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Mangal Electrical IPO Day 1 Live: The initial public offering (IPO) for Mangal Electrical Industries, a manufacturer of transformer components, will be available for public subscription from August 20 to August 22. Mangal Electrical IPO price band has been set between ₹533 and ₹561 per share. Mangal Electrical IPO consists entirely of a fresh share issue valued at ₹400 crore. 

The funds raised from this fresh issue will be utilized to settle debts, enhance the company’s facility located in Rajasthan, and cover working capital needs for various general corporate purposes.

Mangal Electrical Industries specialises in processing transformer components, including transformer lamination, amorphous cores, coil assemblies, core assemblies, wound cores, toroidal cores, and oil-immersed circuit breakers.

The company's clientele includes government electricity distribution companies as well as private firms such as Ajmer Vidyut Vitran Nigam Ltd, Jaipur Vidyut Vitran Nigam Ltd, Voltamp Transformers Ltd, and Western Electrotrans. It has also exported its transformer components to countries including the Netherlands, the United Arab Emirates, Oman, the USA, Italy, and Nepal.

Systematix Corporate Services acts as the sole book-running lead manager, while Bigshare Services serves as the registrar for this issue.

(Stay tuned for more updates)

Rahul Mangal (Chairman and Managing Director)

He holds a bachelor’s degree in science from University Maharaja College, University of Rajasthan, Jaipur. He has over 35 years of experience in the power distribution and technology sectors, including as one of the partners of the erstwhile partnership firm ‘Mangal Electrical Industries’ (now converted into the Company). He is responsible for devising board strategies and overseeing the implementation of initiatives that drive growth and efficiency.

Ompal Sharma (Executive Director)

He holds a bachelor’s degree in commerce from Meerut University, Meerut, Uttar Pradesh. He has over 16 years of experience in the electrical equipment industry and is responsible for providing valuable operational insights to the management.

Pawan Mendiratta (Chief Financial Officer)

He is a member of the Institute of Chartered Accountants of India. He has previously been associated with several organizations, including Sakata Inx (India) Limited, Video on Wheels Limited, MG Motors, Indo Widecom International Limited, Berger Paints India Limited, Picric Limited, and Cargo Motors Private Limited.

Mangal Electrical IPO Day 1 Live: At the upper price band of ₹561, Mangal Electrical Industries Limited is demanding a P/S multiple of ~2.82x and a P/E multiple of ~24.3x, based on FY25 earnings. The industry average P/E multiple is 27.38x. Considering that the company is one of the leading players in the power infrastructure sector, involved in the processing of transformer components and manufacturing of transformers, and has:

We recommend a "Subscribe" rating for the issue, said IIFL Securities.

Mangal Electrical IPO Day 1 Live: The Indian transformer industry is experiencing robust growth, driven by factors such as rapid urbanization, industrialization, and increasing demand for electricity. The estimated market size for Financial Year 2025 is ₹353.9 billion, indicating significant expansion in recent years.

The rise in renewable energy contributions—particularly between Financial Year 2022 and Financial Year 2025—reflects the country’s strategic push toward decarbonization and reducing dependence on fossil fuels. This shift supports sustainable development through increased use of solar, wind, and other green energy sources.

To meet the projected energy demand of 1,907 billion units (BU) in FY27 and 2,472 BU in FY32, along with an expected increase in peak electricity demand from 250 gigawatts (GW) in FY25 to 277 GW in FY27 and 366 GW in FY32, India’s power transmission and distribution network will need substantial strengthening and expansion, particularly in distribution infrastructure.

Government initiatives such as Deen Dayal Upadhyaya Gram Jyoti Yojana, Integrated Power Development Scheme, Revamped Distribution Sector Scheme, National Grid: One Nation – One Grid, and the Green Energy Corridor provide further support and a positive outlook for the transformer industry.

Mangal Electrical IPO Day 1 Live: Mangal Electrical Industries IPO was booked 16% so far on the first day of the bidding process. The QIB portion did not receive any bids. The NII portion was subscribed 11% and the retail portion received 27% bids.

Rahul Mangal, Ashish Mangal, Saroj Mangal, and Aniketa Mangal are the promoters of the company.

Mangal Electrical Industries’ ₹400-crore IPO, priced at ₹533–561 per share, opens from August 20–22 with listing on August 28. The company secured ₹120 crore from anchor investors, signalling strong institutional confidence. Grey Market Premium at ~ ₹25 points to a modest 4–5% listing premium, but the core strength lies in its fundamentals. Revenues have climbed from ₹449 crore in FY24 to ₹549 crore in FY25, while profit after tax surged from ₹21 crore to ₹47 crore, more than doubling year-on-year. EBITDA margins expanded to 14.9%, reflecting efficiency gains and scale benefits.

