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Sambhv Steel Tubes IPO
28.31xsubscribed

Sambhv Steel Tubes IPO

Steel & Iron Products
listed
₹14,014Min. investment

Sambhv Steel Tubes Limited IPO Details

SectorSteel & Iron Products
Price range₹77.00 – ₹82.00
IPO type
Regular
Lot size182 shares
Issue size₹540Cr
Red Herring Prospectus
Read
Market cap
₹2,416.22CrLower than sector avg
RevenueApr 8 - Mar 9
₹1,285CrLower than sector avg
Growth rate3Y CAGR
25.27%

Sambhv Steel Tubes IPO Subscription Status

Date
QIB
NII
Retail
Total
25-Jun-25
0.6 times (X)
0.5 times (X)
0.59 times (X)
0.57 times (X)
26-Jun-25
0.61X
2.87X
1.86X
1.72X
27-Jun-25
62.32X
30.82X
7.81X
28.31X

As on 25-Jun-25, 6:08 PM

Sambhv Steel Tubes IPO Timeline

  1. Pre-apply
    23 Jun 2025
  2. Bid start
    25 Jun 2025
  3. Bid end
    27 Jun 2025
  4. Allotment
    30 Jun 2025
  5. Release of funds
    1 Jul 2025
  6. Demat transfer
    1 Jul 2025
  7. Listing
    2 Jul 2025

About Sambhv Steel Tubes Limited

Incorporated in 2018, Sambhv Steel Tubes Limited is one of the key manufacturers of electric resistance welded (ERW) steel pipes and structural tubes (hollow section) in India. The company operates two manufacturing facilities located in Chhattisgarh.
The company produces narrow-width HR coil, which allows the manufacturing of ERW black pipes and tubes of varying thickness as per customer requirements, reducing dependency on external HR coil suppliers and providing a competitive advantage. The company's rust-resistant products are tailored for wide application across multiple sectors, including housing and infrastructure, water transportation, agriculture, automobiles, telecommunications, oil and gas, engineering, solar energy, fire-fighting systems, and support structures of conveyors. The distribution network extends across 15 states and 1 UT as of December 31, 2024.
The company's ERW pipes and tubes are available in different varying thickness ranges. As of March 31, 2025, the company had a total installed capacity of 1,698,000 MTPA compared to 1,122,400 MTPA as of March 31, 2024, representing significant capacity expansion. The company operates a captive power plant with an installed capacity of 25 MW as of March 31, 2025, expanded from 15 MW as of March 31, 2024, comprising a 16 MW waste heat recovery boiler (WHRB) and a 9 MW atmospheric fluidised bed combustion (AFBC) system.
As of December 31, 2024, the company operates through 37 distinct distributors, with 2 distributors distributing through 6 branches, taking the total distributor network to 43 across 15 states and 1 union territory. These distributors further distribute finished products through over 700 dealers in India.
The Indian steel industry presents a highly promising growth trajectory, with domestic steel demand expected to achieve a robust CAGR of 7-8% over FY25-FY30, rising from an estimated 152 MT in FY25 to 210-230 MT by FY30. This growth is underpinned by India's position as the world's second-largest steel producer with only 7.4% global market share, massive untapped potential with per capita consumption of just 98 kg versus the global average of 219 kg, and strong government commitment evidenced by the ₹10.7 lakh crore infrastructure budget allocation representing an 11.6% increase.
The industry benefits from a favourable steel demand-to-GDP multiplier of 1.5-1.8, indicating steel consumption consistently outpaces economic growth, while key demand drivers including infrastructure development (25-30% of steel demand), building and construction (30-35%), and the automotive sector (11-13%) are all experiencing sustained expansion supported by government policies, affordable housing initiatives, and rising income levels.
The company is strategically positioned to capitalise on the growing demand for ERW steel pipes and tubes, with domestic steel pipe demand projected to increase from 12.50-13.50 MTPA in FY25 to 18.50-20.50 MTPA by FY29 at 8-9% CAGR.
According to the CRISIL Report, the company held approximately 2% market share in the domestic ERW pipes segment in India in terms of sales volume in FY24. The company is one of only 2 players in India manufacturing ERW steel pipes and tubes using narrow-width HR coil as of December 31, 2024, and is among a very limited number of players manufacturing stainless steel coils with backward integration, providing significant competitive positioning in the market.
Now, Sambhv Steel Tubes Limited is launching its initial public offering (IPO), which consists of a fresh issue of equity shares worth up to ₹440 crore and an offer for sale worth up to ₹100 crore. The total issue size of the IPO is ₹540 crore. Its shares will be listed on the NSE and BSE.

Sambhv Steel Tubes Limited IPO Analysis

IPO REVIEW

Sambhv Steel Tubes IPO | Analysis Video

Should you apply?

