India’s Quality Power Electrical Equipments Ltd. (QPEEL), a key player in critical energy transition and power technology solutions, has launched its INR 858.7 crore initial public offering (IPO) from February 14 to February 18, 2025. With a price band of INR 401-INR 425 per share, the issue includes a fresh equity issuance of INR 225 crore and an Offer for Sale (OFS) worth INR 633.7 crore.
A Global Energy Transition Innovator
With over two decades of expertise, QPEEL specializes in high-voltage electrical equipment crucial for grid connectivity, power transmission, and renewable energy integration. The company is among the select global manufacturers catering to High Voltage Direct Current (HVDC) and Flexible AC Transmission Systems (FACTS)—technologies essential for efficiently transferring renewable energy into traditional grids. Its solutions, including STATCOM, static var compensators, harmonic filters, and power compensation systems, are designed to enhance grid reliability and sustainability.
QPEEL’s cutting-edge manufacturing facilities in Sangli, Maharashtra, and Aluva, Kerala, meet global standards, supplying Fortune 500 clientele. Additionally, its NABL-accredited test lab certifies systems up to 765kV, further solidifying its technological leadership.
Robust Financial Performance & Growth Prospects
The company’s global revenue contribution exceeds 75%, highlighting its strong international presence. Its financials reflect steady growth, with revenue climbing from INR 211.73 crore (FY22) to INR 331.4 crore (FY24), and net profit rising to INR 55.47 crore in FY24. For H1 FY25, it reported a INR 50.08 crore profit on INR 182.72 crore revenue, indicating strong momentum.
To fuel expansion, INR 117 crore from the IPO proceeds will go toward acquiring Mehru Electrical & Mechanical Engineers Pvt. Ltd., while INR 27.22 crore is allocated for plant and machinery upgrades.
IPO Valuation & Investment Potential
At the upper price band, QPEEL seeks INR 3,291.39 crore market capitalization, with the issue priced at a P/E ratio of 32.87 (FY25 projections)—positioning it competitively among peers like Transformers & Rectifiers, Hitachi Energy, and GE Vernova.
With its strong global foothold, commitment to sustainable power solutions, and reasonable IPO pricing, QPEEL presents an attractive investment opportunity for medium to long-term investors looking to tap into India’s growing energy transition sector.
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