Avana Electrosystems Limited is an Indian manufacturer of low-voltage switchgear and control gear products, catering to industrial, infrastructure, and power distribution applications. The company earns revenue through design, manufacturing, and supply of customized electrical panels and switchgear solutions. Its products are used in factories, commercial buildings, utilities, and infrastructure projects for power distribution, protection, and control applications across India .

Key Clients and Manufacturing Facilities

The company serves EPC contractors, industrial OEMs, infrastructure developers, and utilities. Avana operates manufacturing facilities in Peenya Industrial Area, Bengaluru, which includes owned and leased units for relay manufacturing, control panels, and switchgear assemblies. The facilities are ISO 9001:2015 certified and equipped for in-house fabrication, assembly, testing, and quality control to ensure timely execution of customer orders .

Product Portfolio, Order Book & Execution

Avana’s product portfolio includes LV switchgear panels, control panels, relay panels, and customized electrical systems. These products lie in the mid-to-late stage of the client’s product life cycle, ensuring stable replacement and expansion demand. The company executes orders on a project-based model with defined delivery schedules. Its diversified order book across industries supports consistent execution and revenue visibility .

Mergers, Capex and Expansion Plans

The company has transitioned from a private to a public limited entity to support growth and capital expansion. Avana plans capacity expansion through the development of a new manufacturing facility at Avverahalli Industrial Area, Bengaluru. The proposed capex is aimed at enhancing production capacity, operational efficiency, and catering to increasing demand from infrastructure and industrial sectors .

Employees and Banker

September 30, 2025, the company had 137 employees. The Banker to the Company is HDFC Bank Limited.

Management and Vision

The promoters and management team have extensive experience in electrical systems and project execution. Their vision focuses on scaling manufacturing capacity, improving margins through operational efficiencies, and expanding customer reach in infrastructure and industrial segments. For capex and expansion, the company plans to use IPO proceeds, internal accruals, and bank borrowings, ensuring a balanced capital structure while maintaining financial discipline and controlled leverage .

Industry Overview

Avana operates in the Indian low-voltage switchgear and control gear industry, which supports power distribution, industrial automation, and infrastructure development. As per industry data referenced from IEEMA, the Indian LV switchgear market is valued at several thousand crores with a mid-to-high single-digit CAGR driven by industrial capex, renewable energy, railways, and urban infrastructure. Globally, the electrical equipment market runs into hundreds of billions of dollars with steady growth of around 5–6% annually. Key global players include Schneider Electric, Siemens, and ABB, while Indian leaders include L&T Electrical & Automation and Havells .

Key Risk Factors

1. Industry Cyclicality Risk
   Demand for switchgear products depends on industrial and infrastructure spending. Any slowdown in capex cycles or government infrastructure projects may directly impact order inflows and revenue growth.
2. Customer Concentration Risk
   A significant portion of revenue is derived from project-based clients. Delays, cancellations, or reduced spending by major customers can affect cash flows and profitability.
3. Working Capital Intensive Business
   The company requires substantial working capital for inventory, receivables, and project execution. Any delay in collections may increase reliance on borrowings and impact liquidity.
4. Raw Material Price Volatility
   Key raw materials such as copper and steel are subject to price fluctuations. Sharp increases may affect margins if cost escalations cannot be passed on to customers.
5. Execution and Delivery Risk
   Project-based orders require timely execution. Delays due to supply chain disruptions, labor issues, or technical challenges may lead to penalties and loss of client confidence.
6. Regulatory and Compliance Risk
   Manufacturing operations are subject to environmental, safety, and labor regulations. Non-compliance or delays in approvals may disrupt operations or result in penalties.

Key Strengths, Moat and Opportunities

1. Established Manufacturing Capabilities
   Avana has well-equipped manufacturing facilities with ISO certification, enabling consistent quality, customization, and timely delivery of switchgear and control panels.
2. Diverse Product Portfolio
   The company offers a wide range of LV switchgear and control systems, reducing dependence on a single product and allowing cross-selling across industrial segments.
3. Experienced Promoter and Management Team
   Promoters bring technical and execution expertise, supporting long-term customer relationships and efficient project management.
4. Strong Presence in Industrial Hubs
   Operating from Bengaluru’s Peenya Industrial Area provides access to skilled manpower, suppliers, and industrial customers, strengthening operational efficiency.
5. Infrastructure and Power Sector Tailwinds
   Growth in power distribution, renewables, railways, and industrial automation creates strong medium- to long-term demand opportunities for switchgear manufacturers.
6. Capacity Expansion Opportunity
   Planned capex for a new manufacturing unit positions the company to scale operations, improve margins, and capture higher-value projects in the future.