Raksan Transformers IPO
Raksan Transformers LtdSME
This IPO has listed.
- Open date
- 10 Sep 2026
- Close date
- 15 Sep 2026
- Min. Investment
- ₹2,18,400
- Lot Size
- -
- Fresh Issue
- ₹120.47 Cr
- Price Range
- -
- Face Value
- -
- IPO Document
- DRHP - PDF(opens in a new tab)
Subscription rate
- Qualified Institutional Buyers70.51x
- Non-Institutional Investors45.01x
- Retail-Individual Investors28.66x
- Total44.18x
Schedule
- Completed: IPO open date10 Sep 2026
- Completed: IPO close date15 Sep 2026
- Completed: Allotment date16 Sep 2026
- Completed: Funds unblock or debit17 Sep 2026
- Completed: Tentative listing date18 Sep 2026
About
Promoter shareholding in Raksan Transformers Ltd, before and after the issue.
| Promoter | Pre-issue shares | Pre-issue % | Post-issue shares | Post-issue % |
|---|---|---|---|---|
| Sanjeev Kanda | 1,41,03,662 | 85.58% | 1,30,03,662 | 62.24% |
| Dievam Singh Kanda | 4,75,000 | 2.88% | 4,75,000 | 2.27% |
| Renu Kanda | 9,50,000 | 5.76% | 9,50,000 | 4.55% |
| Prem Wati Kanda | 19 | 0.00% | 19 | 0.00% |
| Sanjeev Kanda HUF | 4,75,000 | 2.88% | 4,75,000 | 2.27% |
| Daksh Singh Kanda | 4,75,000 | 2.88% | 4,75,000 | 2.27% |
| SHR Powers Private Limited | 1,900 | 0.01% | 1,900 | 0.01% |
| Ashok Kumar Kanda | 19 | 0.00% | 19 | 0.00% |
Financials of Raksan Transformers IPO
| Key Performance Indicators | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|
| Operating Revenue | - | - | - |
| Other Income | - | - | - |
| Total Income | 160.95 | 324.21 | 363.11 |
| Total Expenses | 152.13 | 297.03 | 318.44 |
| Profit Before Tax | - | - | - |
| Total Profit | 7.59 | 20.38 | 33.60 |
Raksan Transformers IPO Strengths & Risks
- Established Manufacturing facility and In-house operations.
- Strong Order Book.
- Established relationship with the clients including government entities, power utilities.
- Quality assurance.
- Experienced and Strong Promotors/Management team.
- Track record of profitability and consistent financial performance.
- Risks Relating to the Business: The company derives a substantial portion of its revenue from government and public utility customers, the supply of transformers to public utility companies including government entities constituted 50.73%, 72.99% and 56.13% of the company's revenue from operations during the in Fiscal 2026, Fiscal 2025 and Fiscal 2024 respectively, and its business is highly dependent on government policies, project allocations, and payment cycles.
- Risks Relating to the Business: A significant portion of the company's revenue is derived from government-controlled entities, through competitive bidding processes. Its business, results of operations, and cash flows may be adversely affected if the company is unable to qualify for or win tenders, faces pricing pressures, experience delays in award or execution of contracts, or are restricted from participating in future bids.
- Risks Relating to the Business: The company order book may not be representative of its future results and the company's actual income may be significantly less than the estimates reflected in its order book, which could adversely affect the company's business, financial condition, results of operations and prospects.
- Risks Relating to the Business: The company significantly depends upon few of the raw material suppliers for its manufacturing activities. Volatility in the supply and pricing of the company's raw materials may have an adverse effect on its business, financial condition and results of operations.
- Risks Relating to the Business: Any under-utilization or inability to efficiently utilize the company's existing manufacturing capacities could adversely affect its operational efficiency, financial performance, and future business prospects.
- Risks Relating to the Business: The company derives a significant portion of its revenue from the sale of distribution transformers, and any reduction in demand or purchases for these transformers may adversely affect the company's business, results of operations, and financial condition.
- Risks Relating to the Business: The company is significantly dependent on its relationships with key customers. The loss of one or more of these key customers, or a reduction in the volume of business from any of them, could have a material adverse effect on the company's revenue, profitability, and overall financial performance.
