Objectives: The aim of the study is to detect the effect of magnesium sulphate on neonates when given antenatally, detect gross neurological effect of magnesium among them. Method: We studied neonates at our institution who were stratified by exposure to magnesium sulfate and compared by various neonatal outcome variables. The exposed population(n=75) was compared for various neonatal outcome variables with the non-exposed group(n=75). Results: The study included comparable number of distributions in gestational age variation: 9.3%; early preterm, 13.3% each of moderate and late preterm, 62.7% term and 1.3% post-term. The proportion of perinatal asphyxia was found to be significantly higher among the group with antenatal magnesium sulphate (p=0.014); neonatal convulsions were found to be significantly lower (p=0.001). Different neurological events like requirement of intubation at delivery, hypotonia, hyporeflexia were found to be higher in proportion among exposed group but not statistically significant. Significant number of babies in MgSO4 group got admitted in SNCU (p=0.004) but intensive care was not required. NICU care were mostly required for non-exposed group (p=0.02). Use of nasal-CPAP (p=0.02) and invasive ventilation (p=0.034) were significantly higher among non-exposed group. Neonatal death was higher among non-exposed group; not statistically significant (p=0.26) Mean cord blood Mg2+ value was 2.73 mg/dl for those exposed and 2.26 mg/dl for non-exposed group. Conclusions: Antenatal magnesium has significant effect on immediate outcome after birth and is slightlyhazardous due to perinatal depression. This study depicts the need for studies of antenatal magnesium-sulfate protocols which may lead to maternal and neonatal benefits.