Atlanta Electricals IPO opens on September 22: Check price band & other key details

Atlanta Electricals's initial public offering (IPO) is set to open for subscription on Monday, 22 September, closing on Wednesday, 24 September. The price band for the IPO has been fixed at Rs 718 to Rs 754 per equity share. The minimum lot size is 19 shares, and investments can be made in multiples thereof. Allocation to anchor investors will occur on 19 September.

The public issue comprises a fresh equity issue aggregating up to Rs 400 crore and an offer for sale of up to 3,810,895 equity shares. Allotment will be determined on 25 September, followed by refunds and demat credit on 26 September. Shares are expected to be listed on the BSE and NSE on 29 September. Motilal Oswal Investment Advisors Ltd. serves as the book running lead manager, while MUFG Intime India is registrar.

The IPO reserves not more than 50% for qualified institutional buyers, not less than 15% for non-institutional investors, and not less than 35% for retail investors. Employees are eligible for a Rs 70 discount per share in the employee reservation portion.

The principal objectives for the use of funds from the fresh issue are to repay or prepay specific borrowings, address the company’s working capital requirements, and fund general corporate purposes. This strategy is aimed at enhancing Atlanta Electricals’ balance sheet strength and liquidity position.

Atlanta Electricals Limited specialises in manufacturing power, auto, and inverter-duty transformers. As of 30 September 2024, the company’s product portfolio includes six different transformer types: power transformers, inverter-duty transformers, furnace transformers, generator transformers, and units for special applications. The company caters to clients in 19 Indian states and three union territories, having supplied 4,000 transformers with a total capacity of 78,000 MVA. Exports have reached countries such as the United States, Kuwait, and Oman.

With three manufacturing facilities—two in Anand, Gujarat and one in Bengaluru, Karnataka—Atlanta Electricals has developed a customer base of 208 clients, including notable entities like GETCO, Adani Green Energy, TATA Power, and SMS India. As of September 2024, the company employed 301 staff members across its operations.

The IPO structure allocates up to half of the issue for qualified institutional buyers, a minimum of 15% for non-institutional investors, and at least 35% for retail investors. The floor and cap prices represent 359 and 377 times the face value, respectively. Employee participants in the reserved portion benefit from a Rs 70 per share discount. Allotment is set for 25 September, with refunds and share credits on 26 September, and listing scheduled for 29 September. Anchor investor allocation is due on 19 September.