Scoda Tubes Limited, a manufacturer of stainless steel tubes, is set to launch its initial public offering (IPO) valued at ₹220 crores, comprising a fresh issue of 1.57 crore shares. The IPO will open for subscription from May 28 to May 30, 2025, offering investors a chance to enter a key segment of the steel industry.
With a price band of ₹130 to ₹140 per share and a lot size of 100 shares, retail investors can participate with a minimum investment of ₹13,000. Share allotment is expected by June 2, 2025, with the listing planned on the BSE and NSE by June 4, 2025. The IPO provides a timely opportunity to invest in a company positioned for growth within the expanding steel manufacturing sector.
Scoda Tubes Limited IPO is a fundraise worth ₹220 crores comprising fresh issue of 1.57 crore shares. The IPO will be available for subscription from May 28, 2025, to May 30, 2025, providing an opportunity for investors looking to gain a stake in the steel sector.
| Scoda Tubes IPO date | May 28, 2025 - May 30, 2025 |
| Price band | ₹130 to ₹140 per share |
| Face value | ₹10 per share |
| Lot size | 100 shares |
| Issue type | Book-built issue IPO |
| Fresh issue | 1,57,14,286 shares amounting to ₹220 crores |
| Total issue size | 1,57,14,286 shares amounting to ₹220 crores |
| Listing at | BSE, NSE |
| Share holding pre issue | 4,41,94,700 shares |
The Scoda Tubes Limited IPO opens for subscription on May 28, 2025, and closes on May 30, 2025, with allotment slated for June 2, 2025.
| IPO open date | May 28, 2025 (Wednesday) |
| IPO close date | May 30, 2025 (Friday) |
| Basis of allotment | June 2, 2025 (Monday) |
| Initiation of refunds | June 3, 2025 (Tuesday) |
| Credit of shares to demat account | June 3, 2025 (Tuesday) |
| Listing date on exchanges | June 4, 2025 (Wednesday) |
| Cut-off time for UPI mandate confirmation | 5 PM on May 30, 2025 (Friday) |
Scoda Tubes Limited, incorporated in 2008, is a specialized manufacturer of stainless steel tubes and pipes based in Gujarat. The company operates from its manufacturing facility located on the Ahmedabad-Mehsana Highway in Rajpur, Kadi, Mehsana, and produces two main categories of products: seamless and welded tubes/pipes. Their product portfolio includes five distinct lines - stainless steel seamless pipes, seamless tubes, seamless "U" tubes, instrumentation tubes, and welded tubes and "U" tubes, all marketed under the "Scoda Tubes Limited" brand. The company operates a hot piercing mill for producing mother hollow, which serves as the primary raw material for their seamless stainless steel products.
The company serves diverse industrial sectors including oil and gas, chemicals, fertilizers, power, pharmaceuticals, automotive, railways, and transportation through engineering companies, EPC firms, and industrial clients. Scoda has established a strong global presence, supplying products to 49 stockists across domestic and international markets and exporting to 16 countries including the United States, Germany, Netherlands, Italy, Spain, and France. Their distribution network spans India through an authorized stockist in Maharashtra, a dedicated stockist in the United States, and multiple stockists across Europe including Italy, Germany, Austria, and Eastern European markets. As of August 2024, the company employs 496 people, comprising 149 permanent employees and 347 contractual workers.
Scoda Tubes plans to utilise the net proceeds from its IPO for capital expenditure to expand its production capacity for seamless and welded tubes and pipes, meeting incremental working capital requirements, and for general corporate purposes, all aimed at supporting the company's growth and operational efficiency.
The Scoda Tubes Limited IPO’s Return on Equity (RoE) is 28.77%, Return on Capital Employed (RoCE) is 15.92%, Return on Net Worth (RoNW) is 28.77%, and PAT Margin is 4.58.
| Period Ended | December 31, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
| Assets | 428.49 | 330.42 | 238.26 | 156.06 |
| Revenue | 363.48 | 402.49 | 307.79 | 195.05 |
| Profit After Tax | 24.91 | 18.30 | 10.34 | 1.64 |
| Net Worth | 143.55 | 63.61 | 45.31 | 34.98 |
| Reserves & Surplus | 99.35 | 62.33 | 44.03 | 33.69 |
| Total Borrowing | 202.16 | 202.66 | 139.31 | 109.90 |
Amount in ₹ crores
Scoda Tubes Limited has established itself as a specialist in stainless-steel tubes and pipes, catering to both domestic and international markets across diverse sectors such as oil and gas, chemicals, power, automotive, and transportation. Its strong international presence, backed by multiple industry accreditations and certifications, reflects the company’s commitment to quality and global standards. The company’s integrated manufacturing facility, strategically located, enhances operational efficiency and cost management.
The company is supported by a dedicated, trained team that maintains strict quality control processes, resulting in low rejection rates. Its customer base is well-diversified, and it maintains a consistent focus on value-enhancing products and sustainability initiatives. These strengths, along with a track record of stable financial performance, position the company for continued growth and competitiveness in the steel manufacturing sector.
Despite its strengths, Scoda Tubes faces significant customer concentration risk, with a large portion of its revenue derived from its top 10 customers. It also relies on a narrow distribution network, including exclusive stockists in India and the US. The termination or underperformance of these partners could negatively impact sales and financial performance. Additionally, its dependency on engineering and EPC companies makes it vulnerable to industry-specific demand fluctuations.
The company also contends with operational and financial challenges, including low capacity utilization in its welded pipes segment and a prolonged working capital cycle. Its reliance on third-party suppliers for raw materials, exposure to volatile input costs, and history of negative net cash flows further add to its vulnerabilities. Uncertainty around government policies in export markets, contingent liabilities, and limited experience in executing growth strategies may also hinder long-term performance and expansion plans.
The Scoda Tubes Limited IPO presents a promising chance for investors to gain early exposure to the steel sector. As the company steps into the public market, it opens up potential opportunities in a key manufacturing segment with strong growth prospects.
However, investors are advised to carefully assess the company’s fundamentals, competitive positioning, and future outlook. A well-informed decision—aligned with individual financial goals and risk appetite—can help turn this opportunity into a thoughtful and strategic investment move.
What is the Scoda Tubes IPO?
The Scoda Tubes Limited IPO is a main-board offering consisting of a fresh issue of 1.57 crore equity shares with a face value of ₹10 per share, aiming to raise ₹220 crores. The share price is set between ₹130 and ₹140, with a minimum order quantity of 100 shares. This IPO will be open for subscription from May 28, 2025, to May 30, 2025. MUFG Intime India Private Limited (Link Intime) is the registrar while Monarch Networth Capital Limited is the book-running lead manager.
When will the Scoda Tubes IPO open?
The Scoda Tubes Limited IPO will open for subscription on May 28, 2025, and will close on May 30, 2025.
When is the Scoda Tubes IPO listing date?
The tentative listing date for the Scoda Tubes Limited IPO is Wednesday, June 4, 2025.
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