The ₹165-crore initial public offering of Venus Pipes and Tubes was subscribed fully within the first few hours of opening on Wednesday. The issue finally grabbed 2.37 times subscriptions at the end of day one, thanks to a strong response from retail investors. The price band is fixed at ₹310-326 while the market lot is 46 shares. The issue closes for subscription on Friday.

Subscription details

The quota meant for Retail Individual Investors (RIIs) received bids 4.10 times, while the portion for non-institutional investors got subscribed fully and Qualified Institutional Buyers (QIBs) touched 36 per cent. The IPO received bids for 84,13,860 shares against 35,51,914 shares on offer, translating into 2.37 times subscription, according to NSE data.

Three anchor investors

Ahead of the issue, the company has raised ₹49.62 crore from three anchor investors — Nippon India Small Cap Fund, Kotak Mahindra Life Insurance and India SME Investments Fund-I — by allocating 15.22 lakh equity shares at ₹326 a share. The Gujarat-based company is a growing stainless-steel pipes and tubes manufacturer and an exporter in India.

Proceeds from the issue will be used for financing the project cost towards capacity expansion and backward integration for manufacturing of hollow pipes, to meet working capital requirements, and for general corporate purposes. SMC Capitals is the manager of the offer.