- Risks Relating to the Business: Any delays in manufacturing, supply chain, or third-party execution may result in liquidated damages or order cancellations.
- Risks Relating to the Business: The company is subject to strict quality requirements, regular inspections and audits. An inability to maintain the quality of its products could lead to the cancellation of existing and future orders, recall claims or warranty claims and penalties.
- Risks Relating to the Business: The company's business inherently requires significant working capital, and any shortfall in meeting these requirements may adversely impact its operations, profitability, and future growth.
- Risks Relating to the Business: Any disruption, breakdown or shutdown of the company's manufacturing facilities may have a material adverse effect on its business, financial condition, results of operations and cash flows.
- Risks Relating to the Business: The company failures to maintain optimum inventory levels could adversely affect its business, financial condition, results of operation and cash flow.
- Risks Relating to the Business: Any delays or defaults in client payments could adversely affect the company's liquidity, working capital, and ability to recover expenditures.
- Risks Relating to the Business: Non-issuance of respective NOC's from Lenders (for Car Loan) for the proposed IPO of the Company considering absence of restrictive covenants pertaining to Car Loans from these Lenders.
- Risks Relating to the Business: The company has had negative net cash flows in the past and may continue to have negative cash flows in the future.
- Risks Relating to the Business: One of the company's Promoter & Director, Sanjeev Kanda, was previously associated with a company that was voluntarily struck off from the Register of Companies. Any such past or future association may be perceived unfavourably by investors, regulators, or other stakeholders.
- Risks Relating to the Business: There are certain discrepancies/errors noticed in some of the company's corporate records relating to forms filed with the Registrar of Companies and other provisions of Companies Act, 2013. Any penalty or action taken by any regulatory authorities in future, for non-compliance with provisions of corporate and other law could impact the reputation and financial position of the Company to that extent.
- Risks Relating to the Business: Certain of the company's corporate records relating to forms filed with the Registrar of Companies prior to the year 2006 in respect of appointment of Statutory Auditor, Annual Returns, appointment & resignation of directors (if any), filing of financial statements etc. and other certain records are not traceable which may affect the company's ability to evidence adherence to regulatory requirements and compliance with applicable laws.
- Risks Relating to the Business: The company's contracts with government agencies usually contain terms that favour the government clients, who may terminate its contracts prematurely and impose restrictions on the Company which may have a material adverse impact on its financial condition and results of operations.
- Risks Relating to the Business: The majority of the company's revenue primarily comes from the state of Uttar Pradesh, Bihar, Madhya Pradesh, West Bengal, Haryana & Jammu and Kashmir which exposes it to region-specific economic, regulatory, and market risks.
- Risks Relating to the Business: The company's business is subject to seasonal variations and cyclicality that could result in fluctuations in its results of operations.
- Risks Relating to the Business: Product designing is critical part for its products (Transformers) for which the company depends upon its in-house capabilities. Any loss or error by these employees may have an adverse effect on the company's equipment and operations.
- Risks Relating to the Business: None of the company's Directors have any prior experience of directorships in listed companies. which may affect its ability to manage governance and regulatory obligations.
- Risks Relating to the Business: The factories on which the company undertake its business operations and the registered office have been taken on lease or rent basis. The company's inability to seek renewal or extension of such leases may materially affect its business operations.
- Risks Relating to the Business: The company has encountered challenges in meeting the designated timelines for filing statutory returns, which may subject the company to penalty under the relevant laws.
- Risks Relating to the Business: The company has encountered challenges in meeting the designated timelines for filing Statutory returns related to employees i.e. EPF and ESI, which may subject the company to penalty under the relevant laws.
- Risks Relating to the Business: The company's objects of the issue include capital expenditure, which will take a period of time for set up and become operational any potential delays may lead to cost overruns and adversely impact project execution.
- Risks Relating to the Business: The company has not made any provisions for decline in the value of investments made by the Company. Any continuous decline in the value of investments made by the company may impact its financial results and condition.
- Risks Relating to the Business: The company and promoter director, in the past were party to certain legal proceedings. Any litigation, claims or proceedings that may arise against the company in the future could have a material adverse effect on its business, results of operations and financial condition.
