The initial public offer of Sambhv Steel Tubes received bids for 8,64,61,830 shares as against 4,92,06,100 shares on offer, according to stock exchange data at 17:00 IST on Thursday (26 June 2025). The issue was subscribed 1.76 times.
The issue opened for bidding on 25 June 2025 and it will close on 27 June 2025. The price band of the IPO is fixed between Rs 77 and 82 per share. An investor can bid for a minimum of 182 equity shares and in multiples thereof.
The offer comprises fresh issue of up to 5,36,58,537 equity shares at the upper price band of Rs 82 and 57142857 equity shares at the lower price band of Rs 77 aggregating Rs 440 crore and an offer for sale up to 1,21,95,122 equity shares crore at the upper price band of Rs 82 and 1,29,87,013 equity shares crore at the lower price band of Rs 77 aggregating Rs 100 crore.
The company proposes to utilize the net proceeds from the issue towards pre-payment or scheduled re-payment of a portion of certain outstanding borrowings availed by the company amounting Rs 390 crore and the balance towards general corporate purposes. As of April 30, 2025, the total outstanding borrowings of the company are Rs 554.585 crore including Rs 549.058 crore of fund based borrowings and Rs 5.527 crore of non-fund borrowings.
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. It primarily manufactures value added products such as pre-galvanized (GP) coils, GP pipes, Stainless steel (SS) HRAP (hot rolled annealed and pickled) coils, SS cold rolled (CR) coils at the Kuthrel facility. The company has installed a captive power plant which, as of March 31, 2025, operates with an installed capacity of 25 MW (comprising a 16 MW waste heat recovery boiler (WHRB) and nine MW atmospheric fluidized bed combustion (AFBC) system) that provides a localized source of power to its Sarora facility.
Ahead of the IPO, Sambhav Steel Tubes on Tuesday, 24 June 2025, raised Rs 161.24 crore from anchor investors. The board allotted 1.96 crore shares at Rs 82 each to 19 anchor investors.
The firm reported a standalone net profit of Rs 40.69 crore and total income of Rs 1,016.09 crore for the nine months ended on 31 December 2024.