The GMP typically indicates the premium at which an IPO share is trading in the unofficial market before it is listed on the stock exchange. It reflects investor sentiment and expected listing gains, but is not officially regulated or guaranteed.
However, it should be noted that GMP is not always reliable. It is an unofficial indicator driven by market speculation and sentiment, and can often fluctuate sharply or diverge from actual listing performance.
While it gives a rough idea of demand, it should not be the sole basis for investment decisions.
Oswal Pumps price band
The price band for the IPO has been set at Rs 584 to Rs 614 per equity share, with each share having a face value of Rs 1.
Retail investors are required to bid for a minimum of 24 shares, amounting to a base investment of Rs 14,016. However, given expectations of strong demand, market experts are advising investors to apply at the cutoff price, which would raise the minimum investment to Rs 14,736.For non-institutional investors, the minimum application size is considerably higher. Small NIIs (sNIIs) must apply for at least 14 lots, or 336 shares, involving an investment of Rs 2,06,304. Large NIIs (bNIIs) are required to bid for a minimum of 68 lots, equivalent to 1,632 shares, with an investment of Rs 10,02,048.
About Oswal Pumps IPO
The public offering comprises a fresh issue of 1.45 crore equity shares worth Rs 890 crore, along with an offer for sale (OFS) of 0.81 crore shares valued at Rs 497.34 crore by the promoter. As stated in the draft red herring prospectus (DRHP), the company may explore a pre-IPO placement of certain securities, which, if executed, will lead to a corresponding reduction in the size of the fresh issue.
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Proceeds from the fresh issue will be used to fund corporate objectives, including growth initiatives laid out in the offer documents, while the promoter will receive proceeds from the OFS component.
About Oswal Pumps
Established in 2003, Oswal Pumps has developed a broad product portfolio spanning pumps, motors, pipes, and solar water pumping systems. The company operates through subsidiaries such as Oswal Solar Structure Pvt Ltd and Oswal Green Industries Pvt Ltd. It is promoted by a group comprising Vivek Gupta, Amulya Gupta, and Shivam Gupta, along with three corporate promoter entities.
The IPO will follow the book-building route and is proposed to be listed on the BSE and the National Stock Exchange.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
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