Tag: Varmora Granito

  • Varmora Granito Targets Rs. 100 Crore Faucet Acquisition Post-IPO

    Varmora Granito Targets Rs. 100 Crore Faucet Acquisition Post-IPO

    Varmora Granito Opens Rs. 708 Crore IPO

    Varmora Granito, a ceramic and vitrified tiles manufacturer, has launched its initial public offering (IPO) worth Rs. 708.02 crore. The company aims to use the proceeds to reduce debt and expand its building materials business. The IPO, which opened on September 22, 2026, combines a fresh issue of Rs. 320 crore with an offer for sale of Rs. 388.02 crore. The price band is set at Rs. 140 to Rs. 148 per share.

    Debt Repayment Strategy

    The company plans to allocate Rs. 245 crore from the fresh issue to repay borrowings and accrued interest. CFO Bhavesh Koshti stated that Varmora Granito currently has approximately Rs. 240 crore of net debt, which will be largely cleared post-IPO, allowing the company to become net cash positive. The company had invested around Rs. 450 crore in two manufacturing plants over the past two years, leading to increased inventory and working capital pressure, but inventory levels have since declined.

    Premium Tiles Driving Growth

    Varmora Granito operates eight manufacturing facilities in Morbi, Gujarat, with a total tile production capacity of 50.6 million square metres, currently utilised at about 72%. The company sold 38.34 million square metres of tiles in FY26, up from 36.12 million in FY24. Glazed vitrified tiles (GVT) have become the main growth category, contributing 84% of revenue, up from 57% three years ago. GVT volumes grew at an annual rate of 12% between FY23 and FY25.

    Faucet Acquisition and South India Expansion

    Chairman and Managing Director Bhavesh Varmora revealed plans to acquire a faucet manufacturing business with an annual turnover capacity of about Rs. 100 crore. The company currently manufactures sanitaryware but outsources faucets for its bathware division. “We have identified the targets. We are working on it. It will take another two quarters,” Varmora said. Additionally, the company is considering a joint venture in South India, following a similar arrangement in the northeast.

    IPO Subscription and Analyst Views

    As of September 22, the IPO received bids for 0.08 times the shares available. Retail investors subscribed 0.14 times their allocated portion, while non-institutional investors subscribed 0.03 times. Brokerages offered mixed reviews: Ventura gave a ‘Subscribe’ rating, citing premium products and wider distribution, while Swastika assigned a ‘Neutral’ rating due to limited valuation support for short-term listing gains. The minimum retail investment is Rs. 14,948 for 101 shares. Allotment is expected on September 25, with listing on NSE and BSE on September 29.

  • 5 New IPOs Debuting This Week in India: Key Dates, Price Bands, and Issue Sizes

    5 New IPOs Debuting This Week in India: Key Dates, Price Bands, and Issue Sizes

    India’s primary market is heating up with five initial public offerings scheduled to open between September 22 and 24. The companies span sectors including tiles, IT services, education infrastructure, power EPC, and steel, offering investors a diverse set of opportunities.

    Varmora Granito IPO

    Varmora Granito kicks off the week with its ₹708.02-crore issue from September 22 to 24. The price band is set at ₹140–₹148 per share, with a lot size of 101 shares, requiring a minimum investment of ₹14,948 at the upper end. The issue comprises a ₹320-crore fresh issue and a ₹388.02-crore offer for sale. The Gujarat-based company manufactures ceramic and vitrified tiles along with related surface products. Listing is expected on September 29.

    ArMee Infotech IPO

    Ahmedabad-based ArMee Infotech opens its ₹300-crore IPO on September 23, closing on September 25. The price band is ₹350–₹375 per share, with a minimum lot of 40 shares (₹15,000 at the upper band). Proceeds will fund business expansion, working capital, and debt repayment. The company provides IT infrastructure and managed services and has expanded into renewable-energy EPC and battery storage.

    Elevate Campuses IPO

    Elevate Campunes brings the week’s largest issue at ₹2,100 crore. The IPO runs from September 23 to 25, with a price band of ₹343–₹362 and a lot size of 41 shares. The education infrastructure company owns and manages student accommodation tied to higher-education institutions and K-12 assets. It plans to use ₹1,100 crore for acquisitions and ₹750 crore for debt repayment.

    Swastika Infra IPO

    Swastika Infra’s ₹160.87-crore IPO also opens on September 23 and closes on September 25. The price band is ₹175–₹185, with a lot size of 81 shares (₹14,985 at the upper end). The issue includes a fresh component of ₹128.50 crore and an OFS of ₹32.38 crore. The power transmission and distribution EPC company has 18 ongoing projects and an unexecuted order book of ₹916.55 crore as of July 2026.

    A-One Steels IPO

    A-One Steels India enters the market on September 24, with its ₹405-crore IPO closing on September 28. The price band is ₹385–₹405, with a lot size of 37 shares (₹14,985 at the upper band). The issue comprises ₹355 crore of fresh shares and ₹50 crore via OFS. The company manufactures long and flat steel products across six units in Karnataka and Andhra Pradesh, with ₹250 crore of proceeds earmarked for debt repayment.

    With five IPOs opening over three consecutive days, investors have multiple offerings to evaluate. Each company has a distinct business model and use of proceeds, underscoring the need for thorough due diligence before investing.