Mumbai13 hours ago
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Shares of Vraj Iron and Steel Limited were listed at Rs 240 on Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) with a gain of 15.94%. The issue price of this IPO was ₹207. This IPO was open for retail investors from June 26 to June 28.
This issue was subscribed a total of 126.36 times in three days. The issue was subscribed 58.31 times in the retail category, 173.99 times in the Qualified Institutional Buyers (QIB) category and 221.66 times in the Non-Institutional Investors (NII) category.
Vraj Iron and Steel issue was worth ₹171 crore
This issue total of Vraj Iron and Steel Limited was ₹ 171 crore. For this, the company has issued 8,260,870 fresh shares worth ₹171 crore. This is a completely fresh IPO, in which the existing investors and promoters of the company did not sell even a single share through Offer for Sale.
Retail investors could bid for maximum 936 shares
Vraj had fixed the price band of this issue at ₹195-₹207. Retail investors could bid for a minimum of one lot i.e. 72 shares. If you had applied for 1 lot as per the upper price band of IPO of ₹ 207, you would have had to invest ₹ 14,904.
At the same time, retail investors could apply for a maximum of 13 lots i.e. 936 shares. For this, investors would have to spend ₹ 193,752 as per the upper price band.
35% of the issue was reserved for retail investors
50% of the company’s issue was reserved for Qualified Institutional Buyers (QIB). Apart from this, about 35% share was reserved for retail investors and the remaining 15% share was reserved for non-institutional investors (NII).
The company manufactures sponge iron and TMT bars.
Vraj Iron and Steel Limited manufactures sponge iron under the Vraj brand, M.S. Manufactures billets and TMT bars. The company has two manufacturing plants in Raipur and Bilaspur located in Chhattisgarh. The total installed capacity of these plants as of March 31, 2023 was 231,600 tonnes per annum.
What is IPO?
When a company issues its shares to the general public for the first time, it is called Initial Public Offering i.e. IPO. The company needs money to expand its business. In such a situation, instead of taking loan from the market, the company raises money by selling some shares to the public or issuing new shares. For this the company brings IPO.
