Scoda Tubes IPO Oversubscribed by Over 50 Times, Sparks Investor Frenzy
The IPO of stainless-steel manufacturer Scoda Tubes was oversubscribed by 53.78 times. The issue, aimed at raising Rs 220 crore, saw an overwhelming response, particularly from non-institutional investors. The funds will aid in expanding production and fulfilling corporate needs. Monarch Networth Capital managed the IPO.
- Country:
- India
On Friday, the initial public offering of Scoda Tubes, a stainless-steel tubes and pipes manufacturer, closed with a subscription rate of 53.78 times the original offering.
According to the NSE data, 63,70,52,700 shares were bid against the 1,18,46,169 shares available. Notably, non-institutional investors showed extraordinary interest, with their category being subscribed 113.03 times. Qualified Institutional Buyers subscribed 69.51 times, while Retail Individual Investors' quota received 19.39 times subscription.
The Gujarat-based company, which focuses on supplying stainless steel tubes and pipes for sectors such as oil, gas, and chemicals, raised Rs 66 crore from anchor investors ahead of the IPO. The proceeds from the fresh issue will be used to ramp up production capacity and meet general corporate expenses. The IPO is expected to raise up to Rs 220 crore, with the price per share set between Rs 130 and Rs 140. Monarch Networth Capital was the lead manager for this IPO.
(With inputs from agencies.)
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