Sambhv Steel Tube Limited IPO Details:
| IPO Open Date | June 25, 2025 |
| IPO Close Date | June 27, 2025 |
| Anchor Investor Bidding Date | June 24, 2025 |
| Price Band | ₹77 to ₹82 per equity share |
| Face Value | ₹10 per equity share |
| Total Issue Size | ₹540 crore |
| Fresh Issue | ₹440 crore |
| Offer for Sale (OFS) | ₹100 crore |
| Minimum Lot Size (Retail) | 182 shares |
| Minimum Investment (Retail) | ₹14,014 (at lower band) – ₹14,924 (at upper band) |
| Employee Discount | ₹4 per equity share |
| Listing At | BSE & NSE |
| Tentative Allotment Date | June 30, 2025 |
| Tentative Listing Date | July 2, 2025 |
| Lead Managers | Nuvama Wealth Management Limited, Motilal Oswal Investment Advisors Limited |
| Registrar | KFin Technologies Limited |
Tentative IPO Timeline:
| IPO Open Date | Wed, Jun 25, 2025 |
| IPO Close Date | Fri, Jun 27, 2025 |
| Tentative Allotment | Mon, Jun 30, 2025 |
| Initiation of Refunds | Tue, Jul 1, 2025 |
| Credit of Shares to Demat | Tue, Jul 1, 2025 |
| Tentative Listing Date | Wed, Jul 2, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on June 27, 2025 |
Objective
The net proceeds from the fresh issue of equity shares will be primarily used for:
- Pre-payment or scheduled re-payment of a portion of certain outstanding borrowings availed by the company. This aims to reduce the company’s debt burden and improve its financial leverage.
- General corporate purposes, which can include funding day-to-day operations, working capital requirements, and future growth initiatives.
Pros (Strengths):
- Backward Integrated Manufacturing: Unique single-location facility provides cost control, quality assurance, and efficiency.
- Strategic Location: Proximity to raw material sources in Chhattisgarh reduces logistics costs and ensures supply chain efficiency.
- Diversified Product Portfolio: Caters to various sectors with a wide range of steel pipes and tubes.
- Growing Market Share: Positioning to capitalize on India’s infrastructure growth.
- Experienced Management: Led by promoters and a management team with significant industry experience.
- Consistent Financial Performance: Generally healthy revenue growth and profitability in recent years.
Cons (Weaknesses/Risks):
- Raw Material Price Volatility: Steel manufacturing is highly dependent on raw material prices (iron ore, coal, etc.). Volatility in these prices and inability to pass on increased costs to customers can impact margins.
- Dependence on Key Suppliers: Reliance on certain key suppliers for raw materials without definitive supply agreements poses a risk if these suppliers fail to meet their obligations.
- Capacity Utilization: Under-utilization of manufacturing capacities or inability to effectively utilize expanded capacities could adversely affect profitability.
- Geographic Concentration: While they have a national network, revenues are concentrated in North and West India. Adverse conditions in these regions could impact business.
- Financing Covenants: Existing financing arrangements may contain restrictive covenants that could limit the company’s flexibility in business operations and expansion plans.
- Product Diversification: A substantial portion of revenue comes from ERW pipes and tubes. Inability to diversify product offerings could impact growth.
- Competition: Operates in a competitive steel industry.
- Regulatory Environment: Changes in government policies, environmental regulations, or import/export duties related to the steel sector could affect operations.
Sambhv Steel Tube Limited : An Overview
Sambhv Steel Tubes Limited, incorporated in 2017, is a key manufacturer of Electric Resistance Welded (ERW) steel pipes and structural tubes (hollow sections) in India. As of March 31, 2024, they are one of the leading manufacturers in terms of installed capacity.
- Unique Backward Integration: What sets them apart is their single-location backward-integrated manufacturing facility in Raipur, Chhattisgarh. This means they control the entire value chain, from producing intermediate products like sponge iron, blooms/slabs, and Hot Rolled (HR) coils, to manufacturing finished products such as ERW black pipes, galvanized iron (GI) pipes, Cold Rolled Full Hard (CRFH) pipes, and steel door frames. This integration helps in ensuring quality, reducing costs, and improving delivery timelines.
