Subscribe for Sambhav Steel Tubes Ltd IPO; Geojit Financial Services

Geojit Financial Services, Sambhav Steel Tubes Ltd

Sambhv Steel Tubes Ltd (SSTL), incorporated in 2017, manufactures Electric Resistance Welded (ERW) steel pipes and structural tubes. With a facility in Sarora, Chhattisgarh, the company ranks among the top in installed capacity and is one of only two Indian firms using narrow-width HR coils for ERW production. Sambhv also operates in the stainless steel coils space, serving diverse sectors like infrastructure, agriculture, automotive, and energy. Its annual sales volume stood at 198,956 metric tonnes as of December 31, 2024. India’s steel pipe demand is expected to grow at an 8–9% CAGR from FY25 to FY29, reaching 18.5–20.5 MTPA by FY29, driven by rising infrastructure, construction, and industrial activity despite a high base. SSTL’s revenue grew at a 25% CAGR between FY22 and FY24, reaching ₹1,285.8cr in FY24, driven by deeper distribution penetration and its strategic entry into the ERW steel pipes segment.

Valuation and Outlook

As a backward-integrated player with consistent financial growth, efficient strategic sourcing, and ongoing expansion plans, the company is well-poised for longterm value creation—supporting a 'Subscribe' recommendation for investors.

For all IPO report, click here