- Risks Relating to the Business: Any failures to protect or enforce the company's rights to own or use trademarks and brand names and identities could have an adverse effect on its business and competitive position.
- Risks Relating to the Business: A downgrade in the company's credit ratings could materially adversely affect its business and financial condition and the company's ability to raise capital in the future.
- Risks Relating to the Business: The company profitability and business operations is significantly dependent on its ability to successfully anticipate the industry and client requirements. Any failures on its part to do so, may have an impact on the company operations, which could have an adverse effect on its revenue, reputation, financial conditions, results of operations and cash flows.
- Risks Relating to the Business: The company's existing debt obligations, along with the terms and restrictions set out in its financing agreements, could negatively impact the company's business, operating results, and financial condition if its fails to comply with them. Any such non-compliance may result in, among other consequences, suspension of further drawdowns.
- Risks Relating to the Business: The company has incurred indebtedness which exposes it to various risks which may have an adverse effect on the company's business and results of operations.
- Risks Relating to the Business: The Company has not yet placed orders for the civil work, machineries and equipment required by the company for setting up of its manufacturing facility. Any delay in placing the orders or supply of plant and machinery may result in time and cost overruns, and may affect the company profitability.
- Risks Relating to the Business: Cyber threats and non-compliance with and changes in privacy laws and regulations could have an adverse effect on the company's business, results of operations and financial condition and cash flows.
- Risks Relating to the Business: Activities involving the company's manufacturing process can be dangerous and can cause injury to people or property in certain circumstances. A significant disruption at its manufacturing facilities may adversely affect the company's production schedules, costs, sales, and ability to meet customer demand.
- Risks Relating to the Business: A shortage or non-availability of electricity or power may adversely affect the company's manufacturing operations and have an adverse effect on its business, results of operations and financial condition.
- Risks Relating to the Business: If the company fails to maintain an effective system of internal controls, its may not be able to successfully manage or accurately report the company's financial risk.
- Risks Relating to the Business: If the company is unable to raise additional capital or are unable to obtain financing on favourable terms or at all, its business and growth could be adversely affected.
- Risks Relating to the Business: If the company is unable to retain and hire skilled employees, or to maintain good relations with its workforce, the company's business and financial condition may be adversely affected.
- Risks Relating to the Business: The Company will not receive any proceeds from the Offer for Sale portion.
- Risks Relating to the Business: The company's business is operating under various laws which requires it to obtain approvals from the concerned statutory/regulatory authorities in the ordinary course of business and the company's inability to obtain, maintain or renew requisite statutory and regulatory permits and approvals for its business operations could materially and adversely affect the company's business, prospects, results of operations and financial condition.
- Risks Relating to the Business: The company has certain contingent liabilities that have not been provided for in its Restated Consolidated Financial Information, which, if they materialize, may adversely affect the company's business, results of operations and financial condition.
- Risks Relating to the Business: The company operates in a highly competitive market environment and may faces significant competition from various industry players. Such competitive pressures could adversely impact its business operations, cash flows, financial condition, and overall results of operations.
- Risks Relating to the Business: Any international market expansion efforts may expose it to complex management, legal, tax and economic risks, which could adversely affect the company's business, financial condition, cash flows and results of operations.
- Risks Relating to the Business: The company is subject to various laws and regulations and required to comply with several regulatory compliance requirements, in jurisdictions where its operates, including environmental and health and safety laws and regulations, which may subject the company to increased compliance costs, which may in turn result in an adverse effect on its financial condition.
- Risks Relating to the Business: The company has experienced significant growth in the past few years, and if the company is unable to sustain or manage its growth, the company's business, results of operations and financial condition may be adversely affected.
- Risks Relating to the Business: Demand for the company's transformers is dependent on growth in the power generation, transmission and distribution industry & infrastructure, that may contribute to fluctuations in its results of operations and financial condition.
- Risks Relating to the Business: Loans availed by the Company has been secured on personal guarantees of its Director. The company's business, financial condition, results of operations, cash flows and prospects may be adversely affected in case of invocation of any personal guarantees provided by its Directors.
