Tiles and bathware maker Varmora Granito Ltd has filed draft papers with the markets regulator SEBI seeking its go-ahead to mobilise funds through an Initial Public Offering (IPO).
The proposed IPO is a combination of fresh issue of shares worth ₹400 crore and Offer for Sale (OFS) of ₹5.24 crore equity shares by promoters and an investor Kastura Investments, according to the Draft Red Herring Prospectus (DRHP) filed on Thursday.
The Rajkot-based company plans to use ₹320 crore to repay its borrowings, ₹280 crore to clear the borrowings of its subsidiaries — Covertek Ceramica, Varmora Sanitarywares and Simola Tiles — and the remaining ₹40 crore for general corporate purposes.
Varmora Granito offers a wide range of high-quality, durable and stylish tiles, including glazed vitrified, polished vitrified and ceramic tiles.
As of March 31, 2025, its portfolio featured over 3,500 SKUs across 20 surface types for uses such as flooring, walls, back panels, facades and kitchen slabs.
In FY 2025, it introduced marble-look products in four surface finishes using integrated stone technology. Its products are sold through a multi-channel network, including 286 exclusive brand outlets, over 2,000 multi-brand outlets and B2B channels such as builders, contractors, developers and government projects. The company has nine manufacturing facilities in the Morbi cluster in Gujarat.
JM Financial, Goldman Sachs (India) Securities and SBI Capital Markets have been appointed as lead managers to manage Varmora Granito’s maiden public issue.
Published on August 8, 2025
