SEDEMAC Mechatronics IPO Day 3: Sedemac Mechatronics, a producer of auto components and powertrain controls, started its public subscription on March 4 and will end on March 6. SEDEMAC Mechatronics IPO price band has been established between ₹1,287 and ₹1,352, which values the firm at around ₹6,000 crore at the upper price band.
Before its initial public offering opened for public subscription, the company secured ₹326 crore from anchor investors, as stated in an update from the exchange. Among the anchor investors listed in a notice published on the BSE website are Abu Dhabi Investment Authority, ICICI Prudential Mutual Fund, Nippon India Mutual Fund, Tata Mutual Fund, HDFC Mutual Fund, SBI Mutual Fund, and 3PIM India Equity (IFSC) Fund.
Sedemac Mechatronics, based in Pune, supplies critical electronic control units (ECUs) that are control-intensive to original equipment manufacturers (OEM) across the mobility and industrial sectors in India, the US, and Europe.
The company designs, develops, and manufactures sensor-less commutation-based integrated starter generator ECUs for two-wheeled and three-wheeled vehicles powered by internal combustion engines.
Among its clients are TVS Motor Company, Bajaj Auto, Kirloskar Oil Engines, Briggs and Stratton LLC, and DEIF India.
Financially, the company reported a revenue of ₹217.35 crore and a profit after tax (PAT) of ₹17.07 crore as of June 30, 2025. For the 2025 fiscal year, it achieved a revenue of ₹658.36 crore and a PAT of ₹47.04 crore.
SEDEMAC Mechatronics IPO GMP today
SEDEMAC Mechatronics IPO GMP is -5. Considering the upper end of the IPO price band and the current discount in the grey market, the estimated listing price of SEDEMAC Mechatronics shares is indicated as ₹1,347 apiece, which is 0.37% lower than the IPO price of ₹1,352.
Considering the grey market activities of the past nine sessions, the current IPO GMP indicates a trend towards a discount, suggesting a likely discount listing. The lowest GMP recorded is ₹-17.00, whereas the highest GMP stands at ₹130, as per expert opinions.
‘Grey market premium‘ indicates investors’ readiness to pay more than the issue price.
SEDEMAC Mechatronics IPO details
The SEDEMAC Mechatronics IPO features only an offer for sale (OFS) of up to 80,43,300 equity shares, which are being offered by promoters Manish Sharma and Ashwini Amit Dixit, in addition to other selling stakeholders.
As part of the OFS, a number of investors—including A91 Emerging Fund II LLP, NRJN Family Trust, Xponentia Capital Partners from Mumbai, Mace Pvt Ltd, the 360 One group, and HDFC Life Insurance Company—will also be selling their stakes in the company.
Due to the fact that the public offering is entirely an OFS, Sedemac Mechatronics will not receive any proceeds from the IPO.
The book-running lead managers overseeing the IPO are ICICI Securities, Avendus Capital, and Axis Capital, while MUFG Intime India Pvt. Ltd functions as the registrar for the issue.
SEDEMAC Mechatronics IPO review
SBI Securities noted that the importance of the product range and OEM approvals creates significant entry barriers. From FY23 to FY26E, the compound annual growth rate (CAGR) for revenue, EBITDA, and PAT is forecasted at 34%/64%/123%, respectively, on an annualized basis. At the maximum offer price of ₹1,352, the stock is valued at a 62.6x FY26E P/E on an annualized basis. The brokerage recommends that investors SUBSCRIBE to the offering for long-term benefits, although short-term profits upon listing may not be likely.
Anand Rathi Research highlighted that the firm aims to build a strong market presence by offering a wide variety of essential, control-oriented products rather than limiting itself to a narrow selection. Considering these factors, the IPO appears to be fully valued and is rated as “Subscribe – Long Term.”
Swastika Investmart indicated that while profit recovery is genuine, one data point shows that PAT skyrocketed by 8× in FY25 — which is promising, although FY24 had an inflated base. The earnings trend requires two to three additional quarters of validation. Priced at approximately 127× trailing P/E, the IPO provides no leeway for any execution errors. The growth projections are fully incorporated at the upper limit. Given the high valuation and the necessity for earnings reliability, cautious investors might choose to steer clear of this IPO for the time being.
Sushil Finance mentioned that SEDEMAC Mechatronics is a specialized and rapidly growing supplier of automotive components that emphasizes advanced, control-focused electronic control units (ECUs). Although there are opportunities available, there are also unique risks, and with valuations sitting at the higher end, investors are advised to approach the investment with caution.
SEDEMAC Mechatronics IPO subscription status
SEDEMAC Mechatronics IPO subscription status was 46% on day 2, so far. The retail portion is subscribed 9%, and NII portion was also booked 25% and Qualified Institutional Buyers (QIBs) portion received 1.27x bids. The employee portion has been subscribed 1.56 times.
The company has received bids for 26,05,218 shares against 56,32,899 shares on offer, at 17:00 IST, according to data on BSE.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
