Open NowSMERetail · Mobile Phones and Accessories Retail
Mehul Telecom
MTL·₹96 – ₹98·Opens 2026-04-17
★★★☆☆3/5
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Overall
Price Band: ₹96 – ₹98
Min. Investment: 117600
Lot Size: 1200 shares
Issue Size: 27.73
About the Company
What does this company do?
Mehul Telecom Limited is engaged in the retail distribution of telecom products including mobile devices, accessories and related gadgets through company-owned stores (COCO) and franchise-operated stores (FOFO) model.
IPO Details
Issue parameters, key dates and structure.
Total Issue Size
27.73
2829600
Fresh Issue
27.73
2829600
Proceeds go to company
Reservation Structure
QIB (Qualified Institutional Buyers)
50
1344000
Including Anchor Investor Portion up to 60% with 33.33% reserved for Mutual Funds and 6.67% for Life Insurance Companies and Pension Funds
NII / HNI (Non-Institutional Investors)
15
403200
One-third for application size ₹2-10 lakhs, two-thirds for above ₹10 lakhs
RII (Retail Individual Investors)
35
939200
Retail Individual Investors portion
Market Maker Reservation
5.09
144000
Reserved for Designated Market Maker (Nikunj Stock Brokers Limited)
Products & Brands
Key offerings and brand portfolio of the company.
Mobile Phones: Retail distribution of mobile devices from various manufacturers
Financial Performance
P&L, Balance Sheet and Cash Flow — all figures in ₹ Crores.
| Particulars (₹ Cr) | 9M FY2025-26 (31 Dec 2025) |
|---|
All figures in ₹ Crores (INR). Data sourced from DRHP/RHP.
Key Financial Ratios
Valuation and profitability metrics at the IPO price.
EPS — Basic (₹)
3.44
FY2024 (31 Mar 2024)
EPS — Diluted (₹)
3.44
FY2024 (31 Mar 2024)
P/E Ratio
28.49
At upper band of ₹98
RoNW (%)
71.43
FY2024 (31 Mar 2024)
NAV per Share (₹)
4.81
Pre-issue based on net worth of 308.15 lakhs and 64 lakh post-bonus shares
Debt/Equity
1.34
FY2024 (31 Mar 2024)
EBITDA Margin (%)
2.84
FY2024 (31 Mar 2024)
PAT Margin (%)
2.05
FY2024 (31 Mar 2024)
Revenue CAGR
15.43
2-year CAGR FY2023 to FY2024 (₹8015.19 Cr to ₹10719.83 Cr)
Peer Comparison
Listed peers in the same industry — compare valuation and scale.
| Company | Exchange | Market Cap | Revenue (₹ Cr) | PAT (₹ Cr) | P/E | ROE |
|---|---|---|---|---|---|---|
| — | — | — | — | — | — | — |
* Peer data extracted from DRHP. All figures in ₹ Crores unless stated. P/E based on latest available earnings.
SWOT Analysis
Internal strengths & weaknesses; external opportunities & threats.
💪Strengths
Established retail network with dual COCO and FOFO model
Growing revenue trajectory with 15%+ CAGR
Access to quality suppliers and brand partnerships
Experienced promoters in telecom retail business
⚠️Weaknesses
Negative operating cash flows impacting liquidity
High leverage with debt-to-equity of 1.34x
Heavy dependence on leased premises
Limited product portfolio confined to telecom products
🚀Opportunities
Growing mobile phone and accessories market in India
Expansion of retail network through franchise model
Increasing smartphone penetration in tier-2 and tier-3 cities
Market consolidation benefiting organized players
🔥Threats
Intense competition from e-commerce and quick commerce platforms
Price volatility in mobile phone market
Changing consumer preferences towards online shopping
Low barriers to entry attracting new competitors
Competitive Strengths
Key advantages highlighted in the DRHP.
✓
Strong market presence with established distribution network in mobile and accessories retail
✓
Diversified sales channel through both COCO (72.43% of revenue in stub period) and FOFO (27.57%) models
✓
Growing revenue base with consistent year-over-year growth
✓
Experienced management team with deep industry knowledge
✓
Strategic location-based retail presence in key markets
Promoters & Shareholding
Pre & post-IPO shareholding pattern. Click a promoter card to learn more.
Promoters
Shareholding Pattern
72.30
27.70
PrePost
Key Risks
Material risk factors to consider before applying.
⚠
Negative cash flow from operating activities in recent periods due to working capital management
⚠
High dependence on leased premises for registered office and retail stores
⚠
Intense competition from online retailers (Amazon, Flipkart) and quick commerce platforms
⚠
Low barriers to entry in mobile retail industry attracting new competitors
⚠
Significant dependence on franchise model limiting direct operational control
⚠
Limited product diversification exposing to sector-specific risks
⚠
Price volatility in mobile phones and accessories market impacting margins
⚠
Heavy reliance on manufacturer distributors' logistics systems
◆ Neutral
Should You Apply?
Mehul Telecom Limited is a mobile and accessories retail company operating through COCO and FOFO models with FY24 revenue of ₹10,719.83 lakhs and PAT of ₹220.12 lakhs (EPS ₹3.44). The company demonstrates solid revenue growth of 15.4% CAGR but faces significant operational headwinds including negative operating cash flows, high debt levels (D/E 1.34x), and intense competition from online retailers. At upper price band of ₹98, the P/E of 28.5x appears stretched given the low PAT margins (2.05%), negative cash conversion, and macro risks to brick-and-mortar retail. The IPO offers limited visibility into path to profitability improvement and sustainable cash generation. Rating: Neutral - suitable only for investors with high risk tolerance and belief in turnaround potential.
⚠️ This is not investment advice. CheckIPO provides information for educational purposes only. Always consult a SEBI-registered financial advisor before investing.
IPO Timeline
Key milestones from opening to listing.
📅
Issue open date
2026-04-17
🔒
Issue close date
2026-04-21
⏰
UPI mandate deadline
2026-04-21
🎯
Allotment finalization
2026-04-22
💰
Refund initiation
2026-04-23
📦
Share credit
2026-04-23
🏛️
Listing date
2026-04-24
Lead Managers & Registrar
Institutions managing the issue and handling allotment.
Book Running Lead Managers (1)
Cumulative Capital
Registrar to the Issue
📋
KFIN TECHNOLOGIES LIMITED
Registrar to the Issue
Company Details
Registered information and contact details.
Company Name
Mehul Telecom Limited
CIN
U46524GJ2023PLC141259
Registered Office
West Gate Shop 223, 150 Ft Ring Road, Rajkot Raiya Road, Rajkot, Gujarat - 360007
Contact Person
Richie Dhrumil Vandra
Phone
0281 2991223
Website
www.mehultelecom.com