Polymatech Electronics is preparing to file draft papers this year for a ₹10,000-crore initial public offering (IPO), according to a top company official. The proposed fundraise will support the company’s capacity expansion plans in India and overseas, as it looks to transition from a Semiconductor chip manufacturer to a broader electronics products company.
“Funding is the main criteria for our expansion. The draft red herring prospectus (DRHP) will be prepared very shortly and filed within this calendar year,” Eswara Rao Nandam, CEO of Polymatech Electronics, told FE.
He added that the company is seeking a valuation of about ₹1 lakh crore on a one-year forward basis. “So, the IPO size would be around ₹10,000 crore. We are in the process of finalising merchant bankers,” he said.
Pre-IPO funding
The company is also looking to raise around $250 million through a pre-IPO funding round. “We have received interest up to $1 billion dollar from global investors for the pre-IPO round,” Nandam said, adding that the company is in the final stage of signing term sheets with investors from the US, Estonia, Singapore, as well as domestic investors. The deal is expected to be finalised after January 14.
Medical devices manufacturing
Last week, the company forayed into medical devices manufacturing, launching vein finder devices built on its proprietary near-infrared LED platform. “We are moving towards becoming a product company from a chip company,” Nandam said. The company has received a registration certificate from the Central Drugs Standard Control Organisation for its vein finder devices and has also applied for European CE certification and US FDA approval to export these products.
“This is not diversification but forward integration. We will continue to manufacture and sell ingots, wafers, and semiconductor chips,” Nandam said. He added that the company is working on bringing one new product every six months. “Starting from 2026-27, every product will bring us at least $1 billion revenue globally,” he said. The company plans to introduce products across healthcare and consumer electronics segments.