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Aritas Vinyl IPO Details
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Schedule of Aritas Vinyl IPO
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End date
Allotment of bids
Refund Initiation
Listing on exchange
About Aritas Vinyl IPO
The IPO of Aritas Vinyl Ltd comprises a fresh issue of up to 70,00,000 equity shares. It also has an offer for sale of up to 9,84,400 equity shares. The company is engaged in manufacturing of technical textile, such as ―Artificial leather‖ also known as PU Synthetic leather and PVC-coated leather.
Objectives of Aritas Vinyl IPO
- Capital expenditure for solar power project
- Working capital
- General corporate purpose
Aritas Vinyl IPO Valuation
| Detail | Information |
|---|---|
Upper Price Band | TBA |
Fresh Issue | Up to 70,00,000 equity shares |
Offer for Sale | Up to 9,84,400 equity shares |
EPS in ₹ for FY 24 | 6.66 |
Aritas Vinyl IPO Offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs | Not more than 50% of the offer |
Non-institutional Investors | Not less than 15% of the offer |
Retail Individual Investors | Not less than 35% of the offer |
Industry Outlook
The leather industry has a significant impact on the Indian economy. It is among the top ten foreign exchange earners in the country. Indian cattle & buffalo population accounts for 20% and the goat & sheep population of the country accounts for 11% of the world‘s total. This places it in a dominant position in terms of affluent raw material availability.
India exports leather to more than 50 countries. USA, Germany, the UK, Italy, France, Spain, Netherlands, China, Belgium, UAE, Australia, Poland, Hong Kong, Denmark, Canada, Vietnam, and Portugal are among the top importers of leather and leather products from India. The top 15 countries together account about 78.77% of India‘s total leather & leather products export during April-December 2024 with export value of US$ 2.87 billion.
Company Information
Aritas Vinyl Ltd is engaged in manufacturing of technical textile, such as ―Artificial leather‖ also known as PU Synthetic leather and PVC-coated leather, using the latest technology known as Transfer Coating Technology. The company’s manufacturing facility has an installed production capacity of around 7.8 million meters per year, allowing it to effectively meet a wide range of client demands.
Aritas Vinyl IPO Strengths
- Quality and customisation
- Experienced promoters with sound market knowledge
- Fully integrated manufacturing plant set up at a strategic location
- Enhanced production capacity within a span of three years
- Long-standing relationship with customers from diverse industry
Risks of Aritas Vinyl IPO
- Limited operating history in manufacturing
- Delays in placing orders or issues with vendors for the proposed solar power project may lead to increased costs and project delays
- Manufacturing units are subject to inspection under the GPCB
- Subject to strict compliance of the quality and use of its products
- Regulatory restrictions on artificial leather
All Financial Information about Aritas Vinyl
Comparison with peers
| Company | Total Income (in ₹crore) | EBITDA Margin (in %) | Return on Equity (in %) |
|---|---|---|---|
Aritas Vinyl Ltd | 69.2493 | 6.72 | 32.31 |
Mirza International Ltd | 602.72 | 8.93 | 2.97 |
Amin Tannery Ltd | 47.0938 | 6.27 | 3 |
Anchor Investor Bidding Date TBA
IPO Registrar and Book Running Lead Manager
- IPO Registrar: Bigshare Services Pvt Ltd
- Book Running Lead Manager: Interactive Financial Services Ltd
Aritas Vinyl Business Model
Aritas Vinyl Ltd is engaged in the manufacturing of technical textiles, such as Artificial leather and PVC coated leather. PVC leather, also known as polyvinyl chloride leather, is a type of synthetic leather made by coating a fabric typically polyester or cotton—with a layer of PVC (polyvinyl chloride) offering a soft, flexible, and alternative to genuine leather. It’s designed to mimic the appearance and feel of genuine leather offering a range of additional benefits that make it ideal for various commercial and industrial applications.
Aritas Vinyl Company Growth Trajectory
The total income of Aritas Vinyl Ltd grew from ₹30.4959 crores in FY 22 to ₹69.2463 crores in FY 24, while profit after tax grew from ₹0.8243 crores in FY 22 to ₹1.6650 crores in FY 24. Enhanced production capacity coupled with long standing relationships with customers has helped the company grow over the years.
