Bansal Wire Industries files draft papers to raise Rs 745 crore through IPO
New Delhi: Steel wire maker Bansal Wire Industries Ltd has filed preliminary papers with capital markets regulator SEBI to raise Rs 745 crore through an initial public offering (IPO).
The first public issue is a completely fresh issue of equity shares without any offer-for-sale (OFS) component, according to the draft red herring prospectus (DRHP) filed on Thursday.
The funds will be used to repay loans, support the working capital requirements of the company and for general corporate purposes.
Bansal Wire Industries is engaged in the business of manufacturing and exporting steel wires. It operates in three broad segments – high carbon steel wire, mild steel wire (low carbon steel wire) and stainless steel wire.
Additionally, the company is planning to add a new segment of specialty wires through its upcoming plant in Dadri, which will help it grow and expand its market presence in the upcoming financial year.
Financial Highlights
The company’s total income grew at a CAGR of 28 per cent to Rs 2,422.56 crore in FY23 from Rs 1,480.41 crore in FY21, and profit after tax (PAT) grew at a compound annual growth rate (CAGR) of 21.7 per cent to Rs. Went. Increase from Rs 40.46 crore in FY 2021 to Rs 59.93 crore in FY 2023.
SBI Capital Markets and DAM Capital Advisors are the book running lead managers to the issue.
