Don’t Miss Out: Vdeal System IPO Opens August 27 at ₹112 Per Share—Here’s What You Need to Know

Vdeal System is launching its initial public offering (IPO) on Tuesday, August 27, with the subscription period running until Thursday, August 29. The IPO price band is set at ₹112 per share, with each share having a face value of ₹10. Investors can bid for a minimum of 1200 shares, with options to bid in multiples of this amount.

For this IPO, 7,65,600 equity shares have been allocated for non-institutional investors (NIIs), while 7,66,800 shares are set aside for retail investors.

Vdeal System specializes in providing integrated electrical and automation solutions. Their product range includes Smart Low Voltage (LV), Smart Medium Voltage (MV), Smart Variable Frequency Drive (VFD), MV Soft Starter, Energy Management Systems (EMS), and Smart Programmable Logic Controller (PLC) panels. They also offer sandwich bus ducts and air-insulated bus ducts. Vdeal System is known for producing smart electrical control panels that comply with strict international IEC standards for quality and safety. The company handles everything in-house, from product design and development to production, system integration, and maintenance.

According to the company’s red herring prospectus (RHP), Vdeal System’s listed competitors include Akanksha Power and Infrastructure Ltd, which has a price-to-earnings (P/E) ratio of 72.45, and Saakshi Medtech and Panel Ltd, with a P/E ratio of 40.25.

In the financial year 2024, Vdeal System reported a revenue of ₹2,622.48 lakhs, an EBITDA of ₹536.03 lakhs, and a PAT of ₹311.38 lakhs.

The Vdeal System IPO, valued at ₹18.08 crore, consists of a fresh issue of 1,614,000 equity shares, with no “offer for sale” component. The funds raised from this IPO will be used to meet the company’s working capital needs, repay or prepay certain secured and unsecured loans, and for general corporate purposes.

Affinity Global Capital Market Private Limited is the book-running lead manager for the IPO, with Cameo Corporate Services Ltd acting as the registrar. Black Fox Financial will serve as the market maker for the Vdeal System IPO.

“This IPO marks a significant achievement for Vdeal, highlighting the progress and innovation we’ve made in electrical control panels and automation solutions since our start. Our journey has always focused on quality and innovation, and our smart electrical control panels reflect that. By incorporating IoT, AI, and ML, our solutions provide real-time data analysis and automated preventive measures.

Our strong partnerships with global electrical companies, combined with our in-house capabilities in product design and system integration, have strengthened our market position. This IPO will help us expand our operations, increase our market presence, and invest in future growth opportunities, all while keeping our commitment to quality, reliability, and compliance,” said Dhiraj Kochar, Chairman & Managing Director, and Tapaswini Panda, Whole Time Director & Chief Financial Officer of Vdeal System.