Vivid Electromech operates in Electrical Switch gears and Panels Industry for Data centers and Metro Railways sector.
Vivid actively collaborates with 6 of the top 10 hyper scalers in India, including STT Global Data Centre, Adani ConneX, and CtrlS. Their New product PDU for data centers should help them continue the growth Momentum.
LV Panel with ABB ArTuK
Section 1:
Basic Details
- Market Cap: ₹1050 crores
- IPO Issue Price: ₹555
- Current Price: ₹1150
- Listing Date: 7-Apr-2026
Vivid IPO info: Vivid raised ₹130 crore through its IPO, including a ₹104 crore fresh issue and a ₹26 crore Offer for Sale. Post IPO, the promoters own over 73% stake.
| # | Issue Objects | Amt (₹ Cr.) |
|---|---|---|
| 1 | Ambernath new manufacturing unit. | 43.84 |
| 2 | Repayment of certain borrowings | 9.30 |
| 3 | To meet working capital requirements | 36.00 |
| 4 | General Corporate Purpose | 2.90 |
| 5 | Issue Expenses | 15.63 |
| Total | 107.67 |
Financial Highlights
- Revenue for FY 2026 : ₹200 crores
- Net Profit: ₹32 crores
- ROE: 52%
- Revenue Growth (3-year CAGR): 50%
Section 2:
Business Overview:
Incorporated in 1990, Vivid Electromech Ltd. is a manufacturer of Low-Voltage (“LV”) and Medium-Voltage (“MV”) electrical swtichgear panels for Data centers and metro trains. The company is engaged in panel manufacturing and system integration, offering electrical and automation solutions that cover engineering, design, fabrication, assembly, testing, and commissioning of control and automation systems. Vivid has OEM associations with ABB, Siemens(via 99% subsidiary) Lauritz Knudsen Electrical & Automation (LK), and Schneider Electric. Vivid is licensed by ABB India Limited to manufacture and integrate ArTu K low-voltage switchboards using ABB components.
Management info:
- Promoter Background: Sameer is 2nd gen Entrepreneur, taking over his father trading business and turning it into critical panel product company and his wife is also a WTD and is part of day to day running of the business. Sameer with 25+ years in electrical industry, Oversees Sales and strategic growth and activelye engaged in product design and stake holder management. He has turned around Vivid from EPC contractor to precision panel manufacturer. Key responsibilities: strategic calls, customer relationships, R&D for future products.
- Promoter Holding: 73.53% with institutions holding another 15% including 6% from Motilal as part of their investments.
- I have not found major -ves on the management from public disclosures.
Business Model and OEM Partnerships:
Vivid is an Assembly Manufacturer operating under multiple Original Manufacturers’ licences.
| Original Manufacturer / Licensor | Their verified reference design | Vivid’s role |
|---|---|---|
| ABB | ArTu K (LV panel system) | Licensed AM — assembles ArTu K panels for end clients |
| ABB | MNS (MV switchgear) | Silver-level system integrator |
| Schneider Electric | Bus-duct + MV switchboards | Licensed panel builder |
| Siemens | SIVACON 8PU (LV) — via Mechtech acquisition | Licensed AM (new since FY26) |
| Lauritz Knudsen | LV automation, protection relays | Associated panel builder |
| Vivid itself | V-Set (Vivid’s own proprietary reference design) | Vivid is the Original Manufacturer here — designed, type-tested, and offered under its own name |
Brief about ArtuK by ABB and its relevance to Vivid:
ABB follows IEC 61439 standard for ArtuK and Vivids Role as AM is limited to the green section seen below in the diagram.
“To this purpose the Standard accepts three different but equivalent methods to verify the conformity of an assembly: 1) verification by laboratory testing (formerly called type tests and now called verification tests); 2) verification by comparison with a tested reference design (structured comparison with a proposed design for an assembly, or parts of an assembly, with the reference design verified by test); 3) verification assessment (verification of the design through defined rules, including the use of suitable safety margins, or calculations applied to a sample of an assembly or to parts of assemblies to show that the design meets the requirements of the relevant assembly Standard).” Per the ref droc from ABB here. https://library.e.abb.com/public/851c5f31e1c142e89adc271788b45bbb/1SDC007110G0203.pdf?x-sign=ksbuQHJdiWhRSeR%2F5Xgu%2FRn8mBUkCdpOGTjp3wpPpAg0GuAPAk6dZcwfHTX2ez3h
| Parameter | ArTu K spec |
|---|---|
| Rated operational voltage (Ue) | Up to 690 V AC |
| Rated insulation voltage (Ui) | 1000 V AC |
| Rated current (Inc) | Up to 4000 A (higher-rated variants to 6300 A) |
| Short-time withstand current (Icw) | Up to 100 kA / 1 sec |
| Peak withstand current (Ipk) | Up to 220 kA |
| Form of internal separation | Form 1 to Form 4b (highest segregation) |
| Degree of protection (IP) | Up to IP54 |
| Internal arc classification | Tested to IEC/TR 61641 |
| Standard compliance | IEC 61439-1 & -2 (full design verification) |
| Applications | Data centres, industrial plants, infrastructure, hospitals, commercial buildings |
ArtuK variants and their rated specs:
Section 3:
Vivid’s role in the IEC 61439 architecture
IEC 61439-1/-2 (current LV assembly standard, replacing IEC 60439) splits panel-manufacturing responsibility into two roles: the Original Manufacturer (who designs and verifies the reference design) and the Assembly Manufacturer (who fabricates and assembles panels using the verified design). Vivid operates as an Assembly Manufacturer under five Original Manufacturers : 1) ABB (ArTu K for LV, MNS for MV), 2) Schneider (bus-duct + MV), 3) Siemens (SIVACON 8PU LV via Mechtech), 4) Lauritz Knudsen, and 5) Hitachi Hi-Rel (drives).
