May23 , 2022

Venus Pipes & Tubes IPO subscription status: Venus Pipes & Tubes IPO subscribed 16.31 times



New Delhi: The Rs 165.42 crore initial public offer (IPO) of Venus Pipes and Tubes ended the bidding process on a high on Friday. The issue had sailed through within the first 90 minutes on day 1.

According to the data from BSE, investors bid for 5,79,29,824 equity shares or 16.31 times by 5 pm compared to the 35,51,914 equity shares offered for the subscription.

The quota for retail bidders was subscribed 19.04 times, whereas the allocation for qualified institutional buyers was subscribed 12.02 times. Non-institutional bidder’s portion was subscribed 15.66 times.

The company had reserved 50 per cent of the net offer for qualified institutional buyers (QIBs), whereas non-institutional buyers (NIIs) got a 15 per cent allocation. The remaining 35 per cent shares was given to the retail bidders.

A day before its IPO it garnered Rs 49.62 crore from anchor investors allocating 15,22,186 shares at Rs 326 per share on Tuesday to anchor investors, the company said in a BSE circular.

Venus Pipes and Tubes is a manufacturer and exporter of stainless steel pipes and tubes in two broad categories – seamless tubes/pipes and welded tubes/pipes.

Venus Pipes and Tubes has one manufacturing plant which is located at Bhuj-Bhachau highway, Gujarat) with an installed capacity of 10,800 MT per annum.

The company sells products in both domestic and international markets. Venus Pipes & Tubes exports its products to 18 countries including Brazil, the UK, Israel and countries in the European Union.

The majority of the brokerages are positive on the issue and have suggested subscribing to it, tracking its sound financials, growth prospects, healthy margins and expansion plans. However, a few of them are wary over the valuations of the company.

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