Everything you need to know about the VMS TMT IPO

About

VMS TMT is engaged in manufacturing Thermo Mechanically Treated (TMT) Bars in the steel industry at their facility in Bhayla Village, Ahmedabad, Gujarat. The company operates predominantly in Gujarat state through a distribution network comprising 3 distributors and 227 dealers as of July 2025. VMS TMT serves diverse customers including retail and institutional clients within Gujarat (excluding Saurashtra and Kutch districts). The company has a retail license agreement with Kamdhenu Limited to market TMT Bars under the “Kamdhenu Brand” on non-exclusive terms. They also generate revenue from allied products including billets, binding wires, scrap, and other by-products.

IPO schedule

Issue open date 2025-09-17
Issue close date 2025-09-19
UPI mandate deadline 2025-09-19 (5 PM)
Allotment finalization 2025-09-22
Refund initiation 2025-09-23
Share credit 2025-09-23
Listing date 2025-09-24
Mandate end date 2025-10-05
Lock-in end date for anchor investors (50%) 2025-10-22
Lock-in end date for anchor investors (remaining) 2025-12-21

Financials

Financial Year Ended March 2023 March 2024 March 2025 Jun 2025
Total Assets 227.28 284.23 412.06 449.35
Revenue 882.05 873.16 771.41 213.39
Profit After Tax 4.19 13.46 15.42 8.58

Issue size

Funds Raised in the IPO Amount
Overall ₹148.50 crores
Fresh issue ₹148.50 crores

Utilisation of proceeds

Purpose INR crores (%)
Repayment/ prepayment, in full or part, of all or a portion of certain borrowings 115 (77.4%)
General Corporate Purposes 33.5 (22.6%)

Strengths

  • Annual production capacity of 200,000 MT with significant output in FY24.
  • Over 98% of revenue is derived from operations in Gujarat, indicating market dominance in the region.
  • Partnership with Kamdhenu Limited allows marketing under the ‘Kamdhenu NXT’ brand.
  • Plans to produce billets in-house to reduce dependency on external suppliers.

Risks

  • Heavy reliance on the Gujarat market may expose the company to regional economic fluctuations.
  • Dependence on third-party suppliers for raw materials could affect production continuity.
  • TMT bar prices are subject to fluctuations, impacting profitability.
  • Outstanding borrowings amounted to ₹252.5 crore as of August 2024.
  • Dependence on the Kamdhenu brand; termination of the licensing agreement could affect market presence.

Allotment Status for VMS TMT

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