Scoda Tubes set for ₹220 crore IPO, subscription opens on May 28
Scoda Tubes Ltd., a leading manufacturer of stainless steel tubes and pipes, is set to launch its initial public offering (IPO) next week, aiming to raise ₹220 crore through a fresh issue of 1,57,14,286 shares.
Scoda Tubes IPO Key Dates
The bookbuilding IPO is scheduled to open for subscription on Wednesday, May 28, 2025, and close on Friday, May 30, 2025. The IPO, which will see shares listed on both BSE and NSE, has a tentative listing date of Wednesday, June 4, 2025. Allotment of shares is expected to be finalised on Monday, June 2, 2025, refunds will be initiated and shares will be credited to demat accounts on Tuesday, June 3, 2025.
Scoda Tubes IPO Price-Band & Lot Size
The IPO price band has been fixed at ₹130 to ₹140 per share. Retail investors can bid for a minimum of 100 shares, which requires a minimum investment of ₹14,000. To avoid potential oversubscription scenarios, bidding at the cutoff price is suggested. The maximum retail application allows for 14 lots, which is equivalent to 1400 shares, with a total price of ₹1,96,000. For high net worth individuals (HNIs), the minimum investment is 15 lots (1,500 shares) worth ₹2,10,000, for small-HNIs (S-HNIs), and a maximum of 71 lots (7,100 shares) worth ₹9,94,000. Large-HNIs (B-HNIs) can apply for a minimum of 72 lots (7,200 shares), worth a total of ₹10,08,000. The IPO has specific reservation criteria for investor categories:
Scoda Tubes IPO Reservations
* QIB Share Offering: Not more than 50% of the issue
* Retail Share Offering: Not less than 35% of the issue
* NII (HNI) Share Offering: Not less than 15% of the issue
Scoda Tubes IPO Objectives:
Scoda Tubes Limited intends to use the net proceeds from the IPO for the following key purposes:
* Capital Expenditure: ₹769.90 million (approximately ₹76.99 crores) to expand the production capacity of seamless and welded tubes and pipes.
* Working Capital Requirements: ₹1,100.00 million (₹110 crores) to finance the incremental working capital requirements of the Company.
* General Corporate Purposes.
Scoda Tubes Company Profile:
Incorporated in 2008, Scoda Tubes Limited is a well-established manufacturer of stainless-steel tubes and pipes. Their product portfolio is broadly classified into Seamless Tubes/Pipes and Welded Tubes/Pipes, which are further diversified into five product lines: Stainless Steel Seamless Pipes, Stainless Steel Seamless Tubes, Stainless Steel Seamless “U” Tubes, Stainless Steel Instrumentation Tubes and Stainless Steel Welded Tubes & “U” Tubes. The company sells its products under the brand name “Scoda Tubes Limited” and serves a diverse clientele including engineering companies, EPC firms and industrial companies in sectors such as oil and gas, chemicals, fertilizers, power, pharmaceuticals, automotive, railways and transportation.
Scoda Tubes Financial Performance:
Scoda Tubes Limited has demonstrated consistent growth in its financial performance. As of March 31, 2024, the company reported assets of ₹330.42 crore, revenue of ₹402.49 crore and profit after tax of ₹18.30 crore. It had total assets of ₹63.61 crore, with reserves and surplus of ₹62.33 crore and total borrowings of ₹202.66 crore.
Scoda Tubes Promoters and Management:
The promoters of Scoda Tubes Limited are Samarth Patel, Jagrutkumar Patel, Ravi Patel, Saurabh Patel and Vipulkumar Patel. Prior to the issue, the promoters held 100% stake in the company.
Scoda Tubes IPO Lead Managers & Registrar:
Key Advisors: Monarch Networth Capital Limited is acting as the book-running lead manager for Scoda Tubes IPO, while MUFG Intime India Private Limited is the registrar to the issue. The IPO is a significant step for Scoda Tubes Limited as it seeks to expand its operations and capitalise on the growing demand for stainless steel products in various industrial applications.
Scoda Tubes IPO Important Documents
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