Sai Swami Metals & Alloys Limited IPO Opens Today- Check the Subscription Status
Sai Swami Metals & Alloys IPO opens for subscription today that is, Tuesday, April 30, and will close on Friday, May 3. Sai Swami Metals & Alloys IPO lot size consists of 2,000 shares. 2,000 equity shares are the minimum application size, and after that, applications will be accepted in multiples of 2,000 equity shares. Sai Swami Metals & Alloys IPO price band has been fixed at ₹60 per equity share of face value of ₹10 each.
Sai Swami Metals & Alloys Limited was originally incorporated as “Sai Swami Metals and Alloys Private Limited” on September 23, 2022, under the Indian Companies Act of 2013. The company's journey began with the objective of taking over the running business from the sole proprietorship “Steel Kraft Industries,” which was steered by the promoter. The raison d'être for Sai Swami Metals & Alloys Limited's inception was to fill a niche in the high-demand stainless steel market. The company aimed to provide a comprehensive array of stainless steel products, ranging from kitchenware like dinner sets, casseroles, and water bottles to stainless steel sheets and circles. The goal was to cater to the varied needs of customers, ensuring quality and customer satisfaction at every turn.
Looking ahead, Sai Swami Metals & Alloys Limited is poised for continued success. With a robust product line, a commitment to innovation, and a strong leadership team, the company is well-equipped to navigate the competitive landscape and achieve greater milestones in the years to come. Sai Swami Metals & Alloys Limited's story is one of ambition, quality, and resilience. It is a shining example of how a company, with the right leadership and a clear vision, can significantly impact its industry and beyond.
IPO Subscription Status
Sai Swami Metals & Alloys IPO was subscribed 7.41 times on Day 1 as per the BSE Data IST 12:59. The Retail portion has been subscribed 10.42 times and the non-institutional investor (NII) category has been subscribed 4.39 times.
Sai Swami Metals & Alloys IPO has received bids for 2,19,08,000 shares against 23,72,000 shares on offer, according to data from the BSE.
The retail investors' segment received bids for 1,38,86,000 shares against 11,86,000 shares on offer for this segment.
The NIIs portion got bids for 80,22,000 shares against 11,86,000 on offer for this segment.
Sai Swami Metals & Alloys Limited IPO Details
Issue Date: The Issue Date in an Initial Public Offering (IPO) refers to the specific day when a company's shares are first made available for public purchase on the stock market. This date is a critical milestone in the IPO process, marking the transition of a company from private to public status and allowing investors to buy shares directly from the company for the first time. (Issue Date: April 30, 2024 to May 3, 2024).
Listing Date: The listing date refers to the day when the company's shares are officially listed and begin trading on a stock exchange. This is typically several business days (3-6 days) after the issue date after processes like share allotment and finalization are completed. On this date, investors who were allotted shares during the IPO can begin selling them, and new investors can start purchasing them on the exchange at the prevailing market price. (Listing Date: Wednesday, May 8, 2024).
Face Value of Shares: The face value of shares in an Initial Public Offering (IPO) refers to the original cost of the shares as determined by the company going public. It represents the nominal value and is often set at a lower figure, such as Rs. 10 or Rs. 100, which remains constant irrespective of the market price of the share after the company is listed on the stock exchange. When a company launches an IPO, the shares are typically offered at a price that includes this face value plus an additional premium, which reflects the current market valuation of the company. The premium over the face value is determined by the company's financial performance and future growth prospects as assessed by the investment bankers managing the IPO. (Face Value: ₹10 per share).
Price Band: A price band of an IPO is the range of prices within which the investors can bid for the shares of a company that is going public. The price band is set by the issuer and the lead managers of the IPO, based on various factors such as the demand and supply of the shares, the financial performance and valuation of the company, and the market conditions. (IPO Price: ₹60 per share).
