Allied Engineering Works wants to raise ₹400cr via IPO
What's the story
Allied Engineering Works, a Delhi-based manufacturer of smart energy meters, has filed preliminary papers with the Securities and Exchange Board of India (SEBI) for an initial public offering (IPO). The company plans to raise funds through a fresh issuance of shares worth ₹400 crore. In addition, promoter Ashutosh Goel will also offer 75 lakh shares through an offer-for-sale.
Company profile
The company specializes in making smart energy meters
Founded in 1986, Allied Engineering Works specializes in manufacturing smart energy meters. These include consumer smart meters, distribution transformers, feeders, boundary smart meters as well as automation and IoT solutions. The firm has supplied 2.92 million smart energy meters for installation across six Indian states.
Future prospects
IPO proceeds will be utilized for setting up manufacturing facilities
The company plans to set up two manufacturing facilities in Haryana. The fresh issue proceeds of ₹216.5 crore will be used for these expansion plans in the state. Further, a sum of ₹120 crore will be allocated for future working capital requirements with the remainder going toward general corporate purposes.
Financial growth
A look at the financials
Allied Engineering Works has witnessed consistent revenue growth and profitability over the years. The firm's revenue during FY23-FY25 grew at a CAGR of 109.76% to ₹717 crore, up from ₹163 crore. Its profit also increased at a staggering CAGR of 1,074.4% to ₹140.26 crore in fiscal 2025, up from just ₹1 crore in FY23. The company competes with other listed players such as Genus Power Infrastructures and HPL Electric & Power in the market for smart energy meters.