Sambhv Steel Tubes Files for IPO, Plans to Raise ₹540 Crore

2 Oct 2024 , 09:06 PM

Sambhv Steel Tubes, a prominent manufacturer of electric resistance welded (ERW) steel pipes and structural tubes, has filed its draft prospectus with SEBI to raise ₹540 crore through an initial public offering (IPO). The proposed IPO will consist of a fresh issue of equity shares worth ₹440 crore, along with an offer-for-sale (OFS) of shares valued at ₹100 crore by the company’s promoters, according to the draft papers submitted on September 30.

Promoters participating in the OFS include Shashank Goyal, Rohit Goyal, Kaushlya Goyal, Harsheet Goyal, and Rinku Goyal. Of the fresh issue proceeds, ₹390 crore will be allocated to debt repayment and general corporate purposes. As of March 2024, Sambhv Steel Tubes reported total borrowings of ₹347 crore.

Sambhv Steel Tubes is recognized as one of India’s leading manufacturers of ERW steel pipes and hollow structural tubes based on installed capacity, as of March 31, 2024.

The IPO will be managed by Nuvama Wealth Management and Motilal Oswal Investment Advisors, who are serving as the book-running lead managers for the issue.