MP Steel has filed draft papers with the market regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO) to primarily support its expansion plans. The proposed IPO comprises a fresh issue of equity shares aggregating up to Rs 95 crore and an Offer for Sale (OFS) of over 23 lakh equity shares by the promoters.
The company proposes to utilise the proceeds from the fresh issue to set up a manufacturing unit for billets as part of its planned backward integration, fund part of its incremental working capital requirements, and for general corporate purposes. Monarch Networth Capital is the sole book-running lead manager for the issue.
MP Steel is engaged in the manufacturing of stainless-steel products and primarily operates in the B2B segment, supplying its products to traders and manufacturers across diverse industrial applications, including defence, pharmaceuticals, infrastructure, automotive, hardware, shipbuilding, ports, power plants and refineries.
