Mangal Electrical Industries Limited Announces IPO Details
Mangal Electrical Industries Limited, a Rajasthan-based transformer manufacturer, has announced its upcoming IPO. The IPO is scheduled to open on August 20, 2025, and close on August 22, 2025, with allotment on August 25 and listing on August 28. The company aims to raise funds for repayment of borrowings, capital expenditure, and working capital requirements. Key strengths include experienced management, diversified customer base, and strong integration capabilities. Potential risks involve raw material cost volatility, dependence on specific products and customers, and foreign exchange fluctuations.
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Mangal Electrical Industries Limited, a Rajasthan-based transformer manufacturer, has announced the details of its upcoming Initial Public Offering (IPO). The company, founded in 2008, specializes in the production of transformers with a focus on operational efficiency through strong backward and forward integration.
IPO Details
- Opening Date: 2025-08-20
- Closing Date: 2025-08-22
- Allotment Date: 2025-08-25
- Listing Date: 2025-08-28
About the Company
Mangal Electrical Industries Limited, headquartered in Jaipur, Rajasthan, is led by CEO Rahul Mangal and a team of experienced directors. The company aims to expand its manufacturing capacity, qualify for higher voltage class approvals, and grow its customer base by diversifying into new geographies.
IPO Objectives
The company plans to raise funds for the following purposes:
| Purpose | Amount (in lakhs) |
|---|---|
| Repayment/prepayment of borrowings | 10,126.65 |
| Capital expenditure | 8,785.63 |
| Funding working capital requirements | 12,200.00 |
| General corporate purposes | Not specified |
Key Strengths
- Experienced promoters and management team with over 35 years of industry experience
- Key approvals and certifications, including NABL, PGCIL, ISO, and NTPC
- Diversified customer base across India and globally
- Strong backward and forward integration capabilities
- Proven track record of consistent growth and profitability since inception
Risk Factors
Potential investors should consider the following risk factors:
- Volatility in raw material costs
- Dependence on CRGO products and transformer product component
- Potential manufacturing facility disruptions
- Lack of direct hedging policy for raw material price fluctuations
- Dependence on limited customers
- Reliance on contract labor
- Exposure to foreign exchange fluctuations
- Absence of definitive supply agreements with customers and suppliers
- Intellectual property protection challenges
- Dependence on third-party suppliers for raw materials and product delivery
Investors are advised to carefully review the company's prospectus for a comprehensive understanding of the offering and associated risks before making an investment decision.
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