Shares of Vibhor Steel Tubes made a stellar market debut on February 20. Vibhor Steel Tubes stock listed at a premium of 181% to the IPO issue price on Tuesday. The stock opened at Rs 425 against the IPO price of Rs 151 per share on NSE. On BSE, the stock opened at Rs 421. Market cap of Vibhor Steel Tubes climbed to Rs 798.32 crore.
The IPO was held from February 13 to February 15. The price band of Vibhor Steel Tubes IPO was fixed at Rs 141 to Rs 151 per share. The minimum lot size for an application was 99 shares. The minimum amount of investment retail investors could do was Rs 14,949.
Vibhor Steel Tubes IPO offered 4,779,444 shares in the IPO. Around 19.88% of the issue was reserved for qualified institutional buyers and 34.78% for retail investors. Khambatta Securities Limited was the book running lead manager and Kfin Technologies Limited was the registrar for the IPO.
The IPO saw a huge subscription of 298.86 times on final day. The IPO received 1,07,36,25,300 bids against 35,92,445 shares on the block. The quota reserved for non-institutional investors (NIIs) was subscribed 721.33 times and employee reserved category was booked 201.48 times. Retail investors and qualified institutional buyers (QIB) bid for 188.17 times and 178.73 times their allotted portions, respectively.
The company raised Rs 72.17 crore from the IPO. Prior to the initial share sale, the Haryana-based firm raised Rs 21.51 crore from anchor investors.
The issue was open to anchor investors on February 12 during which the company raised Rs 22 crore from Saint Capital Fund, Chhattisgarh Investments Ltd and Neomile Growth Fund-Series I.
Vibhor Steel Tubes intends to utilise the proceeds from the IPO for working capital requirements and general corporate purposes.
Vibhor Steel Tubes Limited manufactures, exports and supplies steel pipes and tubes to various heavy engineering industries in India. The promoters of the company held 98.24% stake before the share sale.
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