BANSAL WIRE INDUSTRIES LIMITED FILES DRHP WITH SEBI FOR RS.745 CRORE IPO

Bansal Wire Industries Limited, the largest stainless steel wire manufacturing company and the second largest steel wire manufacturing company by volume in India with a production of 72,176 MTPA and 206,466 MTPA, respectively, in Fiscal 2023, representing 20% and approximately 4% market share, respectively. (Source: CRISIL Report) has filed DRHP with market regulator SEBI on January 18, 2024 for an IPO (Initial Public Offer).

The offer comprises of Fresh Issue of Equity Shares of face value of ₹ 5 /- each aggregating up to ₹ 7,450 million [₹ 745 crore].

The company proposes to utilize the net proceeds from IPO towards Repayment or prepayment of all or a portion of certain outstanding borrowings availed by Company and its Subsidiary; Funding the working capital requirements of Company and General corporate purposes.

Bansal Wire Industries was incorporated in the year 1985 and since incorporation, the company has consistently delivered quality products, creating a niche identity in the steel wire industry. With a legacy of 38 years, company take pride in its diversified portfolio, catering to a wide range of sectors such as automotive, general engineering, infrastructure, hardware, consumer durables, power and transmission, agriculture and auto replacement.

Company has installed capacity of 259,000 MTPA of mild steel, high carbon and stainless steel wires at its existing four manufacturing facilities located at (i) Facility I: B-35, Rajender Nagar Industrial Area, Mohan Nagar, Ghaziabad; (ii) Facility II: B-3 Loni Industrial Area, Ghaziabad; (iii) Facility III: B-5 & B-6 Loni Industrial Area, Ghaziabad and (iv) Facility IV: 43KM, Milestone, Delhi-Rohtak Road, Asaudha, Bahadurgarh, Jhajjar, Haryana. Company is also setting up India’s largest single location steel wire manufacturing facility at Dadri, India and amongst the largest in Asia.

The company market and sell its products under the brand name ‘BANSAL’ which has a strong reputation in the market as a trusted brand since incorporation. It operate in three broad segments, i.e., high carbon steel wire, mild steel wire (low carbon steel wire) and stainless steel wire and we will be also adding new segment of specialty wires through its upcoming plant in Dadri, which will help the company to grow and expand its market presence in upcoming fiscals.

Bansal Wire have a significant global footprint and are exporting its products to more than 50 countries. (Source: CRISIL Report) With 14 global representatives covering countries like Bangladesh, Brazil, France, Germany, Israel, Italy, Netherland, South Korea, South Africa, Sri Lanka, Turkey, United Kingdom, United States of America and Vietnam.

SBI Capital Markets Limited and DAM Capital Advisers Limited are the Book Running Lead Managers to the Issue.