Upcoming IPO | Omnitech Engineering IPO to hit Dalal Street on February 25, offer size reduced by over 30%

Omnitech Engineering IPO News

• Omnitech Engineering IPO to open for public subscription on February 25
• Company plans to raise Rs 583 crore via IPO including fresh issue of Rs 418 crore
• IPO share allotment to be finalised by March 2, listing likely on March 5

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Rajkot-based precision component maker Omnitech Engineering has filed Red Herring Prospectus with the Registrar of Companies on February 18, intimating that its maiden public issue worth Rs 583 crore is set to hit Dalal Street on February 25.

The IPO is a combination of fresh issuance of shares worth Rs 418 crore, and an offer-for-sale of Rs 165 crore worth shares by promoter Udaykumar Arunkumar Parekh.

The company has reduced its total offer size from Rs 850 crore planned earlier as per the preliminary papers filed in June 2025, which was a mix of fresh issue of Rs 520 crore, and an offer-for-sale of Rs 330 crore.

The Securities and Exchange Board of India has approved Omnitech Engineering IPO papers in September 2025.

The IPO anchor book will be launched for a day on February 24, while the issue will remain open for the public till February 27. The company will finalise IPO share allotment by March 2, while the trading in its equity shares will commence on the BSE and NSE effective March 5.

Half of the offer size has been reserved for qualified institutional buyers, 15 percent of non-institutional and 35 percent for retail investors.

Omnitech Engineering that claims one of India’s fastest growing manufacturers of high precision engineered components and assemblies amongst peers intends to spend Rs 233.5 crore of proceeds from the fresh issue for setting up of two new manufacturing facilities in Rajkot.

Further, it will utilise Rs 50 crore for repaying certain debt, Rs 18.6 crore for purchase and installation of solar panels on the rooftop, and the balance amount for general corporate purposes.

As of September 2025, its total outstanding indebtedness was Rs 382.9 crore.

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The company that competes with several listed peers like Azad Engineering, Unimech Aerospace and Manufacturing, PTC Industries, MTAR Technologies, and Dynamatic Technologies currently operates 3 manufacturing facilities, through which it manufactures products for various industries such as energy, motion control and automation, and industrial equipment systems. Primarily these three industries contributed 42 percent, 36 percent, and 20 percent to revenue respectively in the fiscal 2025.

On the financial front, there was inconsistency in performance with profit in fiscal 2025 rising 132 percent to Rs 43.9 crore, up from Rs 18.9 crore in previous year. Revenue during the same period surged 92.5 percent to Rs 342.9 crore, up from Rs 178.2 crore. However, profit in fiscal 2024 plunged 41.4 percent, while there was just half a percent growth in revenue.

Further, profit for six months period ended September 2025 stood at Rs 27.7 crore on revenue of Rs 228.1 crore.

Its order book has substantially increased to Rs 1,764.7 crore by September 2025, against Rs 283.6 crore by March 2025.

Equirus Capital, and ICICI Securities are acting as merchant bankers for the Omnitech Engineering IPO.