Atlanta Electricals IPO to open next week: From key dates to financials, here are 10 things to know from the RHP

Atlanta Electricals IPO: The mainboard initial public offer (IPO) of Atlanta Electricals is set to open next week, to raise over ₹687 crore. The price band for Atlanta Electricals IPO has been set at ₹718 to ₹754 apiece.

Investors can apply for the IPO in lots of 19 shares and multiples thereof. Retail investors need to shell out ₹14,326 at the upper end of the price band.

Atlanta Electricals IPO: Key things from RHP

Ahead of the share sale, here are key things that investors should know from the company's red herring prospectus (RHP).

1. Atlanta Electricals IPO dates

The public offer will open for bidding on Monday, September 22 and close on Wednesday, September 24. The allotment for the IPO is expected to be finalised on September 25, with the listing slated to take place on September 29 on BSE and NSE.

Meanwhile, the anchor book for the public offer will open tomorrow on September 19.

2. Atlanta Electricals IPO type

The ₹687 crore IPO is a mix of fresh share sale of 0.53 crore shares and an offer for sale of 0.38 crore shares by the promoter and other shareholders of the company.

3. Atlanta Electricals IPO objective

The company plans to use the funds raised from the fresh share sale for repayment of certain loans availed by the company, funding working capital needs and general corporate purposes.

4. Atlanta Electricals' financials

The company's revenue from operations jumped 43% to ₹1244 crore in FY25 from ₹867.5 crore a year ago. Meanwhile, its profit after tax witnessed a 87% to ₹118 crore in FY25 from ₹63.5 crore in FY24.

5. Atlanta Electricals listed peers

Voltamp Transformers, Transformers and Rectifiers and Danish Power are among the listed peers of Atlanta Electricals, trading at a price-to-earnings (P/E) ratio of 22.15x, 69.97x and 25.80x, respectively.

6. Atlanta Electricals IPO BRLMs

Motilal Oswal Investment Advisors and Axis Capital are the book-running lead managers (BRLMs) while MUFG Intime India is the registrar of the offer.

7. Atlanta Electricals IPO quota allocation

In the public offer, 50% of the quota is reserved for qualified institutional buyers (QIBs), 15% is booked for non-institutional investors (NIIs) and the remaining 35% is allocated to retail investors.

8. About Atlanta Electricals

Atlanta Electricals is a transformer manufacturer in India, specialising in power, auto, and inverter duty transformers with capacities of up to 500 MVA and voltage ratings as high as 765 kV. Backed by over 30 years of industry experience, the company had, as of March 31, 2025, supplied over 4,400 transformers totalling 94,000 MVA across 19 Indian states and three union territories.

9. Industry outlook

India's transformer market is driven by the relentless growth in electricity

demand, with per capita consumption surging by over 50% in the last decade. The government is also investing in the renewable energy sector and expanding the power transmission network, which is expected to create opportunities for the transformer market's growth.

The domestic transformer market is expected to grow by 7-8% in 2025. The transformer segment registered a growth of 10.4% in between 2019-23 and is expected to grow at a CAGR of ~6-7% from 2024-2030.

10. Atlanta Electricals IPO risks

The company faces the following risks:

⦁ Geographical concentration: A major chunk of its facilities is located in Gujarat, with the revenue being generated from them being nearly 99%. Any disruptions in the region can materially impact the company.

⦁ Dependence of state-owned entities: A significant portion of the revenue is generated from the government-owned entities, which follow the tendering process for the determination of suppliers. The company flagged adverse risks if it does not succeed in all or a majority of the contracts that it tenders for.

⦁ Customer concentration: As of Fiscal 2025, Fiscal 2024 and Fiscal 2023, the company derived 74.21%, 64.82% and 79.87% respectively, of revenue from the top 10 customers. The loss of any of these customers, will materially and adversely hit its profitability.

Disclaimer: This story is for educational purposes only. The views and recommendations expressed are those of individual analysts or broking firms, not Mint. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.