Avana Electrosystems Announces ₹35 Crore IPO; Subscription Opens January 12 at ₹56–59 Price Band | The IPO List

Price Band: ₹56 to ₹59 per equity share.
Lot Size: Minimum 4,000 shares (Retail investors must invest at least ₹2,36,000).
Total Issue: 59,70,000 shares (Fresh Issue: ~51.76 lakh shares | OFS: ~7.94 lakh shares).

Avana has shown explosive growth in profitability over the last three fiscal years:

Revenue: Grew from ₹28.41 crore (FY23) to ₹61.49 crore (FY25), a CAGR of 47%.
Profit (PAT): Witnessed a massive jump from ₹0.92 crore (FY23) to ₹8.31 crore (FY25).
Margins: Boasts a healthy EBITDA margin of 20.36% and a Return on Equity (ROE) of 47.11%.
Customer Base: Serves 367 customers as of FY25, including major state utilities and private power producers.

The net proceeds of ₹30.54 crore (from the Fresh Issue) are earmarked for:

Integrated Manufacturing Unit (₹11.55 Cr): Constructing a single large-scale facility in Bengaluru to replace two existing leased units. This must be completed by May 22, 2026, per KIADB lease agreements.
Working Capital (₹8.40 Cr): Supporting the purchase of raw materials (sheet metal, switchgear, cables) for their rising order book.
Export Expansion: The company recently secured a confirmed order from Kuwait, signaling a move into global markets.

The company is led by first-generation entrepreneurs with over 32 years of combined experience:

Anantharamaiah Panish (MD): Oversees overall operations and sales.
Gururaj Dambal, S Vinod Kumar, and K N Sreenath: Leading product development, procurement, and finance respectively.
Post-IPO, the promoter holding will dilute from 100% to 73.64%.

GMP Status: As of today, the GMP is trading near flat (₹0), but activity is expected to pick up once the anchor portion opens on January 9.
Key Risks: High dependency on a few suppliers and the urgent deadline (May 2026) to start commercial production at their new facility to avoid KIADB lease penalties.