Bansal Wire IPO Subscription Reached 1.85x On Day 1: Did You Subscribe?

The stainless steel wire manufacturer Bansal Wire Industries Limited has opened its IPO to raise money from the general public. Bansal Wire IPO opened for subscription on July 3, 2024, and will close on July 5, 2024. Bansal Wire IPO is a book-built issue of ₹745.00 crores. The issue is entirely a fresh issue of 2.91 crore shares.

Bansal Wire IPO price band is set at ₹243 to ₹256 per share. The minimum lot size for an application is 58 Shares. The minimum amount of investment required by retail investors is ₹14,848. The minimum lot size investment for sNII is 14 lots (812 shares), amounting to ₹2,07,872, and for bNII, it is 68 lots (3,944 shares), amounting to ₹10,09,664.

Day Wise Subscription

On 1st Day, Bansal Wire IPO subscribed 1.85 times. The public issue subscribed 2.60 times in the retail category, 0.01 times in QIB, and 2.57 times in the NII category.

Grey Market Premium

The last GMP for Bansal Wire IPO is ₹60. With a price band of ₹256.00, the estimated listing price is ₹316 (cap price + today’s GMP). The expected percentage gain/loss per share is 23.44%.

Purpose of Bansal Wire IPO

The company proposes to use the Net Proceeds from the Issue for the following purposes:

• 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 and
• General corporate purposes.

About Bansal Wire Industries Limited

Bansal Wire Industries Limited, incorporated in December 1985, is a stainless steel wire manufacturing company. The company operates in three main segments: high-carbon steel wire, low-carbon steel wire (mild steel wire), and stainless steel wire. It makes over 3,000 different types of steel wire products, ranging in size from very thin to very thick.

To reduce risk, the company doesn’t rely too much on one customer or one type of customer. It also uses a pricing model that helps it deal with changes in material costs. The company has a presence across India and operates in over 50 countries through product exports, solidifying its position as a key player in the global market.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.