Vivid Electromech IPO Review

Live status (30 Jun 2026): A striking SME story. The IPO was undersubscribed at just 0.74x (retail only 0.36x) with a grey market premium of zero throughout, and it listed flat at ₹565 on 7 April 2026. Then it more than doubled the stock now trades around ₹1,300, having hit a high of ₹1,420. A reminder that weak subscription and zero GMP don't always predict post listing performance.

About the Company

Every data centre, metro line and solar farm needs something unglamorous to work the electrical panels that route and control all that power. Vivid Electromech makes exactly those, and being in the right sectors at the right time has turned a quiet panel maker into one of the year's surprise SME multibaggers.

Around since 1990 and based in Navi Mumbai, Vivid Electromech manufactures low and medium voltage electrical panels and automation systems power control centres, motor control centres, distribution boards and the like. It doesn't just build them; it also handles the engineering, design, assembly, testing and commissioning, acting as a full system integrator.

Its panels go into data centres, infrastructure and metro projects, real estate, solar and renewable energy, and industrial plants many of India's fastest growing capex themes. It earns money on each project it designs and delivers, from two plants in Navi Mumbai and Pune, with a third coming up at Ambernath. Track its live price and listing data on the IPO GMP Live homepage.

Financial Snapshot

This is a fascinating IPO story. On demand, it was a dud undersubscribed at just 0.74 times, with retail at 0.36x and a grey market premium stuck at zero the whole time. It listed flat at ₹565 in April 2026. Nobody seemed to want it.

Then it more than doubled. The stock has run to around ₹1,300 up over 130% in a few months making it one of the year's surprise SME multibaggers.

What drove it? The business, and the theme. Revenue jumped from ₹90 crore in FY24 to ₹156 crore in FY25, and net profit nearly five folded from ₹4.28 crore to ₹20.24 crore. It carries a ₹221 crore order book and is expanding capacity at Ambernath. Being a supplier to data centres one of the hottest capex stories around gave the stock a powerful tailwind once investors noticed.

My caution is the valuation now. At the issue price the P/E was around 19 times; after the run, the stock trades at well over 40 times earnings, with a price to book above 8. The other flag is working capital debtor days near 212 mean a lot of cash is tied up waiting to be collected. The business is genuinely growing; the price has simply caught up fast.

Strengths

• Growth has been strong. Revenue rose 73% to ₹156 crore in FY25 and net profit nearly five folded to ₹20.24 crore, backed by a ₹221 crore order book. For a small company, that's real, fast operating momentum.
• It sits in hot end-markets. Vivid supplies panels to data centres, metros, infrastructure, real estate and solar several of India's strongest capex themes with a growing data centre presence that the market clearly rewarded.
• It's integrated and expanding. As a full system integrator handling everything from design to commissioning, it controls quality and margins, and a new Ambernath facility, expected to commercialise by August 2026, adds capacity for the order book.
• It re-rated on fundamentals. Despite an undersubscribed IPO and zero GMP, the stock doubled once investors recognised the growth and the theme the market priced the business, not the listing hype.

Risks

• It's now expensive. The P/E has expanded from around 19 times at the issue price to well over 40 times after the run, with a price to book above 8. A lot of future growth is already in the price.
• Receivables are high. Debtor days near 212 mean a big chunk of revenue is stuck as money still to be collected, which strains cash flow and is a classic risk in project based businesses.
• It's a volatile, illiquid SME. The stock has swung by over ₹100 in a single session, and small SME counters can be hard to exit in a hurry without moving the price.
• Demand was weak, and the business is lumpy. The IPO was undersubscribed at 0.74x, showing thin initial conviction, and project based revenue can be uneven. It also competes with far larger panel makers at the top end.

Should You Buy, Hold, or Sell?

It's listed, and it's been a quiet winner — flat at ₹565, now around ₹1,300. This is a call on a fast growing but now richly valued SME.

Conservative investors — not for you. A volatile SME at 40 plus times earnings, with heavy receivables, carries too much risk however good the theme.

Moderate investors — if you own it from lower levels, consider trimming to lock in some of the multibagger gain; for fresh money, the valuation has run ahead of the business.

Aggressive investors — the data centre and capex tailwind is real, and the order book and Ambernath expansion could drive FY27 growth. But you're buying after a 130% run, so size it small and watch the receivables.

Honest take: a genuinely good business riding a hot theme but the easy money's been made, and at this valuation you're paying up for growth that now has to keep delivering.

IPO Objects of the Issue

The issue was a fresh issue of ₹97.97 crore plus a ₹25.97 crore offer for sale. The OFS proceeds went to the selling shareholders, not the company.

Contact Details

Vivid Electromech Ltd. Plot No. A-173/7, TTC Industrial Area, MIDC, Kharine, Navi Mumbai, Maharashtra 📞 +91-22-6817 5555 📧 cs@vividgroup.in

IPO Registrar — MUFG Intime India Pvt. Ltd. (formerly Link Intime India Pvt. Ltd.) 📞 +91-22-4918 6000 🌐 www.in.mpms.mufg.com

Lead Manager: Hem Securities Ltd.

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This page is not investment advice. GMP is indicative only. Please consult a SEBI-registered financial advisor before investing.