Scoda Tubes IPO: Final Subscription & NII Demand
- The initial public offering for Scoda Tubes,a manufacturer of stainless steel tubes and pipes based in Mehsana,Gujarat,drew meaningful investor interest.
- The category for non-institutional investors saw notably robust demand, with a subscription rate of 113.03 times.
- On the second day of bidding, the IPO was subscribed 8.11 times overall.
Scoda Tubes’ IPO witnessed phenomenal demand, closing oversubscribed by 53.78 times on its final day! Non-institutional investors drove significant interest, showcasing strong market confidence in this Mehsana-based stainless steel tube and pipe manufacturer. The company’s strategy includes leveraging the IPO funds for expansion of its production capacity of both seamless and welded tubes and pipes,as well as addressing working capital needs. The IPO, priced between ₹130 and ₹140 per share, and managed by Monarch Networth Capital, is a fresh equity issue valued at ₹220 crore. news Directory 3 reported on the robust interest. discover what’s next for Scoda Tubes and its plans to serve major industries.
Scoda Tubes IPO Heavily Oversubscribed
The initial public offering for Scoda Tubes,a manufacturer of stainless steel tubes and pipes based in Mehsana,Gujarat,drew meaningful investor interest. By the close of bidding on Friday, the IPO was oversubscribed 53.78 times, according to data from the national Stock Exchange. The company offered 11,846,169 shares and received bids for 637,052,700.
The category for non-institutional investors saw notably robust demand, with a subscription rate of 113.03 times. Qualified Institutional Buyers (qibs) subscribed 69.51 times the shares allotted to them. Retail Individual Investors (RIIs) also showed strong interest, bidding for 19.39 times the number of shares available.
On the second day of bidding, the IPO was subscribed 8.11 times overall. Data from the bombay Stock Exchange showed a total of 96,129,600 bids were received for the 11,846,169 shares on offer. QIBs applied for 6,546,000 shares against the 3,384,569 available, while the RII segment subscribed 6.46 times, receiving 38,284,100 bids for 5,923,100 shares.
Prior to the IPO launch, Scoda tubes secured 66 crore rupees from anchor investors, signaling confidence in the company’s prospects. The IPO’s price band was set between 130 and 140 rupees per share. Monarch Networth Capital served as the book running lead manager for the offering, which is a fresh equity issue valued at 220 crore rupees.
What’s next
scoda tubes intends to use the capital raised to increase its production capacity for both seamless and welded tubes and pipes. Funds will also address working capital requirements and general corporate expenses. Founded in 2008, Scoda Tubes serves industries including oil and gas, chemicals, power, railways, and pharmaceuticals. Exports account for about 28% of the company’s revenue in the frist nine months of fiscal year 2025.