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Anand Rathi Report
Tempsens Instruments India Ltd. IPO: Here are the 10 key things to know before investing
1. Important dates
Tempsens Instruments (India) Ltd. is launching its initial public offer for subscription today, August 20, 2026. The issue will remain open until Aug. 24, 2026. The shares will be listed on both the National Stock Exchange and the BSE on Aug.28.
2. Price Band
Rajasthan based company has fixed the IPO price band at Rs 285-Rs 300 per equity share. The face value of each share is Rs 4.
3. IPO Size
At the upper end of the price band, Tempsens Instrument is a book build issue of Rs 650 crore. It comprises about 31.7 lakh shares of fresh issue worth Rs 95 crore and about 1.85 crore shares for offer for sale (OFS) worth Rs 555 crore.
4. Lot size and minimum investment
The minimum lot size is 50 shares. At the upper price band of Rs 300 per share, retail investors will need a minimum investment of Rs 15,000 for one lot.
5. Object of the Issue
Tempsens plans to use the fresh issue proceeds for capital expenditure towards electrical heating solutions and specialised cable solutions, as well as for the prepayment or scheduled repayment of certain borrowings and general corporate purposes.
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6. Book Running Lead Managers (BRLMs)
ICICI Securities Ltd. and JM Financial Ltd. are the book-running lead managers to the Tempsens Instruments IPO while KFin Technologies Ltd. is the registrar to the offer.
7. Peer Comparison
The company operates in a highly competitive and fragmented market, with competition from domestic and global players across temperature sensing solutions, electrical heating solutions and specialised cables. While several listed companies operate in individual product categories, the company does not have any directly comparable listed peer in India or internationally with a similar presence across all three verticals. Its diversified product portfolio and integrated capabilities differentiate its business model from most industry participants.
8. What Does Tempsens Instruments Do?
Tempsens is a diversified industrial technology company engaged in designing, manufacturing and supplying temperature sensing solutions, electrical heating solutions and specialised cables. Its products serve industries including petrochemicals, glass, plastics, defence and energy. In FY26, temperature sensing, electrical heating and specialised cables contributed 44.6%, 20.7% and 34.7%, respectively, to revenue.
9. Financial Performance
Tempsens' revenue from operations increased to Rs 444.9 crore in FY26 from Rs 378.5 crore in FY25 and Rs 274.8 crore in FY24. EBITDA stood at Rs 99.8 crore in FY26, compared with Rs 90.4 crore in FY25 and Rs 54.6 crore in FY24. Consolidated PAT rose to Rs 71 crore in FY26 from Rs 62.5 crore in FY25. The FY26 EBITDA margin stood at 22.4%, while PAT margin was 16%.
10. Key Strengths
- Largest Manufacturer of Contact and Non-Contact Temperature Sensors in India in Terms of Revenue and One of the Largest Manufacturers of Electrical Heaters in India with a Focus on Indigenisation resulting in High Entry Barriers
- Diversified Business Model with Broad Product Portfolio, Wide Industry Coverage, and Balanced Mix of Projects and MRO Revenue.
- Established Research and Development Capabilities Enabling Customized, Critical Solutions and Innovation.
- Global Presence Through Strategic Alliances, Diverse Customer Base, Export Sales and Strong Long Standing Customer Relationships.
- Integrated Global Operations Featuring Backward Integration, Digital Traceability, and Stringent Quality Control.
- Operations Led by the Promoters and Supported by an Experienced Management Team Driving Long Term Business Growth.
Valuation
At the upper price band of Rs 300, Tempsens is valued at an implied P/E of 35.4 times FY26 earnings and an EV/EBITDA multiple of 25.64 times. Anand Rathi Research considers the IPO fully priced at the upper band, although it has assigned a “Subscribe – Long Term” recommendation, citing the company's growth, diversified portfolio and international presence.
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