Tempsens Instruments IPO oversubscribed 5.93 times on Day 1

The Tempsens Instruments IPO continues to experience exceptional grey-market interest, with the grey market premium (GMP) surging to 73% according to latest platforms tracking grey market activity. According to InvestorGain, Tempsens Instruments shares were commanding a premium of ₹220 at the upper price band of ₹300, indicating a potential listing gain of 73.33% and pointing to an indicative listing price of around ₹520 if the grey-market trend holds. The grey market premium indicates investors' readiness to pay more than the issue price, though investors must note that grey market premiums are unofficial and based on market speculation, they do not guarantee listing gains or reflect the company's fundamentals. At the upper price band of ₹300, retail investors will need a minimum investment of ₹15,000 for one lot of 50 shares.

The Tempsens Instruments IPO demonstrated exceptional investor confidence with ₹194.54 crore raised through its anchor book on August 19, a day before the public issue opened. According to the company's filing, Tempsens Instruments issued 64.84 lakh equity shares to 29 anchor investors, including prominent institutional investors such as Singaporean Temasek Holdings-owned Aranda Investments, Goldman Sachs, and Prashant Khemka's Ashoka WhiteOak ICAV - Ashoka WhiteOak Emerging Markets Equity Fund. Of the total anchor book allocation, 37.21 lakh shares were allocated to eight domestic mutual funds, including HDFC AMC, Nippon Life India, Kotak Mahindra AMC, Aditya Birla Sun Life AMC, Edelweiss and Tata Mutual Fund, which applied through a total of 14 schemes. Additionally, 4.67 lakh shares were allocated to Axis Max Life Insurance and Kotak Mahindra Life Insurance, demonstrating strong institutional backing across multiple categories. The anchor book includes promoters Amit Talesara, Chandra Prakash Talesara and Puneet Talesara, along with other selling shareholders Nirmal Kumar Pande and Ankit Talesara.

On the financial front, Tempsens Instruments reported consolidated net profit of ₹71.07 crore and sales of ₹444.88 crore for the twelve months ended March 31, 2026. According to reports from The Economic Times, The Hindu BusinessLine and Goodreturns, the company's revenue from operations was ₹444.9 crore in FY26, representing a 17.5 percent year-on-year growth from ₹378.5 crore in FY25. The growth in revenue also translated into improved profitability, with the company's Profit After Tax (PAT) rising to ₹71.07 crore in FY26 from ₹62.56 crore in FY25, registering a 14% year-on-year increase. The company's EBITDA was ₹113.17 crore versus ₹97.32 crore a year earlier. The company's domestic business contributed 71.5% to the topline in FY26, while the remaining 28.5% came from exports. SBI Securities noted that over FY24-FY26, the company delivered Revenue, EBITDA and PAT (post-minority interest) CAGR of 27.2 percent, 35.2 percent and 28.2 percent, respectively. The company maintained a healthy balance sheet, with a debt-to-equity ratio of 0.2x.

The Tempsens Instruments IPO is structured as a ₹650 crore offering comprising a fresh issue of ₹95 crore and an Offer-for-Sale (OFS) component of ₹555 crore. The company plans to utilize proceeds strategically, with ₹18.134 crore from the net proceeds of the fresh issue earmarked for capital expenditure towards its electrical heating solutions and specialised cable solutions businesses. Another ₹55 crore has been allocated for debt repayment, with the balance intended for general corporate purposes. The IPO lot size consists of 50 shares and multiples thereof, with allocation reserved as 50% for qualified institutional buyers, 15% for non-institutional investors, and 35% for retail investors. The equity shares are proposed to be listed on NSE and BSE, with JM Financial and ICICI Securities as book-running lead managers and KFin Technologies Ltd as the registrar. The basis of allotment is scheduled for August 25, with refunds initiated on August 27 and shares credited to demat accounts on the same day, followed by listing on August 28.

Tempsens Instruments is a thermal engineering and specialised cable manufacturer, engaged in the design and manufacture of customized temperature sensing solutions, electrical heating solutions and specialised cables. The company's temperature sensing solutions product portfolio comprises thermocouple, resistance temperature detector, infrared pyrometer, online thermal imager, furnace monitoring camera, temperature and pressure gauge, temperature calibrator, level switch and gauge, diaphragm seals, fiber optic temperature sensor and heat flux sensor. The end-user industries include power, steel, oil and gas, cement, chemicals, plastics, automotive, defence and space. In addition, it supplies a broad range of OEMs, such as manufacturers in green energy, including wind, solar, fuel cells and battery storage as well as plastic injection moulding machine manufacturers, defence, aerospace companies and other advanced technology sectors. In FY26, the company's revenue mix remained diversified across its product segments, with temperature sensing solutions contributing 44.59% of revenue, followed by specialized cables at 34.71% and electrical heating solutions at 20.70%. From a business model perspective, MRO accounted for 32.45% of FY26 revenue, while the remaining 67.55% was contributed by projects/OEM business.