Sai Swami Metals & Alloys IPO to open on April 30, fixes price at Rs 60/share

Stainless steel products manufacturer, Sai Swami Metals & Alloys Ltd, is set to launch its share sales via initial public offering (IPO) on April 30, aiming to raise approximately Rs 15 crore. The IPO will be open for subscription on the SME platform of BSE from April 30 to May 3, as per the company's statement released on Saturday.

Based in Ahmedabad, the company specialises in the production of stainless steel cookware and appliances, marketed under the brand name DOLPHIN. The company has priced its shares at Rs 60 each, with a total offering comprising a fresh issue of 25 lakh equity shares of Rs 10 each.

Sai Swami Metals & Alloys has allocated 50 per cent of the IPO's net offer to retail individual investors, with the remaining 50 per cent reserved for other investors. The proceeds from the public issue will be directed towards funding the company's expansion plans, including the acquisition of machinery, investment in subsidiary companies, meeting working capital requirements, and general corporate purposes.

Specifically, the company plans to allocate Rs 6 crore towards working capital needs, Rs 4 crore for investment in a subsidiary, Rs 2 crore for machinery purchases, and an additional Rs 2 crore for general corporate purposes.

Upon listing, shares of Sai Swami Metals & Alloys will be traded on the BSE SME platform. Swastika Investmart Ltd has been appointed as the lead manager for the IPO, while Bigshare Services will serve as the registrar of the issue.

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

(With PTI inputs)