Vidya Wires’ IPO has drawn considerable attention from investors and analysts alike, thanks to its solid manufacturing base and consistent financial growth. As India accelerates its transition toward renewable energy, EV adoption, and power infrastructure expansion, the demand for high-quality winding and conductivity products is poised to rise sharply.
Vidya Wires IPO review takes a data-driven look at the company’s business model, its diversified product ecosystem, revenue streams, and growth potential. You’ll understand how the company’s financial performance, capacity expansion, and operational strategy align with broader industrial and clean energy trends—helping investors assess whether this IPO deserves a place in their long-term portfolio.
Company Overview and IPO Snapshot
Founded in 1981, Vidya Wires has evolved into a key manufacturer of winding and conductivity products used in critical sectors such as energy generation, power transmission, electric mobility, clean energy systems, and railways. The company holds a 5.7% market share (FY25) in India and ranks as the 4th largest manufacturer by installed capacity. Post its expansion, it is projected to become the 3rd largest player with a market share approaching 11%.
IPO Highlights
| Particulars | Details |
|---|---|
| IPO Dates | 3 – 5 December 2025 |
| Price Band | INR 48 – 52 per share |
| Fresh Issue | INR 274 crore |
| Offer for Sale | 50,01,000 shares (INR 24.00 – 26.01 crore) |
| Total Size | INR 298.00 – 300.01 crore |
| Retail Allocation | 35% |
| Minimum Lot Size | 288 shares (INR 14,976) |
| Listing | NSE, BSE |
| Promoter Selling Shareholders | Shyamsundar Rathi & Shailesh Rathi (2.5 million shares each) |
Utilization of Funds:
- INR 140 crore for capacity expansion through subsidiary ALCU Industries
- INR 100 crore for debt repayment
- Remaining for general corporate purposes
This blend of growth and deleveraging makes the IPO structurally sound — it’s not just about raising funds but about strengthening the balance sheet and boosting production capacity.
Vidya Wires IPO Review: Business Model
Vidya Wires operates as an integrated manufacturer of conductivity solutions rather than a mere wire producer. Its manufacturing process starts from copper cathodes and aluminium rods, which are processed in-house to create finished products like enamelled wires, paper-insulated conductors, and copper busbars.
(I) Backward Integration:
- 35–40% of copper rods are produced internally.
- Ensures consistent quality, supply-chain reliability, and cost control.
This model insulates the company from raw material volatility and improves operating margins.
(II) Operational Scale:
- Installed Capacity: 19,680 MT per annum (to rise to 37,680 MT post-expansion)
- Utilization: Improved from 70.3% in FY23 to 94.5% in June 2025
- Production Growth: 13,415 MT (FY23) → 17,338 MT (FY25), up 29.2%
Vidya’s operational base in Anand, Gujarat, benefits from proximity to Mundra and Hazira ports, offering export efficiency and raw material access. The company is ISO-certified and Power Grid Corporation–approved, signaling strong compliance and product reliability.
Product Ecosystem and Industrial Applications
Vidya Wires’ strength lies in its technically diversified portfolio. With 8,500+ SKUs, it caters to over 450 customers across industries such as energy, automotive, electrical equipment, and renewables.
Key Product Lines
- Enameled Copper Winding Wires: Used in motors, transformers, EVs, and home appliances.
- Rectangular Strips & Paper-Insulated Conductors: Essential for transformers and generators.
- Fiberglass & Aluminium Conductors: High-heat resistance for power equipment.
- PV Ribbons & Busbars: Used in solar panels and clean energy modules.
- Copper Busbars, Bare Conductors & Earthing Cables: Core components for power infrastructure.
The upcoming ALCU expansion will introduce high-margin new products such as Copper Foils, Solar Cables, and Continuously Transposed Conductors — enhancing its product depth and moving it further up the value chain.
Vidya Wires IPO Analysis: Revenue Streams
Vidya Wires’ financial resilience stems from its diversified revenue base — across industries, geographies, and clients.
