Summary
VMS TMT IPO Day 2 LIVE: Soaring Investor Demand Signals Powerful 22% Listing Pop — Is It the Right Time to Apply? The much-anticipated VMS TMT Limited IPO has entered its second day of bidding with an overwhelming response from investors. Backed by strong fundamentals, robust customer relationships, and a buzzing grey market premium (GMP) signaling a 22% listing gain, the IPO is creating a stir among retail and institutional investors alike. With the issue already subscribed multiple times, many market watchers are asking: is now the perfect time to apply?
Stellar Subscription Numbers Fuel Market Excitement
The VMS TMT IPO has seen extraordinary demand since opening. According to BSE data, the public offer received bids for a whopping 10.33 crore shares against just 1.23 crore shares on offer by the end of Day 1 — translating to a solid 8.40 times subscription.
On Day 2, the momentum has only strengthened. By midday, the IPO had been subscribed 13.7 times overall, with individual quotas performing impressively:
- QIBs (Qualified Institutional Buyers): 7.21x
- NIIs (Non-Institutional Investors): 22.09x
- Retail Investors: 12.00x
Such aggressive bidding across categories showcases the market’s strong confidence in the company’s growth story.
GMP Signals 22% Listing Gain — Strong Sentiment Ahead
Adding to the buzz, the VMS TMT IPO grey market premium (GMP) is holding steady at ₹22. Considering the upper price band of ₹99, this implies a potential listing price of ₹121, translating into a 22.22% listing gain.
This consistent GMP trend indicates strong demand even in the unofficial market and fuels optimism that the IPO may list at a premium, rewarding early investors handsomely.
Company Strengths: Solid Foundation for Long-Term Growth
VMS TMT Limited is a leading manufacturer of Thermo Mechanically Treated (TMT) bars based in Bhayla Village, Ahmedabad, Gujarat. Known for their high strength, ductility, and corrosion resistance, VMS TMT bars are widely used in the construction sector for structural reinforcement.
Some key milestones highlighting the company’s growth journey include:
- 2013: Incorporated as VMS TMT Private Limited
- 2019: Crossed ₹100 crore turnover
- 2021: Established advanced manufacturing facility at Bhayla Village
- 2023: Crossed ₹500 crore turnover and transitioned to a public limited company
- 2024: Commissioned and commenced operations of a Continuous Casting Machine (CCM) plant
VMS TMT currently serves a diverse network of 3 distributors and 227 dealers across Gujarat and enjoys long-term relationships with several major customers. Notably, four of its top ten clients have been associated with the company for over three years, demonstrating strong customer retention.
Efficient Operations and Strategic Edge
The company uses a fleet of 50+ trucks operated via third-party logistics partners to ensure timely deliveries, offering doorstep supply to both retail and institutional buyers.
It sources scrap and billets from both domestic and international suppliers (including Hong Kong, UAE, Kuwait, Australia, and Singapore). As of June 2025, nearly 80% of raw materials were sourced domestically, primarily from Gujarat, which helps keep costs competitive and margins steady.
IPO Objective and Fund Utilisation
The net proceeds from the IPO will be utilised for:
- Repayment or prepayment of certain borrowings
- General corporate purposes
This move is expected to strengthen the balance sheet and fuel the next leg of expansion.
Bottom Line: Should You Apply?
With stellar subscription figures, a solid operational foundation, strong customer ties, and a healthy GMP indicating 22% listing gains, the VMS TMT IPO appears promising for investors seeking listing gains as well as long-term potential.
However, as with any market investment, investors should assess their risk appetite and financial goals before applying.
Note: All information and images used in this content are sourced from Google. They are used here for informational and illustrative purposes only.
Frequently Asked Questions (FAQ) on VMS TMT IPO Day 2
Q1. What is the current subscription status of the VMS TMT IPO?
As of the second day, the VMS TMT IPO has been subscribed about 15.9 times, indicating strong demand from all categories of investors.
Q2. How was the response on Day 1 of the VMS TMT IPO?
On Day 1, the IPO was subscribed 8.40 times overall, with retail investors at 6.56x, NIIs at 13.78x, and QIBs at 7.09x.
Q3. What is the current grey market premium (GMP) for the VMS TMT IPO?
The GMP is around ₹22, which signals a potential 22% listing gain over the upper price band of ₹99.
Q4. When is the last date to apply for the VMS TMT IPO?
Investors can apply for the IPO until Friday, which is the final day of bidding.
Q5. How much money was raised from anchor investors in the VMS TMT IPO?
The company raised about ₹26.73 crore from anchor investors by allotting 27,00,000 equity shares at ₹99 per share.
Q6. What will the company use the IPO proceeds for?
The funds will be used for repayment or prepayment of borrowings and for general corporate purposes.
Q7. What are some major milestones achieved by VMS TMT?
Key milestones include incorporation in 2013, crossing ₹100 crore turnover in 2019, setting up a factory in 2021, crossing ₹500 crore turnover in 2023, and commissioning a Continuous Casting Machine plant in 2024.
Q8. Where does VMS TMT source its raw materials from?
VMS TMT sources its raw materials both domestically (mainly from Gujarat) and internationally from countries like Hong Kong, UAE, Kuwait, Australia, and Singapore.
Q9. How extensive is VMS TMT’s distribution network?
As of July 31, 2025, the company has 3 distributors and 227 dealers, primarily operating across Gujarat (excluding the Saurashtra and Kutch districts).
Q10. Should investors consider applying for the VMS TMT IPO?
With strong subscription figures, positive GMP, and solid fundamentals, the IPO appears promising, though investors should assess their risk profile before investing.