Vibhor Steel Tubes Limited specializes in manufacturing and exporting a diverse range of steel products, including Mild Steel/Carbon Steel ERW Black and Galvanized Pipes, Hollow Steel Pipes, and Cold Rolled Steel (CR) Strips/ Coils. With a legacy spanning over two decades, the company serves various heavy engineering industries across India. Their product lineup is extensive, catering to different uses such as frames, shafts, bicycle frames, furniture, shockers, and various structural and engineering purposes. They offer steel pipes and tubes in a variety of shapes, sizes, and lengths to meet specific customer requirements, including square, round, rectangular, and elliptical shapes.
The company has a renewed agreement with Jindal Pipes Limited (JPL), dated April 1, 2023, to manufacture and supply products under the “Jindal Star” brand. Key terms of this agreement include flexible pricing based on mutual agreement and market conditions, with the assurance that prices will cover raw material and variable costs. JPL commits to a minimum annual order of 100,000 MT, ensuring substantial utilization of Vibhor Steel Tubes’ capacity. The agreement also outlines compensation for any supply or off-take shortfalls and includes a turnover discount for JPL. This partnership is set for an initial term of six years, with options for renewal.
Vibhor Steel Tubes prides itself on its rigorous quality control, maintained by a dedicated team of 627 personnel under the board’s supervision. This ensures compliance with international standards for both raw materials and finished products. The company’s leadership, including promoters Mr. Vijay Kaushik, Mr. Vibhor Kaushik, and Mrs. Vijay Laxmi Kaushik, brings substantial experience and expertise in the mild steel and stainless steel welded pipes and tubes industry, alongside skills in marketing, procurement, finance, accounting, and customer relations.
Objects of the Vibhor Steel Tubes Limited IPO:
The net proceeds of the Issue less the issue related expenses (Net Proceeds) are proposed to be utilised in the following manner:
i. Funding of working capital requirements of the company; and
ii. General corporate purposes.
Vibhor Steel Tubes Limited IPO Details:
| Open Date: |
Feb 13 2024 |
| Close Date: |
Feb 15 2024 |
| Face Value: |
₹ 10 Per Equity Share |
| Issue Size: |
72.17 Cr. |
| Lot Size: |
99 Shares |
| Issue Price: |
₹ 141 - 151 Per Equity Share |
| Listing At: |
NSE,BSE |
| Listing Date: |
Feb 20 2024 |
Promoters And Management:
Mr. Vijay Kaushik, aged 70, serves as the Chairman and Director of the Company since February 26, 2009. Born in Hisar, Haryana, he pursued his graduation from Government College, Hisar, in 1972, followed by an LLB from Delhi University in 1975. Initially practicing law alongside his father, a distinguished criminal lawyer, he transitioned to manufacturing in 1978, focusing on agricultural implements, stainless steel coils, and steel pipes. With over 40 years in manufacturing and more than 20 years in the ERW pipes and tubes sector, Mr. Kaushik brings vast experience to the table. He is also a director at Jindal Drilling and Industries Ltd, part of the esteemed DP Jindal Group, showcasing a robust network and deep industry insights, especially in oil drilling. His expertise spans product knowledge, market dynamics, and the financial operations of the company.
Mr. Vibhor Kaushik, aged 40, serves as the Managing Director of the Company since April 17, 2003. A native of Hisar, Haryana, he completed his electrical engineering degree from Arizona State University, USA, in 2006. With 17 years at the helm, Mr. Kaushik has significantly enhanced the factory's performance, increasing its capacity from 12,000 MT to over 221,000 MT per annum. Under his leadership, the production capacity has expanded nearly 19-fold, demonstrating his ambition to take the company global. He has adeptly managed the company's operations, staff, and business growth, focusing on production and domestic sales. Currently, Mr. Kaushik is exploring opportunities in the export market, having successfully commissioned the Telangana project in record time.
Ms. Vijay Laxmi Kaushik, aged 67 years and is currently designated as Whole Time Director of the Company. Born in Gurgaon, Haryana, India on March 05, 1956 she did her schooling in Gurgaon and a full-time graduation from Government college Gurgaon in 1976. She is a Whole time Director of the company. She has goods interpersonal skill and also helps in the administration of the company.
Discussion on Vibhor Steel Tubes Limited IPO:
Seems reasonably valued.Applying.