Oswal Pumps Shares Debut At 3% Premium Over IPO Price
On the BSE, the Oswal Pump debuted at Rs 632, a 2.9% premium.
Oswal Pumps Ltd. listed on the National Stock Exchange on Monday at Rs 634 apiece, a premium of 3.3% over its issue price of Rs 614 apiece.
On the BSE, the stock debuted at Rs 632, a 2.9% premium.
The Rs 1,387.34-crore initial public offering was subscribed to 34.42 times on its third and final day. The bids were led by qualified institutional buyers (88.08 times), followed by non-institutional investors (36.70 times) and retail investors (3.60 times).
The company will raise Rs 890 crore via a fresh issue of shares and will offer existing shares worth Rs 497.34 crore for sale, as per the red herring prospectus.
The company intends to invest Rs 89.86 crore and a substantial investment of Rs 272.75 crore in its subsidiary of the net proceeds in its wholly-owned subsidiary—Oswal Solar—for funding its new manufacturing unit at Karnal, Haryana.
Further, the company will invest Rs 280 crore in repaying loans and Rs 31 crore toward Oswal Solar to support the settlement of borrowings.
Business
Oswal Pumps manufactures solar-powered and grid-connected submersible and monoblock pumps and electric motors comprising induction and submersible motors. It also produces solar modules under the ‘Oswal’ brand.
The company caters to a wide range of end-users across various sectors. In agriculture, they aid irrigation for fields, while in residential settings, they help maintain gardens and fountains, extract and supply water to overhead tanks, and assist with household and small establishment cleaning.
For commercial spaces like shopping malls, offices, and hotels, they ensure efficient water management.
