Rajputana Stainless IPO GMP Today Sees Sharp Decline, IPO Subscribed 0.36x on Day 2: Should You Bid?

Rajputana Stainless IPO GMP Today: The initial public offering (IPO) of Rajputana Stainless is receiving a lukewarm response from the primary market investors. The IPO has been subscribed around 0.36x on day 2, i.e., Tuesday, March 10, so far. The IPO's grey market premium (GMP) declined on day 2 of its subscription.

Rajputana Stainless IPO GMP today declined since the first day 1 of its subscription. For investors who are closely tracking the Rajputana Stainless IPO, here are all the details about the issue.

Rajputana Stainless IPO Subscription

The issue was subscribed around 0.34 times on day 2, as per Chittorgarh.com at 1 pm on Tuesday, March 10. The public issue was subscribed around 0.08 times in the retail category, 0.99 times in the QIB (ex-anchor) category, and 0.71 times in the NII Category till March 10.

Rajputana Stainless IPO GMP Today

Rajputana Stainless IPO was recorded at Rs 1.5, at 11:32 am, as per investorgain.com. Which means that the IPO's estimated listing price at Rs 123.15 per share (which is the sum of upper price band and the IPO GMP Today). Rajputana Stainless IPO GMP on Monday stood at Rs 2.5 per share.

Rajputana Stainless IPO: Should You Bid?

The company is a manufacturer of long and flat stainless-steel (SS) products comprising of billets, forged ingots, rolled black bar, rolled bright bar, etc. The company manufactures products in more than 80 diverse grades of stainless steel.

Rajputana Stainless's planned forward integration into stainless-steel seamless pipes is expected to boost its product diversification and strengthen long-term growth visibility, noted SBI Securities in its report. The brokerage has given a 'Subscribe' recommendation for investors.

"At the upper price band of Rs 122, the issue is valued at a P/E of 25.6x and EV/EBITDA of 12.6x on a post‑issue basis, and given RSL's superior profitability metrics relative to peers, the valuation appears relatively attractive. We recommend investors to SUBSCRIBE to the issue at the cut-off price for a long-term investment horizon."

Rajputana Stainless IPO Details

The IPO is a book build issue of Rs 254.98 crore, and the issue is a combination of a fresh issue of 1.47 crore shares, equivalent to Rs 178.73 crores. The IPO also includes an offer for sale of 0.63 crore shares aggregating to Rs 76.25 crores. The IPO price band has been fixed at Rs 116 to Rs 122 per share. The minimum amount of investment required by a retail investor is Rs 13,420, as the lot size for an application is 110. The lot size for sNII is 15 lots, which means that they would require to invest Rs 2,01,300 to apply for the IPO.