Quality Power shares to list on NSE, BSE on Feb 24: Here is everything you need to know

Shares of Quality Power Electrical Equipments will be making a debut on the benchmark equity indices on February 24.

The listing was supposed to take place on February 21 but it got postponed.

Quality Power Electrical Equipments raised ₹858.7 crore from the primary market through this public issue. The mainboard issue opened for subscription on February 14. After witnessing a tepid demand from the investors in the first two days of bidding, the IPO was fully booked on the last day, led by retail investors.

The ₹858.70 crore initial public offer (IPO) was a mix of a fresh issue worth ₹225 crore and an offer-for-sale of ₹634 crore. The price band was ₹401 to ₹425 per share.

The funds raised by the firm will be used for capital expenditures, such as purchasing machinery and plant, acquiring Mehru Electrical and Mechanical Engineers, general corporate purposes, and inorganic growth.

The power equipment supplier's IPO received bids for more than 1.43 crore shares against 1.11 crore shares on offer. According to NSE data, the issue was booked 1.29 times on Day 3.

The issue was overall subscribed a mere 1.29 times. The portion for qualified institutional bidders (QIBs) was subscribed about 1.03 times. The portion for non-institutional investors (NIIs) was booked 1.45 times, while the allocation for retail investors was booked 1.83 times during the three-day bidding.

Quality Power Electrical Equipments Ltd is engaged in providing high-voltage electrical solutions.

Founded in 2001, Quality Power Electrical Equipments specialises in energy transition equipment and power technologies. The company provides high-voltage electrical solutions for grid connectivity and energy transition, with products catering to the generation, transmission, distribution and automation sectors.

The company has demonstrated strong market performance, achieving a 28.3% revenue CAGR from FY22 to FY24, with export revenue contributing 80.7% in FY24. Additionally, it boasts high capital efficiency with a return on equity (ROE) of 29.2% and a return on capital employed (ROCE) of 19.2%.

The company reported revenue from operations at ₹155.73 crore for the six-month period ended September 30, 2024, in the current financial year. Its net profit stood at ₹50 crore for the period under review.

In FY24, Quality Power Electrical Equipments reported revenue from operations at ₹300.59 crore against ₹253.25 crore in FY23. The company’s net profit increased to ₹55.47 crore in FY24 compared to ₹39.89 crore in the preceding financial year.