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VGL - Varvee Global

📊 NSE: VGL 🏢 Other Textile Products 📅 Last Updated: 11/13/2025 15:25

📢 Recent Corporate Announcements

Varvee Global Completes 1:2 Stock Split; Shares Credited with New Face Value of ₹5

🟡 NEUTRAL ⭐ 6/10

ROUTINE 📅 05 Mar 2026, 03:46 PM

Varvee Global Limited (formerly Aarvee Denims) has finalized its stock split process, reducing the face value of equity shares from ₹10 to ₹5. The company confirmed that the sub-divided shares have been successfully credited to shareholders' demat accounts via NSDL and CDSL as of March 3, 2026. The total number of issued and paid-up shares has increased from 2,57,64,339 to 5,15,28,678, while the total share capital remains unchanged at ₹25.76 crore.

Equity shares sub-divided from face value of ₹10 to ₹5 each (1:2 ratio)
Total paid-up share count doubled from 2,57,64,339 to 5,15,28,678 shares
New ISIN INE273D01027 activated for trading post-split
Authorized share capital adjusted to 7,00,00,000 shares of ₹5 each

💡 Investors should check their demat statements to confirm the credit of additional shares under the new ISIN. Note that the stock price will have adjusted proportionally to the 1:2 split ratio.

Varvee Global Limited Independent Director Kandarp Trivedi Resigns Effective March 2, 2026

🟡 NEUTRAL ⭐ 4/10

MANAGEMENT 📅 02 Mar 2026, 05:15 PM

Mr. Kandarp Trivedi has resigned from his position as an Independent Director of Varvee Global Limited (formerly Aarvee Denims and Exports Ltd) effective March 2, 2026. The resignation is attributed to personal reasons and professional commitments, with a confirmation that no other material reasons exist. Consequently, he has stepped down from his roles as Chairman and member of the Audit, Nomination and Remuneration, and Stakeholder Relationship Committees. The company will need to appoint a new director to fill these critical committee vacancies to ensure regulatory compliance.

Resignation of Independent Director Kandarp Trivedi (DIN: 00314065) effective March 2, 2026.
Cessation of roles as Chairman and member of the Audit, NRC, and Stakeholder Relationship Committees.
Formal confirmation provided that there are no material reasons for resignation other than personal commitments.
The outgoing director continues to hold multiple committee and board positions at Asian Granito India Limited.

💡 Investors should monitor the company's future filings for the appointment of a new independent director to ensure board committee stability and compliance.

Varvee Global Limited Independent Director Kandarp Trivedi Resigns Effective March 2, 2026

🟡 NEUTRAL ⭐ 4/10

MANAGEMENT 📅 02 Mar 2026, 04:17 PM

Mr. Kandarp Trivedi has resigned from his position as an Independent Director at Varvee Global Limited, effective from the close of business hours on March 2, 2026. He cited personal reasons and other professional commitments for his departure and confirmed there are no other material reasons for the resignation. Consequently, he will also vacate his roles as Chairman and member of the Audit, Nomination and Remuneration, and Stakeholder Grievance committees. The company will now need to appoint a successor to maintain regulatory compliance for its board committees.

Mr. Kandarp Trivedi (DIN: 00314065) resigned as Independent Director effective March 2, 2026.
The resignation results in vacancies in the Audit Committee, NRC, and Stakeholder Grievance Committee.
The director confirmed there are no material reasons for resignation other than personal and professional commitments.
Mr. Trivedi continues to hold significant board and committee positions at Asian Granito India Limited.

💡 Investors should monitor the company's future filings for the appointment of a new Independent Director to ensure board independence and committee functionality. This is a routine management change and does not necessitate any immediate change in investment strategy.

Varvee Global Approves MOA Amendment for Stock Split to Rs 5 Face Value

🟡 NEUTRAL ⭐ 4/10

ROUTINE 📅 20 Feb 2026, 12:14 PM

Varvee Global Limited has officially amended its Memorandum of Association following shareholder approval for a stock split. The company's authorized share capital of Rs 50 crore is now restructured to include 7 crore equity shares at a face value of Rs 5 each. This procedural update follows an ordinary resolution passed via postal ballot on February 19, 2026. The amendment also maintains 1.5 crore preference shares with a face value of Rs 10.

Authorized share capital remains unchanged at Rs 50,00,00,000.
Equity shares sub-divided into 7,00,00,000 units with a face value of Rs 5 per share.
Includes 1,50,00,000 Cumulative Redeemable Non-Convertible Preference Shares of Rs 10 each.
Amendment approved by members through a postal ballot on February 19, 2026.

