Chamunda Electricals IPO is a Book Built Issue offering ₹14.60 Crores, consisting entirely of a fresh issue of 29.19 Lakh Shares. This IPO opens on February 4, 2025, and closes on February 6, 2025, with the allotment finalized on February 7, 2025. The shares will be listed on NSE SME on or about February 11, 2025. The price band for the IPO is ₹47 to ₹50 per equity share, and the market capitalization at the upper IPO price of ₹50 is ₹55.02 Crores.

The lot size for the IPO is 3,000 shares, meaning retail investors must invest a minimum of ₹1,50,000. High-Net-Worth Individuals (HNIs) can apply for 2 lots (6,000 shares), amounting to ₹3,00,000.

Chamunda Electricals IPO Key Metrics
The company operates in the field of electrical substation services (up to 220 KV) and solar power generation (1.5 MW capacity). Their scope includes the erection of EHV class equipment, substation maintenance, earthing, and control cable works.

The Grey Market Premium (GMP) has been trending positively, with expectations for a 28% listing gain. As of February 5, 2025, the GMP stood at ₹14, indicating a price of ₹64 for the listing compared to the IPO price of ₹50.

Company Performance
Chamunda Electricals has reported strong financials in recent years, with revenues growing steadily from ₹1,132.25 Lakhs in FY2022 to ₹1,842.57 Lakhs in FY2024. The EBITDA has also grown from ₹55.45 Lakhs in FY2022 to ₹501.17 Lakhs in FY2024. The Profit After Tax (PAT) saw a significant rise from a loss of ₹-51.28 Lakhs in FY2022 to ₹281.48 Lakhs in FY2024, demonstrating the company's growth trajectory.

The pre-issue EPS for FY24 is ₹3.69, with a post-issue EPS of ₹2.21, reflecting a P/E ratio of 13.55x pre-issue and 22.58x post-issue. The return ratios are strong, with a ROCE of 36.82%, ROE of 52.43%, and RoNW of 41.54%, indicating robust financial health.

Use of Proceeds
The funds raised from the IPO will be utilized for:

1. ₹120.51 Lakhs for the purchase of new testing kits and equipment.
2. ₹550.00 Lakhs for working capital requirements.
3. ₹285.07 Lakhs for the repayment of term loans and cash credit.
4. The remainder for general corporate purposes and issue expenses.

Chamunda Electricals IPO Subscription Status
The IPO subscription has been overwhelming, with the issue subscribed 679.98 times as of February 6, 2025. Investors can check the live subscription status on the NSE website.

Anchor Investors
The company has raised ₹4.11 Crores from Anchor Investors, with the shares allotted at ₹50 per share. 8,22,000 equity shares were allocated to them.

Allotment Process
The allotment date for Chamunda Electricals IPO is February 7, 2025, and investors can check their allotment status online by entering their application number or PAN on the Registrar’s website.

Investment Recommendation
Based on the financial performance, GMP trend, and strong demand, Chamunda Electricals appears to be a fairly priced IPO with potential for listing gains. Risky investors may consider applying for this IPO for potential upside.

The Upcoming IPOs in this week and coming weeks are PS Raj Steels, Chandan Healthcare, Ajax Engineering, Voler Car, Maxvolt Energy, Hexaware Technologies.

The Current active IPO are Eleganz Interiors, Readymix Construction, Solarium Green, Ken Enterprises, Amwill Healthcare.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst.

Join our Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates.