The Accord Transformer & Switchgear IPO GMP is currently attracting strong attention in the SME IPO segment. The company operates in the electrical power and distribution equipment industry and is launching a ₹25.59 crore book-build SME IPO.

Investors are closely tracking the grey market premium, valuation metrics, and financial growth before making an investment decision. Here is a complete breakdown of the IPO.

Accord Transformer & Switchgear IPO GMP Today

As of 21 February 2026, the Accord Transformer & Switchgear IPO GMP stands at ₹12.

• IPO Price Band: ₹43 to ₹46 per share

• Current GMP: ₹12

• Estimated Listing Price (Upper Band + GMP): ₹58

• Estimated Listing Gain: ~26% (indicative)

A GMP of ₹12 suggests positive grey market sentiment ahead of listing. However, investors should consider fundamentals along with GMP trends.

IPO Dates & Key Details

Issue Structure

• Issue Size: ₹25.59 Crore

• Fresh Issue: 55,62,000 shares

• Face Value: ₹10 per share

• Issue Type: Book Build Issue

• Registrar: Kfin Technologies Ltd.

This is a fully fresh issue, and proceeds will support capacity expansion and working capital requirements.

Company Overview – Accord Transformer & Switchgear Limited

Accord Transformer & Switchgear Limited is engaged in the engineering, manufacturing, and distribution of electrical power equipment. The company serves industries such as:

• Infrastructure projects

• Industrial applications

• Renewable energy

• Power transmission & distribution

• EV charging networks

With over a decade of operational experience, the company focuses on both standard and customized electrical solutions.

Product Portfolio

1️⃣ Transformers

• 36 kV distribution transformers (up to 2.5 MVA)

• Power transformers up to 20 MVA

• Dry-type transformers up to 5000 KVA

• Solar & wind inverter transformers

• Furnace duty transformers

2️⃣ Switchgear & Control Panels

• LV control panels & switchboards

• APFC panels

• MV/VCB panels

3️⃣ Industrial Panels

• Custom Prisma Set panels (Schneider collaboration)

• Package substations

• Busducts & cable trays

The diversified product portfolio strengthens its position in the electrical equipment sector.

Financial Performance

Key Financial Highlights (₹ in Crores)

The company has demonstrated strong revenue growth and improving profitability, particularly in FY25.

Valuation Metrics

• EPS (FY25): ₹4.35

• P/E Ratio: 10.57x

• ROE: 43.90%

• ROCE: 26%

• RoNW: 28.10%

• Debt/Equity: 0.55

• PAT Margin: 7.66%

• EBITDA Margin: 11.49%

• Price to Book Value: 3.21

At a P/E of 10.57x, the IPO appears attractively priced compared to listed peers in the transformer and power equipment segment.

Objectives of the Issue

The company plans to use IPO proceeds for:

• ₹13.03 Cr – Capital expenditure for machinery & equipment

• ₹10 Cr – Working capital funding

• General corporate purposes

The focus on capex indicates expansion of manufacturing capacity.

IPO Lot Size Details

As an SME IPO, retail investors must apply for a minimum of 2 lots.

Strengths of the IPO

✔ In-house manufacturing capabilities
✔ Strong and stable customer base
✔ Experienced management team
✔ Growing demand from infrastructure & renewable energy sectors
✔ Healthy return ratios

Risks & Weaknesses

⚠ Dependence on niche markets
⚠ Limited global brand presence
⚠ Capacity expansion required for future growth
⚠ Negative operating cash flow in recent years

Investors should monitor cash flow sustainability despite strong profit growth.

Promoter Shareholding

• Pre-Issue Holding: 84.94%

• Post-Issue Holding: 61.98%

Promoters retain majority control even after dilution.

Dividend Policy

The company has not declared dividends in the last three years, indicating reinvestment for business expansion.

Final Verdict – Should You Apply?

The Accord Transformer & Switchgear IPO GMP of ₹12 reflects positive grey market momentum. With:

• Strong revenue growth

• Attractive valuation (P/E 10.57x)

• Improving margins

• Capex-driven expansion

The IPO appears fairly priced for investors with moderate risk appetite looking for exposure to the power and infrastructure sector.

https://www.finowings.com/IPO/accord-transformer-switchgear-ipo