P S Raj Steels Receives Approval From NSE Emerge For IPO Fundraising

P S Raj Steels announced on Monday that it has received in-principle approval from the NSE's SME platform, Emerge, to raise funds through an initial public offering.

The Haryana-based company is a manufacturer of stainless-steel pipes and tubes and obtained approval from NSE Emerge on Jan. 2, according to a statement from the company. The company had submitted its draft red herring prospectus to NSE Emerge in September 2024.

PSSR is now preparing to file its updated Red Herring Prospectus and plans to list on NSE Emerge.

The IPO will consist entirely of a fresh issue of up to 20.20 lakh equity shares, with a face value of Rs 10 each, as stated in the draft papers.

The company intends to allocate Rs 23.5 crore from the IPO proceeds for working capital requirements, including margin money, with the remaining funds to be used for issue-related expenses.

Promoted by Raj Kumar Gupta, Deepak Kumar, Vishal Gupta, and Gaurav Gupta, PSSR offers a wide range of stainless-steel pipes and tubes in approximately 250 sizes. The Haryana-based company serves industries such as railways, furniture, and other industrial applications.

It sources raw materials from Jindal Stainless Ltd., one of India's largest stainless-steel producers. PSSR operates a manufacturing unit with a production capacity of 13,460 metric tonnes per year.

For the fiscal year 2024, P S Raj Steels reported a revenue of Rs 297.74 crore and a net profit of Rs 6.36 crore.

Khambatta Securities Ltd is the sole book-running lead manager for the IPO, while Bigshare Services Pvt Ltd is the registrar.

(With PTI Inputs)