Sai Swami Metals IPO: Sai Swami Metals & Alloys Ltd's initial public offering (IPO) worth Rs 15 crore witnessed overwhelming demand, with subscription hitting over 543 times the net issue size on the final day of bidding on Friday.

The SME IPO garnered bids for 128.98 crore equity shares against the net issue size of 23,72,000 equity shares offered, translating into an oversubscription of more than 543 times. Retail investors showed immense interest, with their portion oversubscribed 533 times, as applications for 62,74,02,000 equity shares were received against 11,86,000 equity shares on offer, according to exchange data.

Non-retail investors also participated in huge number, with the category being subscribed 538 times, receiving bids for 63,32,50,000 equity shares against 11,86,000 equity shares on offer.

Sai Swami Metals & Alloys, an Ahmedabad-based stainless steel cookware and appliances maker, will have its shares listed on the BSE SME platform on May 8.

The public issue, which opened for subscription on April 30, comprised a fresh issue of 25 lakh equity shares priced at Rs 60 per share. The IPO allocated 50 per cent of the net offer to retail individual investors and the remaining 50 per cent to other investors.

The company successfully raised Rs 15 crore from public investors. The proceeds will be utilized to fund expansion plans, including machinery purchase, investment in subsidiary company, meeting working capital requirements, and general corporate purposes.

Sai Swami Metals & Alloys specialises in the trading and marketing of a wide range of stainless steel products. For the nine months ending December 2023, it reported a net profit of Rs 1.79 crore and revenue of Rs 33.33 crore. In the fiscal year 2022-23, the company recorded a net profit of Rs 3.83 lakh and revenue of Rs 6.27 crore.

(With PTI inputs)