Rajputana Stainless IPO: The initial public offering (IPO) of Rajputana Stainless was off to a slow start on Monday, March 9, garnering just 30% bids amid strong buying from qualified institutional buyers (QIBs).
The offer is available for bidding till Wednesday, March 11.
Rajputana Stainless IPO garnered bids for 63,04,540 shares as against 2,09,00,000 shares on offer, resulting in 30% bids, according to BSE data. The QIB segment was booked the most at 99%, followed by the non-institutional investor (NII) quota at 65% and the retail segment at 4%.
Rajputana Stainless IPO GMP
The grey market premium (GMP) for the ongoing public offer rose marginally on the first day of the bidding. According to websites tracking the unofficial market, Rajputana Stainless IPO GMP today is ₹2.5. This means that shares of Rajputana Stainless are trading ₹2.5 higher than the offer price.
At the prevailing GMP, Rajputana Stainless IPO listing price could be ₹124.5, a premium of 2.05%.
Rajputana Stainless IPO Details
The ₹225-crore Rajputana Stainless IPO is a combination of fresh issuance of up to 1.46 crore equity shares and an offer-for-sale of up to 62.5 lakh shares by promoter Shankarlal Deepchand Mehta.
Ahead of the opening of the initial share sale, Rajputana Stainless launched its anchor book on March 6. However, failure to attract significant demand from investors resulted in failure to meet the SEBI rule.
Rajputana Stainless IPO price band has been fixed at ₹116-122 per share. Investors can subscribe to the offer in lots of 110 shares.
The company plans to use the proceeds from the fresh share sale to set up a manufacturing facility at Panchmahal district, Gujarat, expand its product portfolio, repay debt, and cover general corporate purposes.
The company is a manufacturer of long and flat stainless-steel products comprising billets, forging ingots, rolled black bar, rolled bright bar, flat & patti and other ancillary products under the brand name of RSL.
It offers products in more than 80 diverse grades of stainless steel, reflecting our ability to meet varied technical and application-specific requirements.
In addition to catering to the domestic market, presently its products are being exported to nine countries in the international market, including market of Turkey, UAE, Poland, Portugal, USA, South Africa, South Korea, Czech Republic and Kuwait.
On the financial front, the company’s revenue from operations stood at ₹932 crore in FY25, compared to ₹910 crore in FY24. Its net profit was ₹40 crore as against ₹31.6 crore.
Disclaimer: This story is for educational purposes only. We advise investors to check with certified experts before making any investment decisions.
