Vidya Wires IPO: From business overview, financials to key risks— 10 key things to know from RHP

Vidya Wires IPO: The initial public offering (IPO) of electrical conductors and winding materials manufacturing company, Vidya Wires, will open for public subscription on Wednesday, December 3. The book build issue, which combines a fresh issue of about 5.27 crore shares to raise ₹274 crore and offer for sale (OFS) of 50 lakh shares, will conclude on Friday, December 5.

Pantomath Capital Advisors Private Limited and IDBI Capital Markets & Securities Limited are the book-running lead managers of the issue, while MUFG Intime India Private Limited is the registrar.

Vidya Wires IPO's price band has been fixed in the range of ₹48 to ₹52 per equity share.

Vidya Wires' IPO share allotment is expected to be finalised on Monday, December 8. Successful bidders can expect Vidya Wires shares credited to their demat accounts on Tuesday, December 9, while those who fail to get the allotment will get the refunds on the same day.

Vidya Wires shares may be listed on the BSE and the NSE on Wednesday, December 10.

Vidya Wires IPO GMP

The last GMP of Vidya Wires shares was ₹10. This indicates Vidya Wires shares can be listed at a premium of 19%.

Vidya Wires IPO: 10 key things to know from RHP

Let's take a look at 10 key things to know from the Red Herring Prospectus (RHP) of the Vidya Wires IPO:

1. Vidya Wires IPO objects

The company aims to raise ₹274 crore from the fresh issue of shares, which it intends to use for funding capital expenditure requirements for setting up a new project in its subsidiary, ALCU, repayment or prepayment of all or certain outstanding borrowings, and for general corporate purposes.

2. Vidya Wires IPO promoter selling shareholder

Shyamsundar Rathi and Shailesh Rathi are the two promoters selling shareholders in the OFS, each offering 25,00,500 shares.

3. Vidya Wires's promoters and promoter groups

Shyamsundar Rathi, Shailesh Rathi, and Shilpa Rathi are the promoters of the company. They collectively hold 14,74,60,000 shares of face value ₹1 each, equivalent to 92.16% of the issued, subscribed and paid-up share capital of the company.

4. Vidya Wires's management

As of the date of the RHP, the company's board comprises six directors, of which one is the managing director (MD), two are whole-time directors, and three are independent directors.

Shyamsundar Rathi, 76, is the chairman and whole-time director of the company, while Shailesh Rathi, 51, is the MD of the company.

5. Vidya Wires's business

As per the RHP, Vidya Wires is the manufacturer of winding and conductivity products. Its

The product portfolio includes precision-engineered enamelled wires, enamelled copper rectangular strips, paper-insulated copper conductors, copper busbar and bare copper conductors, specialised winding wires, PV ribbon and aluminium paper-covered strips, among others.

6. Major player in the industry

The RHP highlights a CareEdge Report, which suggests Vidya Wires is the fourth largest manufacturer in the industry with a 5.7% market share of installed capacity in FY25 in India.

7. Vidya Wires' financial performance

For FY23, the company's profit stood at ₹21.50 crore, which rose to ₹25.69 crore in FY24 and to ₹40.87 crore in FY25. For the three-month period ending June 30, 2025, the company's profit was ₹12 crore.

Revenue from operations for FY23 was ₹1,011.44 crore, for FY24, it was ₹1,186.07 crore and for FY25, it was ₹1,486.39 crore. For the first three months in FY26, the company's revenue from operations was ₹411.76 crore.

8. Vidya Wires' listed industry peers

Precision Wires India Limited, Ram Ratna Wires Limited, and Apar Industries Limited are the major listed peers of the company.

9. Power and transmission, general engineering, electrical sector contribute significantly to revenues

According to the RHP, over 80% of its revenues from operations were derived from supplies to power and transmission, general engineering, and the electrical sector in the three-month period ended June 30, 2025, and the last three fiscal years. Any slowdown in these sectors may impact its business.

10. SEBI notices against one promoter

As per the RHP, one of the company's promoters, Shilpa Rathi, and members of its promoter group had received notices under the SEBI (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003.

"We cannot assure you that we, our promoters, or members of our promoter group will not receive such notices in the future. In case any penalty is imposed on our promoters or members of our promoter group in the future in such matters, it may impact our reputation or financials," said the company.

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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.