Vibhor Steel Tubes To Launch Rs 72 Crore IPO: Check Allotment Dates, Status, GMP And More

Vibhor Steel Tubes Ltd, a manufacturer and exporter of steel pipes and tubes, is gearing up for its Initial Public Offering (IPO) scheduled to open on February 13. With a book-built issue worth Rs 72.17 crore, the IPO presents an opportunity for investors to be part of the growth trajectory in the steel industry.

The bidding for the Vibhor Steel Tubes IPO kicks off on Tuesday, February 13, and will conclude on Thursday, February 15. Investors have a limited window to seize the opportunity and subscribe to the IPO. The allotment for Vibhor Steel Tubes IPO is expected to be finalized on February 16. The company is set to make its debut on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) on February 20, marking an important milestone for the steel manufacturer.

Vibhor Steel Tubes aims to raise Rs 72.17 crore through the IPO, with the entire issue comprising fresh shares. The infusion of funds will play a crucial role in supporting the company's working capital requirements and general corporate purposes. The IPO price band for Vibhor Steel Tubes has been set at Rs 141 to Rs 151 per share, offering investors a reasonable entry point to participate in the company's growth story.

The minimum lot size for the IPO application is 99 shares, requiring a minimum investment of Rs 14,949 for retail investors. Vibhor Steel Tubes plans to utilize the net proceeds from the IPO to address working capital needs and support general corporate functions, highlighting the company's commitment to sustainable growth.

The IPO allocates up to 50% of the net offer for Qualified Institutional Buyers (QIB), 35% for Retail Investors, and 15% for Non-Institutional Investors (NII), ensuring a diversified pool of investors. Khambatta Securities Ltd. has been appointed as the Book Running Lead Manager (BRLM) for the Vibhor Steel Tubes IPO.

Kfin Technologies Ltd. has been entrusted with the responsibility of being the registrar for the Vibhor Steel Tubes IPO, ensuring a seamless process of allotment and registration. As of today, the Grey Market Premium (GMP) for Vibhor Steel Tubes IPO stands at Rs 130 per share. This indicates a premium of 86.09% to the issue price, demonstrating strong investor confidence in the company's future prospects.

Established in 2003, Vibhor Steel Tubes is in the business of manufacturing and export of Mild Steel/Carbon Steel ERW Black and Galvanized Pipes, Hallow Steel Pipe, and Cold-rolled Steel (CR) Strips/Coils. With two decades of experience, the company has been a key supplier to various heavy engineering industries in India.

The company's financials reflect a robust growth trajectory. In FY23, Vibhor Steel Tubes reported a substantial increase in revenue, reaching Rs 1,114.38 crore compared to Rs 818.48 crore in FY22. For the period ending September 2023, the revenue stood at Rs 531.24 crore. The net profit also witnessed significant growth, rising to Rs 21.07 crore in FY23 from Rs 11.33 crore in FY22, with a bottom line of Rs 8.52 crore for the April-September 2023 period.

As Vibhor Steel Tubes prepares to enter the public market, investors are eyeing the potential for growth and stability in the steel industry. The IPO is expected to be a pivotal moment for the company, setting the stage for expansion and success.