A Daman-based PP/HDPE woven-sack maker opens its Rs 49.54 crore BSE SME issue on September 15
Vama Wovenfab Ltd (VWL) operates in the bulk-packaging segment — the strong PP/HDPE woven sacks used to pack and move grain, cement, fertiliser, sugar and chemicals across India.
It is an ISO 9001:2015 certified B2B manufacturer, offering customised bulk-packaging solutions to manufacturers and traders, and additionally trades in plastic granules.
Woven bags and fabrics constitute the core business, with revenue coming mainly from their production and sale.
The product range is specification-driven. VWL makes PP/HDPE woven sack bags and fabric-based products of different weights, sizes and colours per customer specifications — including HDPE trampoline and coloured woven fabric sheets, and loop-handle bags — plus BOPP-laminated variants.
Its manufacturing runs the full conversion cycle: plastic granules are melted, extruded into tapes and woven into fabric for conversion into customised woven bags, with reprocessed (recycled) granules also used to optimise resources.
It incorporates filler additives and masterbatches for processability, colour and durability, plus ancillary inputs (BOPP films, liners, yarn, inks, paper cores) for strength, printability and finishing.
The operating base is a single Daman unit. VWL’s manufacturing facility at Bhimpore, Nani Daman, commenced production in 2013, supported by skilled manpower, in-house quality control and stable power.
It serves customers across food grains, sugar, fertilisers, chemicals and cement, and emphasises long-term relationships, customisation, timely delivery and quality.
The sales network is narrow — a presence in just 3 states and 1 union territory — and customer concentration is extreme, with the top 10 clients accounting for around 94.86% of FY25 sales.
A nearby transportation hub under development (connecting highways and coastal roads) is expected to support expansion into other states. It had 94 employees as of April 30, 2026, and the promoters are Suresh Mohanlal Gupta, Vaibhav Suresh Gupta and family.
Issue Details
| Particulars | Details |
|---|---|
| Issue Opens | September 15, 2026 |
| Issue Closes | September 17, 2026 |
| Listing | BSE SME |
| Listing Date | September 22, 2026 |
| Issue Type | Book Built |
| Price Band | Rs 324 – Rs 341 per share |
| Face Value | Rs 10 |
| Issue Size | Rs 49.54 crore (14,52,800 shares, entirely fresh) |
| Min. Application | 800 shares (2 lots; multiples of 400 thereafter) |
| Min. Retail Investment | Rs 2,72,800 |
| Post-IPO Market Cap | Rs 176.94 crore |
| IPO as % of Post-IPO Capital | 28.00% |
| Lead Manager | Gretex Corporate Services Ltd. |
| Market Maker | Nikunj Stock Brokers Ltd. |
| Registrar | Maashitla Securities Pvt. Ltd. |
The issue is entirely a fresh issue. From the net proceeds, VWL will utilise Rs 26.50 crore for working capital, Rs 7.25 crore for capex on machinery, Rs 1.36 crore for capex on shed construction, and the rest for general corporate purposes. Note that working capital is by far the largest use.
Price Band
At the upper band of Rs 341, on FY26 earnings the issue is valued at a P/E of about 15.33x, with a P/BV of 4.44 on the March 31, 2026 NAV of Rs 76.80 (post-IPO NAV disclosure is missing).
GMP Watch
Grey-market interest has been minimal-to-flat. In tracked data, the Vama Wovenfab IPO GMP hovered around ₹10 (one tracker showing ₹0) — implying a listing gain of only about 3% over the Rs 341 upper band, or none.
Financial Performance
| Particulars (Rs cr) | FY24 | FY25 | FY26 |
|---|---|---|---|
| Total Income | 27.87 | 77.76 | 214.62 |
| Net Profit (PAT) | 2.63 | 6.84 | 11.55 |
| PAT Margin (%) | 9.44 | 8.83 | 5.38 |
| RoCE (%) | 22.44 | 28.83 | 31.94 |
Total income surged nearly 8x from Rs 27.87 crore in FY24 to Rs 214.62 crore in FY26 (up 176% in FY26 alone) — and PAT rose from Rs 2.63 crore to Rs 11.55 crore. PAT margins actually fell as revenue exploded, from 9.44% (FY24) to 5.38% (FY26).
The company reported an average EPS of about Rs 22.88 and a headline-high average RoNW of 48.25% (flattered by a very thin equity base).
Peer Comparison
The offer document lists Aeroflex Neu and Kahan Packaging as peers, trading at P/Es of roughly 985x and 11.2x (as of September 11, 2026). These are wildly divergent and not true comparables.
Risks to Consider
PAT margins compressed from 9.44% to 5.38% suggests much of the growth is low-value granule trading.
Extreme customer concentration is a major concern. The top 10 customers accounted for ~94.86% of FY25 sales — an unusually high dependence, so the loss of even one major client could hit revenue and utilisation severely.
On the cleaner FY25 base the P/E is ~26x, rich for a thin-margin, commoditised woven-sack SME, with no meaningful listed peer to anchor it.
The bulk of proceeds (Rs 26.50 crore) funds working capital, receivables are rising, and borrowings have increased — so this is a cash-hungry model where the raise plugs working capital rather than transforming the business.
Single-location and narrow-network risk. All manufacturing is at one Daman unit (single-location risk), and sales cover just 3 states and 1 UT — a narrow footprint exposed to regional disruption.
Commodity, raw-material and thin-differentiation risks. Woven sacks are near-commodity products where buyers switch on price; margins are exposed to polymer/crude-linked granule prices; and single-use-plastic regulation could affect thin-film products.