Omnitech Engineering IPO price band has been fixed in the range of ₹216 to ₹227 per equity share of the face value of ₹5. The offer is scheduled to open on Wednesday, February 25, and close on Friday, February 27. The allocation to anchor investors for Omnitech Engineering IPO is scheduled to take place on Tuesday, February 24.
The floor price is 43.20 times the face value of the equity shares, and the cap price is 45.40 times the face value of the equity shares. Omnitech Engineering IPO lot size is 66 equity shares, and in multiples thereafter.
Omnitech Engineering IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors. The company has earmarked ₹10 million for the eligible employees of the company in the upcoming IPO.
Tentatively, Omnitech Engineering IPO’s allotment will be finalised on Monday, March 2, and the company will initiate refunds on Wednesday, March 4, while the shares will be credited to the demat account of allottees on the same day following the refund. Omnitech Engineering share price is likely to be listed on the BSE and NSE on Thursday, March 5.
Omnitech Engineering IPO details
Omnitech Engineering IPO includes a fresh issue of shares valued at ₹418 crore, complemented by an offer-for-sale (OFS) of shares worth ₹165 crore. Promoter and founder, Udaykumar Arunkumar Parekh, will participate in the OFS.
The company is strategically directing ₹233.5 crore from the fresh issue towards the establishment of two new manufacturing facilities in Rajkot. Furthermore, ₹50 crore will be allocated for repaying specific outstanding borrowings, with total indebtedness currently at ₹382.9 crore. An investment of ₹18.6 crore is designated for the purchase and installation of rooftop solar panels, while the remaining capital will be appropriated for general corporate purposes.
Omnitech Engineering IPO is expertly managed by leading merchant bankers Equirus Capital and ICICI Securities, with MUFG Intime India Pvt. Ltd. serving as the registrar for the issue.
Company details
Precision-engineered components, turnkey industrial automation solutions, and bespoke mechanical systems for a range of sectors are the areas of expertise for Omnitech Engineering, a manufacturing and engineering solutions company.
The business is renowned for its proficiency in the mechanical design, fabrication, assembly, and integration of high-performance machinery utilised in industries like general manufacturing, automotive, aerospace, pharmaceuticals, and food processing.
In Gujarat, the company operates three production plants in Rajkot, Padavala, and Metoda and Chhapara. The manufacturing facilities are well furnished with computer numerical control (CNC) equipment, such as sliding headstock machines, turn mill centres (TMC) and vertical machining centres (VMC).
As per the red herring prospectus (RHP), the company’s listed peers are Azad Engineering Ltd (with a P/E of 103.30), Unimech Aerospace and Manufacturing Ltd (with a P/E of 56.68), PTC Industries Ltd (with a P/E of 428.48), MTAR Technologies Ltd (with a P/E of 196.78), and Dynamatic Technologies Ltd (with a P/E of 139.28).
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