing to the issue for the long-term perspective. READ MORE

Mangal Electrical IPO allotment date, listing date

The three-day subscription window to bid for the Mangal Electrical IPO is set to close on Friday, August 22. Following the closure of the subscription window, the basis of allotment of Mangal Electrical IPO shares is likely to be finalised on Monday, August 25. The successful allottees will receive the company’s shares in their demat accounts on Tuesday, August 26.

 

Shares of Mangal Electrical are slated to make their D-Street debut by listing on BSE and NSE, tentatively on Wednesday, August 27.

About Mangal Electrical Industries

Mangal Electrical Industries Ltd, founded in 1989 and converted to a public company in July 2024, manufactures transformer components (laminations, CRGO slit coils, oil-immersed circuit breakers) and transformers (5 KVA–10 MVA), along with EPC services for substations. Headquartered in Jaipur, it operates five plants with an annual capacity of 16,200 MT CRGO and 1,022,500 KVA transformers.