Bansal Wire IPO listing: Shares list at 39% premium on NSE; key things to know

Shares of Bansal Wire Industries made a strong debut on the stock exchanges on Wednesday. The shares were listed at a premium of 39% at ₹356 apiece against issue price of ₹256 on the NSE. It gained 37.5% on the BSE on listing.

The public issue garnered significant demand from investors across categories. On the final day of bidding, the mainboard issue was oversubscribed 59.57 times as investors applied for 127.85 crore shares against the 2.14 crore shares offered for subscription. The demand for the public offer was led by the qualified institutional buyers (QIBs) category.

The initial share sale was oversubscribed 146.05 times by the QIBs, as they placed bids for more than 89.55 crore shares compared to 61.31 lakh shares reserved for the category.

Investors from the retail category placed bids for more than 14.63 crore shares compared to 14.44 lakh shares set aside for them. Bansal Wire IPO was booked 13.64 times in the retail category.

The IPO's subscription window, which had a price band of ₹243 to ₹256, was open from July 3 to July 5.

Three key things to know about Bansal Wire IPO

• Offer size: Bansal Wire IPO, valued at ₹745 crore, consisted of an entirely fresh issue of 2.91 crore shares.
• Objective: The company will use the money raised via the public issue to repay borrowings availed by the firm and its subsidiary. Also, a portion of the IPO proceeds will be used to fund working capital requirements. It will also be used for general corporate purposes.
• Anchor round: The steel wire maker raised ₹223 crore in the anchor round from investors such as SBI Mutual Fund, Kotak Mahindra Mutual Fund, HDFC Mutual Fund, Eastspring Investments and Optimix Wholesale Global Emerging Markets Share Trust.

About Bansal Wire

Bansal Wire Industries Limited manufactures stainless steel wires. The company's business is segmented into three categories: high-carbon steel wire, low-carbon steel wire (mild steel wire), and stainless steel wire. The company's product portfolio includes more than 3,000 different types of steel wire products.