Jainik Power & Cables Limited, a New Delhi-based manufacturer of aluminum wire rods, is launching its Jainik Power and Cables Limited IPO on the NSE EMERGE platform.
The IPO is structured as a Book Building issue, aiming to raise up to ₹25.27 crore through the issuance of 46,63,200 equity shares. Notably, this IPO does not include any Offer for Sale (OFS), meaning all proceeds will go directly to the company.
Jainik Power and Cables Limited IPO Timeline
- Open Date: Jun 10, 2025
- Close Date: Jun 12, 2025
- Allotment Date: Jun 13, 2025
- Refund Initiation: Jun 16, 2025
- Credit of Shares to Demat: Jun 16, 2025
- Listing Date: Jun 17, 2025
Jainik Power and Cables Limited IPO Details
- Issue Size: Up to ₹25.27 crore
- Fresh Issue: 46,63,200 equity shares
- Price Band: ₹100 to ₹110 per share
- Lot Size: 1,600 shares per lot
- Face Value: ₹10 per share
- Issue Type: Book Building (SME IPO)
- Listing Exchange: NSE EMERGE
- Merchant Banker: Fast Track Finsec Private Limited
- Registrar: NSDL Database Management Limited
- Market Maker: Details to be announced
Promoters of Jainik Power and Cables Limited
The promoters of Jainik Power and Cables Limited are Shashank Jain and Prateek Jain.
1. Shashank Jain
- Position: Managing Director
- Role: Shashank Jain serves as the Managing Director of Jainik Power and Cables Limited, providing strategic leadership and overseeing the company’s operations.
- Contact: +91 9899188991
2. Prateek Jain
- Position: Chief Financial Officer (CFO) and Director
- Role: Prateek Jain holds the position of CFO and Director at Jainik Power and Cables Limited, managing the company’s financial strategies and contributing to its overall growth.
- Contact: +91 9999268508
Both promoters have played pivotal roles in the company’s transition from trading aluminum rods to manufacturing aluminum wire rods, emphasizing quality assurance and adherence to Environmental, Health, and Safety (EHS) standards.
Jainik Power and Cables Limited IPO Lot Size
The Jainik Power and Cables Limited IPO has a fixed lot size of 1,200 shares. This means that investors must apply for a minimum of 1,200 shares, and applications can be made in multiples of this lot size. The IPO is priced between ₹100 to ₹110 per share, resulting in a minimum investment of ₹1,32,000 for retail investors.
| Investor Category | Number of Lots | Total Shares | Investment Amount (at ₹110/share) |
|---|---|---|---|
| Retail Minimum | 1 | 1,200 | ₹1,32,000 |
| Retail Maximum | 1 | 1,200 | ₹1,32,000 |
| HNI Minimum | 2 | 2,400 | ₹2,64,000 |
Please note that the maximum investment for retail investors is capped at one lot (1,200 shares). High Net Worth Individuals (HNIs) can apply for two or more lots, with a minimum of 2,400 shares.
The allotment is expected to be finalized on June 13, 2025, with listing anticipated on June 17, 2025.
Promoter Holdings
- Pre-Issue Promoter Holding: 79.83%
- Post-Issue Promoter Holding: 54.27%
About Jainik Power and Cables Limited
Jainik Power and Cables Limited is a specializing in the manufacturing of aluminum wire rods. Established on May 2, 2011, the company has evolved from trading aluminum rods to setting up its own manufacturing unit, emphasizing quality and innovation in its products.
Company Overview
- Incorporation Date: May 2, 2011
- Corporate Identification Number (CIN): U27205DL2011PLC218425
- Registered Office: 39/101A, 1st Floor, Community Centre, Wazirpur Industrial Area, North West Delhi, Delhi – 110052
- Website: jainikpower.com
- Email: info@jainikpower.com
- Phone: +91-11-26812682
Business Activities
Jainik Power and Cables Limited specializes in the manufacturing of aluminum wire rods, catering to diverse industrial needs. Their product range includes:
- Commercial Grade Aluminum Wire Rods: Used in various industrial applications.
- Electrical Conductivity Grade Aluminum Wire Rods: Designed for electrical applications requiring high conductivity.
- Size Range: 9.5 mm to 12 mm diameter rods.
The company supplies its products across multiple Indian states, including Delhi, Haryana, Rajasthan, Uttar Pradesh, and Uttarakhand.
