Shyam Metalics & Energy IPO to Open on June 14
Kolata based Shyam Metalics and Energy Limited is proposing to open the Bid/Offer period in relation to its initial public offering of Equity Shares on 14 June 2021 and close the Bid/Offer period on 16 June 2021. The price band for the Offer has been decided at INR 303-306 per Equity Share. The total issue size is upto INR 909 crore with a fresh issuance of Equity Shares, aggregating up to INR 657 crore and an offer for sale of Equity- Shares aggregating up to INR 252 crore, by the Selling Shareholders. The Company proposes to utilise the Net Proceeds from the Fresh Issue towards repayment or prepayment of up to INR 470 crore of its debt and that of its subsidiary, Shyam SEL and Power Limited and for other general corporate purposes.
The portion of the Offer being up to 300,000 Equity’ Shares, which shall not exceed 5% of the post Offer Equity Share capital of company, is available for allocation to Eligible Employees, on a proportionate basis.
Shyam Metalics and Energy Ltd has collected INR 270 crore from anchor investors, ahead of its IPO. The company has allocated 88,21,764 equity shares to 21 anchor investors at a price of INR 306 apiece, aggregating to INR 269.94 crore. As many as 12 domestic investors, including four mutual funds, two insurance companies, and six Alternate Investment Funds and nine Foreign Portfolio Investors participated in the anchor book
ICICI Securities Limited, JM Financial Limited, Axis Capital Limited, IIFL Securities Limited and SBI Capital Markets Limited are the BRLMS to the Offer.
Shyam Group is a producer of intermediate and long steel products, such as, iron pellets, sponge iron, steel billets, TMT, structural products, wire rods, and ferro alloys products with a specific focus on high margin products, such as, customised billets and specialised ferro alloys for special steel applications. The Group’s manufacturing plants at Sambalpur and Jamuria are forward and backward integrated. The Group has a wide distribution network partnered through 42 distributors across 13 states and one union territory in India. The Group is currently in the process of further diversifying its product portfolio by entering into the segments, such as, pig iron, ductile iron pipes and aluminium foil.