VMS TMT IPO

About the company

Incorporated in 2013, VMS TMT Limited manufactures TMT bars, which are the main product of the company, contributing around 97% of its total revenue. These bars are used in building houses, bridges, and other construction projects. Some part of the revenue is also generated from selling items like scrap, billets, and binding wires. It has a factory near Ahmedabad, Gujarat, with almost 95% of the revenue coming from Gujarat itself in the last 3 years. The company is now making TMT bars directly from scrap instead of depending on the billets after adding its continuous casting machine (CCM) division in September 2024. Since 2022, it has operated under the brand name of Kamdhenu, after it had a license agreement with Kamdhenu Limited to sell TMT Bars. In FY25, the company produced 1,26,000 tonnes of TMT bars and 1,60,000 tonnes in FY24. The overall production of TMT bars touches 2,00,000 tonnes every year. In Q1FY26, the capacity utilisation stood at 71.5% and 63% in FY25, a drop from 80% in FY24. The company has installed a 30-ton electric induction furnace, as a part of its backward integration project, producing 2,16,000 tonnes per year for billet making and a 22,000 kVAh power substation. With a network of 3 distributors and 227 dealers, the company's revenue generation comprises 87% from retail customers in June 2024 and around 79% in FY25. The rest proportion is attributed to international sales. The company has a high leverage with a 3.78x debt-to-equity ratio and a 15.9x debt-to-EBITDA ratio. India has witnessed a rise in the demand for steel, growing around 7%. Finished steel consumption increased from approximately 90 million tonnes in FY20 to nearly 128 million tonnes in FY25. This steady rise is on the back of large government infrastructure projects and various schemes like Gati Shakti, Bharatmala, and PMAY. There is a recovery in the demand for real estate, within which residential sales grew more than 15% for FY24 across the top 8 Indian cities and a pick-up in office space absorption. With this, demand for TMT bars has also gone up and is expected to reach 62.5 million tonnes in FY25. All these factors together point to a steady rise in demand for good-quality TMT bars in India. In order to produce steel directly from scrap rather than purchasing billets, the company has also finished a backward integration project that cost roughly ₹117.1 crore. This strategy should increase profits and reduce the cost of raw materials. In collaboration with Prozeal Green Energy Limited, the company is investing approximately ₹46.4 crore to establish a 15 MW solar power plant in Gujarat as part of the state's Renewable Energy Policy 2023 in order to reduce its electricity expenses. The company is well-positioned to profit from the growing demand in the industry because of its strong presence in Gujarat and improved efficiency brought about by these measures. However, its high debt levels remain a key concern for future growth. Now, VMS TMT Ltd is launching its initial public offering (IPO), which consists of a fresh issue worth up to ₹148.50 crore. Its shares will be listed on the NSE and BSE.

Financial performance (₹ Cr)

Subscription breakup (final, times)

IPO Roadmap / Timeline

1. IPO Opens

   Completed
   17 Sept 2025

   Bidding starts for all investor categories

2. IPO Closes

   Completed
   19 Sept 2025

   Last day to place your bid

3. Basis of Allotment

   Completed
   22 Sept 2025

   Share allotment finalised

4. Refund Initiation

   Completed
   23 Sept 2025

   Refunds credited for non-allottees

5. Credit to Demat

   Completed
   23 Sept 2025

   Allotted shares credited to demat account

6. Listing on Exchange

   Completed
   24 Sept 2025

   Shares list on NSE / BSE

Post-close dates are indicative as per SEBI T+3 listing framework and may change per registrar updates.