Johnsoncab Electricals
- Johnsoncab Electricals is coming out with an initial public offering (IPO) of 28,00,800 shares in a price band of Rs 190-200 per equity share.
- The issue will open on October 30, 2026 and will close on November 3, 2026.
- The shares will be listed on SME Platform of BSE.
- The face value of the share is Rs 10 and is priced 19.00 times of its face value on the lower side and 20.00 times on the higher side.
- Book running lead manager to the issue is ISK Advisors.
- Compliance Officer for the issue is Toshi Rajora.
Profile of the company
Johnsoncab Electricals (JEL) is engaged in the business of manufacturing of low voltage (up to 1.1 kV) wires and cables deployed across power infrastructure including transmission and distribution, renewable energy integration, railways and allied industrial application. Its product portfolio includes Control Cables, Power cables, Industrial Single and Multicore Control Cables, Housing/ Building Wires and Special-purpose Power Cables including Welding Cable, Solar / Photovoltaic Cables, Submersible Flat Cables. It manufactures and sells its products under the name “JOHNSON CABLES”. The company holds ISO and BIS certifications, ensuring the quality standards of its products.
The company operates two manufacturing units (Unit I and Unit II) located in Mehsana, Gujarat. As of Fiscal 2026, the combined annual installed manufacturing capacity of both units is 79,950 KMS, as certified by the Independent Chartered Engineer, Raj Techno Essentials, vide its certificate dated September 15, 2026.
The company’s manufacturing facilities are equipped with machinery for wire drawing, annealing, bunching, insulation, extrusion, testing and packaging, enabling it to manufacture wires and cables across multiple specifications. Over the years, the company has upgraded its manufacturing facilities through the installation of automatic and semiautomatic machinery and equipment to enhance its production capabilities.
Proceed is being used for:
- Funding the capital expenditure requirements of the company towards: (i) Construction of additional Factory Shed for expansion (ii) Plant & Machinery a) Purchase of additional plant & machinery for increasing the production capacity b) Purchase new machinery to manufacture “Paper Insulated Copper / Aluminium Conductors” c) Purchase and set up a rooftop solar power plant
- Additional Working Capital Requirement
- General Corporate Purposes
Industry Overview
The India wires and cables market size was valued at $9.32 billion in 2024. The market is projected to grow from $10.01 billion in 2025 to $17.08 billion by 2032, exhibiting a CAGR of 7.94% during the forecast period. India has observed a substantial rise in the demand for wires and cables due to the country's ambitious renewable energy goals and the growing awareness of the potential of renewable energy, such as solar and wind power. In solar power plants, photovoltaic (PV) projects require a high-quality cabling system that connects all electrical components with minimal energy loss. The significant growth of solar panels in India is creating a considerable demand for solar cables. According to industry standards, a 1 MW solar project will use about 50 km of solar cable. Considering the Indian government's target of 500 GW of non-fossil energy capacity by 2030 (of which solar accounts for the largest share, with installed solar capacity already having crossed roughly 280 GW as of 2026), India's solar cable requirement alone is set to run into several million kilometers over the current decade.
India already operates one of the world’s largest interconnected transmission networks, spanning hundreds of thousands of circuit kilometres across multiple voltage levels. According to the Ministry of Power and Central Electricity Authority data, India’s national grid now spans over 500,000 circuit kilometres of transmission lines (220 kV and above), with transformation capacity exceeding 1,400 GVA, making it one of the world’s largest synchronous power systems. At the same time, the country’s energy transition targets, including 500 GW of non-fossil capacity by 2030, are expected to significantly increase the need for transmission infrastructure capable of evacuating power from renewable generation clusters to load centres.
Going forward, Indian manufacturers have moved well beyond conventional conductor production. APAR Industries describes itself as the largest one-stop solution provider for the design, manufacturing, upgrading, and testing of conductors globally, and has executed over 165 turnkey reconductoring projects across India. The company holds around 50 per cent market share in domestic reconductoring projects, a figure that reflects both the scale of its manufacturing operations and the depth of its project execution capability. In FY2023-24, APAR expanded its manufacturing capacity for alloys, high-efficiency, and HTLS conductors from approximately 3,120 kilometres per month to 5,722 kilometres per month, a scale-up that reflects deliberate preparation for growing demand.
