The PS Raj Steels IPO is set to open on February 12, 2025, and close on February 14, 2025. With a fresh issue of 20.20 lakh shares, this IPO aims to raise ₹28.28 Crores for the company’s growth. The price band is set between ₹132 and ₹140 per equity share, making it an attractive offer in the stainless steel pipes and tubes industry.

PS Raj Steels, a part of the PSSR Group, is one of India's most trusted names in manufacturing stainless steel tubular solutions. Established in 1996, the company became a formal entity in 2004 under the name PS Raj Steels Limited. Over the years, the company has built a strong reputation for delivering quality products in the steel sector. With over five decades of combined experience from its promoters, the company is now aiming for growth with this IPO.

Key Details of PS Raj Steels IPO

• IPO Opening and Closing Date: The IPO subscription period begins on February 12, 2025, and concludes on February 14, 2025. The allotment date is set for February 17, 2025, with shares expected to list on the NSE SME on February 19, 2025.
• Price Band: ₹132 to ₹140 per share. Investors can bid for a minimum of 1,000 shares, which will require an investment of ₹1,40,000. High-Net-Worth Individuals (HNIs) will need to invest a minimum of ₹2,80,000 for two lots (2,000 shares).
• Market Capitalization: The company’s market cap at the upper price band of ₹140 per share is ₹105.53 Crores.

The Grey Market Premium (GMP) for PS Raj Steels IPO currently stands at ₹0, indicating no significant expected gains based on the current market trends. The GMP is a speculative measure and shouldn't be considered a reliable indicator of the IPO’s future performance.

PS Raj Steels IPO Subscription Status

As of February 12, 2025, at 12:40 PM, the IPO has been subscribed 0.30 times on its first day. Keep checking the PS Raj Steels IPO live subscription status for the latest updates.

Financial Performance of PS Raj Steels

The company has shown steady growth in its financial performance. For the period ending September 30, 2024, the revenue stood at ₹13,911.59 Lakhs, reflecting steady growth from previous years. The EBITDA for the same period was ₹635.67 Lakhs, showing consistent profitability. The profit after tax (PAT) was ₹386.62 Lakhs for FY24, further reflecting its positive financial trajectory.

PS Raj Steels also boasts impressive financial metrics with a pre-issue EPS of ₹11.53 and a post-issue EPS of ₹8.44. This suggests the IPO is fairly priced, as indicated by the P/E ratio of 12.14x pre-issue and 16.59x post-issue. The industry average P/E ratio stands much higher at 49x, highlighting the IPO’s relatively attractive pricing.

Anchor Investors and Subscription Details

PS Raj Steels has raised ₹7.96 Crores from Anchor Investors, with a share price of ₹140 per share. The company has allotted 5,69,000 shares to these investors, indicating strong institutional backing.

PS Raj Steels IPO Objectives

The proceeds from this IPO will be utilized mainly for working capital requirements, amounting to ₹2,650.00 Lakhs. This infusion will help the company strengthen its financial position and fuel further expansion.

PS Raj Steels IPO Review and Recommendation

Given the company’s strong financial performance, attractive pricing, and stable growth potential, PS Raj Steels’ IPO appears to be a solid investment. However, the Grey Market Premium (GMP) currently stands at ₹0, suggesting that immediate listing gains may not be substantial. Investors should weigh the long-term potential of the company against short-term speculative gains.

Conclusion

With strong industry backing, solid financials, and strategic expansion plans, PS Raj Steels presents an opportunity for long-term investors. However, given the lack of premium in the Grey Market, those seeking quick listing gains may consider other options.

The Upcoming IPOs in this week and coming weeks are Quality Power Electrical Equipmwnt, PS Raj Steels, Voler Car, Maxvolt Energy, Hexaware Technologies, L.K. Mehta, Shanmuga Hospital.

The Current active IPO are Ajax Engineering, Chandan Healthcare..

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