Vraj Iron and Steel Raises Rs 51 Crore from Anchor Investors Ahead of Rs 171 Crore IPO

On Tuesday, Vraj Iron and Steel announced that it had raised just over Rs 51 crore from anchor investors a day before its initial public offering (IPO) opened for public subscription. The company allocated 24,78,259 equity shares to six anchor investors at Rs 207 per share, totaling Rs 51.30 crore. The IPO, which amounts to Rs 171 crore, consists of a fresh issue of equity shares with no offer-for-sale component. The public subscription for shares will be open from June 26 to June 28 and will be available in the price range of Rs 195 to Rs 207 per share. The funds raised through the IPO will be utilized for expansion projects at the Bilaspur facility and for general corporate purposes. Vraj Iron and Steel, based in Raipur, is involved in the manufacturing of sponge iron, MS (Mid Steel) billets, and TMT (Thermo Mechanical Treatment) bars. The company operates two manufacturing plants in Raipur and Bilaspur in Chhattisgarh. Upon completion of the expansion project, the company anticipates increasing its aggregate installed capacity from 2,31,600 TPA to 500,100 TPA and the aggregate installed capacity of captive power plants from 5 MW to 20 MW. Aryaman Financial Services is the sole book-running lead manager, and Bigshare Services is the registrar for the IPO. Both companies’ equity shares are proposed to be listed on the NSE and BSE.