- Risks Relating to the Business: The Company in the past has entered into Related Party Transactions and may continue to do so in future also, which may affect its competitive edge and better bargaining power if entered with non-related parties resulting into relatively more favourable terms and conditions and better margins.
- Risks Relating to the Business: Fraud, theft, employee negligence or similar incidents may adversely affect the company's results of operations and financial condition.
- Risks Relating to the Business: Information relating to the company's production capacities and the historical capacity utilization of its production facilities included in this Red Herring Prospectus is based on certain assumptions and has been subjected to rounding off, and thus the company's future production and capacity utilization may vary.
- Risks Relating to the Business: The company relies on third-party service providers for its transportation and logistics requirements. Any disruption, delay, or inefficiency in their services could adversely impact the company's supply chain, thereby affecting its operations, business performance, and financial condition.
- Risks Relating to the Business: The company is heavily dependent on its Promoters and Key Managerial Personnel for the continued success of the company's business through their continuing services and strategic guidance and support. Loss of any of its Promoter and/ or Key Management Personnel may adversely affect the company's growth strategy.
- Risks Relating to the Business: The company deploy advanced technologies in the manufacturing, designing and installation of transformers. Any incapability to adopt a new technology or change in the requirement of a particular technology by the government authorities may affect its position.
- Risks Relating to the Business: The company has not identified any alternate source of funding and hence any failures or delay on its part to mobilize the required resources or any shortfall in the Issue proceeds may delay the implementation schedule.
- Risks Relating to the Business: The company's insurance coverage may not be adequate to protect it against certain operating hazards and this may have a material adverse effect on the company's business.
- Risks Relating to the Business: Any Penalty or demand raised by statutory authorities in future may adversely affect the financial position of the Company.
- Risks Relating to the Business: The Objects of the Issue for which funds are being raised have not been appraised by any bank or financial institution. Any variation between the estimation and actual expenditure as estimated by the management could result in execution delays or influence the company profitability adversely.
- Risks Relating to the Business: Any variation in the utilization of the Net Proceeds would be subject to certain compliance requirements, including prior shareholders approval.
- Risks Relating to the Business: The company's ability to pay any dividends will depends upon future earnings, financial condition, cash flows, working capital requirements and capital expenditures.
- Risks Relating to the Business: The average cost of acquisition of Equity Shares held by the company's Promoters, is lower than the face value of Equity Share.
- Risks Relating to the Business: Any future issuance of Equity Shares, or convertible securities or other equity linked securities by the company and any sale of Equity Shares by its significant shareholders may dilute your shareholding and adversely affect the trading price of the Equity Shares.
- Risks Relating to the Business: The company's Promoters and Promoter Group will continue to exert substantial voting control over the Company after completion of the Offer, which may limit your ability to influence the outcome of matters submitted for approval of its shareholders
- Risks Relating to the Business: The Issue price of the company's Equity Shares may not be indicative of the market price of its Equity Shares after the Issue and the market price of the company's Equity Shares may decline below the issue price and you may not be able to sell your Equity Shares at or above the Issue Price.
- Risks Relating to the Business: Certain data mentioned in this Red Herring Prospectus has not been independently verified which poses risk pertaining to the accuracy, completeness, and reliability of Industry and Market Data.
- Risks Relating to the Business: The company has issued Equity Shares during the last one year at a price that will be below the Issue Price.
- Risks Relating to the Business: Significant differences exist between Indian GAAP and other accounting principles, such as Ind AS, IFRS and U.S. GAAP, which may be material to investors assessments of the company's financial condition, result of operations and cash flows.
- Risks Relating to the Business: There is no guarantee that the Equity Shares issued pursuant to the Issue will be listed on the BSE SME Platform in a timely manner or at all.
- Risks Relating to the Business: Any of the Bidders are not permitted to withdraw or lower their Bids (in terms of quantity of Equity Shares or the Bid Amount) at any stage after submitting a Bid.
- Risks Relating to the Business: The company may be subject to surveillance measures, such as the Additional Surveillance Measures (ASM) and the Graded Surveillance Measures (GSM) by the Stock Exchanges which may adversely affect trading price of its Equity Shares.
- Risks Relating to the Business: After this Issue, the price of the Equity Shares may be highly volatile, or an active trading market for the Equity Shares may not develop.