On the ratios front, the company reported an EPS of ₹17.1 in FY25, translating into a P/E of 32–33x at the upper price band. Return on Net Worth (RoNW) stood at a healthy 22.5% for FY25, while debt-to-equity is expected to decline significantly post-IPO as part of the proceeds are earmarked for repayment. Net worth improved to ₹210 crore in FY25 from ₹163 crore in FY24, strengthening the balance sheet. The EV/EBITDA multiple works out to ~19x, which is slightly elevated versus mid-tier peers but justified given the strong growth trajectory.

Strategically, Mangal is positioned to benefit from India’s rising electricity demand, transmission upgrades, and renewable energy push—sectors where component suppliers like it see strong visibility. With debt reduction, capacity expansion, and a product mix aligned to infrastructure growth, the company’s long-term prospects remain promising. That said, valuations are not inexpensive, and immediate listing gains may be limited. For investors with a two-to-three-year horizon, this IPO provides a meaningful opportunity to play the power infrastructure theme with a company demonstrating improving profitability and strong sectoral tailwinds. My stance: “Subscribe for Long Term.”

— Views by Harshal Dasani, Business Head, INVasset PMS

1. The costs of the raw materials that used in manufacturing process are subject to volatility due to factors beyond our control. Increases or fluctuations in raw material prices may have a material adverse effect on the business, financial condition, results of operations, and cash flows.

2. It is heavily dependent on the performance of the CRGO products and transformer product components. Any adverse changes in the conditions affecting the CRGO products and transformer products market can adversely impact the business.

3. Any disruption, breakdown, or shutdown of manufacturing facilities or original equipment manufacturer (OEM) suppliers may have a material adverse effect.

4. Dependence on a limited number of customers and any change in customer composition may adversely impact the business.

5. The company depends significantly on contract labor, and an inability to access contract labour at reasonable costs at project sites may adversely affect business.

Mangal Electrical IPO Day 1 Live: The Indian transformer industry is projected to grow from ₹353.9 bn in FY25 to ₹523 bn by FY30 (8.1% CAGR), supported by renewable energy expansion. CRGO steel, a critical raw material, is expected to rise from ₹70.8 bn to ₹104.6 bn over the same period.

The company is expanding into high-voltage (132 KV–200 MVA), inverter duty, and dry-type transformers, while focusing on backward integration through in-house CRGO processing and tank fabrication. Unit IV expansion will be phased, starting January 2026.

It operates in a high working capital environment, importing ~80% of CRGO steel, with raw material forming ~40% of costs. Planned capex of ₹95–100 cr will be executed within 18 months, funded through the IPO ( ₹400 cr: ₹100 cr capex, ₹100 cr debt repayment, ₹100 cr working capital, ₹80 cr general purposes). EPC forms 5–10% of revenue as forward integration.

With P/E of 24.3x vs peer average 26x, valuations appear reasonable. We recommend Subscribe for long-term gains, though margins remain vulnerable to raw material price volatility, as seen in FY24 when costs rose 21%.

Mangal Electrical IPO Day 1 Live: The initial public offering for Mangal Electricals was subscribed 3% so far on the first day of the bidding process. The QIB portion did not see any bids, NII portion was booked 2% and the retail segment 5%.

Mangal Electrical IPO Day 1 Live: The bidding for Mangal Electrical IPO opened at 10 am today. Investors can apply for the IPO till 5 pm. In case you don't apply today, you have the option to apply over the next two days as well.

Mangal Electrical IPO Day 1 Live: The company plans to use the funds raised for the following purposes:

Mangal Electrical IPO Day 1 Live: “At the upper price band, the company is valued at an FY25 P/E of 32.8x, with a post-issue market capitalization of ₹15,500 million. In recent years, India’s substation capacity has grown significantly, driven by rising electricity demand, creating a favorable environment for transformer manufacturing. This consistent demand supports production planning and operational efficiency. Based on these factors, the IPO appears fully priced, with a “SUBSCRIBE – LONG TERM” recommendation,” Anand Rathi said in a note.

Mangal Electrical IPO Day 1 Live: Mangal Electrical Industries on Tuesday mobilised ₹120 crore from anchor investors, just a day before its initial share-sale opening for public subscription.

The institutional investors who participated in the anchor round included Abakkus Diversified Alpha Funds, LC Pharos Multi Strategy Fund VCC, Societe Generale, Finavenue Capital Trust, Swyom India Alpha Fund, Sundaram Alternative Investment Trust, Imap India Capital Investment Trust, Sunrise Investment Trust and Aarth AIF Growth Fund, according to a circular uploaded on BSE's website.

As per the circular, the company has allotted 21.39 lakh equity shares to these institutional investors at ₹561 apiece, taking the total fundraising to ₹120 crore.

Mangal Electrical IPO GMP today is +25. This indicates Mangal Electrical share price were trading at a premium of ₹25 in the grey market, according to investorgain.com.

Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Mangal Electrical share price was indicated at ₹586 apiece, which is 4.46% higher than the IPO price of ₹561.

'Grey market premium' indicates investors' readiness to pay more than the issue price.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.

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