MV Electrosystems files draft papers for Rs 290-cr IPO

New Delhi, Dec 1 (PTI) MV Electrosystems, which manufactures electrical and power electronics equipment for railway rolling stock, has filed preliminary papers with markets regulator Sebi to raise Rs 290 crore through its initial public offering (IPO). The city-based company’s maiden public offering is a completely fresh issue of equity shares. Proceeds from the fresh issue worth Rs 180 crore will be used for funding long-term working capital requirements of the company, Rs 21 crore for investment in research, design and development activities for new power electronic equipment, and a portion will be used for general corporate purposes, according to the draft red herring prospectus (DRHP). Madhuri Madhusudan Kela, wife of well-known investor Madhusudan Kela, owns 5.6 per cent stake in the company. Founded in 2009, MV Electrosystems is a technology-driven company engaged in the design, development, assembly and manufacturing of electrical & power electronics equipment used in railway rolling stock. Its product portfolio includes switchgear panels for railway coaches, cable protection and management products and electrical components. The company has an outstanding order book of Rs 207.5 crore with the Indian Railways. Financially, MV Electrosystems’ net profit stood at Rs 1.4 crore in FY25, and revenue from operations was at Rs 62.64 crore during the period. Sundae Capital Advisors is the book-running lead manager to the company’s public issue. PTI SP SP SHW