Vivid is also itself an Original Manufacturer for its proprietary V-Set LV panel design, verified at CPRI and ERDA.
ArTu K — 60% Vivids revenue
ArTu K is ABB’s modular LV switchgear system, rated up to 4000 A / 690 V / 100 kA Icw, Form 4b separation, IP54, IEC 61439 and internal-arc (IEC/TR 61641) verified. Under this licence Vivid receives ABB’s design, procures ABB components (Emax 2, Tmax XT, SACE relays) at largest-partner rates, fabricates enclosures in-house at Navi Mumbai, and delivers dual-branded (Vivid + ABB) panels to end clients. [ArTu K covers ~60% of Vivid’s LV output; V-Set covers the remaining ~40%.]
ArTu K licence Importance to Vivid
Only 3 ABB Level-3 Data Centre AM partners exist in India Vivid, Technocraft, Pragati. This is a structural moat behind Vivid’s data-centre business. ABB re-audits AM partners annually- factory audit, quality processes, technical competence, sales performance, component consumption levels. Losing certification is a real risk if quality slips; getting certified new takes 18-24 months of engagement.
Awards for Vivid : ABB Platinum (2022), Excellence in Panel Building (2024), Elite Energy Leader, largest ABB LV partner in India for 3 consecutive years.
Section 4:
Factory info:
-
Two integrated manufacturing facilities across Navi Mumbai and Pune spanning 34,000+ sq. ft., with an installed capacity of 7,500 Panels per year.
-
New facility at Ambernath : 119,800 sq. ft of land area avaiable. 14,300 LV verticals & 700 MV verticals Per Year after completion of phase 1, there is enough space for further expansion in the same land for future Phase 2/3.
Key Products
1.Low Voltage (LV) Solutions — Up to 1,000V
-
PCC Panels (Power Control Centre) - Main incoming and feeder distribution
-
MCC Panels (Motor Control Centre) -Industrial motor control
-
Intelligent MCC (IMCC) Panels - Smart motor monitoring and protection
-
DG Synchronising Panels - Parallel generator operation
-
VFD Panels (Variable Frequency Drive) - Energy-efficient motor speed control
-
Soft Starter Panels - Smooth motor starting for pumps/fans/compressors
-
APFC Panels (Automatic Power Factor Correction) - Power quality management
-
PLC Automation Systems - Programmable logic controller integration
2.Medium Voltage (MV) Solutions — 3.3 kV to 33 kV
-
11kV/33kV VCB Panels (Vacuum Circuit Breaker) - Critical infrastructure
-
33kV RMG Panels (Ring Main Gear) - Distribution ring networks
-
11kV DG Synchronising Panels
-
Control & Relay Panels (CRP) up to 33 kV
-
MV APFC Panels up to 33 kV
-
11kV Vacuum Contactor Panels
3.New Offerings / Future Growth Areas
-
HT APFC, HT DG Synchronising, HT Motor Starter, HT Automation Solutions (expanding MV range)
-
Fully type-tested IEC 61439 Panels up to 800V
-
Data Centre PDU/RPP panels up to 1,000 kW with ASTA Certification
Competitive landscape :
- Marine Electrical would be a key competition in DC panel business. As stated earlier Technocraft, Pragati are other unlisted peers.
Key Customers:
- Amazon Data centres in India ( via STT, NTT , Adani , CtrlS etc) and other HyperScalers
Section 5:
Investment Thesis
-
The 1,20,000 sq ft state-of-the-art automated manufacturing facility at Ambernath to commence commercial operations by end of August 2026. This capacity expansion would enhance production capacity and enhance operational efficiency, and execution capability for higher-value projects that the company is targeting for next few years. Since the funds are already raised for the same and deployed there is no equity dilution expected in near term.
