The initial public offering (IPO) for Oswal Pumps Ltd started on Friday, June 13, and will end today, June 17. The interest in the Oswal Pumps IPO has been quite strong on the second day of bidding on Monday, where the issue was completely subscribed with Non-Institutional Investors (NIIs) and retail investors taking the lead. On Thursday, the company raised ₹416.2 crore from anchor investors just a day before opening the share sale to public subscriptions.
Among the anchor investors are ICICI Prudential Mutual Fund (MF), Kotak Mahindra MF, Aditya Birla Sun Life MF, Quant MF, Societe Generale, Edelweiss Life Insurance, BNP Paribas, the Parisian asset management firm Amundi, and the financial services company Capital Group, as stated in a circular published on the BSE’s website.
Oswal Pumps IPO price band has been established between ₹584 and ₹614 per share for a total initial public offering amounting to ₹1,387 crore. Investors can submit bids for a minimum of 24 equity shares and in multiples of 24 shares thereafter.
The basis of allotment of shares for the Oswal Pumps IPO is expected to be finalised on Wednesday, June 18, with refunds starting on Thursday, June 19, and shares being credited to the demat accounts of allottees on the same day following the refunds. The shares of Oswal Pumps listing date is scheduled on BSE and NSE on Friday, June 20.
The firm focuses on producing submersible and monoblock pumps powered by solar energy and connected to the grid, in addition to electric motors, comprising both induction and submersible types, along with solar panels, all sold under the ‘Oswal’ brand. With more than 22 years of experience in the industry, the company has developed significant knowledge in engineering, product design, manufacturing, and testing.
Oswal Pumps IPO Day 3 Live: Subscription Status
Oswal Pumps IPO subscription status is 1.61 times on day 2, so far. The retail portion was subscribed 1.12 times, and NII portion was booked 4.50 times. Qualified Institutional Buyers (QIBs) portion received 27% bids.
The company has received bids for 2,61,59,928 shares against 1,62,12,980 shares on offer, at 17:00 IST, according to data on BSE.
Oswal Pumps IPO Day 3 Live: IPO details
The initial public offering includes a new issuance of equity shares worth ₹890 crore and a sale of up to 8.1 million shares by one of the company’s promoters, Vivek Gupta, who currently holds a 25.17 percent stake in the company.
From the raised capital, ₹89.86 crore will be designated for capital expenditures, ₹273 crore will assist the subsidiary Oswal Solar in establishing a new manufacturing facility in Haryana, ₹280 crore will be used for debt repayments, and ₹31 crore will go toward settling debts at Oswal Solar.
The key underwriters managing this offering are IIFL Capital, Axis Capital, CLSA India, JM Financial, and Nuvama Wealth Management.
Oswal Pumps IPO Day 3 Live: Oswal Pumps IPO GMP today
Oswal Pumps IPO GMP today is +56. This indicates Oswal Pumps share price was trading at a premium of ₹56 in the grey market, according to investorgain.com.
Considering the upper end of the IPO price band and the current premium in the grey market, the estimated listing price of Oswal Pumps share price is indicated at ₹670 apiece, which is 9.12% higher than the IPO price of ₹614.
In light of the grey market activities over the last 11 sessions, the IPO GMP is showing an upward trend today and is anticipated to have a robust listing. According to experts at investorgain.com, the lowest GMP is ₹0.00, while the highest reaches ₹88.00.
‘Grey market premium’ indicates investors’ readiness to pay more than the issue price.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
