Sambhv steel tubes ipo opens tomorrow: 10 key things to know from rhp before you subscribe to ₹ 540 Crore Issue

Sambhv steel tubes iPo in focus: Sambhv Steel Tubes’ Initial Public Offering (IPO) is Scheduled to Kick Off for Subscription on Wednsday, June 25, and Will Remain Open Until Friday, June 27. 540 Crore through the offering, which is a combination of a fresh issue of 5.37 Crore Shares Aggregating to 440 Crore and an offer for sale of 1.22 Crore Shares Aggregating to 100 Crore.

The IPO price band is set at 77 to 82 per share. Of the total offering, 50% is reserved for Qualified Institutional Buyers (QIBS), 15% for non-infustuous investors (Niis), and 10% for retail investors.

Retail investors can apply for a minimum of 182 shares in one lot and can apply for up to 13 lots. At the upper end of the IPO price band ( 82), retail investors are required to make a minimum investment of 14,924 per lot.

Let us take a look at some of the key points mentioned in sambhv steel tubes rhp:

1. Company Overview: Incorporated in 2018, The company is one of the key manufacturers of electric resistance welded (ERW) Steel Pips and Structural Tubes (Holow Sections) in India, Based on Installed Capacity AS of MARCH 31, 2024. Company Claims to be the only player in the country with a single-location, backward-integrated manufacturing facility for Erw Steel Pips and Tubes, with Operations Spanning the element Value Value Chain.

2. Diversified End-Use Sector: Its products Cater to a wide range of sector, include and infrastructure, water transportation, agriiculture, automobiles, telecommunications, oil and gas, engineering, solar energy, solar energy Systems, and support structures for conveyors.

3. Sourcing from Leading Psus: The Company Sources Its Iron Ore from a “Navratna” Public Sector Undertaking (PSU) Mining Company and Procures Coal from A “Maharatna” psu through of psu throwing one of its and its These coal mines, among asia’s largest, are located approximately 250 kilometers from the company’s Sarora (Tilda) Facility, Offering Logistical Advantages and Raw Material Security.

4. Production capacity: As of March 31, 2024, and September 20, 2024, The Company Had a Total Installed Capacity of 1,122,400 Metric Tons Per Annum (MTPA) and 1,540,000 MTPA, Respectly, Respectly, For Producing HIGHAH -UCING HIGHA -UCING HIGHATYY Intermediate and Finished Steel Products.

5. Financial Performance: Itancial performance has shown significant growth over the past two fiscal years. Revenue from Operations Increased to 12,857.57 million in fy24 from 8,193.49 Million in FY22, while restated profit rose to 824.39 Million from 721.08 Million during the same period. Total Income Climbed to 12,893.75 million in fy24 from 8,207.53 Million in FY22.

The company’s total equity grew to 4,382.82 Million as of March 31, 2024, From 1,492.97 Million as of March 31, 2022, and Total Assets Increased to 9,401.34 Million from 4,585.09 Million over the same timeframe.

6. Upcoming Expantions Plans: Currently, the company operates a single manufacturing facility located at Sarora (Tilda), Raipur, Chhattisgarh. It intends to commission a new manufacturing plant in kuthrel with25 to further expand its capacity. Additional, the company is planning to set up a greenfield manufacturing facility in village keseda, District Baloda Bazar-Bhatapara, Chhattisgarh, as Part of Its Long-TERM ExPANSUNTIGY SAXPANSUNTIGY.

7. Competitive Landscape: The company faces competition from both domestic and international players in the production of sponge iron, blooms/slabs, hr coils, ERW Black Pips, Gi Pips, and CR Coils. Key competitors in the industry include apllo tubes, Hariom Pipe Industries, Hi-Tech Pipes, Rama Steel Tubes, Surya Roshni, and JTL Industries.

8. Key Risks: The Company Faces Risks from Potential Increases in Raw Material Costs or Supply Shortages, Which Cold important it is Profitability and Financial Health. Additionally, with Revenue Heavily Concentrated in North and West India, Any Adverse Regional developments or failure to expand into new markets may limit growth and increase exposure to locore.

9. Objectives of the issue: The company proposes to utilize the net proceeds from the issue towards prepayment or Scheduled Repayment of a Port of a Port of Certain Outstanding Borrowings and General Corporate Purposes.

10. Listing and allotment details: The Allotment of Shares for the Sambhv Steel Tubes iPo is expected to be finalized on monday, June 30, 2025. Tentative listing on bSE and nse is sure is sure and nse is sugged for Wednesday, 2025.

Disclaimer, The views and recommendations giving in this article are that of individual analysts. These do not represent the views of Mint. We Advise Investors to Check With Certified Experts Before Making Any Investments Decisions.