Scoda Tubes Ltd from Gujarat, India, debuted on the NSE and BSE on June 4, 2025, at ₹140 per share. Despite a flat listing, the stock quickly hit the 5% upper circuit following an IPO oversubscription of 53.78 times. The company plans to use the ₹220 crore raised for capacity expansion and working capital.
Scoda Tubes Ltd, a Gujarat-based manufacturer of stainless steel tubes and pipes serving sectors such as oil and gas, chemicals, fertilizers, and power, made a subdued stock market debut. The company’s shares were listed at ₹140 per share on the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), matching the initial public offering (IPO) price. Shortly after listing, the stock surged to hit the 5% upper circuit limit.
The IPO, consisting solely of a fresh equity issue worth ₹220 crore, was oversubscribed 53.78 times, indicating strong demand across qualified institutional buyers (QIBs), retail investors, and non-institutional investors. The shares will be traded under the Trade-for-Trade segment for the first ten days to ensure transparency.
Scoda Tubes plans to utilize the funds raised primarily for expanding its production capacity of seamless and welded tubes and pipes, along with meeting working capital requirements and other general corporate purposes. The company operates in a competitive market with listed peers such as Ratnamani Metals & Tubes, Venus Pipes & Tubes, Welspun Specialty Solutions, and Suraj Limited.
Market expert Arun Kejriwal from Kejriwal Research highlighted that despite the IPO’s heavy oversubscription, the flat listing followed by a swift move to the upper circuit signals challenges in market expectations and management. He cautioned investors about the volatility of grey market premiums. Conversely, Canara Bank Securities recommended a ‘Subscribe’ rating for long-term investors due to the company’s consistent profitability and favorable industry outlook.
As of 10:39 AM IST on June 4, 2025, Scoda Tubes traded at ₹147 on NSE and ₹146.95 on BSE, both locked at the 5% upper circuit.
