Kanohar Electricals Ltd. is set to launch its initial public offering (IPO) on September 8, 2026, with the subscription window closing on September 10, 2026. The company has fixed the price band for its maiden public issue at Rs 601 to Rs 632 per equity share, each with a face value of Rs 2.
The IPO comprises a fresh issue of equity shares amounting to Rs 300 crore, alongside an offer-for-sale (OFS) of up to 11,957,915 shares by the promoter, K Sons Family Trust. Investors can bid for a minimum of 23 shares, with subsequent bids in multiples of 23. At the upper end of the price band, a single lot will cost Rs 14,536.
Utilisation of IPO Proceeds
A significant portion of the fresh issue proceeds is allocated to strategic growth initiatives. Approximately Rs 64.1 crore will fund capital expenditure at the company's Gangol manufacturing facility. This investment includes acquiring new machinery and equipment to boost transformer manufacturing capacity, expanding and automating backward integration facilities, and enhancing operational efficiency.
Further investments at the Gangol plant cover civil construction and interior development for an office building, as well as sustainability initiatives such. These include setting up solar power plants and purchasing electric vehicles for internal handling and movement. Additionally, Rs 155 crore from the fresh issue will address incremental working capital requirements, with the remainder reserved for general corporate purposes.
Company Profile and Financial Performance
According to a CARE Report cited by the company, Kanohar Electricals was one of India's leading domestic transformer manufacturers by revenue in fiscal year 2026. As of March 31, 2026, the company was among only five entities in India possessing short-circuit test certification for 500 MVA, 400 kV transformers, critical for power transmission applications.
The company has demonstrated robust financial growth, with revenue from operations climbing to Rs 653.83 crore in FY26 from Rs 276.6 crore in FY24. Net profit also saw a substantial increase, rising to Rs 129.7 crore in FY26 from Rs 17.7 crore in FY24.
IPO Structure and Listing
The IPO is being conducted through a book-building process. Not more than 50% of the net offer will be available for Qualified Institutional Buyers (QIBs), while not less than 15% is reserved for Non-Institutional Bidders (NIIs), and at least 35% for Retail Individual Bidders (RIIs).
Nuvama Wealth Management and IIFL Capital Services are acting as the book-running lead managers for the issue, with MUFG Intime India serving as the registrar. The equity shares of Kanohar Electricals are slated for listing on both the National Stock Exchange (NSE) and BSE.