Raksan Transformers IPO

SME • BSE SME • Fresh capital cum OFS

LISTEDSMEBSE SME

Raksan Transformers

Price band

₹258 – ₹273

Lot size

400 shares

Min investment

₹1,09,200

Issue size

₹150.5 Cr

About the company

Raksan Transformers Limited was started in July 1995. It makes transformers of different voltage ratings and holds ISO 9001:2015 certification. Its range covers distribution transformers, power transformers, transformers made for solar projects and special purpose transformers. These are used in power generation, in transmission and distribution networks, and in industrial and infrastructure projects. The company began by repairing and servicing distribution and power transformers, and started manufacturing them in 2005-06. It runs two manufacturing units at Rai in Sonepat district of Haryana, spread over about 2,025 square metres and 1,012.5 square metres, with a combined installed capacity of about 15,00,000 KVA for distribution transformers and 1,350 MVA for power transformers. The units have machinery for core cutting, coil winding, assembly, tank fabrication, oil filtration, welding and testing, and the company also does core cutting and slitting, wire and strip drawing and tank fabrication in house, along with its own testing laboratory for routine and type tests. Its customers include government bodies, power distribution corporations, public sector undertakings, utility companies, EPC contractors and industrial clients.

Raksan Transformers Limited is an ISO 9001:2015 certified transformer manufacturer making distribution, power, solar and special purpose transformers. Running since 1995, it operates two units at Rai in Sonepat, Haryana with capacity of about 15,00,000 KVA for distribution transformers and 1,350 MVA for power transformers.

IPO details

Issue price: ₹273
Price band: ₹258 – ₹273
Face value: ₹10
Lot size: 400
Min investment: ₹1,09,200
Issue size: ₹150.5 Cr
Sale type: Fresh capital cum OFS
Listing on: BSE SME
BSE scrip code: 7958
NSE symbol: RAKSAN.BO

Lot size & investment by category

APPLICATION	LOTS	SHARES	AMOUNT
Retail (Min)	1	400	₹1,09,200
Retail (Max)	1	400	₹1,09,200
HNI (Min)	2	800	₹2,18,400

Investor reservation

CATEGORY	RESERVED
QIB	26,17,200 shares (21.26% of the Offer)
NII	78,60,000 shares (63.85% of the Offer)
Retail	18,33,600 shares (14.89% of the Offer)

Objects of the issue

1Funding capital expenditure towards setting up of manufacturing facility at Liwaspur, Sub-Tehsil Rai, Distt. Sonepat, Haryana62.14

2To meet working capital requirements35.00

3Repayment of certain borrowing availed by the Company, in part or full7.28

4General Corporate Purposes

Financials

Rs. Crore • restated

METRIC	31 Mar 2026	31 Mar 2025	31 Mar 2024
Assets	155.59	117.90	67.02
Total Income	363.63	324.78	162.52
Profit After Tax	33.60	20.38	7.59
EBITDA	46.72	29.51	10.19
NET Worth	77.42	44.07	23.70
Reserves and Surplus	60.94	43.20	22.83
Total Borrowing	20.74	23.51	9.81

Key performance indicators

P/E Ratio

16.98

EPS (₹)

16.08

RoCE

43.09%

RoNW

46.23%

PAT Margin

6.28%

✓ Strengths

• Profit has grown more than four times in two years, from Rs 7.59 crore in FY2024 to Rs 20.38 crore in FY2025 and Rs 33.60 crore in FY2026.

• Sales have more than doubled over the same period, from Rs 162.52 crore in FY2024 to Rs 363.63 crore in FY2026.

• EBITDA rose from Rs 10.19 crore in FY2024 to Rs 46.72 crore in FY2026.

• Return ratios are very high, with RoCE of 43.09% and RoNW of 46.23%.

• The issue is priced moderately at about 16.98 times earnings on an EPS of Rs 16.08.

• Debt is low. Total borrowing was Rs 20.74 crore against a net worth of Rs 77.42 crore as on 31 March 2026, and it came down during the year.

• The company does a lot in house, including core cutting and slitting, wire drawing and tank fabrication, and has its own testing laboratory for routine and type tests.

• It has a long record of about 30 years and Rs 62.14 crore of the issue money goes into a new manufacturing facility at Liwaspur in Sonepat.

⚠ Risks

• The profit margin is thin at 6.28%, which is normal in transformer making but leaves little room on fixed price orders.

• Sales growth has slowed sharply. Total income rose only 12% in FY2026 while profit rose 65%, so the profit jump came from margin rather than from selling more.

• Both existing units are small, at about 2,025 and 1,012.5 square metres, and both are at Rai in Sonepat, so all production sits in one location.

• Most customers are government bodies, distribution corporations and public sector undertakings. Payments from them are slow and prices are set through tenders.

• Copper and CRGO steel are the main raw materials. A sharp rise in either directly cuts margin on orders already priced.

• Rs 35 crore of the issue money goes into working capital, which shows how much cash a transformer order book ties up.

• This is a fresh issue combined with an offer for sale, so a part of the money goes to the selling shareholders and not to the company.

• Promoter holding will come down from 100% to 73.61% after the issue.

• This is an SME issue. One lot is 400 shares, which is about Rs 1.09 lakh at the upper band of Rs 273, and SME shares usually trade in low volume after listing.

Promoters & holding

Sanjeev Kanda, Dievam Singh Kanda and Renu Kanda

Pre-issue promoter holding

100%

Post-issue promoter holding

73.61%

Data refreshed 07 Nov 2026, 04:57 pm IST. GMP is unofficial market sentiment, not investment advice.