-
Order book of 220 cr executable in 2 to 9 months provides visibility for fy 27. DC orders are in the range of 20-25 cr , looks like opportunity size is large in DC power infra.
-
Revenue target of 300 cr for fy 27, (in some places management has guided 35% growth for fy27 which would be 270 cr only. )(https://nsearchives.nseindia.com/corporate/VIVID_16062026100038_Outcome_Corporate_Analysis_Report.pdf )
-
PDU -Power distribution Unit business to datacentre has high margins. This product sits inside the data center floor powering the server racks live. Costing 20-50 Lakhs but powering servers costing 50 Crs and above per PDU.
-
The qualification of PDU by Amazon is a major positive, as it has happened after rigorous testing and approval by CPRI ( Central Power Research Institute). The whole Working panel is sent at prototype stage to CPRI for various types of destructive testing, once the tests have passed for all the scenarios and the panel survives, testing is passed for that prototype, if the panel fails/burns then retest starts with a new panel and each panel costs 20 Lakhs and above at prototype stage, so there is a small amount of entry barrier to this business as large players like ABB Siemens are not interested in small orders of few crores where they have to assemble and commission the panel and small players need to go past the prototype testing to qualify.
-
CPRI approves the Panel with the BOM ( Bill of Material) so once tested you need to stick to the same parts and configurations allowed in the BOM.
Concerns:
Concentration risk :
- 65% of Vivid’s revenue flows through ABB-licensed products. Loss of AM certification would be catastrophic but is extremely unlikely given the award trajectory.
- Multi-OEM strategy (Schneider, Siemens via Mechtech, LK, Hitachi) exists partly to reduce single-partner dependency.
- High % of revenues is from Maharashtra region.
- right now proximity is working in their favor due to quick turnaround .
Other Risks :
- Working capital issues, high debtor days of more than 6 months, mostly due to Data centre commissioning delays as once the panel is setup they need to go live for full payment to be realized,
- I guess 80% payment is realized post dispatch and another 20% takes few months , should be similar for other players in the industry.
- RM price risks as copper/Aluminium is significant part of their product build.
Growth Catalysts:
- Amazon has announced significant investments into Indian DC infra ~48 Billion USD, https://sme.asia/amazon-to-invest-total-of-us48-bil-in-india-by-2030/ , we can expect Vivid would be able to win more DC business from Amazon.
- India’s commitment to 500 GW of renewable capacity by 2030, requires an enormous buildout of solar parks, wind farms, and hybrid projects. Each utility-scale project needs Balance-of-Plant (BoP) electrical infrastructure -MV panels, outdoor compact substations, SCADA systems, and grid interconnection switchgear. Vivid’s MV product line (₹30 Cr, growing) and outdoor substation capability position it for this market.
- India’s metro rail network is expanding to 30+ cities under PM Gati Shakti. Each metro project requires traction power substations, station power distribution, signaling power, and building management — all involving LV/MV panels.Vivid’s track record in metro projects gives it pre-qualification credentials for future bids.
- Since Vvid has proven their product for data centers we an expect orders from other Hyperscalers too.
Red Flags to Watch
- Recent CS/CFO changes
- Might not be concern as new CS/CFO seem more competent and there is significant overlap for proper transition.
- IPO funds reallocation of 9 crores toward WC needs instead of Ambernath facility,
- Doesn’t look serious as the Ambernath facility is real and Small companies face WC issues due to higher growth.
Section 6:
Recent Order wins :
- Order form STT for PDU , ( NMDC stands for NaviMumbai Data center.)
- I guess Univastu MV panel order is for Metro stations.
- 44 cr combined order announced in April.
Q1 FY27 Business Highlights :
- Financial Performance: Revenue grew to ₹32.68 Cr in Q1 FY27, up 36% from ₹24.05 Cr in Q1 FY26.
- Order Book Update: Order pipeline remained robust at ₹210 Cr, providing strong revenue visibility for the coming quarters.
Valuation :
I have considered 280-300 cr topline for fy 27 and 45-50 cr pat at 1050 cr Market cap stock is trading at 22-24 PE. for For Comparison Marine is trading at > 45 PE fy 27.
Sources:
IPO Meet - Vivid Electromech Limited by Konexio Highflyers
IPO Meet - Vivid Electromech Limited by Kirin advisors
Disclosures: Invested from 1400/- and still buying on dips , Current avg is 1300/- , Since its a new ipo and not even 1 set of results are announced post IPO, caution is warranted if considering to invest, and also SME lot size is also large around 3L per lot. Hence Stock is very illiquid and its either in LC or UC with wide gap between bid and ask prices.
Disclaimer
SME stocks carry higher risks due to their smaller size, limited operating history, and relaxed regulatory requirements. This analysis is for educational purposes only and should not be considered as investment advice. Always conduct your own research or consult with sebi registered financial advisors before making investment decisions.
