VMS TMT IPO will open for subscription on September 17, 2025, and closes on September 19, 2025. Incorporated in 2013, VMS TMT Limited is engaged in the manufacturing of Thermo Mechanically Treated Bars (TMT Bars), which play a crucial role in the construction and infrastructure sectors.
In this blog, we’ll get into the details of the VMS TMT IPO, financials, business model, timelines, and key risk factors.
VMS TMT IPO Date
The key pointers for the VMS TMT IPO dates are:
- Bidding Opening Date: September 17, 2025
- Bidding Closing Date: September 19, 2025
- Allotment Date: September 22, 2025
- Initiation of Refunds (in case of less or no allotment): September 23, 2025
- Shares Credited to Your Demat Account: September 23, 2025
- IPO Listing Date: September 24, 2025
- Listing on Exchange: BSE and NSE
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VMS TMT: IPO Issue Size
VMS TMT IPO valuation, as denoted by the market capitalisation, is targeted at ₹491.35 crores. Here are the essential details:
- VMS TMT IPO Price Band: ₹94 to ₹99 per share
- Lot Size: 150 Shares
- Total Issue Size and Amount: 1.5 crore shares (aggregating up to ₹148.50 crores)
- Fresh Issue Size and Amount: 1.5 crore shares (aggregating up to ₹148.50 crores)
VMS TMT IPO Proceeds Usage
The net proceeds from the VMS TMT IPO are proposed to be utilised for the following purposes:
- To repay or prepay, either fully or partially, certain borrowings taken by the company. (₹115 crores).
- To meet general corporate purposes.
VMS TMT IPO Reservations
VMS TMT IPO reservations to different investors are:
- For QIBs: Not more than 30% of the Issue
- For NIIs: Not less than 20% of the Issue
- For Retail Investors: Not less than 50% of the Issue
VMS TMT IPO Lot Size
VMS TMT IPO lot size is 150 shares, wherein bidding can be done in multiples. The minimum amount that each category of investor needs to bid in this IPO is:
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 150 | ₹14,850 |
| S-HNI (Min) | 14 | 2,100 | ₹2,07,900 |
| B-HNI (Min) | 68 | 10,200 | ₹10,09,800 |
VMS TMT IPO Details: Promoter Holding
Varun Manojkumar Jain, Rishabh Sunil Singhi, Manojkumar Jain, and Sangeeta Jain are the company promoters.
VMS TMT Ltd: Company Overview
Incorporated in 2013, VMS TMT Limited is primarily engaged in the manufacturing of Thermo Mechanically Treated Bars (TMT Bars), while also dealing in scrap and binding wires that are sold across Gujarat and other states.
The company’s manufacturing facility is strategically located in Bhayla Village, near Bavla in the Ahmedabad district of Gujarat, enabling easy access to raw materials and smooth distribution of products.
As of July 31, 2025, VMS TMT operates through a non-exclusive distribution network comprising 3 distributors and 227 dealers, ensuring efficient supply across its markets. On November 7, 2022, the company entered into a retail license agreement with Kamdhenu Limited, allowing it to market TMT Bars under the brand name ‘Kamdhenu NXT’ within Gujarat on mutually agreed terms.
Supported by a skilled management team and a workforce of 230 permanent employees, VMS TMT has built a strong operational foundation. The company has primarily focused its sales on Tier II and Tier III cities, with Gujarat contributing the majority of its revenues in recent years.
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VMS TMT Limited: Financial Performance
VMS TMT Ltd’s key financials for different periods are as follows:
| Particulars (in ₹ Cr) | 31 Mar 2025 | 31 Mar 2024 | YoY Change |
|---|---|---|---|
| Total Income | 771.41 | 873.17 | -12% |
| Profit After Tax | 14.74 | 13.47 | 9% |
| EBITDA | 45.53 | 41.20 | 11% |
| Net Worth | 73.19 | 46.51 | 57% |
| Total Borrowing | 275.72 | 197.86 | 39% |
| Assets | 412.06 | 284.23 | 45% |
- Revenue Growth: Total income declined by 12%, reducing from ₹873.17 crores in FY24 to ₹771.41 crores in FY25, reflecting a moderation in sales momentum.
- Profitability: PAT grew by 9%, moving from ₹13.47 crores in FY24 to ₹14.74 crores in FY25, highlighting improved cost management despite lower revenues.
- EBITDA Performance: EBITDA rose by 11%, increasing from ₹41.20 crores in FY24 to ₹45.53 crores in FY25, indicating stable operating performance.
