Steel manufacturer Bansal Industries' IPO subscribed 1.76 times on Day 1

The initial public offer of steel wire manufacturer Bansal Wire Industries received 1.76 times subscription on the first day of bidding on Wednesday.

The initial share sale received bids for 3,77,76,154 shares against 2,14,60,906 shares on offer, according to NSE data.

The quota for Retail Individual Investors (RIIs) got subscribed 2.47 times while the portion for non-institutional investors fetched 2.44 times subscription. The Qualified Institutional Buyers (QIBs) part received 1 per cent subscription.

Bansal Wire Industries on Tuesday said it has collected over Rs 223 crore from anchor investors.

The public issue is an entirely fresh issue of equity shares worth Rs 745 crore, with no offer-for-sale (OFS) component.
 

 

The issue, with a price band of Rs 243-256 per share, will be open for public subscription during July 3-5.

Funds will be used for the payment of debt, to support the working capital requirements of the company, and for general corporate purposes.

Bansal Wire Industries is engaged in the business of manufacturing and exporting steel wires. It operates in three broad segments' high carbon steel wire, mild steel wire (low carbon steel wire) and stainless steel wire.

Also, the company plans to add a new segment of speciality wires through its upcoming plant in Dadri, which will help it grow and expand its market presence in the upcoming fiscal.

SBI Capital Markets and DAM Capital Advisors are the book-running lead managers to the issue.