The Quality Power Electrical Equipments Limited IPO, worth ₹859 crores, is opening today, sparking interest among investors. If you're considering whether to apply for an IPO online, it's essential to understand the company's background, investment highlights, and objectives. Here's what you need to know before making a decision.
Ahead of the IPO opening, Quality Power raised ₹386.41 crores from 21 institutional investors through its anchor book on February 13, 2025. Notable investors include LIC Mutual Fund, Bank of India MF, and Maybank Securities.
Other prominent names like Bengal Finance & Investments (owned by Ashish Kacholia), Kotak Iconic Fund, and SBI General Insurance Company also participated. This strong anchor investment indicates high confidence in Quality Power's growth potential. If you're looking to apply for an IPO online, this strong backing could be a positive signal.
Quality Power plans to use the fresh issue funds for strategic acquisitions and expansion. A portion will go towards acquiring Mehru Electrical and Mechanical Engineers, as well as purchasing new plant and machinery.
Additionally, the company aims to drive inorganic growth through unidentified acquisitions and general corporate purposes. If you plan to apply for an IPO online, it's crucial to consider the company's growth strategy and how it plans to utilise the funds effectively.
Incorporated in 2001, Quality Power Electrical Equipments is a leading player in energy transition equipment and power technologies. The company offers high-voltage electrical equipment and solutions for grid connectivity and energy transition.
With a 28.3% revenue CAGR from FY22 to FY24 and export revenue contributing 80.7% in FY24, Quality Power showcases strong financial health. Its capital efficiency is noteworthy, with ROE of 29.2% and ROCE of 19.2%.
The Quality Power IPO presents a promising investment opportunity backed by strong anchor investments and a clear growth strategy. If you're planning to apply for an IPO online, consider the company's strong financials and strategic objectives. The issue opens today, so evaluate your investment goals and risk tolerance before you decide to invest.
For android only