Vedant Poly Fabs
What they do: The company manufactures customer-specified flexible packaging, including multilayer films, printed laminates and pouches, and sells directly to business customers. It also earns trading revenue from billet strips supplied on a bill-to-ship basis.
By IPO Milega Research · Published
FY2026 revenue was ₹115.14 crore and net profit was ₹10.97 crore.
- GMP (unofficial)
- +0%
- ₹0 a share
- Opens
- 2 Nov
- in 5 days
- Min. investment
- ₹2,25,600
- 2400 shares
GMP is an unofficial grey market indication. GMP updated 28 Oct, 20:05 IST.
- Price band
- ₹88-94
- Lot size
- 2400 shares
- Min. investment
- ₹2,25,600
- Issue size
- Approx 56.68 Crores
- Open2 Nov 2026
- Close4 Nov 2026
- Allotment5 Nov 2026
- Listing9 Nov 2026
Overview
₹94 (+0.00%)
GMP trend
Unofficial grey market quotes, times in IST
Where the money goes
- To the company
- ₹51.01 Cr
- Fresh issue
- To selling shareholders
- ₹5.67 Cr
- Offer for sale
- Funding incremental working capital requirements of the Company₹17.59 Cr47%
- Prepayment or Repayment of all or a portion of certain secured or/and unsecured outstanding borrowings availed by the company₹8 Cr21%
- Funding Capital Expenditure for purchase and installation of Plant and Machinery at its existing manufacturing facility₹6.51 Cr17%
- General Corporate PurposesNot stated
- To meet the offer related expensesNot stated
- Offer for sale: goes to selling shareholders₹5.67 Cr15%
Outer ring: estimated gain
How the score adds up
The overall score is the average of these five, nudged by QIB demand once bidding closes.
- Financials7.0
- Performance8.0
- Flexibility6.0
- Timing5.0
- Risk4.0
Rapid revenue and profit growth, improving margins and rising capacity utilization support positive fundamentals. High customer, supplier and geographic concentration, substantial working-capital needs and borrowings temper the upside.
Strengths5
- Expanded product offerings from printed LD products to milk and oil rolls, printed laminates and aluminium foil laminates.
- Added lamination, slitting and pouching machinery in March 2026; overall installed capacity increased from 68.5 lakh kg to 88.5 lakh kg.
- Raised overall capacity utilization from 35.75% in FY2024 to 71.64% in FY2026.
- Operates an integrated manufacturing process with owned printing, extrusion, lamination, slitting and pouching equipment, plus an eight-vehicle delivery fleet.
- Holds ISO 9001:2015, ISO 22000:2018 and HACCP certifications, subject to annual surveillance.
Concerns5
- Top 10 suppliers accounted for 90.16% of purchases, creating supply continuity and bargaining risks.
- Top 10 customers generated 69.44% of sales, while West Bengal accounted for 96.80% of revenue, concentrating demand geographically and among buyers.
- Raw materials represented 77.90% of operating revenue, exposing margins to price fluctuations.
- Net working capital rose to ₹4,626.89 lakh in FY2026; operating and investing cash flows were negative, and the cash ratio was 0.17.
- Reliance on verbal orders, customer collections and inventory management may make production planning and cash flows less predictable.
Who gets shares
- QIB50%
- NII15%
- Retail35%
- Retail Minimum2,25,6002 lots, 2400 shares
- Retail Maximum2,25,6002 lots, 2400 shares
- S-HNI Minimum3,38,4003 lots, 3600 shares
- S-HNI Maximum9,02,4008 lots, 9600 shares
- B-HNI Minimum10,15,2009 lots, 10,800 shares
| Application | Lot size | Shares | Amount |
|---|---|---|---|
| Retail Minimum | 2 | 2400 | 2,25,600 |
| Retail Maximum | 2 | 2400 | 2,25,600 |
| S-HNI Minimum | 3 | 3600 | 3,38,400 |
| S-HNI Maximum | 8 | 9600 | 9,02,400 |
| B-HNI Minimum | 9 | 10,800 | 10,15,200 |
Timing
5.0/10The issue size is modest and the offer is fully underwritten, which supports execution. However, the company has no independent appraisal of the offer objects, and the recent governance transition provides limited evidence of an established public-market track record. The available information gives no clear signal on sector demand or broader market conditions, so timing appears neutral rather than clearly favorable or unfavorable.
