Scoda Tubes Limited IPO Overview

About the Company:

Incorporated in 2008, Scoda Tubes Limited is a prominent Indian manufacturer of stainless-steel seamless and welded tubes and pipes. The company caters to diverse industries including oil & gas, power, chemicals, and transportation. Its product portfolio spans five major lines, all marketed under its own brand and supported by in-house manufacturing infrastructure. Notably, it operates a hot piercing mill with backward integration.

With exports to 16 countries and 49 global stockists, Scoda Tubes boasts key certifications such as ISO 9001:2015, PED 2014/68/EU, and DNV. Its strategic location near major ports enhances logistics efficiency, while its client base includes leading engineering and EPC firms both in India and abroad.

Market Presence (FY 2024):

• Supplied products to 49 stockists across domestic and international markets

• Exported to key regions including the US, Germany, Netherlands, Italy, Spain, and France

Distribution Network:

1. India: Domestic sales managed by an authorized stockist in Maharashtra

2. United States: Dedicated stockist for exclusive distribution

3. Europe: Distributed through partners in Italy, Germany, Austria, and Eastern Europe

Objects of the Issue

₹76.9 crore for capital expenditure

₹110 crore for working capital needs

₹33 crore for general corporate purposes

Key Strengths:

1. Specialised expertise in stainless-steel long products

2. Diversified international customer base

3. Integrated manufacturing facility in a strategic location

4. Stringent quality control with low rejection rates

5. Consistent financial growth supported by capacity expansion

Key Risks:

1. Reliance on a limited stockist network for sales

2. Vulnerability to underperformance or termination of stockist contracts

3. Exposure to lender-driven recall of unsecured loans

4. Dependence on third-party logistics for raw material and product transportation

Scoda Tubes Limited IPO Key Details

• IPO Dates: 28 to 30 May 2025

• Price Band: ₹130 to ₹140 per share

• Lot Size: 100 Shares

• Total Issue Size: ₹220 crore

• Retail Quota: 35%

• GMP: 10% (for reference only)

Allotment Link

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