Meerut-based transformer manufacturer Kanohar Electricals has filed its draft red herring prospectus (DRHP) with market regulator Securities and Exchange Board of India to raise funds through an initial public offering (IPO).
The proposed public issue comprises a fresh issue of equity shares worth up to ₹300 crore and an offer for sale (OFS) of up to 14.59 million shares by promoter entity K Sons Family Trust, according to the DRHP.
Use of IPO Proceeds
Kanohar Electricals plans to deploy the net proceeds from the fresh issue primarily towards capacity expansion and working capital requirements.
As per the filing:
₹130 crore will be used to meet incremental working capital needs
₹66.74 crore has been earmarked for capital expenditure, including Purchase of new machinery and equipment at its Gangol manufacturing facility. Expansion and automation of backward integration. Civil and interior works for an office building. Installation of solar power plants. Procurement of electric vehicles for internal logistics
The remaining funds will be utilised for general corporate purposes.
Business Overview
Kanohar Electricals is a domestic transformer manufacturer catering to key infrastructure sectors such as power transmission, power distribution, railways and renewable energy.
As of September 30, 2025, the company is among five manufacturers in India to have received short-circuit test certification for 500 MVA, 400 kV transformers, a critical requirement for high-voltage power transmission projects.
Operations and Facilities
The company operates through two business segments:
- Transformer Manufacturing Business
- Engineering, Procurement and Construction (EPC) Business
Kanohar Electricals currently runs two manufacturing facilities located in Rithani, Meerut, Uttar Pradesh, supporting both standard and customised transformer requirements for utilities and infrastructure players.
Why It Matters
Kanohar Electricals’ IPO filing comes amid renewed capital spending in India’s power and transmission sector, driven by grid expansion, renewable integration and railway electrification. The company’s certification for high capacity transformers positions it to benefit from large transmission and EPC contracts in the coming years.
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