Vraj Iron and Steel IPO listing on July 3: Check key details ahead of market debut

Shares of Vraj Iron and Steel will debut on the stock exchanges- National Stock Exchange (NSE) and BSE - on Wednesday, July 3.

The ₹171-crore IPO, which was open for subscription from June 26 to June 28, received bids for 73.07 crore shares against 61.38 lakh shares on offer, leading to 119 times subscription.

The quota for non-institutional investors (NIIs) saw 208.81 times subscription, while retail individual investors (RIIs) got 54.93 times subscription. The qualified institutional buyers (QIBs) portion was subscribed 163.90 times.

The company had already raised ₹51 crore in the anchor round from investors like Volrado Venture Partners Fund IV, Ashika Global Securities, Rajasthan Global Securities, Capri Global Housing Finance, Astorne Capital VCC-ARVEN and Leading Light Fund VCC-The Triumph Fund.

The public offer, which had set a price range of ₹195 to ₹207 per share, is a fresh issue of equity shares. There is no offer-for-sale component involved.

The IPO proceeds will be used for enlargement projects at the Bilaspur facility in Chhattisgarh, as well as general corporate purposes.

About Vraj Iron and Steel

The company is into manufacturing sponge iron, mid-steel billets and thermo mechanical treatment (TMT) bars. It has two manufacturing plants at Bilaspur and Raipur.

Between the financial years 2020-21 (FY21) and FY23, Vraj Iron and Steel witnessed a 21% CAGR growth in revenue and more than 70% growth in profit.

Domestic consumption of sponge iron, TBT bars, and billets is projected to rise at 7.5% to 8.5% CAGR, which could benefit the company.

Aryaman Financial Services is the book-running lead manager, while Bigshare Services is the registrar for the IPO.

Shares of the company are proposed to be listed on NSE and BSE.