Scoda Tubes IPO: An 8x Subscription Success

Scoda Tubes' IPO sees strong investor interest with a subscription rate 8.11 times the offer. With shares offered totaling 1,18,46,169, investors bid for 9,60,85,200 shares. The IPO aimed to raise funds for expanding production capacities and working capital, concludes soon with no offer for sale component.

Scoda Tubes, a stainless-steel tubes and pipes manufacturer, experienced significant investor enthusiasm for its initial public offering by the second day of bidding, reaching a subscription rate of 8.11 times the offering volume, according to the NSE data.

The IPO saw particularly strong interest from non-institutional investors, with bidding reaching 20.21 times their allocated shares. Retail Individual Investors (RIIs) subscribed at 6.46 times their offered shares, while Qualified Institutional Buyers (QIBs) had a subscription of 1.93 times.

The Gujarat-based firm launched the IPO entirely as a fresh equity share issue, intending to raise up to Rs 220 crore. The proceeds are earmarked for expanding production capacity and meeting working capital needs, with the IPO closing on Friday.

(With inputs from agencies.)