MV Electrosystems IPO: dates, price band and the numbers

MV Electrosystems Limited opens its initial public offering on 30 July 2026 at a price band of Rs 400 to 425 a share. The Rs 290 crore issue is entirely fresh equity, and bidding remains open through 3 August 2026. Here is the full breakdown of the issue structure, financial performance, anchor allocation and risk factors from the red herring prospectus.

What MV Electrosystems does

MV Electrosystems Limited is an engineering and technology-driven manufacturing company founded in July 2009 in Faridabad, Haryana. The company designs, develops and manufactures specialized electrical equipment and advanced power electronics for the Indian rail transport sector.

Its product portfolio includes Insulated Gate Bipolar Transistor (IGBT) propulsion systems for electric locomotives, switchgear control panels for railway passenger coaches and specialized cable protection hardware. Commercial delivery of its indigenously developed propulsion systems commenced in March 2026 after receiving formal technical approval from Chittaranjan Locomotive Works (CLW). The company operates an in-house research and development facility in Faridabad to test and innovate new power electronic components. As of 30 June 2026, MV Electrosystems reported an unexecuted order book of Rs 921.64 crore.

The issue and anchor allocation

The public offer is a book-built issue seeking to raise Rs 290 crore through the issuance of 68.23 lakh fresh equity shares. There is no offer for sale component, meaning all net proceeds flow directly into the company balance sheet. The shares carry a face value of Rs 5 each.

Ahead of the public bidding window, MV Electrosystems finalized its anchor investor allocation on 29 July 2026. The company allocated 30.70 lakh equity shares at the upper price band of Rs 425 per share to raise Rs 130.50 crore from 14 institutional investors. Institutional participants in the anchor round included Kotak Mutual Fund, 360 ONE Prime Ltd, Subhkam Ventures, Ashika Global Finance and Finavenue Growth Fund.

Objects of the issue

The company plans to deploy the net proceeds from the fresh issue across three primary operational areas:

• Working capital: Rs 180 crore to support day-to-day operational working capital and expanding manufacturing execution.
• Research and development: Rs 21 crore to fund ongoing R and D initiatives, design testing and product innovation in power electronics.
• General corporate purposes: Rs 89 crore to support corporate growth and general operational expenses.

Financial performance

The table below summarizes the key financial metrics reported by MV Electrosystems over the past three fiscal years. Figures are in Rs crore.

Revenue grew from Rs 50.57 crore in FY24 to Rs 64.64 crore in FY25, before declining to Rs 49.79 crore in FY26. Profit after tax recorded Rs 0.56 crore in FY24 and Rs 1.40 crore in FY25. In FY26, the company posted a net loss of Rs 12.63 crore alongside increased total borrowings of Rs 49.89 crore. Net worth expanded to Rs 62.57 crore at the close of FY26.

Peers

In its red herring prospectus, MV Electrosystems identifies Hind Rectifiers Limited as its primary listed peer. Hind Rectifiers reported annual revenue of Rs 999 crore for the corresponding period, trading at a price-to-earnings ratio of 88.83 and a return on net worth of 21.37 percent. Given MV Electrosystems' negative earnings in FY26 (pre-IPO EPS of negative Rs 6.52), standard price-to-earnings multiples are not applicable.

Strengths

• In-house research and development: A dedicated R and D facility in Faridabad enables continuous design innovation and testing for specialized railway power electronics.
• Established supplier status: Possesses technical approval from Chittaranjan Locomotive Works for IGBT-based propulsion systems, positioning the company within Indian Railways electrification projects.
• Strong order visibility: Maintained an unexecuted order book of Rs 921.64 crore as of 30 June 2026.

Risks

• Revenue concentration: A high percentage of total revenue depends on orders from Indian Railways and related public sector contracts, leaving operations sensitive to government policy changes or project timeline delays.
• Recent net loss: Reported a net loss of Rs 12.63 crore in FY26 following a drop in top-line revenue, resulting in a negative return on net worth of 20.29 percent.
• Working capital intensity: Manufacturing power electronic assemblies requires substantial ongoing working capital, with Rs 180 crore of issue proceeds allocated to fund operations.

How to apply

1. Log into your broker app or bank ASBA portal between 30 July and 3 August 2026.
2. Select MV Electrosystems Limited IPO from the mainboard list.
3. Enter the bid quantity in multiples of the 34-share lot size (minimum 1 lot of 34 shares, costing Rs 14,450 at Rs 425 per share).
4. Provide your valid UPI ID and submit the application.
5. Approve the UPI mandate request in your UPI application before 5:00 PM on 3 August 2026.

Applicants can verify allotment status after finalization on 4 August 2026 via the KFin Technologies allotment portal or through official exchange channels. Company details are available via the KFin Technologies portal.

This article is for information only, not investment advice. It does not tell you whether to apply. Any grey market premium quoted here is unofficial, unregulated news and is not a forecast of the listing price. IPO applications carry market risk. Read the prospectus and make your own decision before you bid.