Avana Electrosystems shares made a strong debut on January 20 by listing on the NSE Emerge platform at ₹77.5 per share. This was a premium of about 31.4% compared to the SME IPO price of ₹59 per share.
After the positive opening, the stock saw some profit booking and fell nearly 5%, hitting the lower circuit at ₹73.65 per share. Despite this fall, the stock is still trading around 25% higher than its IPO price.
There was strong excitement among investors even before the listing. In the grey market, the IPO was trading at a premium (GMP) of nearly 17%, indicating positive sentiment ahead of the debut.
Strong Subscription Details of the SME IPO
The ₹35.22 crore SME IPO of Avana Electrosystems received an exceptional response from investors. The issue closed on January 14 and was subscribed a massive 131.82 times overall.
Non-institutional investors (NIIs) showed the highest interest, subscribing to the issue more than 219 times. Retail investors also participated actively, with subscriptions exceeding 137 times.
Qualified Institutional Buyers (QIBs) subscribed nearly 55 times. Additionally, anchor investors had already invested ₹9.97 crore in the company on January 9.
Company Business and Operations
Avana Electrosystems operates in the power sector and specializes in manufacturing customized control and relay panels. These products are used for monitoring, controlling, and protecting power systems. The company’s equipment plays a key role in important infrastructure such as transmission lines, power transformers, substations, and bus bars.
The company manufactures panels and relays for voltage levels ranging from 11 kV to 220 kV. It has two manufacturing units located in the Peenya Industrial Area of Bengaluru and currently employs a workforce of 129 people.
Financial Performance and Use of IPO Funds
Avana Electrosystems has shown strong financial growth in recent years. For the year ended March 2025, the company reported total revenue of ₹62.93 crore and a net profit of ₹8.31 crore.
In comparison, its profit after tax (PAT) in FY24 stood at ₹4.02 crore.
During the six months ending September 2025, the company recorded revenue of ₹36.28 crore and earned a profit of ₹5.61 crore.
The funds raised through the IPO will be used to set up a new manufacturing unit, meet working capital needs, and cover general corporate expenses.
