Sai Swami Metals & Alloys Ltd's IPO Oversubscribed Over 543 Times On BSE SME

Gandhinagar, May 11 (KNN) The initial public offering of Sai Swami Metals & Alloys Ltd, an Ahmedabad-based maker of DOLPHIN brand stainless steel cookware, appliances and other products, worth Rs 15 crore was oversubscribed a staggering 543 times on the BSE SME platform.

The company, which manufactures a wide range of stainless steel products, saw bids pour in for over 128.96 crore equity shares, amounting to a whopping Rs 7,737.60 crores in subscription value against the issue size of just 25 lakh shares.

The frenetic interest was evident across investor categories, with the retail segment getting subscribed 528.8 times and the non-institutional investor portion seeing a 558.5 times oversubscription.

The Rs 60 per share IPO, which includes a premium of Rs 50, closed for subscription on May 3. The shares are slated to list on the BSE SME platform on May 8, 2024, with grey market premiums indicating a stellar 88.33 per cent listing premium at Rs 53 per share.

Of the Rs 15 crore proceeds, the company plans to deploy Rs 6 crore towards working capital, Rs 4 crore for investing in a subsidiary, Rs 2 crore for machinery purchases, and Rs 2 crore for general corporate purposes.

With a minimum investment of Rs 1.2 lakh for 2,000 shares and the retail quota set at 50 per cent, this IPO has captured the imagination of investors attracted by the company's growth prospects in the burgeoning stainless steel segment.

(KNN Bureau)