Omnitech Engineering Limited, a company engaged in the precision engineering sector, is set to launch its Initial Public Offering (IPO) on February 25, 2026. The company aims to raise ₹583 crore through a book built issue that includes both a fresh issue of shares and an offer for sale.

The IPO will remain open for subscription until February 27, 2026. Allotment is expected to be finalised on March 2, 2026, with shares tentatively scheduled to list on the NSE on March 5, 2026.

About Omnitech Engineering Limited

Omnitech Engineering Limited operates in the precision engineering business. The company manufactures precision engineered components and machine parts, primarily catering to Original Equipment Manufacturers (OEMs).

Precision engineering involves manufacturing components with very tight tolerances and exact specifications. These parts are used in various industries such as automotive, industrial machinery, heavy equipment and engineering systems.

The company generates revenue mainly from the sale of finished goods and related engineering services. Its customer base consists largely of OEM clients who require high quality components for their manufacturing operations.

Overseas Operations

Omnitech Engineering also operates internationally through its wholly owned subsidiary, Omnitech Group, Inc. The subsidiary contributes significantly to overseas sales and expands the company’s presence beyond India.

In FY25, revenue from the foreign subsidiary stood at ₹365.69 million. This indicates the company’s growing exposure to international markets, which can help diversify revenue streams and reduce dependence on domestic demand.

Global exposure often brings advantages such as access to larger markets, currency diversification and enhanced brand positioning.

Details of the IPO

The Omnitech Engineering IPO is a Book Built Issue amounting to ₹583 crore. The issue consists of two components:

• A fresh issue of 1.84 crore shares aggregating to ₹418 crore

• An offer for sale of 0.73 crore shares

The fresh issue proceeds will go to the company and may be used for business expansion, capital expenditure, debt reduction or general corporate purposes. The offer for sale portion allows existing shareholders to sell part of their holdings.

Price Band and Valuation

The IPO price band has been set at ₹216 to ₹227 per equity share. Investors can bid within this range during the subscription window.

At the upper price band of ₹227 per share, the company’s estimated market capitalisation will be approximately ₹2,807.17 crore.

The lot size for the IPO is 66 shares. Retail investors are required to apply for a minimum of one lot, which amounts to 66 shares. At the upper price band, the minimum investment for retail investors is ₹14,982.

High Net Worth Individuals (HNIs) are required to apply for at least 14 lots, which equals 924 shares. At ₹227 per share, this translates to an investment of ₹209,748.

Key Dates

• IPO Opening Date: February 25, 2026

• IPO Closing Date: February 27, 2026

• Allotment Finalisation: On or about March 2, 2026

• Tentative Listing Date: On or about March 5, 2026

These timelines are subject to regulatory approvals and market conditions.

IPO Management

The book running lead managers for the issue are Equirus Capital Private Limited and ICICI Securities Limited. These firms are responsible for managing the issue process, marketing the IPO and ensuring regulatory compliance.

The registrar for the issue is MUFG Intime India Private Limited, which will handle investor applications, allotment and refund processes.

Grey Market Premium Update

As of now, the Grey Market Premium (GMP) for Omnitech Engineering IPO stands at ₹0. This indicates neutral sentiment in the unofficial grey market ahead of the IPO listing.

It is important to note that grey market trading is informal and unregulated. No official price discovery happens in this market before listing. GMP depends entirely on demand and supply dynamics in an unorganised setup and should not be considered a reliable predictor of listing performance.

Investors are advised to rely primarily on company fundamentals and official disclosures while making investment decisions.

Industry Overview

The precision engineering industry plays a critical role in manufacturing ecosystems. OEMs rely on high quality, accurate components to maintain product performance and safety standards.

With increasing automation, demand for precision components has grown across sectors such as automotive, aerospace, defence, heavy engineering and industrial machinery.

India’s manufacturing sector is witnessing expansion supported by government initiatives such as Make in India and Production Linked Incentive schemes. This environment could benefit companies operating in precision engineering.

Competitive Landscape

The precision engineering market is competitive, with several domestic and international players.

Companies in this space compete on parameters such as product quality, technological capabilities, timely delivery and cost efficiency.

Strong relationships with OEM clients are essential, as contracts often involve long term supply agreements.

Omnitech Engineering’s established client base and overseas presence could provide competitive advantages.

Financial Considerations

Investors evaluating the IPO may examine key financial metrics such as revenue growth, profitability, margins and debt levels.

The contribution from the overseas subsidiary indicates diversification in revenue sources. Currency fluctuations, however, can influence international earnings.

Precision engineering businesses typically require capital investment in machinery and technology. Efficient capacity utilisation is critical for maintaining margins.

Risks and Challenges

Like any industrial business, Omnitech Engineering faces risks such as:

• Dependence on OEM clients

• Fluctuations in raw material prices

• Economic slowdowns affecting industrial demand

• Currency risks related to overseas operations

• Technological changes requiring continuous upgrades

Investors should review the company’s prospectus for detailed risk disclosures.

Listing Expectations

With GMP currently at ₹0, there is no clear indication of listing gains or losses. Actual performance on listing day will depend on subscription levels, market conditions and investor sentiment.

If the issue receives strong institutional participation, it may support listing performance. Conversely, broader market volatility can influence outcomes.

Long Term Outlook

The precision engineering sector is closely tied to industrial growth and manufacturing expansion.

If India continues to strengthen its manufacturing base and attract global supply chains, companies like Omnitech Engineering may benefit from rising demand.

Global diversification through its US subsidiary could also open further growth opportunities.

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