Bansal Wire IPO subscription status: The initial public offering of Bansal Wire Industries Ltd has received overwhelming responses on the third bidding day, led by qualified institutional buyers (QIBs) and non-institutional investors (NIIs), followed by retail investors. Bansal Wire IPO subscription status was 59.57 times, as per BSE data.
The initial share sale received bids for 1,27,85,23,754 shares against 2,14,60,906 shares on offer, as per BSE data.
The quota for NIIs received 51.46 times subscription while the retail portion got subscribed 13.64 times. The category for QIBs portion was booked 146.05 times.
Bansal Wire IPO reserved not more than 50% of the shares in the public issue for QIB, not less than 15% for NII, and not less than 35% of the offer is reserved for retail investors.
The issue, which opened on Wednesday, July 3, set its price band in the range of ₹243 to ₹256 per equity share of the face value of ₹5. The issue concludes today (Friday, July 5).
According to Prashanth Tapse, Research Analyst, Senior Vice President of Research at Mehta Equities, on the last day of subscription, Bansal Wire and Emcure Pharma, both IPOs, are garnering equal demand from all sets of investors, especially from NII (Non Institutional Investors) and QIB, and the demand is in line with our expectations. Hence, given the market sentiments and looking at all parameters, we are bullish on Bansal Wire and Emcure Pharma from a long-term perspective. Additionally, we also expect both IPOs to generate decent listing gains over and above 25% on the issue prices.
Steel wire is manufactured by Bansal Wire Industries Ltd. More than 3,000 stock keeping units (SKUs) are offered by Bansal Wire Industries and its affiliate Bansal Steel & Power Limited. The company offers over 2000 SKUs, while its subsidiary offers 1,500 SKUs. Three main categories comprise the goods of the company: mild steel (low carbon steel wire), stainless steel wire, and high carbon steel wire. Moreover, the corporation shares around 500 SKUs with its affiliates.
On the second day of bidding, Bansal Wire IPO subscription status was 5.73 times, as per BSE data. The issue was booked 1.76 times on day 1.
Bansal Wire IPO, which is worth ₹745 crore, comprises a fresh issue of 29,101,562 equity shares. There's no offer-for-sale (OFS) component.
The firm's memorandum of association outlines its core objectives, as well as incidental and ancillary goals that support them. These goals allow the company to: (i) carry out its current commercial operations; and (ii) carry out the projects that are suggested to be funded with the net proceeds.
The book running lead managers of the Bansal Wire IPO are SBI Capital Markets Limited and Dam Capital Advisors Ltd (formerly Idfc Securities Ltd), with Kfin Technologies Limited serving as the issue's registrar.
Bansal Wire IPO GMP today is +75 . This indicates Bansal Wire Industries share price were trading at a premium of ₹75 in the grey market, according to investorgain.com.
Bansal Wire Industries expected listing price was ₹331 per share, 29.3% more than the IPO price of ₹256, taking into account the top end of the IPO pricing band and the existing premium on the grey market.
Investor willingness to pay over the issue price is indicated by the “grey market premium.”
Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.
