Bombay Coated & Special Steels IPO: Issue booked nearly 4x on Day 2 as QIBs lead; check key dates, price band, other details

The initial public offering (IPO) of Bombay Coated & Special Steels on its second day of subscription sees a total booking of 3.78 times on Friday, October 30.

Until 5 PM, the initial share sale of the company has received bids for 6.26 lakh crore shares as compared to 1.65 lakh crore shares on offer, as per exchange data.

The non-institutional investor (NII) category has been subscribed 1.8 times, while the retail individual investor (RII) segment saw a 3.02 times subscription. However, the Qualified Institutional Buyers (QIB) portion was booked 6.56 times.

The ₹183 crore book-built IPO has a price band of ₹78 to ₹82 per share. This IPO is a complete fresh issue of 22,324,024 shares, aggregating to approximately ₹183.06 crore at the upper band, with no offer-for-sale component.

The minimum application is one lot of 182 shares, requiring ₹14,196 at the lower band or ₹14,924 at the upper band, and the investor would have to apply for a minimum of 1 lot.

Ahead of the IPO, Bombay Coated and Special Steels raised ₹54.1 crore from anchor investors.

The company allotted 65,97,500 equity shares to six anchor investors at ₹82 per share, the upper end of the price band.

The steel processing and value-added services firm will be listed on both the National Stock Exchange and the Bombay Stock Exchange.

Bombay Coated & Special Steels IPO Objective

The money raised from the IPO will be used towards the following objectives:

Bombay Coated & Special Steels IPO: Allotment and listing date

About the company

Bombay Coated and Special Steels (BCSSL) operates as a steel processing centre, converting steel coils into processed products according to customer requirements. The company acts as a link between primary steel producers and end-users.

Incorporated in 1983, the business entered steel processing in 2012 with the establishment of its Bhiwandi facility. In 2018, it entered into a service partnership agreement with JSW Steel Coated Products Limited (JSWSCPL).

On January 29, 2021, BCSSL acquired the running business of Bombay Steels through a business transfer agreement on a going-concern basis. Following the acquisition, the company expanded its operations across Western, Northern and Southern India.

The company operates four manufacturing facilities located in Wada and Bhiwandi in Maharashtra, Ghiloth in Rajasthan, and Sri City in Andhra Pradesh.