💡 Investors should monitor the upcoming record date for the stock split to see the adjustment in their holdings. This is a procedural liquidity-enhancing measure and does not change the company's fundamental valuation.

Varvee Global Shareholders Approve Stock Split and Capital Clause Alteration

🟢 POSITIVE ⭐ 7/10

ROUTINE 📅 20 Feb 2026, 12:09 PM

Varvee Global Limited (formerly Aarvee Denims and Exports Limited) has announced the successful passing of resolutions via postal ballot. Shareholders have approved the sub-division/split of equity shares with a near-unanimous majority of 99.99%. Additionally, the alteration of the Capital Clause in the Memorandum of Association was approved to reflect the new share structure. A total of 1,72,60,378 valid votes were cast, with only 426 votes against the proposals.

Shareholders approved the sub-division/split of equity shares with 1,72,59,952 votes in favour.
The resolution for alteration of the Capital Clause of the Memorandum of Association was passed with 100% (rounded) majority.
The voting process was conducted via postal ballot (e-voting) from January 21 to February 19, 2026.
A total of 53 members participated in the voting process, representing 1,72,60,378 valid equity shares.

💡 Investors should watch for the announcement of the 'Record Date' for the stock split to understand when the share price will adjust. The split is expected to improve the stock's liquidity and make it more accessible to retail participants.

Varvee Global Limited Seeks Approval for New Articles of Association via Postal Ballot

🟡 NEUTRAL ⭐ 4/10

REGULATORY 📅 18 Feb 2026, 06:10 PM

Varvee Global Limited (VGL) has issued a Postal Ballot notice to seek shareholder approval for the adoption of a new set of Articles of Association (AoA). This special resolution aims to align the company's governing documents with the provisions of the Companies Act, 2013. The remote e-voting period is scheduled to run from February 19, 2026, to March 20, 2026. Shareholders appearing on the register as of the cut-off date, February 13, 2026, are eligible to participate.

Proposed Special Resolution for the adoption of a new set of Articles of Association (AoA) to replace existing ones.
Remote e-voting period commences at 9:00 a.m. on February 19, 2026, and ends at 5:00 p.m. on March 20, 2026.
Cut-off date for determining shareholder voting eligibility is Friday, February 13, 2026.
Final results of the Postal Ballot will be declared on or before Saturday, March 21, 2026.

💡 This is a routine administrative and regulatory update to ensure compliance with modern corporate laws. Investors should review the notice and exercise their voting rights through the NSDL e-voting platform.

Varvee Global Limited to Adopt New Articles of Association Following Management Change

🟡 NEUTRAL ⭐ 4/10

REGULATORY 📅 18 Feb 2026, 02:09 PM

Varvee Global Limited, formerly known as Aarvee Denims and Exports Ltd, has announced the adoption of a new set of Articles of Association (AOA) to replace the existing framework. This decision follows a recent change in the company's control and management, necessitating the removal of irrelevant provisions and the introduction of greater governance flexibility. The new AOA will align the company with the Companies Act, 2013, and current SEBI LODR regulations. The board has approved a postal ballot to seek shareholder approval for these changes, with the meeting concluding in 20 minutes on February 18, 2026.

Board approved adoption of new Articles of Association to replace the existing outdated version
Move necessitated by a recent change in the control and management of the company
Alignment with Companies Act 2013 and SEBI (LODR) Regulations 2015
Postal ballot approved with Mr. Tapan Shah appointed as Scrutinizer for the voting process

💡 This is a standard governance procedure following a management change. Investors should monitor the postal ballot results and any subsequent strategic shifts from the new leadership.

Varvee Global to Adopt New Articles of Association Following Management Change

🟡 NEUTRAL ⭐ 4/10

BOARD_MEETING 📅 18 Feb 2026, 02:08 PM

Varvee Global Limited (formerly Aarvee Denims and Exports Ltd) has approved the adoption of a new set of Articles of Association (AOA) to align with the Companies Act, 2013 and SEBI regulations. This move follows a recent change in the company's control and management, aimed at removing obsolete provisions and increasing governance flexibility. The board has authorized a postal ballot to seek shareholder approval for these changes. The meeting was conducted on February 18, 2026, and concluded within 20 minutes.

