MV Electrosystems, a New Delhi-based technology company specializing in electrical and power electronics for railways, filed papers for a Rs 290 crore IPO. The funds will enhance working capital, research, and other purposes. The company, founded in 2009, has a strong order book with Indian Railways.
MV Electrosystems Powers Ahead with Rs 290 Crore IPO
New Delhi's MV Electrosystems, a firm known for its expertise in electrical and power electronics for railway rolling stock, has moved to raise Rs 290 crore via an initial public offering (IPO). The company has already submitted preliminary filings with the market regulator, Sebi.
This financial move marks the company's first public offering, entirely comprising a fresh issue of equity shares. The fresh funds of Rs 180 crore are set to boost the company's long-term working capital, while Rs 21 crore will be invested in the advancement of research, design, and development of new power electronic equipments. A share of the funds will cover general corporate expenses, as outlined in their draft red herring prospectus (DRHP).
Founded in 2009, MV Electrosystems designs and manufactures key electrical components for railway coaches. It reports a net profit of Rs 1.4 crore for FY25 with revenues of Rs 62.64 crore. The company holds an outstanding order book worth Rs 207.5 crore with Indian Railways. Sundae Capital Advisors will lead manage the public issue.
