Bombay Coated & Special Steels share make positive market debut; stock lists at 12% premium

Shares of Bombay Coated & Special Steels a decent stock market debut on Thursday, November 05 after the metal player was listed at Rs 92.02 on BSE Ltd, commanding a premium of 12.22 per cent over the issue price of Rs 82. Similarly, the stock was settled with a premium of 10.98 per cent over the issue price of Rs 91 on NSE Ltd.

Listing of Bombay Coated & Special Steels has been on the expected as the company was commading a grey market premium (GMP) of Rs 8-9 per share ahead of its debut; As of the listing price, investors made a profit of nearly Rs 1,600-1,800 on each lot allotted to them.

The IPO of Bombay Coated and Special Steels was open for bidding between October 29- November 02 as the company raised a total of Rs 183 crore from its primary offering, which was entirely a fresh share sale of up to 2,23,24,024 equity shares. The company sold its shares in the range of Rs 78-82 apeice, with a lot size of 182 equity shares.

According to the data, the IPO of Bombay Coated and Special Steels was subscribed a solid 63.89 times during the bidding process, fetching bids for 8,240 crore through 13.58 lakh applications. On an individual basis, qualified institutional bidders' (QIB) portion was booked 37.32 times, while non-institutional investors' quota was subscribed 166.44 times. Retail portion was booked 35.46 times.

Incorporated in 2019, Mumbai-based Bombay Coated and Special Steels is a steel processing centre engaged in converting steel coils into value-added processed steel products for original equipment manufacturers (OEMs) and original design manufacturers (ODMs). It specialises in precision slitting, cut-to-length processing, shearing and embossing of steel coils.

Brokerage firms were mostly positive on the issue, suggesting to subscribe it for long-term. Smart Horizon Capital Advisors was sole the book running lead manager and Kfin Technologies served as the registrar of the issue.