Oswal Pumps shares list at 3% premium at Rs 632

New Delhi: Shares of Oswal Pumps Ltd on Friday listed with a premium of over 3 per cent against the issue price of Rs 614.

The stock began trading at Rs 632, up 2.93 per cent from the issue price on the BSE. Later, it jumped 5.35 per cent to Rs 646.90.

At the NSE, the stock started trading at Rs 634, up 3.25 per cent.

The company's market valuation stood at Rs 7,389.73 crore.

The initial share sale of Oswal Pumps received 34.42 times subscription on the closing day of bidding on Tuesday.

The Rs 1,387.34-crore initial public offering (IPO) was a combination of a fresh issue of shares valued at Rs 890 crore and an offer-for-sale (OFS) of 81 lakh shares worth Rs 497.34 crore at the upper end of the price band, by promoter Vivek Gupta.

The IPO had a price range of Rs 584-614 per share.

Proceeds from the fresh issue will be used for funding certain capital expenditures of the company, investment in wholly-owned subsidiary Oswal Solar in the form of debt or equity, setting up new manufacturing units at Karnal, Haryana, payment of debt, and general corporate purposes.

Oswal Pumps commenced operations in 2003 by manufacturing low-speed monoblock pumps and over the years, it expanded operations to manufacture grid-connected submersible pumps and electric motors.