Lot Size: In the context of an Initial Public Offering (IPO), the term "lot size" refers to a fixed number of shares that the issuing company sets as the minimum quantity that investors can apply for. This lot size is predetermined before the IPO and is mentioned in the application forms. The lot size varies from one company to another and is an important factor for investors to consider when applying for an IPO. (Lot Size: 2000 Shares).
Total Issue Size: The total issue size represents the total number of shares the company is offering to raise capital through the IPO. This number is determined by the company and its advisors, considering factors like their funding needs and the expected investor demand. The total issue size is then divided by the lot size to determine the total number of lots available for purchase by investors. (Total Issue Size: 2,500,000 shares (aggregating up to ₹15.00 Cr)).
Fresh Issue: A Fresh Issue in the context of an Initial Public Offering (IPO) refers to the creation and sale of new shares by a company to the public. Unlike an Offer for Sale, where existing shareholders sell their shares, a Fresh Issue results in the generation of new capital for the company. This capital is typically used for growth initiatives such as expansion, research and development, or debt repayment. (Fresh Issue: 2,500,000 shares (aggregating up to ₹15.00 Cr)).
Issue Type: The type of an IPO can vary depending on the market and regulatory conditions. Some of the common types of IPOs are, Fixed priced IPO, Auction IPO, Book Building IPO, and Hybrid IPO. (Issue Type: Fixed Price Issue IPO).
Listing At: An integral part of the IPO process is the listing. This refers to the day the company's shares officially begin trading on a stock exchange, such as the National Stock Exchange (NSE) or the Bombay Stock Exchange (BSE) in India. Once listed, anyone with a brokerage account can buy and sell the company's shares on the exchange. (Listing at: BSE SME).
Retail Shares Offered: Retail shares offered in an IPO refer to the portion of shares that are specifically allocated for individual investors, as opposed to institutional investors. These shares are part of the public offering where companies going public aim to raise capital by selling shares. Retail investors are typically allocated a certain percentage of the total shares available for the IPO. The allotment process for retail investors is designed to be fair and transparent, ensuring that all investors have an equal chance of receiving shares based on their application and market conditions. (Retail Shares Offered: 50% of the Net Issue).
Other Shares Offered: In an Initial Public Offering (IPO), a private company offers various types of shares to the public to raise capital. The two primary types of offerings in an IPO are Fixed Price Offering and Book Building Offering. In a Fixed Price Offering, the company sets a specific price for the shares, and investors know the exact price before they buy. On the other hand, a Book Building Offering involves a price range, and investors bid within this range. The final price is determined after considering all bids. Additionally, companies may allocate shares to different categories of investors, such as Retail Individual Investors (RIIs), Qualified Institutional Investors (QIIs), Non-Institutional Investors (NIIs), or High Networth Individuals (HNIs), and sometimes even employees as part of an Employee Stock Ownership Plan (ESOP). Each type of share offering and investor category has its own set of rules and allocation percentages during an IPO. (Other Shares Offered: 50% of the Net Issue).
Conclusion
In conclusion, the initial public offering (IPO) of Sai Swami Metals & Alloys marks a significant milestone for the company, reflecting its growth trajectory and potential for future expansion. The Day 1 subscription status is a crucial indicator of investor interest and confidence in the company's value proposition. As the IPO progresses, potential investors should consider the company's robust product line, commitment to quality, and strategic market positioning. With a diverse range of stainless steel products catering to various customer needs, Sai Swami Metals & Alloys stands as a testament to innovation in the industry. The subscription details, once available, will offer further insights into the market's reception of this IPO. Investors are advised to keep a close watch on the subscription trends and make informed decisions based on comprehensive analysis and market research. The outcome of this IPO could set the tone for the company's future endeavors and its role in the stainless steel sector.
Disclaimer: This is not an investment advisory. The article above is for information purposes only. Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please consider your specific investment requirements, risk tolerance, goal, time frame, risk and reward balance, and the cost associated with the investment before choosing securities, that suit your needs. The performance and returns of any equity stock can neither be predicted nor guaranteed.