Complete substitution of existing Articles of Association with a new set to align with current statutory provisions.
The update is necessitated by a recent change in the control and management of the company.
Approval of a Postal Ballot notice to seek shareholder consent for the governance changes.
Appointment of Mr. Tapan Shah, Practicing Company Secretary, as Scrutinizer for the voting process.
The board meeting was held on February 18, 2026, commencing at 1:30 P.M. and concluding at 1:50 P.M.

💡 Investors should view this as a routine governance update following a management transition. Monitor future announcements for strategic shifts under the new leadership.

Varvee Global Reports 71.7% PAT Growth in 9M FY26; Non-Denim Capacity Up 50% to 1.8M Meters

🟢 POSITIVE ⭐ 8/10

EARNINGS 📅 16 Feb 2026, 05:37 PM

Varvee Global Limited (formerly Aarvee Denims) has successfully transitioned to a debt-free status as of June 2025, leading to a credit rating upgrade to 'IND BB/Positive'. The company reported a significant 71.67% increase in PAT and 12.78% revenue growth for the nine months ended December 31, 2025. Management is pivotally shifting production from traditional denim to high-margin non-denim fabrics, recently expanding capacity by 50% to 18 lakh meters per month. With a long-term target of 50 lakh meters per month and gross margins reaching 84.5%, the company is positioned for an operational turnaround under new leadership.

Achieved bank debt-free status in June 2025 after repaying major lenders including SBI and Bank of Baroda.
Reported 9M FY26 PAT growth of 71.67% and revenue growth of 12.78% with gross margins at 84.5%.
Increased non-denim production capacity by 50% to 18 lakh meters per month, targeting a long-term goal of 50 lakh meters.
Credit rating upgraded to 'IND BB/Positive' by India Ratings following the withdrawal of the previous 'Default' (IVR D) rating.
Strategic shift underway to divert denim capacity toward high-margin shirting and suiting fabrics to improve blended margins.

💡 Investors should monitor the company's execution in scaling non-denim production toward the 50 lakh meter target and the sustainability of its high gross margins. The successful debt-free transition and management change make it a notable turnaround candidate in the textile sector.

Varvee Global Q3 Net Profit at ₹5.35 Cr; Revenue Drops 56% Sequentially to ₹12.14 Cr

🔵 WATCH ⭐ 7/10

EARNINGS 📅 13 Feb 2026, 05:35 PM

Varvee Global (formerly Aarvee Denims) reported a net profit of ₹5.35 crore for Q3 FY26, a turnaround from a loss of ₹6.94 crore in the same period last year. However, operational revenue saw a sharp sequential decline of 56.4% to ₹12.14 crore from ₹27.83 crore in Q2 FY26. The bottom line was significantly bolstered by 'Other Income' of ₹21.64 crore, which includes the extinguishment of certain deposit liabilities following a 2024 Share Purchase Agreement. The company continues to carry a MAT credit balance of ₹6 crore, anticipating future taxable profits.

Net Profit turned positive at ₹5.35 crore in Q3 FY26 compared to a loss of ₹6.94 crore in Q3 FY25.
Revenue from operations fell to ₹12.14 crore from ₹27.83 crore in the previous quarter.
Other Income of ₹21.64 crore significantly exceeded operational revenue, driving the quarterly profit.
Management extinguished certain deposit liabilities based on NOCs from holders, improving the balance sheet.
Nine-month EPS stands at ₹21.54, a substantial increase from the previous year's performance.

💡 Investors should be cautious as the current profitability is driven by non-operational 'Other Income' and liability adjustments rather than core textile operations. Monitor the company for signs of operational revenue stabilization under the new management and brand identity.

Varvee Global Assigned 'IND BB' Rating with Positive Outlook by India Ratings

🔵 WATCH ⭐ 6/10

REGULATORY 📅 29 Jan 2026, 01:09 PM

India Ratings and Research has assigned an issuer rating of 'IND BB' to Varvee Global Limited, formerly known as Aarvee Denims & Exports Ltd. The rating carries a 'Positive' outlook, indicating the potential for a future upgrade based on improving financial metrics. Additionally, the rating for the company's INR 950 million Term Deposit Programme has been withdrawn. This credit assessment provides a new benchmark for the company's risk profile following its recent corporate rebranding.

India Ratings assigned an 'IND BB' issuer rating to Varvee Global Limited.
The rating outlook is 'Positive', suggesting a possible upgrade in the medium term.
Rating for the INR 950 million Term Deposit Programme has been officially withdrawn (WD).
The company is undergoing a transition phase following its name change from Aarvee Denims & Exports Ltd.

