Venus Pipes & Tubes’ Initial Public Offering To Open On May 11, Sets Price Band At Rs 310 To Rs 326 Per Equity Share

·      Price Band of Rs 310 – Rs 326 per equity share bearing face value of Rs 10 each (“Equity Shares”).

·      Bid/Issue Opening Date – Wednesday, 11 May, 2022 and Bid/Issue Closing Date – Friday, 13 May, 2022.

·      Minimum Bid Lot is 46 Equity Shares and in multiples of 46 Equity Shares thereafter.

·     The Floor Price is 31.00 times the face value of the Equity Share and the Cap Price is 32.60 times the face value of the Equity Share.

Gujarat-based Venus Pipes & Tubes Limited (“The Company”) has fixed the price band at ? 310 to ? 326 per Equity Share for its maiden public offer. The initial public offering (“IPO”) of the Company  will open on Wednesday, 11 May, 2022 for subscription and close on Friday, 13 May, 2022. Investors can bid for a minimum of 46 Equity Shares and in multiples of 46 Equity Shares thereafter.

The IPO  is through a fresh issue of equity shares of up to 5,074,100 Equity Shares.

Venus Pipes and Tubes Limited is one of the growing stainless-steel pipes and tubes manufacturer and exporter in the country having over six years of experience in manufacturing of stainless steel tubular products in two broad categories namely seamless tubes/pipes; and welded tubes/pipes. The company holds pride in supplying its wide product range to more than 20 countries internationally.

The company supplies products for applications in diverse sectors including chemicals, engineering, fertilizers, pharmaceuticals, power, food processing, paper, and oil and gas.

The Company has one manufacturing plant which is strategically located at Bhuj-Bhachau highway, Dhaneti (Kutch,Gujarat) in close proximity, around 55 kilometers and 75 kilometers from the ports of Kandla and Mundra, respectively, that helps us in reducing the logistic costs on procurement of raw materials and imports and export of the  Products. The manufacturing plant  has separate seamless and welded divisionswith latest product-specific equipment and machineries including tube mills, pilger mills, draw benches, swaging machines, pipe straightening machines, TIG/MIG welding systems, plasma welding systems, etc.

For the financial year ended on March 31, 2021, the revenue from operations was Rs 3093.31 million   with a net profit of Rs 236.32 million. For nine months ended December 31, 2021, the revenue from operations was Rs. 2767.69 million with a net profit of Rs. 235.95 million.

The Company may, in consultation with the book running lead manager to the Issue, consider participation by Anchor Investors in accordance with the SEBI ICDR Regulations, whose participation shall be one Working Day prior to the Bid/Issue  Opening Date, i.e., Tuesday,  May 10, 2022. The Issue  is being made in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended, read with Regulation 31 of the SEBI ICDR Regulations. The Issue  is being made through the Book Building Process, in terms of Regulation 6(1) of the SEBI ICDR Regulations, wherein not more than 50% of the Issue  shall be available for allocation on a proportionate basis to Qualified Institutional Buyers, not less than 15% of the Issue shall be available for allocation to Non-Institutional Bidders out of which a) one third of such portion shall be reserved for applicants with application size of more than Rs. 0.2 million and up to Rs. 1.0 million and (b) two-third of such portion shall be reserved for applicants with application size of more than Rs. 1.0 million, provided that the unsubscribed portion in either of such sub-categories may be allocated to applicants in the other sub-category of Non-Institutional Bidders and not less than 15% of the  Issue  shall be available for allocation to Retail Individual Bidders in accordance with the SEBI ICDR Regulations, subject to valid Bids being received from them at or above the Issue Price 

All capitalized terms used herein and not specifically defined shall have the same meaning as ascribed to them in the red herring prospectus dated May 2, 2022 (“RHP”) filed with SEBI and the stock exchanges.