Bansal Wire Industries was incorporated on December 11, 1985. It is the largest stainless steel wire manufacturing company and the second largest steel wire manufacturing company by volume in India with a production of 72,176 MTPA and 206,466 MTPA, respectively, in FY23, representing 20% and approximately 4% market share, respectively.
| Bidding Dates |
|---|
| 03 Jul 2024 - 05 Jul 2024 |
| Subscription |
|---|
| 59.57x Oversubscribed |
| Minimum Investment | Minimum Lot | Maximum Lot | Lot Size | Number of Shares | Issue Price Band | Post Issue Promoter Holding % | Issue Size | IPO Document |
|---|---|---|---|---|---|---|---|---|
| ₹14,094 | 1 | 13 | 58 | 29.1 M | ₹243 - ₹256 | 77.97 % | ₹7071.7 M - ₹7450.0 M | RHP DOC |
Bansal Wire IPO SUBSCRIPTION STATUS
05 Jul '24Bansal Wire IPO overall subscription rate was 59.57 times the total available shares
Bansal Wire IPO retail subscription rate was 13.64 times in the retail segment
Bansal Wire IPO non-institutional investor subscription rate was 51.46 times in the non-institutional investor category
Bansal Wire IPO Qualified Institutional Bidder subscription rate was 146.05 times the available shares for Qualified Institutional Bidder
| Day | Retail Individual Investor | HNI (NII) Investors | Qualified Institutional Buyers |
|---|---|---|---|
| Category Reservation | 35% | 15% | 50% |
05 Jul 2024 (Day 3) | 13.64x | 51.46x | 146.05x |
04 Jul 2024 (Day 2) | 6.19x | 12.16x | 0.09x |
03 Jul 2024 (Day 1) | 2.47x | 2.44x | 0.01x |
Bansal Wire FINANCIALS
| Period | Net Profit (Rs in millions) | Revenue from Operations (Rs in millions) | Cash Flow from Operations (Rs in millions) | Free Cash Flow (Rs in millions) | Margins |
| FY24 | 788.0 | 24,660.3 | -5,369.4 | -9,895.8 | 6.0% |
| FY23 | 599.3 | 24,130.1 | 1,025.2 | 560.4 | 4.7% |
| FY22 | 572.9 | 21,983.6 | -115.4 | -303.0 | 5.1% |
| FY21 | 404.7 | 14,770.9 | -373.3 | -531.9 | 5.7% |
Bansal Wire IPO SUBSCRIPTION STATUS DETAILS
Bansal Wire had 29.1 M shares on offer
Bansal Wire IPO offer price was in the range ₹243 - ₹256
Bansal Wire IPO minimum Investment was ₹14094
Bansal Wire IPO issue size was ₹ 7071.7 M - ₹ 7450.0 M
Bansal Wire had a minimum lot size of 58 Shares per application
Bansal Wire NUMBER OF SHARES ON OFFER
Bansal Wire IPO IMPORTANT DATES
| Issue Open Date | 03 Jul 2024 |
| Issue close Date | 05 Jul 2024 |
| Allotment Date | 08 Jul 2024 |
| Refund Date | 09 Jul 2024 |
| Demat Account Credit Date | 09 Jul 2024 |
| Listing Date | 10 Jul 2024 |
| Listing on Exchange(s) | NSE and BSE |
| Bansal Wire Allotment Status | Exchange |
Bansal Wire IPO subscription opened on 03 Jul 2024, and closed on 05 Jul 2024
IPO allotment for Bansal Wire was finalized on Monday, 08 Jul 2024
IPO listing for Bansal Wire was on NSE and BSE on Wednesday, 10 Jul 2024
Bansal Wire IPO LISTING GAINS
| Issue Price (adjusted) | 256.0 |
| Listing Open Price | 356.0 |
| Listing Close Price | 350.4 |
| Listing Gain% | 39.1% |
| Current Gain% | 29.8% |
Bansal Wire Peer
| Stock | Stock Price | Market Cap (Rs crore) | PE TTM | PEG TTM | PS TTM | ROE% | ROA% | Annual Revenue (Rs crore) | Annual Revenue Growth % | Annual Net Profit (Rs crore) | Annual Net Profit Growth % | EPS TTM | EPS TTM Growth % |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Bansal Wire Industries Ltd. | 332.2 | 5200.8 | 36.6 | -4.9 | 1.2 | 11.2 | 6.4 | 4173.1 | 18.7 | 160.9 | 11.3 | 9.1 | -7.5 |
| APL Apollo Tubes Ltd. | 1970 | 54698.7 | 44.5 | 0.8 | 2.4 | 22.7 | 13.6 | 23190.8 | 11.6 | 1203.1 | 58.9 | 44.3 | 53.4 |
| Welspun Corp Ltd. | 1839.8 | 48532.2 | 21 | 1.4 | 2.8 | 17.6 | 7.9 | 16905.4 | 19.3 | 1613 | -15.5 | 87.5 | 14.9 |
| Usha Martin Ltd. | 515 | 15695.7 | 31 | 1.2 | 4.1 | 14.1 | 11.1 | 3759.9 | 7 | 466 | 14.4 | 16.6 | 25.4 |
