Upcoming IPO: VMS TMT gets SEBI nod to launch IPO

Mint

7 days ago

VMS TMT Limited has been issued final observation by the Securities and Exchange Board of India (SEBI), allowing them to raise funds through an initial public offering (IPO). The company submitted its IPO documents to SEBI on March 27, 2025.
The initial public offering includes a completely fresh issue of 1.5 crore equity shares, according to the draft documents submitted on March 27, 2025.
Previously, on September 27, 2024, the firm had submitted draft documents for an IPO of the same size but subsequently retracted that draft on October 23.
The company based in Gujarat intends to allocate ₹ 115 crore from the net proceeds of the IPO for debt repayment, with the remainder designated for general corporate uses.
Promoters possess a 96.28% ownership in VMS TMT. The other 3.72% of shares are held by public shareholders, which include Chanakya Opportunities Fund I and Kamdhenu. Arihant Capital Markets has been designated as the sole book running lead manager for managing the public issue.
VMS TMT Limited specialises in the production of Thermo Mechanically Treated Bars (TMT Bars), with its manufacturing plant situated in Bhayla Village, Ahmedabad, Gujarat. TMT Bars are known for their high strength and are widely utilized in the construction sector because of their superior strength, flexibility, and resistance to corrosion.
The company primarily operates in the State of Gujarat, with over 97.49% of its operational revenue derived from this region. VMS TMTL Limited has strategically emphasized the retail sector, which accounts for more than 77.48% of its current revenue from operations.
The company promotes and sells TMT bars under the Kamdhenu brand name. At present, VMS TMT boasts a strong distribution network that includes 3 distributors and 227 authorized dealers. This network effectively spans key areas throughout Gujarat, omitting the Saurashtra and Kutch regions.
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