Sambhv Steel Tubes Prepares for Rs 550 Crore IPO

Sambhv Steel Tubes plans to raise Rs 550 crore through an IPO, consisting of a fresh issue of Rs 440 crore and an offer-for-sale by promoters valued at Rs 100 crore. Proceeds will be used for debt payment and corporate purposes. The company is a major ERW steel pipes manufacturer in India.

Sambhv Steel Tubes has submitted a draft prospectus with the Securities and Exchange Board of India (Sebi) to raise Rs 550 crore via an initial public offering (IPO).

The IPO will comprise a fresh issue of equity shares worth Rs 440 crore and an offer-for-sale (OFS) of shares amounting to Rs 100 crore by company promoters, according to the draft documents filed on Monday.

The proceeds from the fresh issue are earmarked for debt repayment and general corporate purposes. Sambhv Steel Tubes stands as a prominent manufacturer of electric resistance welded (ERW) steel pipes and structural tubes in India, based on installed capacity as of March 31, 2024.

(With inputs from agencies.)