The Initial Public Offering (IPO) of Plaza Wires Limited, valued at Rs 71.28 Crores, received a robust response from both Retail and Non-Institutional Investors, boasting a subscription rate of 160.98 times on the final day of the bidding process.
Investors submitted bids for a total of 1,52,86,61,064 shares, significantly exceeding the offered 94,96,114 equity shares. The IPO was priced in the range of ₹51 to ₹54 per share, based on data available from the stock exchanges.
Among the investor segments, the Non-Institutional Investors Portion recorded the highest subscription rate at 388.10 times, closely followed by the Retail Portion with a subscription rate of 374.81 times. In contrast, the Qualified Institutional Buyer Portion saw a subscription rate of 42.84 times.
Pantomath Capital Advisors Private Limited served as the exclusive book running lead manager for the IPO. The Equity Shares are scheduled to be listed on both BSE Limited and the National Stock Exchange (NSE).
Plaza Wires Limited operates its business model through a network of 1,249 authorized representatives, responsible for the sale and marketing of the company’s products. These products encompass a wide range, including sales through C&F agents, securing government bids for supply to government projects, and direct sales to infrastructure projects. The company faces competition from listed peers such as Cords Cable Industries Limited, Ultracab (India) Limited, V-marc India Limited, Dynamic Cables Limited, and Paramount Communications Limited.
The company’s revenue from operations experienced a growth of 3.23% from ₹176.77 crore in Fiscal 2021 to ₹182.49 crore in Fiscal 2023, primarily attributed to increased sales of wires and cables. Furthermore, the profit after tax displayed substantial growth, rising by 26.14% to ₹7.51 crore for Fiscal 2023, compared to ₹5.95 crore for Fiscal 2022.