Shyam Metalics and Energy, a leading integrated metal producer, is set to complete the initial public offering (IPO) share allotment in the coming week.
As of December 31, 2020, Shyam Metalics runs three production sites in Odisha, Jamuria, and Mangalpur in West Bengal, with an aggregate installed metal capacity of 5.71 million tonnes per annum (MTPA) and captive power plants with a capacity of 227 MW.
By FY25, the company plans to increase the capacity of its existing production facilities and captive power plants to 11.60 MTPA and 357 MW, respectively.
As of February 2021, the company is one of the leading producers of ferro alloys in India in terms of installed capacity.
The company finished its Rs 909-crore public offering on June 16 with a 121.43-fold oversubscription, backed by qualified institutional buyers and non-institutional investors, who subscribed 155.71-fold and 339.98-fold, respectively, to their reserved portions.
The offer, which began on June 14, included a fresh issue of 2,14,70,588 equity shares (Rs 657 crore) and an offer for sale by existing selling shareholders of 82,35,294 equity shares (Rs 252 crore).
The company intends to use the net proceeds from the new issue to service debt of Rs 470 crore, while the offer for sale proceeds will be distributed to selling shareholders.
Following the completion of the IPO procedure, the promoters’ stake will be decreased to 88.4 percent from 100 percent.
The share allotment will be completed around June 21, as per the prospectus’s IPO timeline. Investors who applied for shares have two alternatives for checking the progress of their application.
To begin, the website of the IPO register: The dropdown menu must be set to ‘Shyam Metalics and Energy Limited’. Then, along with the application type (ASBA/NON ASBA), select the application number and enter it. If the depository option is chosen, provide the DPID in addition to the Client ID, or choose and enter the PAN number. Finally, one must enter the Captcha code, which is available in digits, and click Submit.
Additionally, the application status can be viewed on the BSE website. Select Equity and Issue Name – Shyam Metalics and Energy – from the dropdown menus, then enter the Application number and PAN number before clicking on the Search button.
After the basis of allotment is finalised, the company will reimburse monies to qualified investors on or around June 22 and credit shares to eligible investors’ demat accounts on or about June 23.
Trading in equity shares will begin on June 24.
Image from https://unsplash.com/@rozetsky
Bhoi Smrutirekha Dharanidhar