Hariom Pipes made a strong debut today; getting listed on the BSE at Rs.214 v/s IPO price of Rs.153 and is soon hit the 5% UC of the day at Rs.224.70.
The IPO had met with a good response, subscribing 7.93 times, with retail portion subscribing 12.15 tines, non-institutional investors portion got subscribed 8.87 times and Qualified Institutional Buyers (QIBs) 1.9 times.
The company manufactures iron and steel products including Mild Steel (MS) Pipes, Scaffolding, HR Strips, MS Billets, and Sponge Iron. It sells MS Pipes in the western and southern parts of India under the brand name "Hariom Pipes".
In our IPO Analysis, we had concluded, “Healthy growth visibility due to expansion and improving utilization, 20%+ RoE and attractive pricing makes the IPO a subscribe, especially with short to medium term view, to benefit from the ongoing commodity upcycle.”