- Strengthened Net Worth: Net worth expanded by 57%, climbing from ₹46.51 crores in FY24 to ₹73.19 crores in FY25, supported by retained earnings.
- Debt Position: Borrowings rose from ₹197.86 crores in FY24 to ₹275.72 crores in FY25, a 39% increase, indicating reliance on external funding for business expansion.
- Asset Base: Total assets grew by 45%, from ₹284.23 crores in FY24 to ₹412.06 crores in FY25, reflecting higher capacity and working capital deployment.
VMS TMT IPO Peer Comparison
Here is the peer comparison table for VMS TMT Ltd. with its listed peers:
| Company Name (FY25) | EPS (Basic ₹) | P/E (x) | RoNW (%) |
|---|---|---|---|
| VMS TMT Limited | 4.29 | 22.24 | 20.14 |
| Kamdhenu Limited | 2.18 | 13.50 | 18.82 |
| Vraj Iron and Steel Limited | 13.55 | 11.77 | 10.88 |
| BMW Industries Limited | 2.83 | 16.57 | 9.16 |
| Electrotherm (India) Limited | 336.42 | 2.37 | -377.85 |
- VMS TMT Limited has an EPS of ₹4.29, which is higher than the key peers such as Kamdhenu and BMW Industries, but lower than others.
- Its PE ratio is 22.24, and it is higher than the industry average PE ratio of 9.47, showing an expensive valuation.
- The return on net worth (RoNW) is best among the peers at 20.14%.
VMS TMT IPO Risk Factors
VMS TMT IPO GMP is ₹23 as of September 16, 2025 (at 13:37). It is expected to list at a 23.23% gain at a price of ₹122. However, GMP is not a safe or assured criterion to bid for an IPO. It is important to do your own analysis before investing in any IPO.
VMS TMT IPO is exposed to various risk factors that can eventually affect its business and investors’ perception:
- The company’s operations and profitability are highly dependent on the steady availability and cost of raw materials. Since it relies on third-party suppliers under purchase order arrangements, any delay in supply or significant price fluctuations of raw materials could adversely affect its business performance and financial health.
- The demand and pricing of TMT bars are inherently volatile and linked to cyclical movements in the construction and infrastructure sectors, as well as raw material trends. A downturn in TMT bar prices could materially impact revenues, profitability, and overall business prospects.
- VMS TMT’s manufacturing facilities and sales are concentrated in Gujarat. As a result, any political, social, economic, or seasonal disruptions, including natural calamities or civil unrest in the region, may negatively influence operations and financial results.
- The company is also dependent on its retail license agreement with Kamdhenu Limited. Termination of this agreement could result in the loss of key distributors and dealers, which may materially affect sales, distribution reach, and overall financial performance.
For all the insights on VMS TMT IPO and detailed expert advice, you can download the SMC ACE App or visit the SMC telegram channels. Take smart decisions and apply for the VMS TMT IPO easily on the SMC ACE Apply by opening free demat account now.
Frequently Asked Questions – FAQs
1. When does the VMS TMT IPO open and close?
The VMS TMT IPO will open for subscription on September 17, 2025, and closes on September 19, 2025. The allotment is expected to be finalised on September 22, 2025, with the tentative listing date set for September 24, 2025, on the BSE and NSE.
2. What is the price band and lot size of the VMS TMT IPO?
The IPO price band is fixed between ₹94 and ₹99 per share. The lot size is 150 shares, and retail investors can bid with a minimum investment of ₹14,850.
3. How will the IPO proceeds be utilised?
The company plans to use the net proceeds primarily for:
- Repayment or prepayment of borrowings amounting to ₹115 crores.
- General corporate purposes, which will support overall business growth.
4. What are the key risks associated with investing in the VMS TMT IPO?
Key risks include dependency on raw material availability and prices, volatility in TMT bar demand and pricing, heavy reliance on Gujarat for manufacturing and sales, and dependence on the retail licence agreement with Kamdhenu Limited.
5. Who are the promoters of VMS TMT Limited?
The promoters of VMS TMT Limited are Varun Manojkumar Jain, Rishabh Sunil Singhi, Manojkumar Jain, and Sangeeta Jain. They play a crucial role in driving the company’s vision and strategy.
References:
https://vmstmt.com/wp-content/uploads/2025/09/RED-HERRING-PROSPECTUS-VMS-TMT-LTD.pdf
https://www.investorgain.com/gmp/vms-tmt-ipo-gmp/1429/
Author: All Content is verified by SMC Global Securities.
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