Raksan Transformers uses ₹31.72 crore of IPO proceeds by September-end

Raksan Transformers Limited used ₹31.72 crore of its ₹120.47 crore initial public offering proceeds by 30 September 2026, leaving ₹88.75 crore to be deployed, with no deviation or variation reported. The company listed 44,12,800 equity shares on the BSE SME platform on 18 September 2026.

How much of Raksan Transformers’ IPO proceeds had been used?

Raksan Transformers had used ₹31.72 crore of its ₹120.47 crore IPO proceeds by 30 September 2026, leaving ₹88.75 crore unutilised. The amount used represented about 26% of gross proceeds, while about 74% remained available only 12 days after the 18 September 2026 listing.

The IPO comprised 44,12,800 equity shares with a face value of Rs 10 each, issued at Rs 273 per share, including a premium of Rs 263 per share. The financial-results filing records gross proceeds of ₹120.4694 crore, while the utilisation disclosure rounds the total to ₹120.47 crore.

The unutilised balance is a proceeds-tracking measure rather than a profit or revenue figure. It shows the portion of the gross IPO pool not yet applied by the reporting date, distinct from Raksan Transformers’ total cash balance and other operational cash flows.

Did Raksan Transformers report a deviation in IPO use?

No, Raksan Transformers reported no deviation or variation in the use of IPO proceeds as at 30 September 2026. Its 13 November 2026 filing included a monitoring agency report and a statement of deviation or variation alongside its unaudited half-yearly financial results.

The disclosed early utilisation was chiefly for working-capital requirements, while planned capital expenditure was still awaiting further deployment. No change from the disclosed objects was reported for the ₹31.72 crore used, although ₹88.75 crore remained to be applied after September-end.

The absence of a reported deviation does not mean the full capital programme was complete. It means the amount used by 30 September 2026 was reported within the IPO-use framework, at a point shortly after the company’s 18 September 2026 BSE SME listing.

How does the IPO balance compare with Raksan Transformers’ cash?

Raksan Transformers reported cash and cash equivalents of ₹94.87 crore at 30 September 2026, compared with ₹10.50 lakh at 31 March 2026. This cash balance is not the same as the ₹88.75 crore of unspent gross IPO proceeds because cash also reflects operating, investing and financing movements.

The half-year cash-flow statement recorded ₹120.47 crore of share-issue inflows, split between ₹4.41 crore of equity share capital and ₹116.06 crore of securities premium. It also recorded ₹7.73 crore of share-issue expenses, producing net IPO cash of ₹112.74 crore before other financing movements.

The difference between ₹120.47 crore of gross proceeds and ₹112.74 crore of net cash reflects the issue expenses shown in the cash-flow statement. The utilisation disclosure uses gross proceeds as its benchmark, whereas the cash-flow statement measures cash received after those expenses.

What changed in Raksan Transformers’ working capital and capex?

Raksan Transformers’ balance sheet showed inventories rising to ₹46.13 crore at 30 September 2026 from ₹25.91 crore at 31 March 2026, while trade receivables fell to ₹52.00 crore from ₹73.21 crore. Trade payables to suppliers other than micro and small enterprises declined to ₹12.74 crore from ₹34.30 crore over the same period.

The cash-flow statement reported ₹6.15 crore of net cash used in operating activities in H1 2026-27. Inventory absorbed ₹20.22 crore of cash, partly offset by a ₹21.21 crore cash release from lower receivables; trade payables used ₹13.18 crore, while other current liabilities added ₹6.98 crore.

Capital work in progress increased to ₹15.90 crore at 30 September 2026 from ₹3.66 crore at 31 March 2026. During H1 2026-27, the company recorded ₹12.25 crore of investing cash outflow for capital work in progress and ₹66.46 lakh for property, plant and equipment and intangible-asset purchases.

Raksan Transformers operates in electrical transformers, control panels and allied activities in India and reports this as one business and geographical segment. The financial statements also say a ₹1.51 crore deferred-tax asset on share-issue expenses has not been recognised because commercial production at the new unit had not started.

How did Raksan Transformers perform in the listing half year?

Raksan Transformers reported revenue from operations of ₹121.13 crore and profit after tax of ₹4.93 crore for H1 2026-27, ended 30 September 2026. Revenue was lower than ₹144.05 crore in H1 2025-26 and ₹219.06 crore in H2 2025-26, while profit after tax declined from ₹11.10 crore and ₹22.26 crore, respectively.

Profit before tax was ₹7.44 crore in H1 2026-27, compared with ₹15.22 crore in the corresponding prior-year half. Cost of materials consumed declined to ₹89.65 crore from ₹115.98 crore, while purchases of stock in trade were ₹15.00 crore, against no amount reported under that line in H1 2025-26.

Basic and diluted earnings per share were Rs 2.94 for H1 2026-27, down from Rs 6.73 in H1 2025-26. The filing states that half-year earnings per share are not annualised, and the board approved the unaudited financial results on 13 November 2026.

Conclusion

Raksan Transformers’ first reported IPO-utilisation position shows ₹31.72 crore deployed from ₹120.47 crore of gross issue proceeds by 30 September 2026, without a reported deviation. The same filing records ₹94.87 crore of cash and cash equivalents, higher inventories, lower receivables and ₹15.90 crore of capital work in progress after the 18 September listing.

The next disclosure to watch is the use of the remaining ₹88.75 crore for working capital and planned capital expenditure. Raksan Transformers also says it will recognise the ₹1.51 crore deferred-tax asset on share-issue expenses once commercial production at its new unit begins, but the filing does not disclose a start date.