Laser Power IPO: A Good Conductor

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Why Laser: India is witnessing significant investments in the Power sector, and in particular the T&D segment. Laser operates an integrated cables and conductors mfg. and EPC business, enabling it to participate across the entire T&D value chain. Laser has a partnership with US based TS Conductor for mfg. of advanced conductors. It has established relationships with government utilities, DISCOMs, Indian Railways and EPC contractors. It has 35 years of industry experience and strength in Eastern India. Its future focus on EPC projects is aligned with good emerging demand.
Why now in IPO: The IPO is at a relatively attractive valuation compared with premium listed cable makers. IPO will help Laser to transition to a stronger balance sheet (by repayment of borrowings). It has also focused on specialized cable products, and exiting commodity ranges, improving profitability. As a small cap of 3000 cr. mkt cap., we see it as a high growth potential firm.
Risks: 1) High financial leverage, Free Cash Flow and Working-capital issues. Fall in revenues in FY26. 2) IPO risks – governance; and first time promoter dilution for shareholders; Family dominated management 3) High dependence on government utilities, DISCOMs for EPC projects. 4) Exposure to fluctuations in copper and aluminium prices, which may impact margins 5) Competition in cables and EPC. Smaller scale compared with several listed peers.
Opinion: Buy

IPO application dates: 9-13^th July’26, with a Price Band ₹ 203-214/share, FV ₹ 5. One Lot is 70 shares.
The 742 cr. IPO includes 200 cr. of OFS and 542 cr. fresh issue (27% and 73%) of 3.47 crore shares.
The fresh issue proceeds will be utilized towards repayment/prepayment of borrowings (₹ 490 cr.), and rest for funding working capital requirements and general corporate purposes, while the OFS proceeds will accrue to the selling shareholders.
The Grey Market Premium (GMP) of Laser Power & Infra is ₹ 28/share over the IPO price. (7^th July)
IPO allocation quotas are: QIB up to 50%, NII 15%, Retail 35%.
IPO allotment is expected by 14^th July’26, and listing on BSE/NSE is scheduled for 16^th July’26.

Laser Power & Infra (Laser) is an integrated power Transmission & Distribution (T&D) sector firm engaged in making of power cables, conductors and allied products, along with turnkey EPC projects.
The FY26 Revenues, EBITDA and PAT were ₹ 2,348 cr., ₹ 323 cr. and ₹ 152 cr., resp. They have grown 15.4%, 37% and 94.9%, CAGR, during FY24–26. EPS rose from ₹ 2.85 to ₹ 10.83 (FY24-26). See Fig. 3a.
Incorporated in 1988, Laser has 35 years of experience serving power utilities, government agencies, Indian Railways and industrial customers across India and overseas. See Fig 1b.
It focuses on product development, engineering and quality assurance for power cables, conductors and allied products, supported by in-house design, testing and mfg. capabilities.
Laser has 699 employees and 1,002 contractual workers (FY26), supporting mfg. and EPC operations.
Its products include power cables, conductors, aluminium wire rods, railway signalling cables, aerial bunched cables, control cables and other specialised cables. (See Fig. 1a).
It operates three integrated mfg. units in W. Bengal, 2 at Dhulagarh and 1 at Kharagpur. The strategic location of these facilities near the Kolkata and Haldia ports provides logistical advantages and facilitates efficient procurement of key raw materials.
Laser’s mfg. facilities have modern wire drawing, stranding, insulation, sheathing, testing & QC system.

Fig 1a – Products of Laser

Laser’s integrated mfg. and EPC capabilities, diversified product portfolio, established customer relationships and 35 years of experience are competitive advantages and entry barriers in the business
Leadership is Deepak Goel (CMD), Devesh Goel (Dir-CEO), Akshat Goel (Dir) and Amit Kumar Goel (CFO).
Promoters have 35 years of experience in the power T&D industry.

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