(A) Industry-Wise Revenue Composition
| Sector | FY23 | FY24 | FY25 | Q1 FY26 |
|---|---|---|---|---|
| Power & Transmission | 46.4% | 43.0% | 48.1% | 48.8% |
| Electrical | 24.5% | 26.3% | 28.9% | 22.4% |
| General Engineering | 18.7% | 18.0% | 10.2% | 9.9% |
| Renewables & EV | 7.1% | 7.7% | 9.5% | 10.7% |
| Consumer Durables | 3.1% | 4.5% | 2.9% | 7.8% |
Renewables and EVs have grown from 7.1% to over 10% of total revenues in just two years, reflecting Vidya’s strategic pivot towards future-facing sectors.
(B) Geographic Mix
- Domestic: 85–88% of revenue
- Exports: 11–14% to 18 countries, including the U.S., UAE, Saudi Arabia, and Australia
(C) Customer Stability
- 94% of FY25 revenue came from repeat clients.
- No single customer contributes more than 9% of annual turnover.
This wide and sticky customer base creates stability, cash flow visibility, and resilience against sector-specific downturns.
Vidya Wires IPO Analysis: Financial Performance
| FY 2023 | FY 2024 | FY 2025 | Q1 FY 2026 | |
| Revenue from Operations | 1,011.44 | 1,186.07 | 1,486.39 | 411.76 |
| EBITDA | 35.8 | 45.5 | 64.2 | 18.7 |
| EBITDA Margin (%) | 3.54 | 3.84 | 4.32 | 4.53 |
| PAT | 21.50 | 25.69 | 40.87 | 12.06 |
| PAT Margin (%) | 2.12 | 2.16 | 2.74 | 2.92 |
| ROE (%) | 21.48 | 20.47 | 24.57 | 6.76 |
| ROCE (%) | 16.87 | 18.25 | 19.72 | 5.24 |
CAGR (FY23–FY25):
- Revenue: 21.23%
- EBITDA: 33.86%
- PAT: 37.86%
Despite working in a thin-margin sector, Vidya has managed steady improvement across every profitability metric — a mark of operational discipline.
Vidya Wires IPO: Valuation and Peer Comparison
At INR 52 per share, Vidya Wires’ implied P/E multiple (~19–20x) is notably below peers trading between 40x and 53x.
| Company | P/E (x) | RoNW (%) | FY25 Revenue (INR Cr.) |
|---|---|---|---|
| Vidya Wires | ~20 (est.) | 24.6 | 1,486.4 |
| Precision Wires | 53.4 | 15.6 | 4,014.8 |
| Ram Ratna Wires | 42.2 | 14.4 | 3,676.7 |
| Apar Industries | 44.4 | 18.2 | 18,581.2 |
Vidya offers industry-leading capital efficiency at mid-tier valuation, making the IPO reasonably priced for long-term investors.
Investor Takeaways
Why This IPO Stands Out
- Top-tier RoNW (24.6%) and best-in-class asset turnover (36x)
- Consistent Profitability: 38% PAT CAGR (FY23–FY25)
- Expansion-Driven Growth: Capacity to double by FY27
- Debt-Light Future: Post-IPO deleveraging ensures a stronger balance sheet
- Sustainability Commitment: 25% renewable power sourcing
- Attractive Valuation: Mid-range P/E for above-average performance metrics
Vidya Wires represents the new-generation industrial story — efficient, export-ready, ESG-compliant, and strategically positioned in India’s manufacturing growth cycle.
Conclusion
Vidya Wires’ IPO stands out as a fundamentally strong and growth-focused opportunity. With solid financial performance, a diversified product mix, and expansion plans that will nearly double its capacity, the company is well placed to capture rising demand in renewables, EV, and power infrastructure. Its efficient operations, strong return ratios, and disciplined management make it a credible long-term story rather than a short-term listing play.
Overall, this IPO reflects a steady, well-managed industrial growth narrative backed by real numbers and tangible execution strength. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.