Vama Wovenfab
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Vama Wovenfab IPO

IPO Open Now
₹2,59,200
0.5 xOver-subscribed
Bidding Dates 15 Sept, 26 -17 Sept, 26
Min Investment ₹2,59,200
Lot Size400
Price Range ₹324 – ₹341
Issue Size ₹49.54 Cr.
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IPO Subscription Details
Retail Subscription Details
0.29 x
Non-Institutional Buyers (sHNI)
0.28 x
Non-Institutional Buyers (bHNI)
1.78 x
Qualified Institutional Buyers (QIB)
1 x
Total
0.5 x
IPO Timeline
IPO Offer Start
15 Sept,26
IPO Offer Ends
17 Sept,26
Allotment Finalisation
18 Sept,26
Refund Initiation
21 Sept,26
Listing of Shares
22 Sept,26

IPO Analysis

Strengths
Strenghts

The company has established enduring, trust-based relationships with both customers and suppliers, ensuring consistent raw material supply, stable production, and reliable product delivery.

Strenghts

The company centers on truly understanding customer needs through close collaboration before production begins, with all departments aligning their efforts around customer priorities to minimize errors and reduce waste.

Strenghts

The company strictly adheres to planned schedules for production and dispatch, ensuring timely delivery of orders through proactive monitoring and prompt scheduling.

Risks
Risk

The company derives a substantial portion of its revenues from limited buyers, with the top customer contributing 63.68% of revenue in FY 2026. This concentration in a commoditized, price-sensitive market exposes the company to significant cyclicality, demand volatility, and customer attrition risks that could materially impact revenues and profitability.

Risk

The company operates without long-term agreements with customers, relying solely on purchase orders that provide no assurance of minimum offtake or fixed pricing. In the commoditized woven packaging industry, this exposes the company to potential revenue losses from customers shifting to competitors offering more favorable terms.

Risk

The company's manufacturing operations depend heavily on polypropylene (PP) and high-density polyethylene (HDPE) granules, which are petroleum-derived products with prices directly linked to crude oil fluctuations. Industry reports indicate price swings of 20-40% within short durations, which could compress margins and adversely affect profitability.

Objectives

The company proposes to construct the remaining portion of the first floor to accommodate increased space requirements for additional machinery and enhanced production capacity. This expenditure will facilitate enhanced manufacturing operations and modernization on the first floor to accommodate new machinery and operational requirements enabling higher production volumes to meet growing customer demand.

The company plans to expand production by installing circular looms, cheese winders, and cheese pipers to significantly boost fabric production and maximize utilization of installed capacity. This capacity expansion will maximize utilization, streamline manufacturing, reduce costs through automation, and enable the company to meet growing market demand.

The company requires funds to meet its working capital requirement for its operations. The working capital needs of the company are expected to reach a significant amount in FY 2026-27, with a portion expected to be utilized from the Net Proceeds of this Offer and balance to be met from internal accruals and borrowings.

The company intends to deploy the balance Net Proceeds for general corporate purposes including strategic initiatives, brand building and strengthening of marketing activities, and on-going general corporate exigencies or any other purposes as approved by the Board subject to compliance with necessary regulatory provisions.

Yearly Financial Results

Annual Financials
Mar 2024
Mar 2025
Mar 2026
Revenue
27.87
77.45
214.62
Expenses
24.38
68.84
199.28
Other Income
0.01
0.31
0.00
Total Revenue
27.87
77.76
214.62
Profit Before Tax
3.49
8.92
15.33
Net Profit
2.63
6.84
11.55

Balance Sheet

Balance Sheet
Mar 2024
Mar 2025
Mar 2026
Total Assets
37.14
67.47
74.18
Current Assets
32.39
59.38
66.48
Fixed Assets
4.75
8.09
7.70
Total Equity & Liabilities
37.14
67.47
74.18
Total Liabilities
28.09
50.33
45.48
Current Liabilities
26.25
47.18
42.89
Non Current Liabilities
1.84
3.14
2.59
Total Equity
9.05
17.15
28.69

Cash Flow

Cash Flow
Mar 2024
Mar 2025
Mar 2026
Net Cash Flow
0.15
-0.02
0.32
Investing Activities
-0.36
-3.56
-0.12
Operating Activities
6.93
-2.33
-6.31
Financing Activities
-6.42
5.87
6.75

About Vama Wovenfab

Vama Wovenfab Limited is an ISO 9001:2015 certified company primarily engaged in manufacturing and selling Polypropylene (PP)/ High Density Polyethylene (HDPE) Woven Sack Bags & Fabric based products of different weight, sizes and colours as per customer specifications. The company offers customised bulk packaging solutions to business-to-business (B2B) manufacturers catering...more
Managing DirectorMr. Saurabh Suresh Gupta