Oswal Pumps IPO: Key Details, Subscription Status, and Expert Insights

Oswal Pumps Ltd, a prominent player in the solar pump manufacturing sector, has launched its initial public offering (IPO) aimed at raising ₹1,387.34 crore. This IPO comprises a fresh issue of 1.45 crore equity shares valued at ₹890 crore and an offer-for-sale (OFS) of 81 lakh shares amounting to ₹497.34 crore. The price band for the IPO has been set between ₹584 and ₹614 per share, with a minimum investment requirement of ₹14,016 for retail investors. The subscription period commenced on June 13, 2025, and will conclude on June 17, 2025, with the allotment date anticipated for June 18 and the listing expected on June 20.

In terms of demand, Oswal Pumps' IPO has seen a subscription rate of 42% as of the first day, with 67.83 lakh equity shares bid against 1.62 crore shares on offer. The retail segment has been particularly active, with a subscription rate of 45%, while non-institutional investors (NII) stand at 79%, and qualified institutional buyers (QIBs) at 8%.

Market analysts have provided insights on the IPO's potential. According to Nirmal Bang, a financial services firm, the IPO's valuation at ₹614 suggests a post-issue price-to-earnings (P/E) ratio and enterprise value to EBITDA (EV/EBITDA) multiple of 24.2x and 16.4x, respectively, which is attractive compared to its peer Shakti Pumps, which trades at a higher valuation. Rajan Shinde, a research analyst at Mehta Equities, further elaborates that Oswal Pumps is well-positioned to capitalize on governmental policies promoting solar energy and sustainable irrigation solutions, particularly under the PM-KUSUM scheme.

Oswal Pumps has reported robust growth metrics, achieving a compound annual growth rate (CAGR) of 44% in revenue, 103% in EBITDA, and a striking 134% in profit after tax (PAT) from FY22 to 9MFY25. The company currently boasts an order book of ₹1,100 crore, alongside a bid pipeline of ₹3,200 crore, indicating substantial growth prospects.

As the IPO unfolds, investors are urged to conduct thorough research and consider expert opinions before making investment decisions. It is essential to highlight that the views expressed by analysts are independent and do not necessarily reflect the position of the underwriting firms. For those considering participation in this IPO, the upcoming days will be pivotal in determining the final subscription rates and market reception.

While the IPO market remains competitive, Oswal Pumps appears to attract interest due to its growth trajectory and strategic positioning within the renewable energy sector. Investors are encouraged to monitor the subscription trends closely in the coming days, as well as the company's performance post-listing to assess its long-term viability in the rapidly evolving market landscape.