By the end of the second day, the issue had been subscribed to nearly 42% against the 2.09 crore shares available. Demand was largely driven by Qualified Institutional Buyers (QIBs), who subscribed to about 99% of their allotted portion, while retail investors subscribed only around 11%.
The IPO price band has been set at Rs 116-122 per share, with the company looking to raise about Rs 255 crore through a mix of a fresh issue and an offer for sale (OFS).
The issue includes a fresh issue worth nearly Rs 179 crore and an OFS of up to Rs 76 crore by existing shareholders. The company intends to list its shares on the BSE and NSE, with a tentative listing date scheduled for March 16.
Rajputana Stainless IPO GMP:
As of March 11, the IPO is trading at a modest grey market premium of around Rs 1, or nearly 1% above the upper price band of Rs 122, indicating a possible listing price of about Rs 123. However, the grey market premium (GMP) is an unofficial gauge derived from informal trading and should not be relied upon as a reliable indicator of the stock’s actual listing performance.
Rajputana Stainless IPO subscription status
On the second day of bidding, the Rajputana Stainless IPO was subscribed 42% overall, as per data available on the BSE.
The Retail Individual Investors (RIIs) segment saw 11% subscription, with 1.31 crore shares allocated to retail investors.The Non-Institutional Investors (NIIs) category was subscribed 94% for the 56.43 lakh shares on offer.
Meanwhile, the Qualified Institutional Buyers (QIBs) portion was subscribed to at 99%, against the 20.90 lakh shares reserved for them.
About Rajputana Stainless
Founded in 1991, Rajputana Stainless manufactures a range of long and flat stainless steel products, including billets, forging ingots, bright bars, and flat bars. These products are used across industries such as automotive, engineering, forging, and pipe manufacturing. The company runs an integrated manufacturing facility and mainly serves business-to-business (B2B) customers across various industrial segments.
The proceeds from the fresh issue will primarily be used to expand its manufacturing facility in Gujarat, with a focus on forward integration into stainless steel seamless pipes. A portion of the funds will also be used to repay or prepay certain borrowings and for general corporate purposes.
On the financial front, the company has maintained steady profitability growth. For the six months ended September FY26, Rajputana Stainless reported revenue of Rs 501 crore and a profit after tax of Rs 24.4 crore. In FY25, it posted revenue of Rs 932 crore and net profit of Rs 40 crore, reflecting gradual improvement in margins in recent years.
The industry outlook remains positive, as India is among the largest producers and consumers of stainless steel globally. Domestic demand is expected to grow steadily, supported by infrastructure development, manufacturing expansion, and rising industrial activity.
However, the sector also faces risks, including volatility in raw material prices and competition from low-cost imports, particularly from countries such as China and Indonesia.
Should you subscribe?
Brokerages tracking the issue have largely recommended subscribing for long-term investment, citing the company’s integrated manufacturing setup, diversified product portfolio and steady financial performance.
Adroit Financial Services has advised investors to subscribe to the IPO for long-term investment, noting that the company’s expansion into value-added products such as stainless steel seamless pipes could improve margins and strengthen its market position.
Similarly, Anand Rathi Research believes the IPO is fairly valued at around 21 times post-issue earnings at the upper price band. The brokerage highlighted the company’s consistent track record and stable financial metrics and recommended that investors subscribe to the issue.
That said, analysts caution that the stainless steel industry remains cyclical and vulnerable to cheaper imports, making earnings sensitive to commodity price swings and demand cycles.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times.)