Product Categories
1. Aluminum Wire Rods
Grades:
- EC Grade (Electrical Conductivity Grade)
- Used in power transmission and electrical applications where high conductivity is crucial.
- Commercial Grade
- Used in general industrial applications such as conductors, cables, and structural uses.
- Sizes Available:
- Typically 9.5 mm, 11 mm, and 12 mm diameter rods
Applications
| Industry | Use Case |
|---|---|
| Power & Electricity | Conductors in overhead power lines, cables |
| Manufacturing | Cable production, welding wires, fasteners |
| Automotive | Electrical wiring and battery cables |
| Construction | Infrastructure wiring, panels, busbars |
Key Features of Jainik Products
- Purity Tested: Quality testing using spectrometers for chemical composition
- ISO Certified: Adheres to international Environmental, Health & Safety (EHS) standards
- Custom Orders: Capable of handling bulk and customized product requirements
- Pan-India Supply: Supplies to various Indian states including Delhi, Haryana, UP, Rajasthan, and Uttarakhand
Manufacturing Capabilities
- In-house facility with automated extrusion and rolling mills
- Focused on reducing impurities and enhancing mechanical strength
- Emphasis on energy-efficient and environmentally friendly processes
🏆 Recognitions
Jainik Power and Cables Limited was honored with the India 5000 Best MSME Awards 2024, acknowledging its excellence in manufacturing and contribution to the ‘Made in India’ initiative.
Jainik Power and Cables Limited Financial Information
Here is a detailed overview of the financial performance of Jainik Power and Cables Limited over the past three fiscal years, based on restated standalone financial statements as of March 31, 2025:
| Particulars | 2023 | 2024 | 2025 |
|---|---|---|---|
| Revenue | ₹67.49 Cr | ₹339.23 Cr | ₹352.38 Cr |
| Expenses | ₹67.29 Cr | ₹332.49 Cr | ₹340.01 Cr |
| Profit After Tax | ₹0.15 Cr | ₹5.02 Cr | ₹9.24 Cr |
| Total Assets | ₹36.66 Cr | ₹35.50 Cr | ₹71.19 Cr |
| Net Worth | ₹7.86 Cr | ₹24.59 Cr | ₹33.83 Cr |
| EBITDA Margin (%) | 2.00 | 2.40 | 3.98 |
| PAT Margin (%) | 0.22 | 1.48 | 2.63 |
| Return on Equity (%) | 2.40 | 5.29 | 56.92 |
| Return on Capital Employed (%) | 16.06 | 14.88 | 55.92 |
| Debt-to-Equity Ratio | 5.42 | 5.92 | 0.79 |
| Earnings Per Share | ₹0.08 | ₹0.18 | ₹9.99 |
| Net Asset Value | ₹3.24 | ₹3.42 | ₹26.59 |
Key Financial Highlights
- Revenue Growth: The company’s revenue surged from ₹67.49 crore in 2023 to ₹352.38 crore in 2025, marking a significant growth trajectory.
- Profitability Enhancement: Profit After Tax (PAT) increased from ₹0.15 crore in 2023 to ₹9.24 crore in 2025, indicating improved operational efficiency.
- Improved Margins: The EBITDA margin rose from 2.00% in 2023 to 3.98% in 2025, while the PAT margin improved from 0.22% to 2.63% over the same period.
- Strengthened Financial Position: The debt-to-equity ratio decreased from 5.92 in 2024 to 0.79 in 2025, reflecting a stronger balance sheet and reduced financial leverage.
- Enhanced Shareholder Returns: Return on Equity (ROE) saw a substantial increase from 5.29% in 2024 to 56.92% in 2025, demonstrating higher profitability relative to shareholder equity.
These financial indicators suggest that Jainik Power and Cables Limited has experienced robust growth and improved financial health over the past three years. The company’s focus on manufacturing aluminum wire rods and its expansion efforts have contributed to this positive financial trajectory.
Key Performance Indicator (KPI)
Here are the Key Performance Indicators (KPIs) for Jainik Power and Cables Limited, based on its recent financial performance and IPO disclosures:
| KPI | Values |
|---|---|
| ROE | 56.92% |
| ROCE | 55.92% |
| Debt/Equity | 0.79 |
| RoNW | 56.92% |
| PAT Margin | 2.63 |
| Price to Book Value | 0.80 |
Objects of the Issue (Jainik Power and Cables Limited IPO)
Funding Capital Expenditure for Expansion
The company plans to invest in plant and machinery to expand its existing manufacturing facility located at Jalgaon, Maharashtra. This will help boost production capacity to meet increasing demand for aluminum wire rods.
