Tempsens Instruments IPO Subscribes 7X, Eyes 90% Premium
Infographic: Tempsens Instruments IPO Hits 7X Subscription, 90% Premium Eyed
Key Highlights
Tempsens Instruments IPO surges past 7X subscription on day 2, driven by NII & retail demand. Grey Market Premium suggests a potential 90% listing gain.
The Tempsens Instruments (India) secured over seven times subscription by its second day of bidding. Demand was robust across investor categories, with the (GMP) indicating a potential 90% listing premium.
- Non-institutional investors (NIIs) subscribed 16.99 times.
- individual investors (RIIs) subscribed 7.14 times.
This ₹650-crore issue, priced between ₹285 and ₹300 per share, is scheduled to close on August 24.
Investor Backing and Market Signals
Tempsens Instruments had already raised ₹194.5 crore from anchor investors. These included major domestic mutual funds and international firms such as Goldman Sachs.
- GMP for Tempsens Instruments shares: ₹270.
- Indicative listing price: approximately ₹570.
- Potential premium over issue price: 90%.
Financials and Strategic Deployment
The company reported a revenue of ₹444.9 crore in FY26, marking a 17.5% increase from FY25. Profits grew by 11.2% to ₹67.3 crore in the same period.
Proceeds from the IPO are allocated for several key areas:
- Capital expenditure in electrical heating solutions.
- Investment in specialized cable businesses.
- Repayment of existing debt.
- General corporate purposes.
Tempsens Instruments’ domestic business accounted for 71.5% of its FY26 revenue. The Indian temperature sensor market, projected to reach ₹28.8 billion by FY31E, continues its shift towards local manufacturing, positioning the company for further growth.