Watch our analysts break down the Sambhv Steel Tubes Limited IPO — business model, financials, valuation and key risks — to help you decide whether to apply. The video covers the IPO price band, important dates, and what the subscription numbers mean for retail investors.

Checklist

Quality analysis
Revenue growth
Company valuation
Earnings expansion
Risk analysis
Debt to Equity ratio
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Strength and Weakness

Strategic location advantage

The company's manufacturing facilities are strategically located in Chhattisgarh, close to key raw material suppliers, with coal mines located just 250 km away. This proximity to raw materials, combined with Chhattisgarh's position as an emerging logistics and distribution hub, ensures efficient supply chain management and reduced logistics costs.

Captive power generation capabilities

The company operates a captive power plant with 25 MW installed capacity (expanded from 15 MW in March 2024). This expansion is expected to meet up to 56.40% of total power requirements compared to 43.70% in FY24, resulting in significant cost savings and demonstrating the company's commitment to sustainable energy practices.

Extensive distribution network

As of December 31, 2024, the company has established a strong distribution network with 37 distinct distributors operating through 43 locations across 15 states and 1 UT, serving 700+ dealers across India. This network has contributed 63.83% of revenue from operations in 9MFY25, with a strong presence in West India (28.88%) and North India (27.33%).

Process innovation and product diversification

The company has successfully diversified its product portfolio from sponge iron manufacturing in 2018 to value-added products, including GI pipes, GP pipes, steel door frames, and recently introduced stainless steel products.

Strong financial performance

The company has demonstrated strong financial performance with EBITDA margins consistently outperforming industry peers, achieving 12.43% in FY24 compared to the peer set average of 6.79%. Revenue from operations grew significantly from ₹819.35 crore in FY22 to ₹1,285.76 crore in FY24, with PAT increasing from ₹72.11 crore to ₹82.44 crore during the same period.

Objectives of Sambhv Steel Tubes Limited IPO

Repayment/pre-payment of borrowings
88.60%
The company will use ₹390 crore for repayment of certain borrowings availed by it.
General corporate purposes
11.30%
Part of the IPO proceeds will be used for general corporate purposes.

Compare

CompanyRevenue*3Y growthPATMarket capP/E ratioD/E ratio
This IPO₹1,285Cr25.27%₹82.44Cr₹2,416.22Cr21.641.30
This sector (avg.)₹3,652.65Cr0%₹112.07Cr₹6,638.34Cr114.910.53
₹1,68,824Cr---₹3,491Cr₹2,96,623Cr39.881.50
₹2,18,542.51Cr---₹3,173.78Cr₹2,41,094.5Cr35.361.04
₹39,312.21Cr---₹2,499.72Cr₹67,753.99Cr23.050.38

*Revenue for financial year 8-9. Lower P/E and D/E ratios are generally preferred.

Sambhv Steel Tubes IPO Contact Details

Company NameSambhv Steel Tubes Limited

How to apply for Sambhv Steel Tubes IPO?

  1. Step 1

    Log in to your Upstox account to access IPO investments. Next, select the current IPO section.

  2. Step 2

    Specify IPO details. Enter the number of lots and the price you wish to apply for.

  3. Step 3

    Enter UPI ID. After entering your UPI ID, click submit. This will place your bid with the exchange.

  4. Step 4

    Mandate Notification. Your UPI app will receive a mandate notification to block funds.

  5. Step 5

    Approve Request. Your funds will be blocked once you approve the mandate request on your UPI.

Sambhv Steel Tubes Limited IPO FAQs

Investors can apply for the Sambhv Steel Tubes IPO through their Demat account via the stock exchange or through their broker.
The issue size of the Sambhv Steel Tubes IPO is 540 Cr.
Pre-applying for an IPO allows you to submit your application before the official subscription period begins.
The IPO shares will typically list on major stock exchanges such as the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), as specified in the IPO prospectus.
Sambhv Steel Tubes IPO will be open between 2025-06-25 and 2025-06-27.
Sambhv Steel Tubes IPO allotment date is 2025-07-01. For Sambhv Steel Tubes IPO allotment status check, you can visit the website of the registrar of the IPO.
For Sambhv Steel Tubes IPO, the IPO registrar is KFin Technologies Limited. You can check Sambhv Steel Tubes IPO allotment status on the website of the registrar.
The shares are proposed to be listed on the BSE and NSE.
The Sambhv Steel Tubes IPO shares will typically be credited to your demat account one working day before the IPO's listing date, provided your application is successfully allotted.
The Sambhv Steel Tubes IPO lot size is 182 and minimum order quantity is 182.
Sambhv Steel Tubes IPO has set the price band for its IPO at 82 per equity share with a face value of 10.