Vidya Wires Limited is coming up with its Initial Public Offering (IPO), opening for subscription on December 3, 2025, and closing on December 5, 2025. The company is a long‑established manufacturer of copper and aluminium winding wires and conductivity products—key components used across transformers, electric motors, renewable energy equipment, railways, and electric mobility. The Vidya Wires IPO is a ₹300.01 crore book‑built issue, comprising a fresh issue of ₹274 crore and an offer for sale (OFS) of ₹26.01 crore. With growing demand for electrical infrastructure, clean energy, and EV components, investors are looking closely at this IPO. In this detailed Vidya Wires IPO Review, we cover the company’s business model, financials, valuations, competitive strengths, risk factors, GMP trends, and whether investors should consider subscribing or avoid the issue.
About Vidya Wires Ltd.
Incorporated in 1981, Vidya Wires Limited is engaged in the manufacturing of a wide range of copper and aluminium winding wires and specialized conductivity products. These products are used in mission‑critical applications such as transformers, motors, alternators, EV components, renewable energy equipment, and power generation systems.
Product Portfolio Includes:
- Enameled copper winding wires
- Enameled rectangular copper strips
- Fibre‑glass covered conductors (copper & aluminium)
- Paper‑insulated conductors (round & rectangular)
- Copper and aluminium busbars
- PV ribbons and PV busbars
- Twin/triple bunched insulated strips
- Specialty copper ropes
The company currently has a manufacturing capacity of 19,680 MTPA, which will increase to 37,680 MTPA once the capacity expansion project at Narsanda, Gujarat becomes fully operational.
Vidya Wires manufactures over 8,000 SKUs ranging from 0.07 mm to 25 mm, making it one of the most diversified players in the segment.
As of November 2025, the company employs 139 permanent staff and over 394 contract workers.
Competitive Strengths
1. Highly diversified product and customer portfolio
The company serves multiple industries including power, electrical equipment, mobility, clean energy, and industrial manufacturing. This diversification reduces industry‑specific risks.
2. Backward‑integrated manufacturing
Vidya Wires has strong control over raw materials and production processes, ensuring:
- better quality
- stable margins
- reduced dependency on external suppliers
3. Strategic manufacturing location
Its units in Gujarat offer proximity to key industrial hubs, enabling faster delivery and cost savings.
4. Long‑standing customer relationships
Many of its customers have been associated for several years. This stability ensures repeat orders and predictable revenue.
5. Consistent financial growth
Over FY23–FY25, the company has shown consistent revenue and PAT growth, indicating operational efficiency.
6. Experienced management team
The promoter family and senior management have decades of experience in the wires and conductors industry.
Vidya Wires IPO Issue Details
| Particulars | Details |
|---|---|
| IPO Dates | December 3–5, 2025 |
| Issue Size | ₹300.01 crore |
| Fresh Issue | ₹274.00 crore |
| Offer for Sale | ₹26.01 crore |
| Price Band | ₹48–₹52 per share |
| Face Value | ₹1 per share |
| Lot Size | 288 shares |
| Listing | BSE & NSE |
| Minimum Retail Investment | ₹14,976 |
| BRLM | Pantomath Capital Advisors Pvt. Ltd. |
| Registrar | MUFG Intime India Pvt. Ltd. |
IPO Reservation
- QIB: Not more than 50%
- Retail: Not less than 35%
- NII: Not less than 15%
IPO Timeline
- IPO Opens: Dec 3, 2025
- IPO Closes: Dec 5, 2025
- Allotment: Dec 8, 2025
- Refunds / Demat Credit: Dec 9, 2025
- Listing Date: Dec 10, 2025
Company Financials (₹ in Crores)
| Particulars | FY23 | FY24 | FY25 | Q1 FY26 |
|---|---|---|---|---|
| Assets | 209.08 | 247.84 | 331.33 | 376.93 |
| Revenue | 1,015.72 | 1,188.49 | 1,491.45 | 413.09 |
| PAT | 21.53 | 25.68 | 40.87 | 12.06 |
| EBITDA | 35.84 | 45.52 | 64.22 | 18.67 |
| Net Worth | 100.11 | 125.54 | 166.36 | 178.37 |
Key Ratios
- ROE: 24.57%
- ROCE: 19.72%
- PAT Margin: 2.74%
- EBITDA Margin: 4.32%
- Debt–Equity: 0.88
The company’s revenue grew 25%, while PAT increased 59% from FY24 to FY25—reflecting improved scale and operational efficiencies.
