Rajputana Industries Soars 90% Above Issue Price In Strong NSE SME Debut

New Delhi, Aug 6 (KNN) Rajputana Industries Limited, a manufacturer of non-ferrous metal products, made a robust debut on the National Stock Exchange's Small and Medium Enterprise (NSE SME) platform today.

The company's shares opened at Rs 72.20, marking a significant 90 percent premium over the issue price of Rs 38.

The Initial Public Offering (IPO), which raised Rs 23.88 crore, offered 62.85 lakh new shares in a price band of Rs 36-38.

The subscription period lasted from July 30 to August 1, with share allotment completed on August 2.

The IPO garnered substantial investor interest, achieving an overall subscription of 376.41 times. The retail category saw the highest oversubscription at 524.61 times, followed by Non-Institutional Investors (NII) at 417.95 times and Qualified Institutional Buyers (QIB) at 177.94 times.

Prior to the public issue, the company raised Rs 6.12 crore from anchor investors on July 29.

Rajputana Industries plans to utilise the IPO proceeds for enhancing working capital, acquiring a grid solar power generating system, and meeting general corporate expenses.

Holani Consultants Pvt Ltd served as the book-running lead manager, while Bigshare Services Pvt Ltd acted as the registrar for the issue.

Founded in 2011, Rajputana Industries specialises in manufacturing a range of non-ferrous metal products, including copper, aluminum, brass, and various alloys, using recycled scrap metal.

The company's production facility in Sikar, Rajasthan, processes scrap metal into billets and further into products such as rods, wires, and conductors for various industrial applications.

For the fiscal year ending March 31, 2024, Rajputana Industries reported a 28 percent increase in revenue to Rs 327 crore, while profit after tax (PAT) grew by 65 percent to Rs 5 crore.

(KNN Bureau)