Om Metallogic's IPO was issued at a price of ₹86, but its shares listed at ₹85 on BSE SME, resulting in a 1.16% loss for investors. The company's business is continuously growing, and its financial position is b. The funds raised from the IPO will be utilized for manufacturing expansion, working capital, and debt repayment.
Om Metallogic IPO Listing: Om Metallogic, which converts aluminum scrap into high-quality products, launched its IPO at a price of ₹86, but it listed at ₹85 on BSE SME, causing a 1.16% loss for investors. The company's business is continuously growing, its financial health is robust, and its profit increased from ₹1.10 crore in 2023 to ₹4.12 crore by 2025. The ₹22.35 crore raised from the IPO will be used for the expansion of the manufacturing unit, working capital, debt repayment, and general corporate purposes.
IPO and Listing Overview
Om Metallogic's IPO was open from September 29 to October 1. In this IPO, the company raised a total of ₹22.35 crore. A total of 25,98,400 new shares were issued under the IPO, with a face value of ₹10 each. The retail investor portion was subscribed 2.53 times, and the Non-Institutional Investors' portion was subscribed 0.41 times. During the IPO, the company was issuing only new shares.
Investors experienced slight disappointment on the listing day. IPO investors were expecting the shares to yield profits on the initial day itself, but it debuted at ₹85 on BSE SME. Even at the lower level, there was no significant movement in the shares, and it has remained stable at the ₹85 mark.
Utilization of Funds Raised from IPO
Om Metallogic has planned to use the funds raised from the IPO for the company's expansion and financial strengthening. Of this, ₹2.31 crore will be spent on modernizing the existing manufacturing unit and increasing production. Meanwhile, ₹8.50 crore will be utilized to meet working capital requirements. Additionally, ₹6 crore will be used to reduce the company's existing debt, and the remaining amount will be reserved for general corporate purposes.
Company Business and Products
Om Metallogic recycles aluminum scrap to produce high-quality aluminum cubes, ingots, shots, and notch bars. These products are used in the automotive, construction, electrical transmission, and food packaging industries. The company supplies its products not only in India but also internationally.
Financial Health
Om Metallogic's financial health has consistently strengthened. The company's net profit in Fiscal Year 2023 was ₹1.10 crore, which increased to ₹2.22 crore in FY 2024 and ₹4.12 crore in FY 2025. During this period, the company's total income grew at a Compound Annual Growth Rate (CAGR) of 26 percent annually, reaching ₹60.41 crore.
The company's debt situation has also improved. At the end of Fiscal Year 2023, the company had a total debt of ₹11.55 crore, which reduced to ₹11.04 crore in FY 2024 and ₹10.35 crore in FY 2025. Meanwhile, the reserves and surplus amount stood at ₹2.87 crore at the end of FY 2023, increasing to ₹6.52 crore by FY 2025.
