Vibhor Steel Tubes Secures CRISIL 'BBB+/Stable/A2' Rating for Rs 100 Crore Bank Facilities
Haryana-based high-quality steel tubes and pipes maker, Vibhor Steel Tubes Ltd (VSTL), announced that Crisil Ratings has assigned a 'BBB+/Stable' long-term rating and a 'Crisil A2' short-term rating to its bank loan facilities aggregating to Rs 100 crore.The ratings recognize VSTL's established market position within the steel tubes and pipes segment, its sustained operational performance, and its careful financial management. The 'Stable' outlook from CRISIL suggests expectations that the company will continue to benefit from steady demand across the infrastructure, construction, and industrial sectors while maintaining a balanced capital structure. These assigned ratings are anticipated to bolster the company's credibility with lenders and stakeholders, thereby offering increased financial flexibility to support its expansion plans and working capital needs.
Vijay Kaushik, Chairman and Executive Director, Vibhor Steel Tubes, stated that the CRISIL rating confirms the company's operational resilience, financial discipline, and long-term vision, reinforcing stakeholder confidence.
Operational Highlights and Revenue Visibility
Crisil Ratings cited the extensive industry experience of the promoters and existing assured offtake agreements as key factors providing revenue visibility to the company.The promoters bring over two decades of experience in the ERW pipe and galvanised pipe industry. A significant revenue assurance point for VSTL is its assured offtake agreement with Jindal Pipes Ltd, which mandates the sale of a minimum of 1,00,000 tonne per annum (TPA) of pipes.
VSTL recently began supplying Electric Resistance Welded (ERW) and Galvanized (GI) Pipes manufactured at its greenfield facility in Sundargarh, Odisha. Commercial production commenced in July 2025 at the 156,000 MTPA facility in Odisha. This plant, which involved a total investment of Rs 119.83 crore, produces several value-added steel products, including crash barriers, Power Transmission Line Towers, high mast lighting poles, octagonal poles, and monopoles. Crisil noted that the operationalization of the Odisha unit is expected to contribute to healthy medium-term revenue growth for the company.
The company's product range includes electric resistance welded pipes, hot-dipped galvanized pipes, hollow section pipes, primer painted pipes, and SS pipes. VSTL holds a contract manufacturing agreement with Jindal Pipes to manufacture and supply finished goods under the brand name Jindal Star, through which the company currently sources over 80 per cent of its total turnover.
Company Overview and Capacity
VSTL operates two manufacturing units: one at Raigad in Maharashtra, where 100% of export sales originate, and a second unit in the Mahbubnagar district of Telangana. Collectively, the company boasts a total capacity of 2,21,000 MTPA. These facilities enable the supply of products to markets across Maharashtra, Gujarat, Madhya Pradesh, Telangana, Karnataka, and Tamil Nadu.Market trend analysis
VSTL, established as a manufacturer, exporter, and supplier of high-quality steel products, has been active for two decades. Its product portfolio serves diverse heavy engineering industries. Historically, VSTL has maintained operations with Jindal Pipes Limited since 2003.
In its IPO debut in February 2024, VSTL raised Rs 72.17 crore from the Initial Public Offering on the BSE and NSE.
VSTL Stock Price Movement
In today's trade, Vibhor Steel Tubes Limited shares are currently trading at ₹107.50, having traded between ₹107.01 and ₹109.62. The stock is down 1.04% in the early market session, and trading shows moderate activity with a total volume of 3809 shares.Source:
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