Can Lumino Inds IPO deliver growth for high-risk investors?

ET Intelligence Group: Lumino Industries, a power cable manufacturer and EPC contractor, plans to raise ₹500 crore through a fresh issue to repay debt and expand capacity, and ₹200 crore through offer for sale. The promoter stake will fall to 71.9% after the IPO from 100%. The company has reported strong growth in the order book. It is expected to benefit from increasing demand for wires and cables, supported by robust investments in power infrastructure and network expansion projects. However, its debt burden has increased due to capacity expansion and elongated working capital cycle. Additionally, raw-material price volatility and customer concentration remain key operational risks. Given these factors, the issue appears to be suitable for long-term investors with a higher risk tolerance.