Classic Electrodes (India) Limited IPO has opened for subscription on 22 August 2025 with a total issue size of ₹41.51 crore. The IPO consists entirely of a Fresh Issue of 47.71 lakh shares, with no Offer for Sale component. The issue will close on 26 August 2025, while the allotment is expected on 28 August 2025. Shares will list on the NSE SME platform with a tentative listing date of 01 September 2025.

The price band for the IPO is fixed at ₹82 to ₹87 per equity share, with a projected market capitalisation of ₹156.30 crore at the upper end of the band. The lot size is 1,600 shares, and investors are required to apply for a minimum of 2 lots (3,200 shares), translating into an investment of ₹2,78,400.

The IPO is being managed by GYR Capital Advisors Private Limited as the Book Running Lead Manager, with MUFG Intime India Private Limited (formerly Link Intime India Pvt Ltd) acting as the Registrar. The Market Makers for this issue are Winance Financial Services Pvt Ltd and Giriraj Stock Broking Pvt Ltd.

Grey Market Premium (GMP)

The Grey Market Premium (GMP) for Classic Electrodes IPO stands at ₹18, which implies an expected listing price of around ₹105 per share, reflecting a 20.68% potential listing gain.

While GMP is an unofficial indicator and should not be solely relied upon, the premium suggests positive investor sentiment and early demand for the issue.

Subscription Status

As of 12:00 PM on Day 1 (22 August 2025), the IPO had been subscribed 0.56 times, showing moderate early demand. Retail and institutional participation in the following days will determine the oversubscription levels.

Investors can check the Classic Electrodes IPO live subscription status on the NSE website for real-time updates.

Anchor Investors

Ahead of the IPO opening, Classic Electrodes (India) successfully raised ₹11.70 crore from anchor investors at the upper band price of ₹87 per share, by allocating 13,45,600 equity shares. This anchor participation adds credibility and indicates confidence in the company’s fundamentals.

Company Background

Classic Electrodes (India), established 27 years ago, is engaged in the manufacturing of welding electrodes and providing engineering solutions to both domestic and international clients.

Its product portfolio is diverse and comprehensive, including:

• General Purpose Electrodes

• Low Alloy Electrodes

• Low Hydrogen Electrodes

• Stainless Steel Electrodes

• Hard Facing Electrodes

• Cast Iron Electrodes

• Non-Ferrous Electrodes

• Low Heat Input Electrodes

• Cutting and Gauging Electrodes

• Mig Wires

The company operates multiple factories and has a strong export footprint, making it a well-established player in its segment.

The promoters include Hanuman Prasad Agarwal, Sushil Kumar Agarwal, Nitesh Agarwal, Sunil Kumar Mittal, Ayush Agarwal, and Naresh Kumar Agarwal, each bringing between 5 to 26 years of experience to the table.

Financial Performance

Classic Electrodes (India) has shown consistent revenue and profit growth over recent years:

• Revenue from operations:

  • FY2025 (11 months ended Feb 28) – ₹18,789.56 lakh

  • FY2024 – ₹19,440.73 lakh

  • FY2023 – ₹15,112.69 lakh

  • FY2022 – ₹13,436.80 lakh

• EBITDA:

  • FY2025 – ₹1,962.81 lakh

  • FY2024 – ₹2,321.76 lakh

  • FY2023 – ₹872.73 lakh

  • FY2022 – ₹633.49 lakh

• Profit After Tax (PAT):

  • FY2025 – ₹957.31 lakh

  • FY2024 – ₹1,229.79 lakh

  • FY2023 – ₹208.48 lakh

  • FY2022 – ₹149.31 lakh

This strong financial trajectory highlights sustained growth and operational efficiency.

Key Performance Indicators

• Pre-Issue EPS: ₹7.92

• Post-Issue EPS: ₹5.81

• Pre-Issue P/E: 10.98x

• Post-Issue P/E: 14.97x

• Industry P/E: ~35x

• ROCE (FY24): 25.78%

• ROE (FY24): 44.11%

• RoNW: 36.14%

Compared to industry averages, the IPO valuations appear fair to attractive, leaving room for appreciation.

IPO Objectives

The net proceeds from the IPO will be utilized for:

1. ₹147.49 lakh – Funding capital expenditure for purchase of plant and machinery.

2. ₹1,000 lakh – Repayment of certain outstanding borrowings.

3. ₹1,660 lakh – Meeting working capital requirements.

4. General corporate purposes.

This allocation reflects the company’s focus on capacity building, financial strengthening, and growth scalability.

Allotment Guide

The Classic Electrodes IPO allotment date is 28 August 2025. Investors can check allotment status through the Registrar’s website by following these steps:

1. Visit the IPO allotment status portal of MUFG Intime India Pvt Ltd.

2. Select Classic Electrodes (India) Limited IPO from the dropdown list.

3. Enter your Application Number, PAN, or DP Client ID.

4. Click on Submit to view allotment status.

This will confirm whether you have been allotted shares.

Investment Review

The Classic Electrodes IPO presents a balanced mix of strong financials, fair valuations, and attractive GMP-driven listing prospects.

• Positives:

  • Established track record of 27 years.

  • Diverse product portfolio catering to multiple industries.

  • Strong revenue and profit growth.

  • Attractive GMP indicating potential 20%+ listing gains.

  • Fair post-issue valuation compared to industry peers.

• Risks:

  • High minimum investment requirement (₹2.78 lakh) limits retail participation.

  • Cyclicality in demand for welding electrodes tied to construction and infrastructure growth.

 Recommendation: Risk-tolerant investors may Apply for listing gains, as the GMP and fair valuation suggest scope for upside. Conservative investors may wait and track post-listing performance before investing.

 Done — this now mirrors the same style as Shivashrit Foods IPO article, but adapted for Classic Electrodes (India) with allotment check guide included.

Do you also want me to create a Day-wise Subscription Table (Retail, NII, QIB) for both Shivashrit Foods and Classic Electrodes, so readers can track daily demand until listing?

The Upcoming IPOs in this week and coming weeks are Anlon Healthcare, NIS Management, Sattva Engineering Construction, Globtier Infotech, Current Infraprojects, Anondita Medicare, Classic Electrodes (India), Vikran Engineering, Shivashrit Foods.

The Current active IPO are ARC Insulation & Insulators, Mangal Electrical Industries, LGT Business Connextions, Vikram Solar, Gem Aromatics, Shreeji Shipping Global, Patel Retail.

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