Omnitech Engineering Ltd. is set to launch its initial public offering (IPO) to raise nearly Rs 600 crore from the primary market this week. The company manufactures high-precision engineered components. Ahead of its opening, the grey market premium (GMP) indicated a premium of over 6% for the issue. Investors who want to bid for shares in the IPO can check the following details before making an investment call.
Omnitech Engineering IPO GMP Today
According to InvestorGain, the latest GMP for the Omnitech Engineering IPO stood at Rs 7 apiece on Feb. 23. The latest GMP indicates an estimated listing price of Rs 234 apiece at a premium of 3.08% compared to the upper limit of the issue price.
Note: GMP does not represent official data and is based on speculation.
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Omnitech Engineering IPO: Key Details
The Omnitech Engineering IPO is a book build issue worth Rs 583 crore. It comprises a fresh issue of 1.84 crore shares, amounting to Rs 418 crore, and an offer-for-sale (OFS) of 73 lakh shares, worth Rs 165 crore.
To participate in the IPO, retail investors need to bid for a single lot size of 66 shares, requiring an investment of Rs 14,982. Small Non-Institutional Investors need to bid for 14 lots, amounting to an investment of Rs 2,09,748. Big Non-Institutional Investors can participate in the IPO by bidding for a minimum of 67 lots. It will lead to an investment of Rs 10,03,794.
The price band for the IPO is set between Rs 216 and Rs 227 per share.
The subscription window will be open from Feb. 25 to Feb. 27, with the allotment expected to be finalised on March 2. The company will transfer shares to the Demat accounts of successful bidders on March 4 and refunds for non-allottees will also be processed on the same day.
Shares of Omnitech Engineering Ltd. are scheduled to be listed on the BSE and NSE on March 5.
The Qualified Institutional Buyers (QIBs) will be offered a maximum of 50% of the net issue. Retail investors will be allocated a minimum of 35% of the issue and at least 15% will be reserved for Non-Institutional Investors.
Equirus Capital Ltd. is the book-running lead manager and MUFG Intime India Ltd. is the registrar of the issue.
Use Of Proceeds
The company will use proceeds from the IPO to clear debt, set up new projects, fund capex and for general corporate purposes.
About Omnitech Engineering
Omnitech Engineering is a manufacturer of high-precision engineered components and assemblies. It serves clients in industries such as motion control and automation, industrial equipment systems and other industrial applications.
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Financials
The company reported a 92.45% year-on-year (YoY) jump in revenue from operations to Rs 342.9 crore in FY25 from Rs 178.18 crore in FY24. Net profit grew 132% YoY to Rs 43.87 crore in FY25 from Rs 18.91 crore in FY24.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read red herring prospectus thoroughly before placing bids.
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