Venus Pipes and Tubes IPO subscribed 2.37 times
Published on May 11, 2022 17:18
The initial public offer (IPO) of Venus Pipes and Tubes received bids for 84,13,860 shares as against 35,51,914 shares on offer, according to stock exchange data at 17:00 IST on Wednesday (11 May 2022). The issue was subscribed 2.37 times.
The issue opened for bidding on Wednesday (11 May 2022) and it will close on Friday (13 May 2022). The price band of the IPO is fixed at Rs 310-326 per share. An investor can bid for a minimum of 46 equity shares and in multiples thereof.
The offer comprises of fresh issue of 50,74,100 equity shares. The company proposes to utilize the net proceeds from the issue towards financing the project cost towards capacity expansion, technological upgradation, cost optimization of operations and backward integration for manufacturing of hollow pipes amounting Rs 107.945 crore. The company also aims to meet long-term working capital requirements amounting Rs 25 crore and balance towards general corporate purposes.
Ahead of the IPO, Venus Pipes and Tubes on Tuesday, 10 May 2022, finalized allocation of 15,22,186 equity shares to anchor investors at an allocation price of Rs 326 per share, aggregating to Rs 49.62 crore.
Venus Pipes & Tubes is a pipes and tubes manufacturer with the sole focus on manufacturing of welded and seamless pipes in a single metal category, i.e., stainless steel (SS). It manufactures stainless steel tubular products in two broad categories - seamless tubes/pipes and welded tubes/pipes. The company is currently manufacturing 5 product lines, namely - stainless steel high precision & heat exchanger tubes, stainless steel hydraulic & instrumentation tubes, stainless steel seamless pipes, stainless steel welded pipes and stainless-steel box pipes.
Venus Pipes and Tubes reported a net profit of Rs 23.60 crore on a total income of Rs 276.77 crore in the nine months ended on December 2021.
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