Objects of the IPO
1. Funding new capex via subsidiary ALCU – ₹140 crore
This will significantly enhance manufacturing capacity and support new product additions.
2. Partial/Full repayment of borrowings – ₹100 crore
This will reduce the debt burden and improve profitability.
3. General corporate purposes
For working capital and operational needs.
Valuation – P/E Comparison With Peers
The company’s post‑issue P/E is ~22.94x.
Peer Comparison (Estimated Industry Range)
| Peer Type | P/E Ratio |
|---|---|
| Highest P/E Peer (Specialty Wire Manufacturer) | ~35x |
| Lowest P/E Peer (Standard Wire/Cable Maker) | ~12x |
| Industry Average | ~20x–22x |
| Vidya Wires Post‑IPO | ~22.94x |
Vidya Wires is priced close to the industry average, neither undervalued nor aggressively priced.
Reasons to Invest in Vidya Wires IPO
1. Strong Demand from Power, EV, and Clean Energy Sectors
Increasing electrification, renewable energy expansion, and EV adoption are boosting demand for copper and aluminium winding wires.
2. Capacity Expansion to 37,680 MTPA
The new facility will nearly double production capacity, positioning the company well for future growth.
3. Improving Profitability and Consistent Growth
PAT rose 59% year‑on‑year, showing improving margins and better capacity utilization.
4. Backward Integration Ensures Better Margins
Control over raw materials supports:
- cost stability
- better quality
- improved delivery timelines
5. Diversified Customer Base Reduces Revenue Risk
Serving a wide range of industries ensures resilience even during sectoral slowdowns.
6. Debt Reduction to Improve Financial Strength
Repayment of ₹100 crore debt will reduce interest cost and strengthen the balance sheet.
Risk Factors to Consider
1. Low Net Profit Margins
The PAT margin is just 2.74%, leaving limited room to absorb raw material volatility.
2. High Dependency on Copper and Aluminium Prices
Commodity price fluctuations directly impact margins.
3. Working Capital Intensive
A large portion of capital gets locked in inventory and receivables.
4. Significant Industry Competition
The wires and conductors market has several organized and unorganized players.
5. Execution Risk in Capacity Expansion
Any delay or cost overrun could impact financial performance.
6. Moderate Leverage Even Before Expansion
Borrowings were ₹145 crore in FY25—debt reduction is crucial.
How to Apply for the Vidya Wires IPO
You can apply through:
1. UPI‑based Apps
- Zerodha
- Groww
- Upstox
- Angel One
2. ASBA via Net Banking
- SBI
- HDFC Bank
- ICICI Bank
- Axis Bank
Choose the IPO, enter lot size, submit the application, and approve the UPI mandate.
Vidya Wires IPO GMP (Grey Market Premium)
Latest GMP: Currently these shares are not being traded in offline market, hence no GMP is available.
GMP reflects early investor sentiment but should not be the sole basis for investment. Actual listing gains may differ.
Conclusion – Should You Subscribe to the Vidya Wires IPO?
Vidya Wires operates in a sector with strong long‑term demand driven by power generation, EV adoption, and clean energy expansion. The company has shown improving financials, diversified product offerings, capacity expansion plans, and a strong promoter background.
However, investors must consider factors like low margins, working‑capital intensity, commodity price dependency, and execution risks.
Verdict: Moderately Positive
Investors with a medium to long‑term view may consider subscribing due to:
- expanding capacity
- strong demand environment
- steady financial growth
- debt repayment plan
Short‑term investors should track GMP trends closer to listing.
FAQs
1. What is the Vidya Wires IPO issue size?
The total issue size is ₹300.01 crore.
2. What is the price band of the IPO?
The price band is ₹48–₹52 per share.
3. What is the lot size?
One lot consists of 288 shares, requiring ₹14,976.
4. When will the IPO allotment be announced?
The allotment date is December 8, 2025.
5. When will Vidya Wires list on the stock exchanges?
The expected listing date is December 10, 2025.
6. How is the company’s financial performance?
The company has shown revenue and PAT growth with improving margins.
7. Should you subscribe?
It is suited for medium to long‑term investors.
Disclaimer: This article is for informational purposes only. It should not be considered investment advice. Investors should carefully read the RHP and consult their financial advisor before investing.
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