Pros and strengths
Established brand recognition under the “Johnson” Brand: The company markets and sells its products under the “Johnson” brand, which has been associated with the wires and cables industry for several years. The “Johnson” brand is recognized among its customers and dealers in the markets where it operates. The continued use of the brand has supported customer acquisition, repeat business and the marketing of its product portfolio across different categories of wires and cables.
Presence across multiple end-user industries: The company's products are supplied to sectors such as power transmission & distribution, renewable energy, railways, infrastructure and industrial applications, reducing dependence on a single end-use segment.
Infrastructure & capacity: The company operates two manufacturing facilities in Mehsana, Gujarat, with an aggregate installed manufacturing capacity of 79,950 KMS per annum, supported by modern production and testing equipment that enables manufacturing across various product specifications.
Risks and concerns
Dependence on suppliers without long-term agreements: The company has not entered into long-term agreements with most of its raw material suppliers. If the company is unable to procure adequate quantities of raw materials or at competitive prices, its business, results of operations and financial condition may be adversely affected. Any increase or fluctuation in prices of its raw materials, may have a material adverse effect on its business, results of operations and financial condition.
Dependence on a limited number of customers for revenue: The company is dependent on certain customers who have contributed a substantial portion to its total revenue from operations. The company has garnered 66.24%, 51.87% and 28.18% of its revenue from top 10 customers in FY26, FY25 and FY24 respectively. There is no guarantee that it will retain the business of its existing key customers or maintain the current level of business with each of these customers. The loss of these customers or a loss of revenue from sales to these customers may materially affect its business, financial condition, results of operations and cash flow.
High geographical concentration may adversely affect business operations: The company generates its major portion of sales from its operations in certain geographical regions especially Gujarat. The company has garnered 70.91%, 70.50% and 77.43% of its total revenue from Gujarat in FY26, FY25 and FY24 respectively. Any adverse developments affecting its operations in Gujarat could have an adverse impact on its revenue and results of operations.
Outlook
Johnsoncab Electricals is engaged in the manufacturing of low-voltage wires and cables rated up to 1.1 kV and markets its products under the brand name “JOHNSON CABLES”, catering to power infrastructure, renewable energy, railways and industrial applications. The company has consistent growth in revenue from operations and continued investment in manufacturing infrastructure. It has product innovation supported by intellectual property. On the concern side, the company derives a significant portion of its revenue from operations in Gujarat, indicating limited geographical diversification. Any adverse developments or business disruptions in the region may materially affect its business, financial condition, results of operations and cash flows.
The company is coming out with a maiden IPO of 28,00,800 equity shares of face value of Rs 10 each. The issue has been offered in a price band of Rs 190-200 per equity share. The aggregate size of the offer is around Rs 53.22 crore to Rs 56.02 crore based on lower and upper price band respectively. On performance front, the company’s revenue from operations had increased by Rs 7068.28 lakh or 50.56%, from Rs 13,979.13 lakh in Fiscal 2025 to Rs 21047.41 lakh in Fiscal 2026. The growth in revenue from operations is driven by increase in Installed capacity and actual production. Moreover, the company’s profit after tax had increased by Rs 795.51 lakh or 145.58%, from Rs 546.44 lakh in Fiscal 2025 to Rs 1341.95 lakh in Fiscal 2026.
Meanwhile, the company caters to customers in both the government and private sectors. It procures business through participation in tenders, vendor approval processes and direct customer engagements. This diversified approach to customer acquisition enables it to participate in opportunities across different customer segments. Further, the company focuses on product innovation to strengthen its product offerings. It owns an Indian patent titled 'An Improved Three Core Double Insulated Flat Electrical Cable for Submersible Pump', which was granted on February 8, 2023 and is valid up to June 30, 2042, subject to payment of the prescribed renewal fees. The patent is registered in the name of the company and demonstrates its focus on developing innovative product for specialized applications. The company’s patented product strengthens its product portfolio and differentiates its products in the submersible cable segment.
