Kanohar Electricals has set a price band of ₹601-632 per equity share. At the upper end of the price band, the issue values the company at around ₹5,004.6 crore.
Investors can bid for a minimum of 23 shares and in multiples thereafter. At the upper end of the price band, the minimum investment for retail investors will be ₹14,536, while the maximum investment will be ₹1,88,968.
Anand Rathi: Subscribe for long term
Brokerage Anand Rathi has recommended subscribing to the Kanohar Electricals IPO for the long term, citing the company’s strong growth, healthy order book and exposure to India’s expanding power transmission and distribution sector.
Kanohar Electricals has over 40 years of experience in transformer manufacturing and caters to sectors including power transmission, railways, renewable energy and power distribution.
The company has reported strong financial growth, with revenue from operations rising at a 53.7% CAGR between FY24 and FY26, while EBITDA grew at a 141% CAGR during the same period. Its order book stood at ₹1,818.3 crore as of FY26, providing healthy revenue visibility.
Anand Rathi said Kanohar’s integrated manufacturing capabilities and presence across multiple transformer categories position it to benefit from rising investments in transmission, distribution and renewable energy infrastructure.
The brokerage, however, flagged customer concentration, dependence on the transformer manufacturing business and reliance on government and transmission utility orders as key risks.
At the upper price band, Kanohar Electricals is valued at 38.6 times FY26 P/E and 28 times FY26 EV/EBITDA. This compares with 32.2 times P/E and 20.8 times EV/EBITDA for Transformers & Rectifiers (India).
Anand Rathi said the premium valuation is supported by Kanohar’s stronger recent growth and profitability profile and recommended a “Subscribe – Long Term” rating.
Kantilal Chhaganlal: Subscribe for long term
Kantilal Chhaganlal has also recommended subscribing to the issue for the long term, citing the company’s strong financial performance, sizeable order book and exposure to the power transmission and distribution capex cycle.
The brokerage highlighted Kanohar Electricals’ 53.7% revenue CAGR and 141% EBITDA CAGR between FY24 and FY26, along with its ₹1,818.3-crore order book.
Its presence across transmission, railways and renewable energy applications is expected to provide growth visibility, while its in-house manufacturing and integrated capabilities could support quality control, execution efficiency and scalability as transformer demand rises.
The brokerage expects rising investments in power transmission and distribution, renewable energy integration, railway electrification and grid modernisation to support sustained demand for transformers.
While the IPO commands a premium valuation compared with Transformers & Rectifiers (India), Kantilal Chhaganlal said the premium is supported by Kanohar’s stronger recent revenue and EBITDA growth. It has therefore recommended the issue for investors with a long-term horizon.
Kanohar Electricals IPO: Anchor book
The company has garnered ₹316.72 crore from anchor investors, ahead of its issue opening.
Some of the marquee institutions that participated in the anchor include Ashoka Whiteoak ICAV – Ashoka Whiteoak Emerging Markets Equity Fund, Allianz Global Investors Fund – Allianz India Equity, HSBC Global Investment Funds – Asia Ex Japan Equity Smaller Companies, VQ FasterCap Fund and HDFC Life Insurance Company Limited.
Kanohar Electricals IPO: Issue structure and use of proceeds
The IPO comprises a fresh issue of shares worth up to ₹300 crore and an offer for sale (OFS) of 1.19 crore shares by promoter entity K Sons Family Trust. The OFS is worth ₹755.7 crore at the upper end of the price band.
Of the ₹300 crore to be raised through the fresh issue, ₹64.1 crore will be used for capital expenditure and other infrastructure-related requirements.
This includes the purchase of machinery and equipment for the Gangol manufacturing facility, expansion and automation of backward integration facilities, civil construction and interior development of an office building, setting up solar power plants at manufacturing facilities, and purchasing electric trucks and forklifts.
Another ₹155 crore will be used to fund incremental working capital requirements, while the remaining proceeds will be earmarked for general corporate purposes.
Kanohar Electricals to return to stock market after 16 years
The IPO marks Kanohar Electricals’ return to the stock market, 16 years after it voluntarily delisted its equity shares from the Bombay Stock Exchange (BSE), Delhi Stock Exchange and Uttar Pradesh Stock Exchange.
The company’s shares were first listed on the three exchanges in 1995 but were subsequently delisted in 2010, citing low liquidity and trading volumes, according to its red herring prospectus (RHP).
The IPO documents also identify low liquidity and trading volumes as the reasons for the company’s voluntary delisting.
Order book and financial performance
As of March 2026, Kanohar Electricals had an order book of ₹1,818.3 crore. The transformer business accounted for 83% of the company’s topline in FY26, while EPC contributed 16%. The remaining revenue came from other activities.
The company reported a sharp increase in revenue and profit in FY26. Revenue rose 45.1% to ₹653.8 crore from ₹450.6 crore in FY25, while profit for the year nearly doubled to ₹129.7 crore from ₹65 crore in the previous year.
Kanohar Electricals operates in a segment that includes listed players such as Hitachi Energy India, Bharat Heavy Electricals, Schneider Electric Infrastructure, CG Power and Industrial Solutions, Transformers & Rectifiers (India), and GE Vernova T&D India.
About Kanohar Electricals
Promoted by IIT alumnus Dinesh Singhal, Kanohar Electricals manufactures transformers and undertakes engineering, procurement and construction (EPC) projects in the power transmission and distribution segment.
Its EPC operations allow the company to undertake turnkey projects involving substations and transmission lines, in addition to its core transformer manufacturing business.
The company operates two manufacturing facilities in Uttar Pradesh, located at Rithani and Gangol. Together, the plants have a transformer manufacturing capacity of 19,200 MVA.
Nuvama Wealth Management and IIFL Capital Services are the book-running lead managers for the issue, while MUFG Intime India is the registrar.
The public issue will be open from September 8 to September 10. Share allotment is expected to be finalised by September 11, while the company’s shares are likely to list on September 16.
