Sambhv Steel IPO Opens to Subdued Response on Day 1; Book Subscribed 59% So Far

Mumbai, June 25, 2025 | 4:45 PM IST – Sambhv Steel Tubes Ltd’s initial public offering (IPO), which opened for subscription today, witnessed a modest start. On the first day of bidding, the overall subscription was 0.59 times or 59%.

Category-Wise Subscription Snapshot

As of 4:45 PM, 2.91 crore bids had been received for the total issue size of 4.92 crore shares, indicating partial investor participation across categories.

QIBs Show Early Caution

• Qualified Institutional Buyers (QIBs): Subscribed 0.60x with bids for 83.92 lakh shares against 1.39 crore shares offered.
• Mutual funds contributed significantly with 30.43 lakh shares, while others accounted for 53.50 lakh. No bids yet from FIIs or domestic financial institutions.

Steady Interest from Non-Institutional Investors

• Non-Institutional Investors (NIIs): Subscribed 0.65x overall.
  • Investors bidding more than ₹10 lakh accounted for 0.63x.
  • Smaller HNIs bidding between ₹2 lakh and ₹10 lakh showed higher interest at 0.70x.

Retail and Employee Response

• Retail Individual Investors (RIIs): Subscribed 0.56x, with 1.36 crore shares bid so far.
  • Of these, 1.15 crore shares were placed at the cut-off price.
• Employee Category: Subscribed 0.57x with 1.95 lakh bids received for 3.42 lakh shares reserved.

Price Discovery and Demand Trends

The price band offered in the prospectus is between 77 and 82. Though the entire number of bids made was 2.89 crore shares, 1.15 crore shares were at the cut-off price, indicating that retail bidders were cautious.

Offer Details and Timeline

• Issue Closes: June 27, 2025
• Listing Date: July 2, 2025
• Lot Size: 182 shares and multiples thereof
• Lead Managers: Nuvama Wealth Management and Motilal Oswal Investment Advisors

Sambhv Steel’s IPO is expected to raise ₹540 crore, including a fresh issue of ₹440 crore and an OFS of ₹100 crore. The proceeds are earmarked for debt repayment and general corporate purposes.

What’s Ahead?

With two more days to go, market participants will closely watch for pickup in QIB demand and retail momentum as the IPO progresses.

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