Tempsens Instruments IPO Oversubscribed 184x: Strong Investor Demand

Tempsens Instruments (India) Ltd.’s initial public offering (IPO) was subscribed a remarkable 184.07 times by its final bidding day. The Rs 650-crore public offering garnered bids for 2,79,44,59,050 shares, significantly exceeding the 1,51,81,667 shares available.

Non-institutional investors (NIIs) led the demand, subscribing 314.44 times their allotted portion. Qualified Institutional Buyers (QIBs) also showed strong interest, booking 302.88 times their allocation.

Investor Demand Highlights

Retail investors participated actively, with their portion oversubscribed 60.69 times. Before the public offering, Tempsens Instruments secured Rs 194.55 crore from anchor investors, including prominent entities like Temasek and SBI Mutual Fund.

The company had established a price band for its public issue between Rs 285 and Rs 300 per equity share. The estimated post-issue market capitalization at the upper end of this band stands at Rs 2,515 crore.

Issue Details and Utilisation

The IPO comprises two main components: a fresh issue of equity shares amounting to Rs 95 crore and an offer-for-sale of up to 1.85 crore equity shares. Proceeds from the fresh issue are earmarked for specific capital expenditure related to electrical heating and specialized cable solutions.

Funds will also go towards debt repayment and general corporate purposes. Udaipur-based Tempsens, established in 1990, manufactures various contact and non-contact temperature sensors, providing customized solutions for industrial applications.

The company’s shares are slated for listing on both the BSE and the NSE. ICICI Securities and JM Financial served as the book-running lead managers for the issue.