Oswal Pumps IPO Listing Tomorrow: Here’s What GMP Signals Ahead of Share Debut

New Delhi, June 19, 2025 — Investors are keenly watching Oswal Pumps Ltd as its shares are set to debut on the bourses on June 20, 2025. Following a robust subscription to its Initial Public Offering (IPO), the grey market premium (GMP) suggests a positive listing for the water pump manufacturer. Market experts, however, advise investors to temper their expectations amid mixed cues from broader markets and the sector's cyclical nature.

Strong Investor Response During IPO

Oswal Pumps’ IPO, which opened from June 14 to June 18, received a strong response across investor categories. The issue was subscribed over 27 times, with Qualified Institutional Buyers (QIBs) and High Net Worth Individuals (HNIs) leading the charge.

• Retail investor category: Subscribed nearly 10x

• HNI/NII category: Subscribed 41x

• QIB category: Subscribed 35x

The IPO had a price band of ₹96–₹100 per share and aimed to raise approximately ₹56.99 crore through a fresh issue of 56.99 lakh equity shares. There was no offer for sale (OFS) component, which reflects the promoters' confidence in the company's future.

Grey Market Premium Signals Positive Debut

As of Wednesday evening, the grey market premium (GMP) for Oswal Pumps is hovering around ₹30–₹33 per share, suggesting a potential listing gain of 30–33% over the issue price. This has sparked optimism among IPO investors hoping for strong listing-day returns.

“The consistent upward trend in GMP signals strong sentiment in the unlisted space. If broader market conditions remain stable, the stock could list in the ₹130–₹135 range,” said Manish Khurana, an independent IPO analyst.

About Oswal Pumps Ltd

Founded in 2000, Oswal Pumps Ltd is one of India’s leading manufacturers of energy-efficient pumps and motors. The company offers a wide range of products including:

• Submersible pumps

• Monoblock pumps

• Pressure booster systems

• Solar water pumps

The company has a network of over 2,000 dealers and distributors spread across India and exports to over 15 countries. Its manufacturing unit is based in Ambala, Haryana, with an installed capacity of over 5 lakh units annually.

Analysts' View: Listing Pop Likely, Long-Term Strategy Key

While short-term investors are eyeing a pop on listing day, long-term investors need to assess the cyclical nature of the business and its reliance on infrastructure and agriculture spending.

“The pump manufacturing segment tends to be seasonal and is closely linked to rural consumption and monsoon patterns. Oswal has a solid market base and brand equity in Tier 2 and Tier 3 cities, which works in its favour,” said Priya Sharma, VP of Research at FinBridge Capital.

She added, “If the company manages to execute its capex efficiently and expands its solar pump business, it could offer decent long-term returns. However, investors should watch working capital cycles and input cost fluctuations.”

Sector Outlook: Tailwinds in Rural and Green Energy Demand

The water pump sector is expected to benefit from a variety of government schemes focused on rural electrification, irrigation, and solar energy promotion. Schemes such as PM-KUSUM (for solar water pumps) and Jal Jeevan Mission have enhanced prospects for domestic manufacturers like Oswal Pumps.

Moreover, with rising demand for energy-efficient solutions and the government’s push toward Make in India and exports, Oswal stands well-positioned in a competitive but growing market.

Investor Outlook

As the shares of Oswal Pumps debut tomorrow, market sentiment remains largely bullish, thanks to:

• Strong subscription numbers

• Positive GMP trends

• Robust financials and brand recall

That said, experts caution investors to remain vigilant, especially as listing gains are never guaranteed. Factors such as overall market volatility, post-listing volume trends, and company guidance will be key to determining near-term price action.

“A listing around ₹130–₹135 seems justified given fundamentals and GMP. However, long-term investors should wait for quarterly earnings before committing more capital,” said Rakesh Vadera, a SEBI-registered investment advisor.

The IPO of Oswal Pumps has captured investor attention, both due to its strong fundamentals and the attractive listing premium signalled by GMP. While a healthy debut is likely, disciplined investing will be essential as the company transitions to the next phase of its public life.