Avtar Steel files IPO papers with SEBI to raise Rs 585 crore

Avtar Steel Ltd has filed preliminary papers with market regulator SEBI to raise Rs 585 crore through an initial public offering. The IPO includes a fresh issue of shares and an offer for sale of 50 lakh shares by promoter Sumit Jindal, as per the draft red herring prospectus filed on Friday.

The company will use the fresh issue proceeds to part-finance a new Specialty Steel Melting Division for manufacturing special steel, including alloy, carbon and valve steel, and stainless-steel blocks and blooms. Funds will also expand stainless-steel wire capacity at its existing Wire Rod and Bar Division, and part will go towards debt repayment and general corporate purposes, Business Today reports.

Avtar Steel, with over three decades in stainless-steel long and wire products, serves sectors such as automobiles, oil and gas, and defence. It served 422 customers in fiscal 2026, with 62.80 per cent being repeat customers, according to the DRHP. The equity shares will list on BSE and NSE, Systematix Corporate Services and Elara Capital are the lead managers.