Aritas Vinyl Market Position
Originally incorporated as a private limited company in 2020, the manufacturing facility of Aritas Vinyl Ltd has an installed production capacity of around 7.8 million meters per year, allowing it to effectively meet a wide range of client demands. Currently, the company sells its products majorly within India in several Indian states such as Gujarat, Delhi, Punjab, West Bengal, Rajasthan, Assam, etc.
Aritas Vinyl Profit and Loss
| Parameter | FY25 | FY24 | FY23 | FY22 |
|---|---|---|---|---|
Total Income (in ₹crore) | 73.7880 | 69.2463 | 51.4200 | 30.4959 |
Profit /(Loss) Before Tax (in ₹crore) | 3.8012 | 2.0239 | 1.2244 | 1.0086 |
Profit After Tax (in ₹crore) | 3.1357 | 1.6650 | 0.9949 | 0.8243 |
EBITDA (in ₹crore) | 6.4629 | 4.6519 | 3.0926 | 2.2968 |
Basic EPS in ₹ | 12.29 | 6.66 | 3.98 | 3.30 |
Aritas Vinyl IPO Cash Flow Statement
| Parameter | FY24 | FY23 | FY22 |
|---|---|---|---|
Profit/ (Loss) Before Tax (in ₹crore) | 2.0239 | 1.2244 | 1.0086 |
Net Cash Flow from Operating Activities (in ₹crore) | (9.0562) | (7.6865) | (8.0402) |
Net Cash Flow from Investing Activities (in ₹crore) | (8.2976) | (0.7104) | (2.1084) |
Net Cash Flow from Financing Activities (in ₹crore) | 17.7039 | 8.7720 | 10.3034 |
Cash Equivalents at the end of the Year (in ₹crore) | 0.8815 | 0.5314 | 0.1563 |
How to Check Allotment Status of Aritas Vinyl IPO?
1. Visit the Registrar’s Website
- Visit the official website of Bigshare Services Pvt Ltd
- Choose IPO Allotment Status from ‘Services’
- Click on any one of the servers
- Choose ‘Company Name’ from dropdown
- Enter either your application number, CAF number or beneficiary ID
- Enter captcha and click on ‘Submit’ to know the status
2. Check on the Bombay Stock Exchange Website
The Bombay Stock Exchange (BSE) also has an IPO allotment status page. Go to www.bseindia.com and find the 'Investor Services' tab. Under 'Investors Services', click on 'Status of Issue Application'. This will take you to the IPO allotment status page. On the BSE IPO page, follow these steps:
- Choose the Issue Type
- Select the Issue Name from dropdown
- Put in either your application number or PAN number
- Check the box ‘I’m not a robot’
- Click on ‘Search’ to know allotment status
How to Apply for Aritas Vinyl IPO?
To apply for this IPO:
- Step 1: Log in to your Kotak Securities Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section.
- Step 2: Specify IPO details: Enter the number of lots and the price you wish to apply for.
- Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
- Step 4: Mandate Notification: Your UPI app will receive a mandate notification to block funds.
- Step 5: Approve Request: Your funds will be blocked once you approve the mandate request on your UPI.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please read the SEBI-prescribed Combined Risk Disclosure Document before investing. Brokerage will not exceed SEBI’s prescribed limit.
Aritas Vinyl IPO FAQs
Where can I read more about Aritas Vinyl business?
You can read more about Aritas Vinyl and its IPO from the company’s red herring prospectus (RHP) here.
What is the Aritas Vinyl Ltd IPO?
The IPO of Aritas Vinyl Ltd consists of a fresh issue and an offer for sale of equity shares of up to 70,00,000 and 9,84,400, respectively.
When will the IPO of Aritas Vinyl Ltd go live?
The exact dates of the Aritas Vinyl Ltd IPO are yet to be announced.
From where can I read more about Aritas Vinyl Ltd and its IPO?
You can read more about Aritas Vinyl Ltd and its IPO from the company’s draft red herring prospectus here.