- Time to market
- The issue is structured for the NSE Emerge platform, with book building and full underwriting. The information does not show a specific market catalyst or demand trend that would make this an especially timely issue.
- How allotment works
- Basis of allotment finalized and shares credited to demat
- Market timing
- Neutral
- Time to market
- 5.0
- Listing on
- NSE SME
Key milestones
- 2 Nov 2026IPO Opens
- 4 Nov 2026IPO Closes
- 5 Nov 2026Basis of Allotment
- 6 Nov 2026Refunds Initiated
- 6 Nov 2026Credit to Demat Account
- 9 Nov 2026Listing Date
Financials
7.0/10- Revenue
- ₹115 Cr
- +41.3%
- Profit after tax
- ₹10.97 Cr
- +140.6%
- Net margin
- 9.5%
- +3.9 pts
- Assets
- ₹97.8 Cr
- +76.5%
- Return on equity
- 38.03%
- Current ratio
- 6.30
- Revenue CAGR
- 52.46%
- ROCE
- 46.34%
- Return on net worth
- 25.95%
- NAV per share (₹)
- 28.70
Financial performance trend
Amount ₹ in croresFY2026 revenue was ₹115.14 crore and net profit was ₹10.97 crore. Revenue and profitability grew sharply over FY2024–FY2026, with improving margins. Geographic concentration in West Bengal and borrowings used for working capital remain considerations.
FY2026 bank borrowings were ₹31.25 Cr. The IPO allocates ₹8 Cr to prepay or repay outstanding borrowings. Borrowings are also planned to fund working capital, so debt remains relevant.
Fresh issue goes to the company. OFS goes to the selling shareholders.
One selling shareholder is offering up to 605,760 shares; the identity and promoter status are not specified. The OFS amount is undisclosed.
Fresh issue proceeds are allocated to working capital (₹17.593 Cr), repayment of borrowings (₹8 Cr), plant and machinery (₹6.513 Cr), offer expenses and general corporate purposes. The selling shareholder receives the OFS proceeds; the reason for selling is not stated.
Risk
4.0/10Read this score as a safety rating: 10/10 means the lowest risk, 1/10 the highest.
Where the risks sit
- Financial risks3
- Market risks3
- Operational risks3
- Regulatory risks3
Supplier, customer and regional concentration, volatile input costs and weak cash generation create material business and liquidity risks; disclosed litigation is limited and mostly personal tax matters.
How the company offsets these
The promoter’s ₹0.04 lakh tax demand has been paid; director tax demands have been disputed. No company litigation, EPFO or ESIC dues, or creditor payment disputes are reported.
Financial risks3
- High working-capital requirements, negative operating and investing cash flows, and a 0.17 cash ratio.
- Input-cost volatility may pressure margins; customer collection and inventory management may affect liquidity.
- Outstanding dues to material creditors were ₹105.88 lakh, with total creditor dues of ₹167.93 lakh.
Market risks3
- Customer and geographic concentration expose sales to changes in a limited customer base and the West Bengal market.
- Economic slowdowns, inflation, wage growth, unrest, infrastructure disruption and foreign-investment restrictions could affect demand, costs or financing.
- The shares have no prior trading market and may be volatile or illiquid; listing delays, suspension or dilution may affect investors.
Operational risks3
- Supplier concentration and reliance on verbal orders create supply and order-visibility risks.
- Customer concentration, collection delays and inventory-management challenges may disrupt operations and cash flows.
- Public-company compliance demands may strain resources.
Regulatory risks3
- Changes in tax, GST, competition, wage and other Indian laws, including future IFRS convergence, may raise compliance costs, penalties or change reported results.
- Labour, plastic-waste and statutory compliance requirements create exposure; prior EPF, ESIC and GST filing delays are cited.
- A promoter’s ₹0.04 lakh tax demand was paid but remained visible on the portal; a director’s three personal tax demands totalling ₹1.54 lakh remain pending after responses disputing them.
Performance
8.0/10Vedant Poly Fabs has recorded rapid revenue and profit growth, higher margins and rising overall capacity utilization across FY2024–FY2026. Its B2B model combines in-house film production, printing, lamination and converting with direct customer engagement. Execution is supported by recent capacity additions, owned logistics and in-house quality testing. Growth is offset by substantial dependence on West Bengal, rising supplier concentration and limited disclosed information on management experience.
