Om Power Transmission, a company specializing in engineering, procurement, and construction (EPC) services for power transmission infrastructure, has recently initiated its initial public offering (IPO). The subscription for the IPO commenced on April 9, 2026, and is set to conclude on April 13, 2026. This move comes as part of the company’s strategy to raise ₹150 crore, which will be utilized for acquiring machinery, paying down debts, and fulfilling working capital needs.
The IPO price band has been established between ₹166 and ₹175 per equity share, with a minimum lot size of 85 shares. As of Day 2 of the subscription, the IPO has garnered a subscription rate of 71% overall. Notably, the Qualified Institutional Buyers (QIB) portion was subscribed 1.18 times, while the Non-Institutional Investors (NII) portion was booked at 0.38 times, and the retail portion saw a subscription rate of 0.58 times.
In a positive sign for investors, the IPO has secured ₹45.01 crore from three anchor investors, indicating strong institutional interest. The grey market premium (GMP) for the IPO currently stands at +₹2, suggesting a favorable outlook among market participants. Analysts estimate that the shares of Om Power Transmission are expected to list at an estimated price of ₹177, slightly above the upper end of the IPO price band.
SBICAP Securities has provided insights into the valuation of the IPO, noting that at the upper price band of ₹175, the issue is valued at a price-to-earnings (P/E) ratio of 27.1x based on FY25 earnings and 19.2x based on annualized 9MFY26 earnings. This valuation reflects the company’s robust financial performance, with revenue, EBITDA, and PAT growing at a compound annual growth rate (CAGR) of 52%, 73%, and 88%, respectively, between FY23 and FY25.
Exencial Research Partners has characterized Om Power Transmission as a compelling investment opportunity, highlighting the company’s strong order book exceeding ₹744 crore and improving financial metrics. The overall sentiment among analysts leans towards a recommendation to subscribe to the IPO, with a favorable long-term outlook anticipated for the company.
The basis of allotment for the IPO will be finalized on April 15, 2026, with refunds initiated on April 16, and shares expected to be credited to demat accounts on the same day. The listing of shares on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) is anticipated on April 17, 2026.
As the IPO progresses, market observers are keenly watching the subscription trends and the eventual listing price, which could provide further insights into investor sentiment and the company’s market positioning. With the financial landscape showing signs of improvement, Om Power Transmission is poised to leverage its strong fundamentals and market presence in the coming months.
