Varmora Granito IPO: ₹708 Crore Issue Opens Next Week

The Varmora Granito initial public offering (IPO) will open for subscription on 22 September 2026. The ₹708.02-crore public issue will remain open until 24 September.

The book-built issue consists of a fresh issue of 2.16 crore shares worth ₹320 crore. It also includes an offer for sale (OFS) of 2.62 crore shares valued at ₹388.02 crore.

Varmora Granito IPO: Key Dates, Price Band And Lot Size

Bidding for the Varmora Granito IPO will begin on 22 September and end on 24 September. The share allotment is expected to be completed on 25 September.

The company's shares are likely to be listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) on 29 September. The IPO has a price band of ₹140-₹148 per share. The lot size has been fixed at 101 shares.

Retail investors will need a minimum of ₹14,948 to apply for one lot at the upper end of the price band. Under the reservation structure, qualified institutional buyers (QIBs) can be allocated up to 50% of the offer. Retail investors are entitled to at least 35%, while non-institutional investors (NIIs) have a minimum reservation of 15%.

JM Financial, Goldman Sachs (India) Securities and SBI Capital Markets are the book-running lead managers. KFin Technologies is the registrar for the issue.

Varmora Granito Business And Financial Performance

Established in 2003, Varmora Granito manufactures and markets ceramic and vitrified tiles. Its portfolio includes Glazed Vitrified Tiles (GVT), Polished Vitrified Tiles (PVT) and ceramic tiles.

GVT and technical tiles contributed around 84% of the company's tile revenue in FY2026. The company has eight manufacturing units in Gujarat's Morbi cluster.

In-house manufactured products generated 81.72% of its FY2026 revenue. Varmora has also adopted Integrated Stone Technology (IST) through a technology partnership with Italy-based SACMI.

The company has 305 exclusive brand outlets and 2,758 multi-brand outlets across India and international markets. Its B2B customers include builders, contractors, developers and government organisations.

Financial Performance

Varmora also has 16.22 MW of renewable energy capacity from wind and solar projects. The company's total income increased to ₹1,562.53 crore in FY2026 from ₹1,492.68 crore in FY2025. Profit after tax rose to ₹55.09 crore from ₹30.77 crore during the same period.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased to ₹221.56 crore in FY2026 from ₹198.29 crore in FY2025. It stood at ₹150.33 crore in FY2024. Net worth rose to ₹796.88 crore in FY2026 from ₹722.90 crore a year earlier. Reserves and surplus increased to ₹765.70 crore from ₹691.72 crore.

Total borrowings declined to ₹357.95 crore in FY2026 from ₹505.16 crore in FY2025. As of 31 March 2026, total assets stood at ₹1,509.87 crore. This compares with ₹1,589.80 crore as of 31 March 2025.

How Varmora Granito Plans To Use IPO Proceeds

The company intends to use most of the net proceeds from the fresh issue to repay or prepay outstanding borrowings. The funds will also be used to pay accrued interest on these borrowings.

The borrowings include loans taken by Varmora Granito and its wholly owned subsidiaries, Covertek Ceramica Pvt. Ltd. and Varmora Sanitarywares Pvt. Ltd. The company also plans to address the borrowings of its subsidiary, Simola Tiles LLP, through investments in its subsidiaries.

The remaining IPO proceeds will be used for general corporate purposes.

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