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Susan Electricals India Ltd. (SEIL) is engaged within the manufacturing of aluminium and copper-based electrical winding wires, conductors and cables in varied specs, sizes and configurations. Under the cables section, it manufactures low pressure (LT) cables, together with Low Tension Aerial Bunched (LT AB) cables (as much as 1.1 kV), High Tension (HT) cables of specified voltage grades and Medium Voltage Covered Conductor (“MVCC”) Cables.
Under the wires and conductors’ section, its choices embrace winding aluminium wires and strips, winding copper wires and strips and aluminium conductors, manufactured in accordance with prescribed specs. The firm primarily provide its merchandise to state-owned electrical energy distribution utilities (“DISCOMs”), personal sector entities engaged in infrastructure improvement & EPC actions, in addition to entities working within the electrical wires, cables and conductor section. SEIL’s merchandise are primarily utilized in energy distribution networks, transformer & motor winding functions, overhead distribution traces and underground cabling works. Its provides to DISCOMs is undertaken pursuant to tender-based procurement processes, whereas provides to EPC contractors and
merchants are made primarily based on buy orders and mutually agreed industrial phrases.
In addition to manufacturing cables and wires, the corporate additionally undertakes buying and selling of aluminium wires and rods, that are used as key uncooked supplies in its manufacturing course of, and in addition gives job work companies primarily regarding processing of winding wires & strips to sure clients. Revenue from buying and selling of aluminium wires and rods constituted 33.69% of its complete income from operations for the Fiscal 2026, , and 13.17% and 26.18% for Fiscal 2025, and Fiscal 2024, respectively. And income from job work companies constituted roughly 0.54% of its complete income from operations for the Fiscal 2026, and 1.90% and a couple of.68% for Fiscal 2025 and Fiscal 2024, respectively. We function three manufacturing amenities situated in Ghaziabad, Uttar Pradesh. As of April 30, 2026, it had 216 staff on its payroll.
The firm is popping out with its maiden e book constructing route combo IPO of 5542000 fairness shares of Rs. 10 every to mobilize Rs. 70.38 cr. The IPO consists of 4742000 contemporary fairness shares (value Rs. 60.22 cr. on the higher cap), and an Offer for Sale (OFS) of 800000 fairness shares (value Rs. 10.16 cr. on the higher cap). The firm has introduced a value band of Rs. 120 – Rs. 127 per share of Rs. 10 every). The minimal utility to be made is for 2000 shares and in multiples of 1000 shares thereon, thereafter. The challenge opens for subscription on June 11, 2026 and can shut on June 15, 2026. The shares shall be listed on BSE SME. The IPO represent 27.26% of the post-IPO paid-up capital of the corporate. From the web proceeds of the difficulty, it’s going to make the most of Rs. 10.29 cr. for capex for growth of present facility, Rs. 33.00 cr. for working capital, and the remainder for normal company functions.
The IPO is solely lead managed by Seren Capital Pvt. Ltd., and Mudra RTA Ventures Pvt. Ltd., is the registrar to the difficulty. Mansi Share and Stock Broking Pvt. Ltd., is the market maker in addition to a syndicate member.
After issuing preliminary fairness capital at par worth, it issued additional fairness shares within the value vary of Rs. 30 – Rs. 129 per share between March 2024, and November 2025. The firm additionally issued bonus shares within the ratio of two for 1 in November 2025. The common price of acquisition of shares by the promoters/promoting stakeholders is Rs. 1.38, per share.
Post-IPO, firm’s present paid-up fairness capital of Rs. 15.59 cr. will stand enhanced to Rs. 20.33 cr. Based on the higher band of the IPO pricing, the corporate is on the lookout for a market cap of Rs. 258.20 cr.
On the monetary efficiency entrance, for the final three fiscals, the corporate has posted complete income/ web revenue, of Rs. 103.59 cr. / Rs. 0.76 cr. (FY24), Rs. 136.05 cr. / Rs. 5.65 cr. (FY25), Rs. 269.96 cr. / Rs. 18.25 cr. (FY26). The firm marked development in its high traces, however posted bumper earnings from FY25 onwards, which not solely increase concern, but in addition its sustainability going ahead, as it’s working in a extremely aggressive and fragmented section.
For the final three fiscals, the corporate has reported a mean EPS of Rs. 8.07 and a mean RoNW of 36.21%. The challenge is priced at a P/BV of 5.15 primarily based on its NAV of Rs. 24.68 per share as of March 31, 2026, however its post-IPO NAV knowledge is just not accessible within the supply paperwork.
If we attribute FY26 tremendous earnings to its post-IPO totally diluted paid-up fairness capital, then the asking value is at a P/E of 14.16, and primarily based on FY25 earnings, the P/E stands at 45.68. The challenge seems aggressively priced primarily based on its final three fiscals’ earnings. FY26 earnings seems to be inflated one to pave the best way for fancy pricing of the IPO.
The firm has posted PAT Margins of 0.73% (FY24), 4.16% (FY25), 6.77% (FY26), and ROCE margins of 9.47%, 17.46%, 29.05%, respectively for referred intervals.
All quantities in Indian Rupees crores
The firm has not paid any dividends for the reported intervals of the supply doc. It will undertake a prudent dividend coverage, primarily based on its monetary efficiency and future prospects.
As per the supply doc, the corporate has proven Prime Cable, Divine Power, and V-Marc India, as its listed peer. They are at present buying and selling at a P/E of 14.7, 46.3, and 35.0 (as of June 08, 2026). However, they don’t seem to be actually comparable on an apple-to-apple foundation. This examine seems to be an eyewash. Outperforming margins in comparison with its listed friends increase eyebrows, and concern over its sustainability going ahead.
This is the eighth mandate from Seren Capital within the final two fiscals (together with the continuing one). Out of the final 7 listings, 1 listed at par, and the remainder listed at premium starting from 17.07% to 48.73% on the date of itemizing.
SEIL is engaged within the manufacturing of aluminium and copper primarily based electrical winding wires and buying and selling in aluminium wires and rods. The firm marked development in its high and backside traces for the reported intervals. Bumper earnings posted from FY25 onwards increase eyebrows and concern over its sustainability as it’s working in a extremely aggressive and fragmented section. Based on its latest monetary knowledge, the difficulty seems aggressively priced. Only well-informed/money surplus/threat seekers might park reasonable funds for long run.
Dilip Davda is a veteran monetary journalist related to the Indian inventory market since 1978. He has been contributing to print and digital media on capital markets, insurance coverage, and finance since 1985.
He is widely known for reviewing public points and non-convertible debentures (NCDs) within the main market. Drawing on over three a long time of market expertise and shut interplay with service provider bankers, his critiques concentrate on detailed basic and monetary evaluation of firms, with a particular emphasis on SME public points.
Disclaimer: The info offered herein is solely for instructional and informational functions and doesn’t represent a suggestion, solicitation, or advice to purchase or promote any securities. Readers are suggested to seek the advice of a certified monetary advisor earlier than making any funding selections. Investments within the securities market are topic to market dangers. The creator doesn’t intend to spend money on the securities mentioned.
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