| Vedanta Iron and Steel Ltd. | 35.2 | 13768.5 | 0 | -191.6 | 0 | 0 | -28.4 | ||||||
| Technocraft Industries (India) Ltd. | 2693.5 | 6106.9 | 21.4 | 1.9 | 2.2 | 14.1 | 8.8 | 2860.8 | 6.1 | 285.3 | 11.4 | 125.8 | 11.4 |
Bansal Wire INFORMATION ON IPO ISSUE
About Bansal Wire
Bansal Wire Industries was incorporated on December 11, 1985. It is the largest stainless steel wire manufacturing company and the second largest steel wire manufacturing company by volume in India with a production of 72,176 MTPA and 206,466 MTPA, respectively, in FY23, representing 20% and approximately 4% market share, respectively.
Object of the Issue
- Repayment or prepayment of all or a portion of certain outstanding borrowings availed by the company and its subsidiary
- Funding the working capital requirements of the company
- General corporate purposes
Bansal Wire - PROMOTERS
| Name |
|---|
| Arun Gupta |
| Anita Gupta |
| Pranav Bansal |
| Arun Kumar Gupta HUF |
Bansal Wire Book running lead manager
SBI Capital Markets Limited
bwil.ipo@sbicaps.com
DAM Capital Advisors Limited
bwil.ipo@damcapital.in
Bansal Wire Registrar to the offer
KFin Technologies Limited
bwil.ipo@kfintech.com
Bansal Wire Strengths
Large player
The company is one of the largest steel wire manufacturers, with an established market position, strong brand equity, and a pan-India presence. It is the largest player by volume, producing 72,176 MTPA in the stainless steel wire manufacturing sector and the second-largest steel wire manufacturing company overall, with a volume of 206,466 MTPA in India
Well diversified customer base
The company has a customer base exceeding 5,000, spread across various industrial sectors. Except for Bansal High Carbons, one of the group companies, which contributed 11.47% of the total sales for FY23, no single customer contributed more than 5% of the sales, and no individual sector or segment constituted more than 25% of the sales in H1FY24 and FY23
Economies of scale
Over the last 38 years, the company has established a well-integrated ecosystem for manufacturing the products, storage, and transportation of raw materials and finished goods
Bansal Wire Risks
Dependent on steel wires market
The company is dependent on the performance of the steel wires market. Any adverse changes in the conditions affecting the steel wires market can negatively impact the business, financial condition, results of operations, cash flows, and prospects
Competitive pressures
The company faces significant competitive pressures in the business. Its inability to compete effectively would be detrimental to the business and prospects for future growth
Negative cash flows
The company has had negative cash flows in prior periods and may continue to have negative cash flows in the future which may affect the business
IPO FAQs
The promoters of the company are Arun Gupta, Anita Gupta, Pranav Bansal and Arun Kumar Gupta HUF.
The category allocation of qualified institutional buyers is 50.0%, the category allocation of non individual investors or high networth individuals is 15.0% and for retail investors it is 35.0%.
The price band of the IPO is Rs 243.0 - 256.0.
The IPO application opens on Jul 03, 2024 and closes on Jul 05, 2024.
The minimum lot size for the IPO is 58. The maximum lot size for the IPO is 754.
For all category investors, the minimum application amount for this IPO is Rs. 14,094.0, the maximum value for this IPO is Rs 193,024.0.
This IPO will be allotted on Jul 08, 2024.
The refund will be credited to your account on Jul 09, 2024.
The allotted shares will be credited to your demat on Jul 09, 2024.
Bansal Wire Industries Ltd.’s shares listed on the stock exchanges on Jul 10, 2024.