Jainik Power and Cables Limited IPO...
10 Jun, 2025
Jainik Power and Cables Limited IPO
Jainik Power and Cables Limited is an aluminum wire rods manufacturer and is ready to launch its Initial Public Offering (IPO) on June 10, 2025. The company is aiming to raise approximately ₹51.3 crore with the help of this IPO through a fresh issue of 46.63 lakh equity shares and does not have any offer for sale. This IPO is a book-building issue with a price band of ₹100 to ₹110 per equity share, with a minimum application size of 1200 shares (single lot). The IPO will be listed on the NSE’s SME platform, NSE Emerge, with the listing date expected on June 17, 2025.
Company Background
Jainik Power and Cables Limited was incorporated in May 2011. The company was engaged in the trading of aluminium rods in its early days but later on it shifted its operation into the manufacturing of aluminum wire rods in 2023. Jainik Power and Cables has developed a strong presence in northern India with the help of its over a decade of experience. The company supplies its products mainly in Delhi, Haryana, Rajasthan, Uttar Pradesh and Uttarakhand.
Operations & Product Range
Facility & Production:
The company has an operating manufacturing plant in Sonipat, Haryana to produce 9.5 mm aluminum wire rods. This plant follows all the environmental, Health and Safety (EHS) standards which shows that the company is committed to following the quality and compliance guidelines.
Brands & Market Presence:
Jainik Power and Cables has established itself as a reliable supplier of aluminium wire rods by catering to a variety of industrial and infrastructure sectors. The company manages all the sales and marketing operations from its registered office in Delhi and its factory premises which ensures efficient distribution across all the important northern states.
Revenue Channels
- The main revenue source of the company is the manufacturing and sale of aluminium wire rods.
- Jainik Power and Cables was generating revenue through the trading of aluminium rods before 2023.
- The primary revenue source of the company comes from business-to-business (B2B) by serving the industrial and infrastructure clients using wire rods in their products.
Management & Shareholding
Promoters & Shareholding:
The company has Mr. Shashank Jain, Mr. Prateek Jain, Mrs. Anju Jain and Mr. Subhash Chand Jain as promoters. All the promoters have extensive experience in the metal industry, whereas the managing director has experience of around 32 years in this sector.
Board Members:
The company is led by its promoters, who play a significant role in strategic decision-making and operations.
WHAT IS GMP?
GMP (Grey Market Premium) is the difference between the IPO price and the grey market price. It is the premium amount paid for the traded IPO shares. It plays an important role in IPOs as it reflects how the IPO would react on the listing day.
A grey market is a place where shares/stocks are traded before being listed officially on the stock exchange.
Jainik Power and Cables Limited IPO
| GMP Date | IPO Price | GMP | Last Updated |
|---|---|---|---|
| - | - | - | - |
**The GMP prices displayed here are solely for informational purposes related to the grey market news. India IPO does not engage in or facilitate grey market trading, nor are these rates (sub2) indicative of any trading activity. We also do not recommend or endorse participation in the grey market.**
Jainik Power and Cables Limited IPO Details
| Detail | Description |
|---|---|
| IPO Date | June 10, 2025 to June 12, 2025 |
| Listing Date | - |
| Face Value | ₹10 per share |
| Issue Price Band | ₹100 to ₹110 per share |
| Lot Size | 1,200 Shares |
| Total Issue Size | 46,63,200 shares (aggregating up to ₹51.30 Cr) |
| Fresh Issue | 46,63,200 shares (aggregating up to ₹51.30 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | NSE SME |
| Share Holding Pre Issue | 96,84,500 shares |
| Share Holding Post Issue | 1,43,47,700 shares |
| Market Maker Portion | 2,34,000 shares |
Jainik Power and Cables Limited IPO Timeline
| Detail | Description |
|---|---|
| IPO Open Date | Tue, Jun 10, 2025 |
| IPO Close Date | Thu, Jun 12, 2025 |
| Tentative Allotment | Fri, Jun 13, 2025 |
| Initiation of Refunds | Mon, Jun 16, 2025 |
| Credit of Shares to Demat | Mon, Jun 16, 2025 |
| Tentative Listing Date | Tue, Jun 17, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on June 12, 2025 |
Jainik Power and Cables Limited IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1200 | ₹1,32,000 |
| Retail (Max) | 1 | 1200 | ₹1,32,000 |
| HNI (Min) | 2 | 2400 | ₹2,64,000 |
Jainik Power and Cables Limited IPO Promoter Holding
| Share Holding Pre Issue | Share Holding Post Issue |
|---|---|
| 99.79% | - |
Competitive Strength:
- ● Experienced Management
- ● Established Market Presence
- ● Operational Growth
- ● Compliance and Quality
Jainik Power and Cables Limited IPO Financial Information
| Period Ended | Assets | Revenue | Profit After Tax | Net Worth | Total Borrowing | |||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 31 Mar 2025 | 71.19 | 352.38 | 9.24 | 24.59 | 19.36 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2024 | 35.5 | 339.23 | 5 | 7.86 | 17.13 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2023 | 36.66 | 67.49 | 0.15 | 2.84 | 16.83 | |||||||||||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||||||||||||
Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 56.92% |
| ROCE | 55.92% |
| Debt/Equity | 0.79 |
| RoNW | 56.92% |
| PAT Margin | 2.63 |
| Price to Book Value | 0.8 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 9.54 | 6.44 |
| P/E (x) | 11.53 | 17.09 |
IPO Objectives
The IPO proceeds will be utilized as follows:
- ₹23.5 crore for meeting working capital requirements
- ₹10.99 crore for setting up a new plant
- ₹5 crore for repayment of existing loans
- The remaining funds will be allocated for general corporate purposes.
Conclusion
Overall, the IPO of Jainik Power and Cables Limited offers an opportunity to investors so that they can participate in the growing and evergreen sector of the aluminium rod segment. The company’s experienced management, focused regional presence, and clear utilization plan for IPO proceeds position it well for future growth. However, as with all SME IPOs, investors should consider the associated risks and conduct thorough due diligence before investing.
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Frequently asked Questions (FAQs )
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1. What is the issue size of the Jainik Power and Cables IPO?
The IPO aims to raise approximately ₹51.30 crore through a fresh issue of shares.
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2. What are the IPO opening and closing dates?
The IPO opens on June 10, 2025, and closes on June 12, 2025.
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3. What is the price band and lot size for the IPO?
The price band is ₹100 to ₹110 per equity share, with a minimum application size of 1,200 shares (one lot).
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4. Who are the promoters of Jainik Power and Cables Limited?
The promoters are Mr. Shashank Jain, Mr. Prateek Jain, Mrs. Anju Jain, and Mr. Subhash Chand Jain.
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5. On which platform will the shares be listed?
The shares will be listed on the NSE SME platform.
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6. What are the main objectives of the IPO?
Proceeds will be used for working capital, setting up a new plant, loan repayment, and general corporate purposes.
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7. What is the financial performance of the company?
In FY2025, the company reported revenue of ₹352.38 crore and a PAT of ₹9.24 crore, showing strong growth over the previous year.
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8. How is the IPO allocation structured among investor categories?
The allocation is approximately 10.05% for QIBs, 44.97% for retail investors, and 44.97% for non-institutional investors (NIIs).
