Bansal Wire Industries IPO: Delhi-based firm garners ₹223 crore from anchor investors

Mumbai-based steel wire manufacturer Bansal Wire Industries, on Tuesday, garnered over ₹223 crore in anchor book round ahead of the opening of its initial public offerings (IPO) on July 3.

According to the exchange filing, the company allocated 87,30,468 equity shares to anchor investors at a price of ₹256 per share.

"The Board of Director of the Company vide their resolution dated July 2, 2024, in consultation with SIBI Capital Markets Limited and DAM Capital Advisors Limited ("Book Running Lead Managers"), have finalized allocation of 87,30,468 Equity Shares, to Anchor Investors at Anchor Investor Allocation Price of ₹256/- per Equity Share (including share premium of ₹251/- per Equity Share)," the company said in the filing.

SBI Mutual Fund, HDFC Mutual Fund, Kotak Mahindra Mutual Fund, Eastspring Investments, Optimix Wholesale Global Emerging Markets Share Trust, HSBC Mutual Fund, and Edelweiss Trusteeship participated in the company's one-day anchor book launch on Tuesday.

Additionally, Motilal Oswal Mutual Fund, Carmignac Portfolio, Tata Mutual Fund, DSP India, Malabar Midcap Fund, and Think India Opportunities Master Fund also invested in the company through the anchor book.

The company further added that out of the total allocation of 87,30,468 equity shares to the anchor investors, 54,49,176 equity shares (i.e. 62.42% of the total allocation to anchor investors) were allocated to 9 domestic mutual funds, which have applied through a total 12 schemes.

Bansal Wire Industries IPO details

Bansal Wire Industries IPO is all set to open for subscription on July 3, 2024 and closes on July 5, 2024. The price band of the steel wire manufacturer is set at ₹243 to ₹256 per share.

The IPO valued at ₹745 crore, consists entirely of a fresh issue of 29,101,562 equity shares with no offer for sale (OFS) component, according to the Red Herring Prospectus (RHP).

Bansal Wire Industries IPO has allocated 15% of the shares to non-institutional investors (NII), 50% are reserved for qualified institutional buyers (QIB), and at least 35% of the shares are designated for retail investors.

The book running lead managers for the Bansal Wire IPO are SBI Capital Markets Limited and Dam Capital Advisors Ltd (formerly IDFC Securities Ltd), with Kfin Technologies Limited acting as the issue's registrar.

The Bansal Wire IPO GMP today is +66, indicating that Bansal Wire Industries shares are trading at a premium of ₹65 in the grey market, according to investorgain.com.