Sambhv Steel Tubes IPO subscribed 60% on first day of share sale

New Delhi: The initial share sale of Sambhv Steel Tubes Ltd got 60 per cent subscription on the first day of offer on Wednesday.

The initial public offering (IPO) received bids for 2,96,79,832 shares against 4,92,06,100 shares on offer, according to NSE data.

The portion for non-institutional investors fetched 68 per cent subscription while the category for Qualified Institutional Buyers (QIBs) received 60 per cent subscription. The quota for Retail Individual Investors(RIIs) got subscribed 57 per cent.

Sambhv Steel Tubes has garnered Rs 161.25 crore from anchor investors.

The Rs 540-crore IPO will conclude on June 27. The price band for the IPO has been fixed at Rs 77-82 per share.

The IPO is a mix of fresh issue of equity shares valued at Rs 440 crore and an offer-for-sale (OFS) of shares worth Rs 100 crore by promoters.

Proceeds from the fresh issue will be utilised for payment of debt and general corporate purposes.

Sambhv Steel is one of the key manufacturers of electric resistance welded (ERW) steel pipes and structural tubes (hollow section) in India in terms of installed capacity as of March 31, 2024.

Nuvama Wealth Management and Motilal Oswal Investment Advisors are the book running lead managers to the issue.

Sambhv Steel Tubes' stock is expected to list on the BSE and NSE on July 2.