Highlights
| Issue Size – 18,489,583 shares | Issue Open/Close – 16 Dec / 18 Dec, 2025 |
| Price Band (Rs.) 365 – 384 | Issue Size (Rs.) ~ 7,100 mn |
| Face Value (Rs) 5 | Lot Size (shares) 39 |
KSH International Limited (KSHIL) incorporated in 1979, the third largest manufacturer of magnet winding wires in India in terms of production capacity in FY25 and also the largest exporter of magnet winding wires from India in terms of export revenues in FY25.
KSHIL’s key products include round enamelled copper/ aluminium magnet winding wires, paper insulted rectangular copper/ aluminium magnet winding wires, continuously transposed conductors, rectangular enamelled copper/ aluminium magnet winding wires and bunched paper insulated copper magnet winding wires.
The company’s manufacturing facilities have been accredited with ISO 9001:2015 for the certification and approval of its quality management system, ISO 14001:2015 for environmental management, and ISO 45001:2018 for occupational health and safety management. In addition, the facilities hold IATF 16949:2016 certification for the certification and approval of the quality management system.
Out of the total proceeds from the offer, ~Rs. 2,260 mn would go towards debt repayment, ~Rs. 870 mn would go towards capex in PPE, ~Rs. 88 mn would go towards setup of rooftop solar plant at Supa facility, ~Rs. 982 would go towards general corporate purposes. While ~Rs. 2,900 mn would go towards existing selling shareholders of the company.
Key Highlights
- India’s electric wires and cables market is projected to reach USD 29.85 bn by CY28, expanding at a CAGR of 11 pct from CY24 to CY28. driven by expanding infrastructure development, including enhancements in electricity generation, transmission, and distribution networks, which demand reliable and efficient cables suited for diverse environmental conditions.
- The company is an approved supplier of insulated rectangular wires and continuously transposed conductors (CTC) used in HVDC and 765 kV EHV transformers and reactors. Its products are approved by PGCIL for PICC and CTC conductors up to the 765 kV class, NTPC for CTC supply, NPCIL for CTCs up to the 220 kV class, and RDSO for CTC conductors used in three-phase drive locomotive transformers.
- As of Q1FY25, Company operates 3 manufacturing facilities with a combined annual installed capacity of 29,045 MT. Additionally, fourth facility in Supa, Ahilyanagar, has commenced operations from H2FY25.
- Company has a significant global footprint and is exporting its products to 24 countries as of Q1FY25, including, amongst others, USA, UAE, Kuwait, Romania, Saudi Arabia, Germany, Oman, Spain, Bangladesh and Japan.
- The company’s core strategies include (i) Increase focus on higher value-added critical products, focusing on high value segments and launching new products (ii) Increasing presence in international markets and expand global reach (iii) Increasing wallet share of existing customers (iv) Continue to focus on improving operating efficiencies through scale and backward integration (v) Becoming a more sustainable partner to customers.
- Sales of the company has grown by 35.6 pct CAGR in over FY23-25 and EBITDA and Profit grew by 56.7 pct CAGR and 59.8 pct CAGR over same period. During FY25 the sales of the company jumped by 39.4 pct YoY to Rs. 19,283 mn. While EBITDA of the company grew by 71.5 pct YoY to Rs. 1,225 mn and EBITDA margin expanded by 119 bps to 6.35 pct YoY in FY25. During FY25, the company reported profit of Rs. 680 mn, which grew 82 pct YoY.
Key Risk
- The company relies on its top 10 suppliers for over 95 pct of its raw material and component costs. Without long-term agreements, any supplier loss, delivery delay, or price volatility could adversely affect its business
- The loss of certain independent certification and accreditation of company’s products and the manufacturing practices that they have adopted could harm its business.
- If company fails fail to obtain, maintain or renew their statutory and regulatory licenses, permits and approvals required for its business, it may affect their business.
Financial Performance
| (In Rs. million, unless otherwise stated) | FY23 | FY24 | FY25 | Q1FY26 |
| Revenue from Operations | 10495 | 13828 | 19283 | 5587 |
| EBITDA | 499 | 715 | 1225 | 403 |
| EBITDA Margin % | 4.8% | 5.2% | 6.4% | 7.2% |
| Profit | 266 | 373 | 680 | 227 |
| Profit Margin % | 2.5% | 2.7% | 3.5% | 4.1% |
| ROE % | 13.7% | 16.2% | 22.8% | 7.1% |
| ROCE % | 13.3% | 14.2% | 16.6% | 5.3% |
Peer Comparison
| Peer Comparison | KSH International | Precision Wires India | Ram Ratna Wires |
| Revenue from Operations (Mn) | 19,283 | 40,148 | 36,767 |
| EBITDA (Mn) | 1,225 | 1,659 | 1,552 |
| EBITDA Margin % | 6.4% | 4.1% | 4.2% |
| Profit (Mn) | 680 | 900 | 702 |
| Profit Margin % | 3.5% | 2.2% | 1.9% |
| ROE % | 22.8% | 15.6% | 14.4% |
| ROCE % | 16.6% | 24.3% | 17.3% |
Valuation
KSH International Limited, Incorporated in 1979, is the third-largest manufacturer and the largest exporter of magnet winding wires in India. It operates under the ‘KSH’ brand and supply to OEMs across sectors like power, renewables, railways, automotive, and industrials. At the upper end of the price of Rs. 384, the issue quotes PE of 29x on FY25 annualized earnings. The issue looks fully priced. One can Avoid this issue.
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