Telangana-based electronics manufacturing services company Merritronix is preparing to launch its Initial Public Offering (IPO) on June 1, 2026. The issue will mark one of the first SME IPOs scheduled for the new month and will be listed on the BSE SME platform.
The company plans to raise approximately ₹70.03 crore through a completely fresh issue of 47 lakh equity shares. There is no offer-for-sale (OFS) component in the public issue, which means the entire proceeds will go directly to the company for business expansion and operational requirements.
Merritronix has fixed the IPO price band between ₹141 and ₹149 per share, valuing the company at nearly ₹260 crore at the upper end of the band. The anchor investor portion of the issue is scheduled to open on May 29 for a single day, while the public subscription window will remain open from June 1 to June 3, 2026.
The allotment process is expected to be completed on June 4, and the company’s shares are likely to debut on the BSE SME exchange on June 8. GYR Capital Advisors has been appointed as the sole book-running lead manager for the IPO.
Fund Utilisation Plans
According to the company’s filing, the IPO proceeds will mainly be utilised for expanding manufacturing capabilities, strengthening working capital requirements, and reducing debt obligations.
Out of the total proceeds:
- Around ₹21.36 crore will be used for purchasing machinery and equipment
- Approximately ₹21.95 crore has been earmarked for working capital requirements
- About ₹12.7 crore will go towards repayment of existing borrowings
- The remaining funds will be allocated for general corporate purposes
The planned investments indicate the company’s focus on capacity expansion and operational strengthening amid rising opportunities in the electronics manufacturing sector.
Business Operations and Industry Presence
Merritronix operates in the business-to-business electronic manufacturing services (EMS) segment. The company offers services including component sourcing, printed circuit board assembly, system integration, testing solutions, and box-build manufacturing.
Its products cater largely to aerospace and defence-related applications, sectors that are witnessing increasing domestic manufacturing activity and policy support in India.
The company operates in a competitive industry alongside listed peers such as Centum Electronics and Vinyas Innovative Technologies.
Financial Performance
Merritronix reported strong financial growth during FY26. The company’s profit increased significantly to ₹16.1 crore compared to ₹8.7 crore in the previous financial year, reflecting growth of nearly 86%.
Revenue from operations also rose sharply to ₹155.9 crore in FY26 from ₹113.6 crore a year earlier, registering growth of over 37%.
The improving financial performance, along with increasing demand in electronics manufacturing and defence-linked segments, is expected to remain a key focus area for investors evaluating the IPO.
Conclusion
The Merritronix IPO comes at a time when investor interest in SME public issues and electronics manufacturing companies remains active. With plans to expand production capacity, improve working capital, and strengthen its balance sheet, the company aims to position itself for future growth in the EMS and defence manufacturing ecosystem.
Disclaimer:
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
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