Vraj Iron and Steel's IPO to open on Jun 26, eyes to raise Rs 171 cr

Vraj Iron and Steel is set to raise Rs 171 crore through its initial share-sale, which opens for public subscription on June 26.

The three-day initial public offering (IPO) will conclude on June 28 and the bidding for anchor investors will open for a day on June 25, according to the red herring prospectus (RHP).

The company will use the IPO proceeds for expansion project at the Bilaspur facility and general corporate purposes.

Raipur-based Vraj Iron and Steel is into manufacturing of sponge iron, MS (Mid Steel) billets, and TMT (Thermo Mechanical Treatment) bars.

It operates through two manufacturing plants at Raipur and Bilaspur in Chhattisgarh.

After implementation of the expansion project, the company expects to increase its aggregate installed capacity from 231,600 tonne per annum (TPA) to 500,100 TPA and captive power plants' aggregate installed capacity from 5 MW to 20 MW, the RHP noted.

Aryaman Financial Services is the sole book running lead manager, while Bigshare Services is the registrar for the IPO. Equity shares of both companies are proposed to be listed on NSE and BSE.