IC Electricals Company Files DRHP for NSE Emerge IPO; Fresh Issue of up to 48.40 Lakh Shares

New Delhi, September 30, 2025 – IC Electricals Company Limited has filed its Draft Red Herring Prospectus (DRHP) with SEBI for listing by way of initial public offering on the NSE Emerge segment. This is a fresh issue of a maximum of 48,40,000 face value of ₹10 each equity shares with no offer for sale. Net proceeds will be used for general corporate purposes and working capital requirements.

The Book Running Lead Manager is Nexgen Financial Solutions Private Limited, and the registrar to the issue is Skyline Financial Services Private Limited.

IC Electricals IPO Snapshot

The IPO includes a fresh issue of a maximum of 48.40 lakh equity shares. Out of these, 2.43 lakh shares will be reserved for the market maker, resulting in a net of 45.97 lakh shares available for public investors. The details of pricing, bidding schedule, and lot sizes will be provided in due course. Equity shares are proposed to be listed on NSE Emerge after listing.

IC Electricals IPO Issue Structure and Application of Proceeds

The company proposes to use approximately ₹3,200 lakh of the net proceeds to meet its working capital needs, and the remainder for general corporate purposes within the set limits. The net issue will be equivalent to about 25.17 percent of the post-issue paid-up equity share capital.

Company Background

Formed in 2005 and later restructured as a public company, IC Electricals offers innovative engineering solutions, with a primary focus on Indian Railways. The range of products includes regulators, inverters, battery chargers, emergency lighting, vigilance control units, microprocessor-based control systems, alternators, traction motors, and permanent magnet alternators, as well as controllers. The company also undertakes turnkey railway electrification schemes covering 25 kV AC overhead equipment and traction substations.

Promoters include Sunil Kumar Verma, Renu Verma, SHBD LLP, and Safe System India Private Limited. Together, before issue, the promoters hold 66.31 percent of the paid-up share capital.

IC Electricals IPO Financial Highlights

In FY25, consolidated basis, revenue from operations of IC Electricals was ₹12,188.59 lakh, profit after tax ₹937.06 lakh, and net worth ₹4,954.18 lakh. EPS was ₹7.28, and borrowings were ₹5,578.94 lakh. On a standalone basis, revenue from operations was ₹12,148.16 lakh, PAT ₹928.26 lakh, EPS ₹7.21, and net worth ₹5,171.40 lakh.

IC Electricals IPO Order Book and Business Mix

As of August 31, 2025, IC Electricals had an order book of ₹15,847.72 lakh in the product and project divisions. Government and railway-related contracts, including turnkey electrification schemes and production of equipment, comprise the majority of revenues, showing its dependence on Indian Railways as a principal customer.

IC Electricals IPO Promoter Shareholding

Promoters and promoter group companies together hold 66.31 percent of the company’s pre-issue capital. The new issue will expand the capital base with the issue size of 26.50 percent of the post-issue paid-up capital.

IC Electricals IPO Lead Manager and Registrar

Nexgen Financial Solutions Private Limited is handling the IPO as BRLM, and the registrar is Skyline Financial Services Private Limited. NSE Emerge has been allotted as the listing platform.

IC Electricals IPO Key Considerations to Watch

Its excessive reliance on Indian Railways contracts, working capital sensitivity due to long project durations, and litigations pending are still the largest overhangs for investors. At the same time, its strong order book and strong positioning in the electrification and engineering solutions segment could support future growth prospects.

Note: Key IPO timelines such as price band, lot size, opening and closing dates will be updated upon announcement.

REF: https://nsearchives.nseindia.com/emerge/corporates/content/Registration_30092025221533_DRHP_ICEL_30092025.pdf

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