Working Capital Requirements
A portion of the proceeds will be used to fund day-to-day operational expenses including raw material procurement, utility costs, and other short-term financial needs to ensure smooth business functioning.
Repayment or Prepayment of Certain Borrowings
The company intends to reduce its debt burden by repaying or prepaying some of its outstanding loans. This move will improve the balance sheet strength and reduce interest outflows.
General Corporate Purposes
Funds will also be used for general business needs such as administrative expenses, marketing, brand building, and other strategic initiatives.
Issue Expenses
A portion of the IPO proceeds will be allocated toward covering the expenses related to the public offering itself, including underwriting fees, listing fees, registrar charges, and legal & professional costs.
These objectives collectively aim to strengthen Jainik Power and Cables Limited’s financial position, operational capacity, and market presence.
Strengths of Jainik Power and Cables Limited IPO
1) Robust Financial Performance
- The company has demonstrated significant growth, with revenue increasing from ₹67.49 crore in FY 2023 to ₹352.38 crore in FY 2025. Net profit also rose from ₹0.15 crore to ₹9.24 crore during the same period, indicating strong operational performance.
2) High Return Ratios
- In FY 2025, the company reported a Return on Equity (ROE) of 56.92% and Return on Capital Employed (ROCE) of 55.92%, reflecting efficient utilization of capital and strong profitability.
3) Improved Debt Position
- The debt-to-equity ratio improved significantly, decreasing to 0.79 in FY 2025 from higher levels in previous years, indicating better financial stability and reduced leverage.
4) Quality Assurance and Certifications
- The company adheres to stringent quality standards, including ISO certifications and Environmental, Health & Safety (EHS) norms. Their manufacturing processes involve rigorous quality checks, such as spectrometer-based purity assessments.
5) Customization and Client-Centric Approach
- Jainik Power and Cables offers customization services tailored to client requirements, enhancing customer satisfaction and fostering long-term relationships.
Risks of Jainik Power and Cables Limited IPO
1) High Promoter Shareholding Pre-IPO
- Before the IPO, promoters held 99.79% of the company’s shares. Such high promoter holding can lead to lower public float, potentially affecting stock liquidity post-listing.
2) Dependence on a Single Product Line
- The company’s primary focus is on manufacturing aluminum wire rods. Limited product diversification may expose the company to risks associated with market demand fluctuations and industry-specific challenges.
3) SME Listing Considerations
- Being listed on the NSE EMERGE platform, which caters to small and medium enterprises, might result in lower visibility and trading volumes compared to mainboard listings, potentially impacting stock liquidity.
4) Working Capital Intensive Operations
- The manufacturing sector often requires substantial working capital. Any disruptions in the supply chain or delays in receivables could strain the company’s liquidity position.
5) Raw Material Price Volatility
- Fluctuations in the prices of aluminum, the primary raw material, can impact production costs and profit margins, especially if the company is unable to pass on increased costs to customers.
Investors should weigh these strengths and risks carefully when considering participation in the Jainik Power and Cables Limited IPO. Conducting thorough due diligence and consulting financial advisors is recommended to make informed investment decisions.
Jainik Power and Cables Limited Contact Details
📍 Registered Office
Address:
39/101A, 1st Floor, Community Centre,
Wazirpur Industrial Area, Wazir Pur III,
North West Delhi, Delhi – 110052, India
🏭 Factory Address
Address:
Khasra No. 13/2, Jhundpur Industrial Area,
Jhundpur, Sonipat, Haryana – 131023, India
📞 Key Contacts
- Shashank Jain (Managing Director): +91 98991 88991
- Prateek Jain (Executive Director & CFO): +91 99992 68508
🌐 Website
Jainik Power and Cables Limited IPO Registrar
📋 Registrar Details
Skyline Financial Services Private Limited
- Address: A/506, Dattani Plaza, Andheri Kurla Road, Safed Pool, Andheri East, Mumbai – 400072, Maharashtra, India
- Phone: +91-11-40450193-97
- Email: [email protected]
- Website: www.skylinerta.com
Skyline Financial Services Private Limited will manage the IPO application processing, allotment, and refund processes for Jainik Power and Cables Limited. Investors can check their IPO application status and allotment results on the registrar’s website after the allotment date.
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