Classic Electrodes IPO: Check GMP, price band, issue size and other details

The IPO of Classic Electrodes, a Kolkata-based welding consumables manufacturer, will open for subscription on August 22. The Rs 41.51 crore issue is entirely a fresh issue of 47.71 lakh shares and will close on Tuesday. The issue is witnessing muted activity in the unofficial market, with the GMP yet to pick up momentum.

The company has fixed a price band of Rs 82–87 per share, with a lot size of 3,200 shares for retail investors.

On August 21, Classic Electrodes raised Rs 11.69 crore from anchor investors, allotting 13.44 lakh shares ahead of the IPO. The shares are set to list on the NSE SME platform on September 1.

Company background

Founded in 1997, Classic Electrodes is a well-known player in the welding consumables space. Its product portfolio includes mild steel electrodes, stainless steel electrodes, cast iron electrodes, deep penetration electrodes, and MIG wires, catering to diverse industrial needs.

The company operates two manufacturing units in Dhulagarh (West Bengal) and Jhajjar (Haryana), while a third unit in Bahadurgarh (Haryana) was shut in FY24. With 95 permanent employees, Classic Electrodes serves both domestic and select international markets, focusing on industrial clients and distributors.

Financials

For the 11 months ending February 2025, the company reported revenue of Rs 188 crore and a net profit of Rs 9.6 crore.

Objects of the issue

The IPO proceeds will be utilised for funding purchase of new plant and machinery (Rs 10 crore), repayment of certain borrowings (Rs 10 crore) and working capital requirements (Rs 16.6 crore)

Analysts will be watching the subscription trends over the next two days for determining listing prospects.