Aritas Vinyl
IPOIssue Details
Issue Size
– Cr
Fresh Issue
– Cr
OFS
– Cr
Price Band
₹40 – ₹47
Lot Size
3000
₹1,41,000
Face Value
₹10
Important Dates
Open Date
16 Jan 2026
Close Date
20 Jan 2026
Allotment
21 Jan 2026
Refund
22 Jan 2026
Listing
23 Jan 2026
About Company
Incorporated in 2020, Aritas Vinyl Limited is engaged in the manufacturing and trading of technical textile such as artificial leather (PU synthetic leather) and PVC-coated leather using transfer coating technology.
The company produces artificial leather, PVC vinyl and related products catering to automotive, fashion accessories and interior design industries.
It supplies products to distributors, wholesalers and manufacturers and exports to Greece, Oman, UAE, Sri Lanka, USA and SEZs, promoting synthetic leather over traditional animal leather.
The manufacturing facility is located at Kubadthal, Ahmedabad, spanning around 6,067 sq. meters with an annual capacity of 7.8 million square meters.
Objects of the Issue
| # | Description | Amount (₹ Cr) |
|---|---|---|
| 1 | Capital expenditure for Solar Power Project. | ₹4.26 |
| 2 | Funding working capital requirements. | ₹20.45 |
| 3 | General corporate purposes. | – |
Financial Performance
Share Reservations
QIB
78,000
Anchor
0
NII
29,91,000
Retail
45,12,000
Employee
0
Total
79,83,000
RHP Insights
AI-powered analysis from Red Herring Prospectus
Exceptional Profitability and Revenue Growth
The company demonstrated significant financial growth, with Net Profit after tax rising from ₹82.51 lakhs in FY 2022 to ₹166.49 lakhs in FY 2024, and reaching ₹403.90 lakhs in the 9-month period ending December 2024.
Impact: HighHigh Return on Net Worth (RoNW)
Aritas Vinyl reported a strong Return on Net Worth of 27.81% for FY 2024 and an annualized 41.47% for the period ended December 31, 2024, indicating high efficiency in generating profits from shareholders' equity.
Impact: HighStrategic Investment in Solar Power
A key objective of the fresh issue is to allocate ₹425.61 lakhs for capital expenditure toward a Solar Power Project, aimed at reducing energy costs and improving operational sustainability.
Impact: HighSubstantial Working Capital Requirement
The company intends to utilize the largest portion of the net proceeds, approximately ₹2,045.00 lakhs, for working capital to support its expanding business operations.
Impact: HighRevenue Concentration Risk
The company derives a significant portion of its revenue from its top 10 customers, which makes its financial stability dependent on maintaining these key relationships.
Impact: LowSWOT Analysis
AI-generated strategic view
Strengths
- •Quality and customization-focused product portfolio.
- •Experienced promoters with sound market knowledge.
- •Fully integrated manufacturing plant set up at a strategic location.
- •Enhanced production capacity within a short span of around three years.
- •Long-standing relationships with customers from diverse industries.
Weaknesses
- •Operates in a highly competitive and fragmented artificial leather and PVC-coated fabric segment.
- •Issue considered aggressively priced based on recent financial data as per analyst review.
- •High dependence on working capital and borrowings historically.
Opportunities
- •Growing demand for synthetic leather as an alternative to animal leather in automotive, fashion and interiors.
- •Potential to expand exports to additional geographies.
- •Capacity expansion and value-added product development leveraging solar power and working capital infusion.
Threats
- •Competition from domestic and international synthetic leather manufacturers.
- •Commodity price volatility impacting margins.
- •Regulatory or environmental changes related to plastics and PVC usage.
Aritas Vinyl IPO Peer Comparison
The table below shows peer comparison from DRHP/RHP.
| Company | EPS Basic | EPS Diluted | NAV | P/E(x) | RoNW | Financial statements |
|---|---|---|---|---|---|---|
| Aritas Vinyl Limited | 13.14 | 13.14 | 15.97 | 20.39 | 0 | Consolidated |
| Mirza International Ltd. | 0.93 | 0.93 | 33.56 | 39.71 | -0.86 | Consolidated |
| Amin Tannery Ltd | 0.03 | 0.03 | 1.19 | 58.67 | 2.27 | Consolidated |
Aritas Vinyl - Documents & Links
Registrar
Company contact
Aritas Vinyl Ltd
Address: Survey No. 1134, Near Elegant Vinyl Private Limited, Daskroi, Ahmedabad, Gujarat, 382430
info@aritasvinyl.comhttp://www.aritasvinyl.com/Lead managers
Frequently Asked Questions
Common questions about Aritas Vinyl IPO.