Kolkata-based Lumino Industries, one of the fastest growing players in the conductors, power cables, and power EPC industry in terms of Revenue from Operations CAGR between Fiscal 2022 to 2024, among the peers, has filed its Draft Red Herring Prospectus (DRHP) with capital markets regulator, Securities and Exchange Board of India (SEBI) to raise Rs 1000 crore through Initial Public Offering (IPO).
The IPO, with a face value of Rs 5, is a mix of fresh issues of shares up to Rs 600 crore and an offer-for-sale up to Rs 400 crore by Promoter Selling Shareholders. The offer also includes a subscription reservation by eligible employees in the employee reservation portion.
The offer for Sale consists of shareholders selling shares up to Rs 300 crore by Devendra Goel and up to Rs 100 crore by Jay Goel.
Lumino Industries Ltd compares itself with prominent players in the industry, including Apar Industries Limited, Bajel Projects Limited, JSK Industries Private Limited, Kalpataru Projects International Limited, KEC International Limited, KEI Industries Limited, Sterlite Power Transmission Limited, and Universal Cables Limited. Between FY22 and FY24, Lumino Industries emerged as the third fastest-growing company among its peers in Operating EBITDA. In FY24, the company achieved the second-highest operating EBITDA margin at 10.14%, and by H1FY25, it led the peer group with the highest margin of 10.65%. Additionally, Lumino Industries recorded the highest asset turnover ratio of 18.80 in FY24 and the second-highest PAT margin of 6.07%. The company also ranked second in terms of return on equity (RoE), achieving 21.52% in FY24 among its Indian peers.
The company, in consultation with the BRLMS, may consider an issue of equity shares aggregating up to Rs 120 crore as pre-IPO placement. If the pre-IPO placement is completed, the amount raised under the pre-IPO placement will be reduced from the fresh issue.
The proceeds from the fresh issue to the extent of Rs. 420 crores for prepayment or re-payment, in full or in part, of certain outstanding borrowings availed by the Company; Rs 15.08 crore for Capital expenditure by the Company for purchase of equipment and machinery, civil works and interior development of an existing manufacturing facility; and general corporate purposes.
The Offer is being made through the book-building process, wherein not more than 50% of the net offer is allocated to qualified institutional buyers, and not less than 15% and 35% of the net offer is assigned to non-institutional and retail individual bidders respectively.
Lumino Industries Ltd is a product-centric, integrated engineering, procurement, and construction (EPC) company in India, specializing in the manufacturing and supply of conductors, power cables, electrical wires, and other specialized components for the power distribution and transmission sector. The company also manufactures high-temperature low-sag (HTLS) conductors, essential for transmission and distribution lines.
The Company operates under two primary business segments—Manufacturing and EPC. Lumino Industries leverages over three decades of expertise in the power sector. Its product-driven model focuses on designing, engineering, manufacturing, and distributing specialized solutions for diverse applications, including power distribution, industrial uses, renewable energy, communication systems, electrical panels, and railway networks.
The company caters to a wide range of clients, supplying conductors, power cables, and specialized products to leading EPC players such as Kalpataru Projects International Limited, Jackson Limited, Warora Kurnool Transmission Limited, and Monte Carlo Limited. Internationally, its clientele includes government-owned utilities and electricity boards in countries like the United States, Nepal, Bangladesh, Kenya, Ghana, Rwanda, and Ethiopia. Furthermore, a significant portion of Lumino Industries’ products is utilized in its own EPC projects, with 62.38% of the specialized products used in FY24 being manufactured in-house.
The company’s integrated operations streamline its supply chain, ensuring a steady demand for its products and mitigating external dependencies. By manufacturing critical components internally, Lumino Industries minimizes procurement risks, enhances production planning, and achieves cost efficiencies through economies of scale. This model not only strengthens project execution capabilities but also improves its competitiveness in EPC bidding and enhances profitability by optimizing its receivable cycle.
As of September 30, 2024, Lumino Industries reported an aggregate order book of ₹1,803.53 crores. The portfolio includes domestic and international projects, catering to both government and private sector clients.
Lumino Industries Limited's revenue from operations increased by 85.12% from ₹760.21 crore in Fiscal 2023 to ₹1,407.31 crore in Fiscal 2024. Restated Profit for the year increased from ₹19.40 crore in Fiscal 2023 to ₹86.61 crore in Fiscal 2024.
For the six months ended September 30, 2024, revenue from operations stood at Rs.947.62 crore, and Profit after tax stood at Rs 64.31 crore.
Motilal Oswal Investment Advisors Limited, JM Financial Limited, and Monarch Network Capital Limited are the book-running lead managers and Bigshare Services Private Limited is the registrar of the issue. The equity shares are proposed to be listed on the National Stock Exchange of India Limited and BSE Limited.