Admach Systems IPO eyes steady listing as GMP indicates 5% premium over issue price

Admach Systems is set to make its debut on the BSE SME platform on December 31, with the grey market indicating a modest premium of around 5% over the issue price. The subdued premium suggests cautious optimism among investors, coming after the Rs 42.6 crore IPO drew a measured response in an otherwise crowded SME primary market.

The IPO was priced in a band of Rs 227–239 per share, with the final issue price fixed at Rs 239. At this level, the company is valued at a pre-IPO market capitalisation of about Rs 162 crore. A 5% grey market premium implies a potential listing price in the range of Rs 250–252.

The issue was subscribed 4.13 times at the close of bidding on December 26. Demand was strongest from non-institutional investors, who subscribed their portion more than seven times, driven largely by high-net-worth individuals. Retail investors subscribed their quota nearly four times, while qualified institutional buyers showed relatively muted interest at about 1.5 times, pointing to selective institutional participation.


Admach Systems operates in the niche segment of customised special purpose machines and automation systems. Incorporated in 2008, the company designs, manufactures, and supplies automation and robotic material-handling solutions primarily for the steel, automobile, food, tooling, and general engineering industries, serving customers in India as well as overseas markets.

The company’s product portfolio includes black bar handling systems, bar chamfering and straightening machines, bright bar solutions with ultrasonic testing, grinding solutions, and super-finishing systems. Admach Systems operates a manufacturing facility in Pune, Maharashtra, with an installed capacity of around 100 machines annually. According to offer documents, the company achieved full capacity utilisation in FY25, reflecting strong execution and order flow during the year.

Financial performance has improved sharply in recent years. Revenue surged 170% in FY25 to Rs 53.52 crore, while profit after tax rose 82% to Rs 6.10 crore. For the quarter ended June 2025, the company reported revenue of Rs 23.06 crore and a PAT of Rs 3.02 crore.

The company raised Rs 5.03 crore from anchor investors ahead of the public issue, providing some institutional backing to the offer. Proceeds from the IPO are proposed to be used mainly for capital expenditure on new machinery, funding working capital requirements, and general corporate purposes, which management believes will support future growth and order execution.

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