Atlanta Electricals IPO: GMP, brokerages signal positive sentiment. Should you bid?

Atlanta Electricals has launched its Rs 687 crore IPO on September 22, with the issue set to close on September 24. The price band has been fixed at Rs 718–754 per share, and investors can bid for a minimum lot of 19 shares. The IPO comprises a fresh issue worth Rs 400 crore and an offer-for-sale of Rs 287 crore.

Atlanta Electricals IPO GMP

Meanwhile, grey market activity suggests healthy demand. The stock is commanding a GMP of about 19% over its issue price in the unofficial market, indicating expectations of a positive listing.


Proceeds from the fresh issue will be used for repayment of borrowings, meeting working capital needs, and general corporate purposes. Post-issue, promoter shareholding will fall from 94% to 83%.

Atlanta Electricals is among India’s leading transformer manufacturers, with over three decades in the industry. The company has expanded its capacity to produce transformers up to 500 MVA and 765 kV, and supplies to both public and private sector entities. Public sector undertakings contribute over 80% of its order book, which stood at Rs 16,430 million as of March 31, 2025.

Financial show

Financial performance has been robust. Revenue grew 43% year-on-year in FY25 to Rs 12,442 million, while profit after tax nearly doubled to Rs 1,186 million from Rs 634 million in FY24. EBITDA margin improved to 16%, while return on equity came in at a healthy 33.9%.

The industry backdrop is favourable. Growing power demand, renewable energy expansion, EV charging infrastructure, and high-speed railway projects are all expected to push transformer demand higher.

The company has approvals from agencies such as Power Grid Corporation of India and the Ministry of Railways, giving it strong visibility for future orders.

At the upper price band, the IPO values the company at a P/E of 48.8x FY25 earnings and an EV/EBITDA of 30.1x.

Anand Rathi Research, in its IPO note, described the issue as "fully priced" but recommended a Subscribe – Long Term rating, citing the robust order book, product diversification, and favourable sector outlook.

With strong fundamentals, sectoral tailwinds, and institutional interest, Atlanta Electricals’ IPO is being closely tracked to see if investor enthusiasm in the grey market translates into a solid debut on the exchanges.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)