VMS TMT Limited has announced that ₹11,500 lakhs from the net proceeds of its public issue will be directed towards settling outstanding borrowings. The remaining funds will be allocated to meet general business requirements.
The company’s equity shares are slated for listing on both the BSE Limited and the National Stock Exchange of India Limited. Arihant Capital Markets Limited has been appointed as the Book Running Lead Manager for the public issue.
VMS TMT Limited is engaged in the production of Thermo Mechanically Treated (TMT) Bars, a key material in the construction industry known for its high strength, flexibility, and resistance to corrosion. The company operates its manufacturing facility in Bhayla Village, located near Ahmedabad in Gujarat.
A major portion of the company’s business activity is centered in Gujarat, which contributes over 97.49% of its operating revenue. VMS TMT has concentrated its efforts on the retail market, with more than 77.48% of its revenue generated from this segment during the current financial period.
During the nine-month period ended December 31, 2024, and in Fiscal Years 2024, 2023, and 2022, revenue from the sale of TMT Bars accounted for approximately 90.95%, 94.06%, 96.85%, and 95.86%, respectively, of our total revenue from operations.
In the nine-month period ended December 31, 2024, and in Fiscal 2024, retail sales represented 77.48% and 80.24% of the total revenue from operations, respectively, while institutional sales contributed 22.52% and 19.76%.
Our revenue from operations also includes sales of scrap, binding wires, and billets, which contributed approximately 9.05%, 5.94%, 3.15%, and 4.14% of the total revenue during the nine-month period ended December 31, 2024, and in Fiscal 2024, 2023, and 2022, respectively. We serve a diverse customer base of retail and institutional buyers, primarily located in the State of Gujarat, excluding the Saurashtra and Kutch districts.
Pursuant to a retail licence agreement dated November 7, 2022, with Kamdhenu Limited, we are authorized to market our TMT Bars under the Kamdhenu brand within the State of Gujarat (excluding Saurashtra and Kutch) on a non-exclusive, mutually agreed basis. As of February 28, 2025, we distribute our TMT Bars through a non-exclusive distribution network comprising 3 distributors and 227 dealers.
