A Railways-focused electronic systems and equipment manufacturer plans to raise Rs 45.51 crore via the NSE SME platform.
IC Electricals Co. Ltd., an engineering and manufacturing company specialising in electronic equipment for Indian Railways, opens for subscription on July 3 with the issue closing on July 7. The company is listing on the NSE SME Emerge platform. All proceeds are a fresh issue flowing entirely to the company.
What the Company Does
Founded in 2005 and operating primarily on a B2G (Business-to-Government) model, IC Electricals manufactures electronic systems, rotating machines, and railway electrification solutions used in railway operations. Its products include tailor-made electronic systems and components designed specifically for Indian Railways’ operational requirements.
The company’s business is inherently tied to the health of Indian Railways’ capital expenditure programme — which remains strong given the government’s sustained infrastructure push — providing long-term demand visibility. Its products are mission-critical and require stringent qualification and testing standards, creating meaningful entry barriers for new competitors.
Issue Details
| Particulars | Details |
|---|---|
| Issue Opens | July 3, 2026 |
| Issue Closes | July 7, 2026 |
| Listing | NSE SME Emerge (July 10, 2026) |
| Price Band | Rs 94 – Rs 99 per share |
| Face Value | Rs 10 |
| Issue Size | Rs 45.51 crore (100% Fresh Issue) |
| Lot Size | 1,200 shares (min 2 lots = 2,400 shares) |
| Min. Retail Investment | Rs 2,37,600 |
| BRLM | NEXGEN Financial Solutions Pvt. Ltd. |
| Registrar | Skyline Financial Services Pvt. Ltd. |
| Market Maker | Mansi Share & Stock Broking Pvt. Ltd. |
Financial Performance
| Particulars (Rs cr) | FY25 | FY26 |
|---|---|---|
| Revenue | 122.39 | 143.81 |
| PAT | 9.41 | 14.10 |
| PAT Margin | 7.69% | 9.80% |
Revenue grew 18% in FY26 and PAT grew 50%, reflecting meaningful margin expansion. Average EPS over the reported periods is Rs 8.32 and average RoNW is 22.83%. At the upper band of Rs 99, the P/BV is 2.09x on pre-IPO NAV of Rs 47.40 and 1.62x on post-IPO NAV.
The only listed peer cited in the offer document trades at P/E of 98.7x — far above this issue’s implied multiple — though the comparison is noted as directional at best.
BRLM Track Record: This is the 5th mandate from NEXGEN Financial. Of the last 4 listings, 1 opened at a discount and the rest with premiums ranging from 2.56% to 27.48%.
Risks to Consider
The B2G model — with Indian Railways as the near-exclusive end customer — creates a single-point dependency on government procurement decisions, budget allocations, and tender timelines. Any slowdown in Railways capex or policy shifts could directly impact revenue. Trade receivables from government entities tend to be elevated given long payment cycles. The boosted bottom lines from FY25 onwards, while real, coincide with the pre-IPO period and invite the usual scrutiny about durability.
Analyst View
Analysts note that IC Electricals has posted growth in its top and bottom lines for the reported periods, but that the boosted bottom lines from FY25 onwards raise eyebrows and concern over sustainability. The issue appears fully priced based on recent financial data, note analysts.