IPO Ahead! Electrical products maker Biocon Electric files draft papers with Sebi
Biocon Electric has filed DRHP with Sebi for a Rs 59 lakh-share IPO, comprising a fresh issue and OFS. The company plans to use fresh proceeds primarily for working capital, with shares proposed for BSE and NSE listing.
By Kumar Gaurav, ETMarkets.com |
Agencies
Biocon Electric's IPO will include fresh shares and an OFS, with proceeds mainly funding working capital as the electrical products maker seeks BSE and NSE listing.
Electrical products maker Biocon Electric has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) for an initial public offering (IPO) of up to 59,00,000 equity shares.
The proposed offer comprises a fresh issue of up to 48,00,000 equity shares and an offer for sale (OFS) of up to 11,00,000 equity shares by promoter-selling shareholders, with each of the five selling shareholders offering up to 2,20,000 shares. The shares will have a face value of Rs 10 each. The company has proposed to list its equity shares on the Main Board of BSE Limited and the National Stock Exchange of India Limited.
Of the net offer, not more than 50% will be available for allocation to qualified institutional buyers (QIBs), of which up to 60% may be allocated to anchor investors. The non-institutional bidder portion will account for not less than 15%, while retail individual bidders will be entitled to not less than 35% of the net offer.
The company had 1,50,00,000 pre-offer equity shares outstanding.
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The company proposes to use the net proceeds from the fresh issue primarily to fund its working capital requirements, estimated at Rs 6,257.45 lakh, with the balance, if any, earmarked for general corporate purposes.
GYR Capital Advisors Private Limited is the book running lead manager to the offer, while Bigshare Services Private Limited is the registrar.
Financial snapshot
Biocon Electric's revenue from operations rose 37.94% to Rs 19,673.37 lakh in FY2026 from Rs 14,262.42 lakh in FY2025. Revenue from operations stood at Rs 13,645.24 lakh in FY2024.
Total income increased to Rs 19,817.24 lakh in FY2026 from Rs 14,463.89 lakh in FY2025 and Rs 13,750.31 lakh in FY2024.
EBITDA rose 17.58% to Rs 2,563.82 lakh in FY2026 from Rs 2,180.45 lakh in FY2025, while profit after tax (PAT) increased 22.96% to Rs 1,414.05 lakh from Rs 1,150 lakh.
EBITDA margin stood at 12.94% in FY2026, compared with 15.08% in FY2025, while PAT margin was 7.19%, against 8.06% a year earlier.
The company's return on equity stood at 24.05% in FY2026, compared with 25.06% in FY2025 and 31.82% in FY2024. Return on capital employed was 12.19%, against 11.41% in FY2025 and 13.65% in FY2024.
Net worth increased at a CAGR of 28.23% to Rs 6,591.59 lakh as of March 31, 2026.
The company said revenue from operations grew at a CAGR of 20.07% between FY2024 and FY2026. Its debt-equity ratio improved to 1.11 times as of March 31, 2026, from 1.47 times as of March 31, 2025 and 1.64 times as of March 31, 2024.
FY2026 revenue also included Rs 2,526.63 lakh, or 12.84% of revenue from operations, from one-time trading of aluminium rods.
About Biocon Electric
Biocon Electric Limited, formerly Biocon Electric Private Limited, was incorporated in 2019 and has its registered office in Delhi and corporate office in Bengaluru, Karnataka. The company manufactures, processes, assembles, markets and distributes PVC insulated wires and tapes, lighting solutions, electrical switches and accessories, MCBs, RCCBs and other switchgear products, as well as other electrical appliances. It offers a portfolio of over 1,500 SKUs catering to residential, commercial, industrial and infrastructure applications.
The company operates three manufacturing facilities in Delhi, Ghaziabad in Uttar Pradesh and Vasai in Maharashtra. These are supplemented by an assembly and testing unit and a packaging and ancillary operations unit at Vasai.Its operating model combines in-house manufacturing, processing and finishing, assembly and testing, and third-party sourcing of products sold under the "BIOCON" brand.
