The much-awaited A-One Steels IPO opened for subscription on Thursday, September 24, offering investors a three-day bidding window. The public issue received a moderate response from investors on the first day of bidding, with the IPO subscribed 55% overall, according to NSE data.

Ahead of the issue opening, the IPO is commanding a 12% premium in the grey market, indicating positive sentiment and pointing to a potential listing price above the issue’s upper price band, if the current GMP holds.

The Rs 405 crore public issue is a book-built IPO comprising a fresh issue of 87.65 lakh shares worth Rs 355 crore and an offer for sale (OFS) of 12.35 lakh shares aggregating to Rs 50 crore.

The IPO will remain open from September 24 to September 28, 2026. The basis of allotment is expected to be finalised on September 29, while the shares are proposed to list on both the NSE and BSE on October 1, 2026, subject to applicable approvals and timelines.

The IPO price band has been fixed at Rs 385–Rs 405 per share, with a lot size of 37 shares. At the upper price band, retail investors will need to invest a minimum of Rs 14,985 for one lot.

The floor price is 38.5 times the face value, while the cap price is 40.5 times the face value. Each equity share has a face value of Rs 10. Investors can bid for a minimum of 37 shares and in multiples of 37 thereafter.

Based on diluted FY26 EPS, the company’s P/E ratio stands at 20.84x at Rs 385 and 21.92x at Rs 405. The average P/E ratio of the company’s industry peer group for FY26 stands at 45.20x.

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Eligible employees applying under the employee reservation portion will receive a Rs 38 discount per equity share.

PL Capital Markets Pvt. PL Capital Markets Pvt. Ltd. and Khambatta Securities Ltd. are the book-running lead managers for the issue, while Bigshare Services Pvt. Ltd. is the registrar. Ltd. is the registrar.

Investors bid for 42,51,818 shares against 73,84,934 shares on offer.

Non-Institutional Investors (NIIs) and Retail Individual Investors (RIIs) each subscribed to 77% of their respective reserved quotas.

Qualified Institutional Buyers (QIBs), meanwhile, bid for 1,91,697 shares against 20,93,531 shares reserved for the category.

The A-One Steels IPO GMP stood at Rs 50, representing around a 12% premium over the upper price band of Rs 405 per share. Based on the current GMP, the estimated listing price works out to Rs 455 per share.

However, the grey market premium is an unofficial indicator and is not part of the formal IPO price discovery process. GMP can fluctuate before listing and does not guarantee the actual listing price or returns.

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A-One Steels India Ltd. plans to use the net proceeds from the IPO primarily for pre-payment or partial repayment of certain outstanding borrowings, with an estimated allocation of Rs 250 crore. Any remaining proceeds will be used for general corporate purposes, subject to applicable laws and regulations.

A-One Steels India Ltd. reported an 18% increase in total income, rising from Rs 3,570 crore in FY25 to Rs 4,202 crore in FY26. Profitability also improved sharply, with profit after tax (PAT) rising 1,552% to Rs 127 crore in FY26, compared with Rs 8 crore in FY25.

Incorporated in 2012, A-One Steels India Ltd. is a backward-integrated steel manufacturer with a diversified portfolio of long and flat steel products, as well as industrial products such as met coke, silicon manganese and ferrosilicon. The company manufactures sponge iron, MS billets, TMT bars, HR/CR coils, HR/CR pipes and galvanised tubes, catering to sectors including construction, infrastructure, automotive, power and other industries.

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A-One Steels operates six manufacturing facilities across Karnataka and Andhra Pradesh, with locations positioned close to iron ore sources and major ports to support raw material sourcing and product transportation. The company also focuses on renewable energy, backed by long-term solar and wind power purchase agreements. Its TMT bars are CII-certified green products and are manufactured in multiple sizes. The company produces sponge iron at its Koppal and Bellary facilities and is also setting up a 10 MW waste-heat-recovery power plant. As of November 30, 2024, A-One Steels had 2,459 employees: 1,377 permanent and 1,082 contractual, including 63 personnel in sales and marketing.

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