- Historical growth
- Revenue grew from ₹4,953.46 lakh in FY2024 to ₹8,102.12 lakh in FY2025 and ₹11,513.91 lakh in FY2026. This represents a two-year CAGR of about 52%. EBITDA increased from ₹128.59 lakh to ₹1,917.69 lakh, while PAT rose from ₹63.59 lakh to ₹1,096.62 lakh., Revenue growth was 63.56% in FY2025 and 42.11% in FY2026. EBITDA margin rose from 2.60% to 9.56% and 16.50%; PAT margin increased from 1.28% to 5.63% and 9.52%.
- Market comparison
- The company identifies B & A Limited and Barflex Polyfilms Limited as competitors. No comparable financial, scale or market-share data is given, so relative performance cannot be assessed. Vedant Poly Fabs serves customers directly and recorded rapid growth, while 96.80% of FY2026 revenue came from West Bengal.
- Future potential
- No company-specific numerical forecast is stated. The newer converting equipment, overall utilization of 71.64% and product customization provide scope to use available capacity and serve additional orders. Growth will depend on demand, execution and management of geographic and supplier concentration.
- Operational consistency
- The three-year record shows consistent top-line growth and positive EBITDA and PAT, alongside rising utilization. Product-level utilization varied: lamination and printed plastics improved, while milk film and shrink film utilization declined in FY2026. Dependence on one state and higher purchase concentration temper the assessment.
- Experience
- The company has operated since 2018 and established internal sales, design, production, dispatch and logistics teams. The supplied business information does not specify the directors’ or senior managers’ individual experience or tenure.
- Track record
- The company expanded its product range and manufacturing capacity while increasing revenue, profitability and capacity utilization. These results indicate improving operating execution, though supplier concentration increased, with the top five suppliers accounting for 79.32% of purchases in FY2026.
Key achievements
- 01Expanded product offerings from printed LD products to milk and oil rolls, printed laminates and aluminium foil laminates.
- 02Added lamination, slitting and pouching machinery in March 2026; overall installed capacity increased from 68.5 lakh kg to 88.5 lakh kg.
- 03Raised overall capacity utilization from 35.75% in FY2024 to 71.64% in FY2026.
- 04Operates an integrated manufacturing process with owned printing, extrusion, lamination, slitting and pouching equipment, plus an eight-vehicle delivery fleet.
- 05Holds ISO 9001:2015, ISO 22000:2018 and HACCP certifications, subject to annual surveillance.
Flexibility
6.0/10The company adjusts products to customer specifications and sells across several industries and Indian states. However, 96.8% of Fiscal 2026 revenue came from West Bengal, and it has no online sales channel.
Revenue rose from ₹4,953.46 lakhs in Fiscal 2024 to ₹11,513.91 lakhs in Fiscal 2026, while EBITDA margin increased from 2.60% to 16.50%. Working-capital requirements also rose to ₹4,626.89 lakhs in Fiscal 2026, and bank borrowings were ₹3,124.94 lakhs, indicating continued funding needs.
In-house extrusion, printing, lamination, slitting and pouching, customer-specific production, and an owned transport fleet support coordination and order flexibility. Capacity utilization was 71.64% in Fiscal 2026, with recent machinery additions expanding capacity. Operations remain concentrated at one facility.
Vedant Poly Fabs has demonstrated product and capacity expansion, customer-specific manufacturing and improving profitability. Its adaptability is tempered by high working-capital needs, reliance on one manufacturing site and strong revenue concentration in West Bengal.
- Product diversification
- Products include multilayer LD films, printed plastics and laminates, aluminium foil laminates, milk and oil packaging, shrink films and pouches. Product additions since 2023 broadened the range, while lamination represented 59.22% of Fiscal 2026 revenue.
- Future adaptability
- Further growth may be supported by newly added machinery, available capacity and customer-led product development. IPO proceeds are planned for working capital, debt repayment and plant and machinery. Adaptability will depend on managing rising working-capital needs, expanding beyond West Bengal and using additional capacity effectively.
The data on this page has been reviewed manually by the IPO Milega research team. It is not investment advice, and IPO Milega accepts no responsibility for losses arising from any investment decision. Investments in the securities market are subject to market risks. Read all the related documents, including the full prospectus, carefully before investing.