As of March 31, 2026, 1,427 of the company's 1,915 channel partners were located in southern India.
Disclosure: This article has been written by Kumar Gaurav, who is not a Sebi-registered Research Analyst or an Investment Adviser. Gaurav and their ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective Sebi-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here
The proposed offer comprises a fresh issue of up to 48,00,000 equity shares and an offer for sale (OFS) of up to 11,00,000 equity shares by promoter-selling shareholders, with each of the five selling shareholders offering up to 2,20,000 shares. The shares will have a face value of Rs 10 each. The company has proposed to list its equity shares on the Main Board of BSE Limited and the National Stock Exchange of India Limited.
Of the net offer, not more than 50% will be available for allocation to qualified institutional buyers (QIBs), of which up to 60% may be allocated to anchor investors. The non-institutional bidder portion will account for not less than 15%, while retail individual bidders will be entitled to not less than 35% of the net offer.
The company had 1,50,00,000 pre-offer equity shares outstanding.
ALSO READ: Nifty rebounds after record 8-week rout, but is this a dead cat bounce investors should fear?
The company proposes to use the net proceeds from the fresh issue primarily to fund its working capital requirements, estimated at Rs 6,257.45 lakh, with the balance, if any, earmarked for general corporate purposes.
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GYR Capital Advisors Private Limited is the book running lead manager to the offer, while Bigshare Services Private Limited is the registrar.
Financial snapshot
Biocon Electric's revenue from operations rose 37.94% to Rs 19,673.37 lakh in FY2026 from Rs 14,262.42 lakh in FY2025. Revenue from operations stood at Rs 13,645.24 lakh in FY2024.
Total income increased to Rs 19,817.24 lakh in FY2026 from Rs 14,463.89 lakh in FY2025 and Rs 13,750.31 lakh in FY2024.
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EBITDA rose 17.58% to Rs 2,563.82 lakh in FY2026 from Rs 2,180.45 lakh in FY2025, while profit after tax (PAT) increased 22.96% to Rs 1,414.05 lakh from Rs 1,150 lakh.
EBITDA margin stood at 12.94% in FY2026, compared with 15.08% in FY2025, while PAT margin was 7.19%, against 8.06% a year earlier.
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The company's return on equity stood at 24.05% in FY2026, compared with 25.06% in FY2025 and 31.82% in FY2024. Return on capital employed was 12.19%, against 11.41% in FY2025 and 13.65% in FY2024.
Net worth increased at a CAGR of 28.23% to Rs 6,591.59 lakh as of March 31, 2026.
The company said revenue from operations grew at a CAGR of 20.07% between FY2024 and FY2026. Its debt-equity ratio improved to 1.11 times as of March 31, 2026, from 1.47 times as of March 31, 2025 and 1.64 times as of March 31, 2024.
FY2026 revenue also included Rs 2,526.63 lakh, or 12.84% of revenue from operations, from one-time trading of aluminium rods.
About Biocon Electric
Biocon Electric Limited, formerly Biocon Electric Private Limited, was incorporated in 2019 and has its registered office in Delhi and corporate office in Bengaluru, Karnataka. The company manufactures, processes, assembles, markets and distributes PVC insulated wires and tapes, lighting solutions, electrical switches and accessories, MCBs, RCCBs and other switchgear products, as well as other electrical appliances. It offers a portfolio of over 1,500 SKUs catering to residential, commercial, industrial and infrastructure applications.
The company operates three manufacturing facilities in Delhi, Ghaziabad in Uttar Pradesh and Vasai in Maharashtra. These are supplemented by an assembly and testing unit and a packaging and ancillary operations unit at Vasai.Its operating model combines in-house manufacturing, processing and finishing, assembly and testing, and third-party sourcing of products sold under the "BIOCON" brand.
As of March 31, 2026, 1,427 of the company's 1,915 channel partners were located in southern India.
Disclosure: This article has been written by Kumar Gaurav, who is not a Sebi-registered Research Analyst or an Investment Adviser. Gaurav and their ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective Sebi-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here
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