Vedanta Group's Sterlite Electric files DRHP with Sebi for an IPO

Sterlite Electric, part of the Vedanta Group, has filed its draft red herring prospectus (DRHP) with capital markets regulator Sebi to raise funds through an IPO. The issue comprises a fresh equity sale of 77.9 lakh shares and an offer for sale (OFS) of another 77.9 lakh shares.

The company’s promoters, Anil Agarwal and Twin Star Overseas, will participate in the OFS alongside other shareholders.

The net proceeds from the fresh issue are proposed to be used for repayment or prepayment of borrowings by the company and its subsidiaries, funding capital expenditure requirements, and general corporate purposes.

Company overview

Sterlite Electric is a manufacturer of capital goods and a provider of system integration solutions, specializing in the power transmission and distribution (Power T&D) industry for both domestic and international markets. Its product portfolio includes a wide range of overhead conductors, power cables, and optical ground wires (OPGW), along with master system integration (MSI) services.

In fiscal 2025, the company held a 15% share of the Indian power conductors market by value and a 25–28% share of the high-ampacity AL59 conductor market in India, also by value.

Between April 2022 and March 2025, Sterlite Electric served customers in more than 70 countries, including the USA, Brazil, Sweden, South Africa, Egypt, UAE, Chile, and Peru.

Revenue from external customers outside India (continuing operations) was Rs 1,001 crore in FY25, Rs 1,658 crore in FY24, and Rs 1,180 crore in FY23.

Industry snapshot

According to the Crisil report cited in the DRHP, India’s transmission sector is expected to undergo significant expansion to integrate 500 GW of non-fossil fuel capacity by 2030, of which 280 GW is anticipated from solar and 140 GW from wind.

This will require substantial investment in inter-state transmission systems to evacuate renewable energy from generation hubs to demand centers.

Meanwhile, the power cables industry is projected to grow at a CAGR of 11–13% between FY24 and FY29, driven by rising investments in transmission and distribution, renewable integration, and urban infrastructure development. Large integrated players such as Sterlite Electric, with their scale, technological leadership, and execution capabilities, are expected to benefit disproportionately from these structural tailwinds.

Book running lead managers

Axis Capital, Motilal Oswal Investment Advisors, and Nuvama Wealth Management are the book-running lead managers to the IPO.