Sambhv Steel Tubes IPO Price: ₹77 to ₹82 per share
IPO Dates: 25th June 2025 – 27th June 2025
Company Overview
Incorporated in 2017, Sambhv Steel Tubes Limited is one of India’s prominent manufacturers of electric resistance welded (ERW) steel pipes and structural tubes (hollow sections). The company operates from its strategically located manufacturing facility in Sarora, Tehsil Tilda, Raipur, in the mineral-rich state of Chhattisgarh.
Initially established as Sambhv Sponge Power Pvt Ltd, the company underwent two name changes—first to Sambhv Steel Tubes Pvt Ltd in January 2024, and later to Sambhv Steel Tubes Limited in July 2024, reflecting its evolving business focus and scale.
Manufacturing and Supply Chain Edge
Sambhv Steel Tubes operates a single-location backward integrated facility, the only one of its kind in India, enabling it to efficiently manage the entire production process from raw material sourcing to finished goods. The company procures iron ore from a Navratna PSU and coal from a Maharatna PSU subsidiary, whose mines are among the largest in Asia and located just 250 kilometers from the plant—significantly reducing transportation costs and improving turnaround time.
As of March 31, 2025, the company had a total installed production capacity of 1,698,000 MTPA of high-quality steel, both intermediate and finished products. In addition, Sambhv Steel is in the process of commissioning a greenfield manufacturing facility in Chhattisgarh, with an HR mill capacity of approximately 1.20 MMTPA, which is expected to enhance production capacity and product range.
Product Portfolio
The company’s diverse product range includes:
- Sponge Iron – Used in manufacturing crude steel (blooms/slabs).
- Blooms/Slabs (Mild and Stainless Steel) – Processed into various long and flat finished products.
- Narrow-width HR Coil – Used primarily in-house to manufacture ERW pipes; also supplied to external manufacturers.
- GI Pipes and Tubes – Distributed through a wide network and also supplied directly to government projects.
These products serve critical applications across a wide array of industries, including housing and infrastructure, water transportation, agriculture, automotive, telecommunications, oil and gas, engineering, solar energy, fire-fighting systems, and conveyor structure support systems.
Market Presence and Distribution
As of December 31, 2024, Sambhv Steel Tubes held an estimated ~2% market share in the domestic ERW pipe segment and was one of only two Indian manufacturers producing ERW pipes using narrow-width HR coil. The company had a strong sales and marketing team of 23 professionals, complemented by a robust distribution network.
The distribution network spans 15 states and one union territory, supported by 37 primary distributors and 2 distributors operating through 6 branches, making the total distributor network 43. These distributors collectively manage over 700 dealers across India, enabling deep market penetration and accessibility.
Competitive Strengths
- India’s only single-location backward integrated ERW pipe manufacturer.
- Strategically located plant ensures operational efficiency and cost benefits.
- Strong focus on innovation and process execution, allowing production of high-quality, value-added products.
- Well-connected national distribution network across multiple states and cities.
- Positioned to benefit from rising demand for quality ERW steel pipes in India.
- Led by experienced promoters and professionals with in-depth industry expertise.
- Consistent track record of financial performance, reflecting operational strength and market relevance.
Bidding Starts In
Sambhv Steel Tubes IPO Specifics:
| IPO Date | June 25, 2025 to June 27, 2025 |
| Listing Date | Wednesday, July 2, 2025 |
| Face Value | ₹10 per share |
| Price Band | ₹77 to ₹82 per share |
| Lot Size | 182 Shares |
| Total Issue Size | 6,58,53,657 shares (aggregating up to ₹540.00 Cr) |
| Fresh Issue | 5,36,58,536 shares (aggregating up to ₹440.00 Cr) |
| Offer For Sale | 1,21,95,121 shares of ₹10 (aggregating up to ₹100.00 Cr) |
| Employee | ₹4 per share |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 24,10,02,000 shares |
| Share Holding Post Issue | 29,46,60,536 shares |
Sambhv Steel Tubes IPO Timetable (Important Dates)
| IPO Open Date | Wednesday, June 25 2025 |
| IPO Close Date | Friday, June 27 2025 |
| Basis of Allotment | Monday, June 30 2025 |
| Initiation of Refunds | Tuesday, July 1 2025 |
| Credit of Shares to Demat | Tuesday, July 1 2025 |
| Listing Date | Wednesday, July 2 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on June 27, 2025 |
Sambhv Steel Tubes IPO Lot Size
Bidders have the opportunity to bid for a minimum of 182 shares, with the option to increase in multiples. The table below outlines the minimum and maximum investment thresholds for both retail investors and High Net Worth Individuals (HNIs), specifying the corresponding number of shares and amounts involved.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 182 | ₹14,924 |
| Retail (Max) | 13 | 2,366 | ₹1,94,012 |
| S-HNI (Min) | 14 | 2,548 | ₹2,08,936 |
| S-HNI (Max) | 67 | 12,194 | ₹9,99,908 |
| B-HNI (Min) | 68 | 12,376 | ₹10,14,832 |
Sambhv Steel Tubes IPO Reservation
| QIB Shares Offered | Not more than 50% of the Net offer |
| Retail Shares Offered | Not less than 35% of the Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Offer |
Sambhv Steel Tubes Limited IPO Financial Information
| Period Ended | 31 Mar 2022 | 31 Mar 2023 | 31 Mar 2024 | 31 Dec 2024 |
|---|---|---|---|---|
| Assets | 458.51 | 552.14 | 940.13 | 1411.82 |
| Revenue | 820.75 | 939.00 | 1289.38 | 1018.81 |
| Profit After Tax | 72.11 | 60.38 | 82.44 | 40.69 |
| EBITDA | 124.52 | 117.30 | 159.87 | 106.37 |
| Net Worth | 149.30 | 210.40 | 438.28 | 478.46 |
| Reserves & Surplus | 129.21 | 190.31 | 197.28 | |
| Total Borrowing | 241.29 | 282.77 | 346.88 | 619.15 |
Key Performance Indicator – Sambhv Steel Tubes IPO
| KPI | Values |
|---|---|
| Market Cap | ₹2,416.22 Cr |
| EPS | ₹3.42 |
| P/E (x) | 23.97 |
| ROE | 25.42% |
| ROCE | 17.66% |
| Debt/ Equity | 0.80 |
| RoNW | 25.42% |
Objects of the Issue:
Sambhv Steel Tubes Limited proposes to utilise the Net Proceeds from the IPO towards the following objectives:
- Prepayment or scheduled repayment of certain outstanding borrowings availed by the Company, to improve the overall debt profile and reduce interest obligations.
- General corporate purposes, including but not limited to strategic initiatives, operational expenses, and business development activities.
Prospectus Links:
Prospectus: Official documents that provide detailed information about the IPO and the company.
