Rajputana Stainless IPO Launches with Cautious Investor Sentiment
“Rajputana Stainless Steel, valued at ~21x P/E (post issue) on FY25 earnings (at the upper band) is valued fairly in relation to its competitors,” stated Anand Rathi, highlighting the company’s positioning in the market.
The IPO of Rajputana Stainless Ltd opened today and will remain accessible for subscription until 11 March 2026. The price band for the IPO is set between ₹116 and ₹122 per share, aiming to raise a total of ₹255 crore, with ₹76 crore allocated for Offer for Sale (OFS) and ₹179 crore through fresh shares.
As of 12:42 PM on the first day of bidding, the IPO was subscribed 0.07 times overall, with the retail portion subscribed 0.03 times and the Non-Institutional Investor (NII) segment subscribed 0.20 times. The lot size for the IPO is 110 shares.
The Grey Market Premium (GMP) for the IPO today is ₹2, suggesting that investors are approaching the issue with caution. This sentiment is echoed by market analysts who note that the stainless steel industry remains cyclical and vulnerable to cheaper imports, making earnings sensitive to commodity price swings and demand cycles.
BP Wealth has recommended a ‘SUBSCRIBE’ rating for this issue, citing the company’s improving margins, diversified product portfolio, and potential growth from forward integration initiatives. This recommendation is aimed at investors with a medium to long-term investment horizon.
The most likely date for share allocation is 12 March 2026, with the IPO proposed for listing on both the BSE and NSE, expected on 16 March 2026. KFin Technologies has been appointed as the official registrar of the public issue.
Rajputana Stainless, incorporated in 1991, manufactures long and flat stainless steel products used across various industries. For the six months ended September FY26, the company reported revenue of ₹501 crore and a profit after tax of ₹24.4 crore. In FY25, it posted revenue of ₹932 crore and a net profit of ₹40 crore.
Details remain unconfirmed regarding the overall market response as the IPO progresses, but the cautious approach from investors is evident in the current subscription rates.
