The Securities and Exchange Board of India (SEBI) has granted final observations to four companies this week, moving them closer to listing on the public market. These approvals include IPOs for Vidya Wires, KENT RO Systems, Karamtara Engineering, and Mangal Electrical Industries. Meanwhile, Sai Infinium had withdraw its offer document. This article offers an in-depth look at each approved IPO, along with their DRHP filings, approval dates, issue sizes, business strengths, and key risks.
1. Vidya Wires
- DRHP Filed: 15 January 2025
- SEBI Observations Issued: 04 June 2025
- Issue Type & Size: Fresh issue of INR 320 crore + OFS of 1 crore shares
- Lead Manager: Pantomath Capital Advisors
Business Profile
Vidya Wires manufactures bare copper and copper alloy wires used in transformers, motors, and switchgear. Following the Vidya Wires IPO approval from SEBI, the company is set to launch its public offering to fund working capital requirements and support capacity expansion. These efforts align with the company’s growth strategy in the infrastructure and industrial sectors.
Highlights & Risks
- Strengths: Vertical integration, technical manufacturing, robust repeat orders.
- Risks: Volatile copper prices, high working capital needs, infrastructure-dependent demand.
2. KENT RO Systems
- DRHP Filed: 23 January 2025
- SEBI Observations Issued: 06 June 2025
- Issue Type & Size: OFS-only; promoters offloading ~10.09 million shares
- Lead Manager: Motilal Oswal Investment Advisors
Business Profile
A market leader in water purifiers, KENT RO Systems offers air purifiers, water softeners, and vacuum cleaners. This OFS-only IPO will allow promoters to unlock value, though the company won’t raise fresh capital. With the KENT RO Systems IPO approval now in place following SEBI’s observations, the offering is one step closer to launch.
Highlights & Risks
- Strengths: Strong brand recall, diverse product portfolio, low leverage.
- Risks: No capital for growth, rising competition, consumer spending sensitivity.
3. Karamtara Engineering
- DRHP Filed: 27 January 2025
- SEBI Observations Issued: 06 June 2025
- Issue Type & Size: Fresh issue of INR 1,350 crore + OFS of INR 400 crore
- Lead Manager: JM Financial
Business Profile
Karamtara supplies transmission towers, fasteners, and hardware fittings to utilities and EPC firms, with exports to Africa and Southeast Asia. With the Karamtara Engineering IPO approval received post-SEBI review, the company is set to move forward with its capital raise. Funds from the IPO will support working capital and debt repayment.
Highlights & Risks
- Strengths: Full value-chain capability, strong order book, backward integration.
- Risks: Tender-based volatility, payment delays, exposure to steel-zinc price swings.
4. Mangal Electrical Industries IPO Approval
- DRHP Filed: 06 January 2025
- SEBI Observations Issued: 03 June 2025
- Issue Type & Size: Fresh issue only, estimated around INR 450 crore
- Lead Manager: Systematix Corporate Services
Business Profile
Located in Jaipur, Mangal Electrical produces winding wires, insulation strips, and components for motors and transformers. The funds will support manufacturing scale-up and R&D enhancements, targeting industries like EVs and renewables.
Highlights & Risks
- Strengths: Niche manufacturing expertise, capex alignment with energy trends, agile operations.
- Risks: SME-led client base risk, commodity price sensitivity, smaller scale vs. listed peers.
Sai Infinium IPO Withdraw ❗
- DRHP Filed: 03 April 2025
- SEBI Action Date: 04 June 2025 (Offer Document withdrawn)
Sai Infinium’s IPO was withdrawn, possibly due to disclosure deficiencies or regulatory issues. The promoters must address these and refile to pursue listing.
Summary Table of SEBI Actions & IPO Sizes
| Company | DRHP Filing | SEBI Approval Date | Issue Type | Issue Size |
|---|---|---|---|---|
| Vidya Wires | 15 Jan 2025 | 04 Jun 2025 | Fresh + OFS | INR 320 cr + 1 cr shares |
| KENT RO Systems | 23 Jan 2025 | 06 Jun 2025 | OFS only | ~1,00,94,568 shares |
| Karamtara Engineering | 27 Jan 2025 | 06 Jun 2025 | Fresh + OFS | INR 1,350 cr + INR 400 cr |
| Mangal Electrical Industries | 06 Jan 2025 | 03 Jun 2025 | Fresh issue only | ~INR 450 cr |
| Sai Infinium | 03 Apr 2025 | 04 Jun 2025 (withdrawn) | Fresh issue (withdrawn) | ~1,96,00,000 shares |
Conclusion
This tranche of SEBI IPO approvals underscores the vibrancy of India’s IPO market, with issuers spanning manufacturing, consumer appliances, infrastructure, and electrical components. Each company faces a unique growth narrative—from capacity expansion and debt restructuring to brand monetisation—but they must also manage material risks ranging from commodity fluctuations to competitive pressure.
As the companies gear up for investor roadshows, pricing strategies, anchor allotments, and retail subscription windows, investors should focus not only on valuations but also on sectoral tailwinds and company-specific fundamentals.