Hariom Pipe Industries Limited (HPIL) has filed its draft red herring prospectus with SEBI for an initial public offering (IPO). The Hyderabad-based company’s IPO will be a new issue of 85 lakh shares, the company said in its IPO documents. There will be no offer to sell by existing shareholders.
The company will use the IPO money to fund its capital expenditures, working capital requirements, and general corporate purposes.
Hariom Pipe Industries is a company focused on upstream integration, as it manufactures in-house all the intermediate products required to manufacture its final products. It offers a diverse product line consisting of billets, mild steel (MS) pipe and tubing, hot rolled coils (HR) and scaffolding systems.
The company has an extensive distribution network across India, covering housing, infrastructure, agriculture and engineering. It plans to establish a new manufacturing plant in Sangareddy, Telangana, with an estimated total installed capacity of 51,943 tonnes per year.
ITI Capital is the sole accountant of the Hariom Pipe issue.