Quality Power Raises Rs 386 Crore From Anchor Investors Ahead Of IPO Launch

Quality Power Electrical Equipments Ltd. has raised Rs 386 crore from anchor investors on Thursday, ahead of its initial public offering. The company allotted 90.9 lakh shares at Rs 425 apiece to 21 anchor investors.

LIC Mutual Funds got the overall highest allocation of 11.65%, followed by Bank of India Mutual Funds and Maybank Securities PTE Ltd. with a 9.06% allocation each. Bengal Finance & Investments Pvt. Ltd. got a 7.76% stake in the company.

LIC applied through the LIC MF Flexi Cap Fund, LIC MF Large & Mid Cap Fund, LIC MF Multi Cap, LIC MF Manufacturing Fund, LIC MF Small Cap Fund, LIC MF Infrastructure Fund, LIC MF Balance Advantage Fund, and the LIC MF Focused Fund schemes.

Bank of India applied through the Bank of India Small Cap MF, Bank of India Manufacturing & Infrastructure MF, and the Bank of India Flexi Cap MF schemes, the electrical equipment provider said in an exchange filing on Thursday. They have collectively netted one-fifth of the total anchor portion.

Pantomath Capital Advisors Pvt. is the sole book-running lead manager, and Link Intime India is the registrar to the IPO.

The company will launch its initial public offering on Friday to raise up to Rs 859 crore. The company has set a price band of Rs 401–425 per share for its three-day IPO. The offering comprises a fresh issue of equity shares aggregating up to Rs 225 crore and an offer-for-sale of 1.5 crore equity shares valued at Rs 634 crore at the upper end of the price band.

The offer, which concludes on Tuesday, is set to list on the BSE and the National Stock Exchange.

The company will use the proceeds from the offer for the acquisition of Mehru Electrical and Mechanical Engineers Pvt., funding capital expenditure requirements for purchasing plant and machinery. The company will also use the funds for inorganic growth through unidentified acquisitions and other strategic initiatives and general corporate purposes.

Quality Power is engaged in critical energy transition equipment up to 765kv and power technologies and provides high-voltage electrical equipment and solutions for electrical grid connectivity and energy transition.

The company specialises in the provision of power products and solutions across power generation, transmission, distribution, and automation sectors.