Quality Power Electrical Equipments Eyes IPO to Fuel Growth

Quality Power Electrical Equipments has submitted initial papers with the Securities and Exchange Board of India to raise funds through an IPO. The funds will support acquisitions, capital expenditures, and other strategic initiatives. The IPO includes a fresh issue worth Rs 225 crore and an offer for sale by promoter Chitra Pandyan.

Quality Power Electrical Equipments, a leading provider of energy transmission equipment and power technologies, has filed initial documents with India's capital market regulator Sebi to raise funds via an initial public offering (IPO).

The IPO will consist of a fresh issue of equity shares worth up to Rs 225 crore and an offer for sale (OFS) of up to 1.2 crore equity shares, as detailed in the draft red herring prospectus. Promoter Chitra Pandyan will sell her shares in the OFS.

The raised funds will be directed towards acquiring Mehru Electrical and Mechanical Engineers Pvt Ltd, meeting capital expenditure needs for machinery purchases, and financing future growth opportunities and general corporate expenses.

Quality Power specialises in high-voltage electrical equipment and solutions essential for energy transition processes. The company, one of the few global manufacturers of critical high-voltage systems, reported a revenue of Rs 300 crore and a profit of Rs 55.5 crore for the financial year ending March 31, 2024. Pantomath Capital Advisors Pvt Ltd will manage the IPO, and the shares will be listed on the BSE and NSE.

(With inputs from agencies.)