Omnitech Engineering IPO Receives 13% Subscription on Second Day

Omnitech Engineering IPO Updates

Subscription Data

The initial public offering (IPO) of Omnitech Engineering, a manufacturer of precision-engineered components, received bids for 25.03-lakh shares against 1.89-crore shares on offer, as per NSE data, on the second day of the share sale. This translates to a subscription rate of 13 percent.

Category-wise Subscription

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The Qualified Institutional Buyers (QIBs) quota received a subscription of 13 percent, while the non-institutional investors category was subscribed by 11 percent. The Retail Individual Investors (RIIs) portion also received a subscription of 13 percent.

IPO Details

The company had earlier raised over Rs 174 crore from anchor investors. The Rs 583-crore initial share sale will conclude on February 27. The price band has been fixed at Rs 216-227 per share, valuing the company at over Rs 2,800 crore.

Grey Market Movement

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According to platforms tracking grey market activities, the shares of the company are commanding a premium of up to 2 percent in the unofficial market. The GMP is quoted at Rs 3 by Investorgain, indicating a listing gain of 1.32 percent. IPO Watch quoted a GMP of 1.76 percent.

Use of Proceeds

The proceeds from the fresh issue will be utilised to repay debt, set up two new manufacturing facilities, fund capital expenditure requirements, and general corporate purposes.

Company Overview

Omnitech Engineering manufactures high-precision engineered components and supplies to global customers across industries like energy, motion control & automation, industrial equipment systems, and other diversified industrial applications. Its clientele includes Halliburton Energy Services, Suzlon, Oshkosh Aerotech, Weatherford, Lufkin Industries, Oilgear, Donaldson Company, PUSH Industries, and Bharat Aerospace Metals.