Varmora Granito IPO Draws Mixed Brokerage Views Amid Operational Risks
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What happened
Varmora Granito, a company manufacturing and selling tiles, bathware, and adhesives, held its IPO with a price band ranging from ₹140 to ₹148 per share. The company operates eight in-house manufacturing facilities in Morbi, Gujarat, and also utilizes contract manufacturers for standard volume items. The company's revenue is heavily dependent on the sale of glazed vitrified tiles and technical products.
Why it matters
The company's operational profile is energy-intensive, relying on natural gas and propane, making it susceptible to geopolitical tensions affecting availability and cost. Furthermore, the concentration of production facilities in Morbi increases geographic concentration risks for the business.
From indiatimes.com
Who's involved
How it developed
Newest first. Tap a step to see who reported it.Varmora Granito is repaying subsidiary borrowings while operating in the Morbi cluster.1 source
Two listed tiles companies, Varmora Granito and Kajaria Ceramics, concentrate production in Morbi, Gujarat.1 source
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The entities involved
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Morbi
city in Gujarat state, India
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