Sambhv Steel Tubes Limited - IPO Update
Sambhv Steel Tubes Limited - IPO Update
1) Sambhv Steel Tubes Ltd's initial public offering (IPO) is set to open for public subscription on Wednesday, June 25, and will close on Friday, June 27. On Tuesday, June 24, the company announced it has secured ₹161.25 crore from anchor investors just one day prior to the opening of its initial share sale for the public
2) Sambhv Steel Tubes IPO price band has been established between ₹77 and ₹82 per share, with a face value of ₹10. Sambhv Steel Tubes specified that 50% of the total offer has been allocated for qualified institutional buyers, 35% for retail investors, and the remaining 15% for non-institutional investor
3) The expected date for finalising the basis of share allotment for Sambhv Steel Tubes IPO is Monday, June 30. Refunds are planned to be initiated on Tuesday, July 1, and shares will be credited to the demat accounts of successful allottees later that same day after the refunds. The shares of Sambhv Steel Tubes are anticipated to be listed on the BSE and NSE on Wednesday, July 2.
4) As of March 31, 2024, Sambhv Steel is recognised as one of the leading manufacturers of electric resistance welded (ERW) steel pipes and structural tubes (hollow section) in India in terms of installed capacity.
5) As per SBICAP Securities, the firm is assessed at an annualized EV/EBITDA ratio of 18.2x and a P/E ratio of 44.5x for 9MFY25, calculated based on the maximum price range and post-issue capitalization. Sambhv Steel Tubes is one of the few companies in India equipped with a backward integration facility, which allows it to provide a varied range of premium products in a cost-effective way.
6) ROE @25.42%
7) ROCE @17.66%
8) Good Revenue growth and PAT Margin
9) EBITDA Margin @12.43% - Peer comparison