- Strategic Location: Their manufacturing facility is strategically located in Chhattisgarh, a mineral-rich state, providing proximity to key raw material suppliers like iron ore from “Navratna” PSUs and coal from “Maharatna” PSUs.
- Product Applications: Their rust-resistant products find diverse applications across various sectors including housing, infrastructure, agriculture, water transportation, oil & gas, engineering, solar power, and fire-fighting systems.
- Distribution Network: As of March 31, 2024, they have a distribution network of 33 distinct distributors, with two operating through six branch offices, covering 15 states and one union territory in India. Their sales and marketing team consisted of 23 personnel as of July 31, 2024.
How does Sambhv Steel Tube Limited IPO perform financially?
Financial Performance (₹ Crore):
| Period Ended | 31 Dec 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 1,411.82 | 940.13 | 552.14 | 458.51 |
| Revenue | 1,018.81 | 1,289.38 | 939.00 | 820.75 |
| Profit After Tax | 40.69 | 82.44 | 60.38 | 72.11 |
| EBITDA | 106.37 | 159.87 | 117.30 | 124.52 |
| Net Worth | 478.46 | 438.28 | 210.40 | 149.30 |
| Reserves and Surplus | 197.28 | 190.31 | 129.21 | |
| Total Borrowing | 619.15 | 346.88 | 282.77 | 241.29 |
| Amount in ₹ Crore | ||||
Key Perfomance Indicator(KPI)
| KPI | Values |
|---|---|
| ROE | 25.42% |
| ROCE | 17.66% |
| Debt/Equity | 0.80 |
| RoNW | 25.42% |
| PAT Margin | 6.41% |
| EBITDA Margin | 12.43% |
| Price to Book Value | 4.51 |
Competitive Analysis: Sambhv Steel Tube Limited- Market Peers
The Indian steel pipe industry is characterized by the presence of large integrated steel producers, specialized pipe manufacturers, and numerous smaller regional players. Sambhv Steel Tubes operates in the ERW segment, which is distinct from seamless pipes in terms of manufacturing process, cost, and typical applications.
Here are some of Sambhv Steel Tubes Limited’s key market peers and competitive factors:
- APL Apollo Tubes Limited
- JTL Industries Limited:
- Hariom Pipe Industries Limited
- Hi-Tech Pipes Limited
- Rama Steel Tubes Ltd
- Surya Roshni Limited
- Other Players (more diversified/larger scale): While these are not direct “pure-play” ERW tube manufacturers in the same vein, they have a substantial presence in the broader steel pipe industry and can exert competitive pressure:
- Tata Steel Limited: A behemoth in the steel industry, producing a wide range of steel products including seamless, welded, and spiral pipes.
- JSW Steel Limited: Another major integrated steel producer with a diverse product portfolio including steel pipes.
- Steel Authority of India Limited (SAIL): A large public sector undertaking manufacturing various steel products including different types of steel tubes.
- Jindal Pipes / Jindal Steel & Power Limited: Well-known names in the steel and pipe manufacturing sector.
Sambhv Steel Tube Limited IPO GMP
As of Sunday, June 22, 2025, the Grey Market Premium (GMP) for Sambhv Steel Tubes IPO is reported to be ₹8 per share.
- With the upper price band at ₹82, the implied listing price is around ₹90 per share (₹82 + ₹8).
- This indicates an expected listing gain of approximately 9.76%.
Disclaimer: GMP is an unofficial indicator and can fluctuate significantly. It should not be the sole basis for investment decisions. Always conduct thorough due diligence on the company’s fundamentals.
Disclaimer:
- IPO Grey Market Premium (HDB Financial IPO GMP) mention is valid for the specific date as mentioned in the header.
- We are not buying and selling IPO forms on IPO Grey Market.
- Don’t decide to subscribe to an IPO just based on the initial price, as it can change before the listing.Subscribe only considering Fundamentals of the companies.
HDB Financial IPO Limited IPO
🔴 Live Subscription Status 🔴
25/06/2025 10:00 AM
| | NO OF SHARES OFFERED | Day 1 | Day 2 | Day 3 |
| Qualified Institutional Buyers(QIBs) | ||||
| Non Institutional Investors(NIIs) | ||||
| Retail Individual Investors(RIIs) | ||||
| Employees | ||||
| Total |
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