💡 Investors should monitor the company's upcoming quarterly results to see if the 'Positive' outlook translates into improved debt-servicing capabilities. While the outlook is favorable, the 'BB' rating remains in the non-investment grade category, requiring a cautious approach.

Varvee Global Limited Announces Postal Ballot and E-Voting Schedule

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 21 Jan 2026, 01:35 PM

Varvee Global Limited, formerly known as Aarvee Denims and Exports Ltd, has initiated a postal ballot process to seek shareholder approval for resolutions via electronic voting. The e-voting window is open from January 21, 2026, to February 19, 2026, for members holding shares as of the January 16, 2026, cut-off date. The company has published newspaper advertisements to notify shareholders, and the final results of the voting process are expected to be announced on or before February 21, 2026.

E-voting period: January 21, 2026 (9:00 AM) to February 19, 2026 (5:00 PM)
Cut-off date for determining shareholder voting eligibility: January 16, 2026
Voting results to be declared on or before February 21, 2026
Mr. Tapan Shah appointed as Scrutinizer to ensure a transparent voting process

💡 Eligible shareholders should review the specific resolutions detailed in the Postal Ballot Notice on the company's website and cast their votes through the NSDL e-voting platform before the February 19 deadline.

Varvee Global Announces 1:2 Stock Split and Management Remuneration Hikes

🟢 POSITIVE ⭐ 7/10

BOARD_MEETING 📅 20 Jan 2026, 06:19 PM

Varvee Global Limited (formerly Aarvee Denims and Exports Ltd.) has issued a postal ballot notice seeking shareholder approval for a 1:2 stock split, reducing the face value from ₹10 to ₹5 per share. The company also proposes to increase the annual remuneration for its Chairman & Managing Director, Jaimin Kailash Gupta, and Whole Time Director, Tarachand Agrawal, to ₹36 lakh each. The authorized share capital is being adjusted to ₹50 crore to accommodate the new share structure. Shareholders can participate in the e-voting process from January 21 to February 19, 2026, with results expected by February 21, 2026.

Proposed 1:2 stock split: Each ₹10 face value share to be divided into two ₹5 face value shares to improve liquidity.
Authorized equity capital to be restructured into 7,00,00,000 shares of ₹5 each, totaling ₹35 crore in equity value.
CMD Jaimin Kailash Gupta's annual remuneration proposed to increase to ₹36,00,000 effective January 1, 2026.
WTD Tarachand Agrawal's annual remuneration proposed to increase to ₹36,00,000 effective January 1, 2026.
E-voting period for these resolutions is scheduled from January 21, 2026, to February 19, 2026.

💡 Investors should monitor the stock split as it will likely increase trading liquidity and make the shares more accessible to retail investors. It is also important to evaluate if the proposed management pay hikes are justified by the company's recent financial performance and growth outlook.

Varvee Global Limited Approves 1:2 Stock Split and Appoints New Internal Auditor

🟢 POSITIVE ⭐ 7/10

BOARD_MEETING 📅 16 Jan 2026, 06:32 PM

Varvee Global Limited's board has approved a stock split where each equity share of face value ₹10 will be subdivided into two shares of face value ₹5 each. This move is intended to enhance market liquidity and make the shares more accessible to retail investors, with completion expected within two months. Additionally, the company has appointed M/s Jagetiya & Co as the new Internal Auditor for FY 2025-26 following the resignation of Mr. Sanjay Vyas. The board also recommended revisions to the remuneration of the Managing Director and Whole Time Director, pending shareholder approval.

Approved a 1:2 stock split, reducing the face value of equity shares from ₹10 to ₹5.
Post-split, the total number of subscribed equity shares will increase from 2,57,64,339 to 5,15,28,678.
M/s Jagetiya & Co, Chartered Accountants, appointed as Internal Auditor for the financial year 2025-26.
Proposed revision in remuneration for MD Jaimin Kailash Gupta and WTD Tarachand Agrawal.
The stock split process is estimated to be completed within approximately 2 months from shareholder approval.

💡 Investors should watch for the announcement of the record date to be eligible for the additional shares from the split. While the split increases liquidity, shareholders should also review the upcoming postal ballot details regarding the proposed remuneration hikes for top management.

Varvee Global Limited (VGL) Announces 1:2 Stock Split and Auditor Appointment

🟢 POSITIVE ⭐ 7/10

BOARD_MEETING 📅 16 Jan 2026, 06:31 PM

The Board of Varvee Global Limited has approved a stock split where each equity share of face value ₹10 will be subdivided into two shares of face value ₹5. This corporate action is intended to enhance market liquidity and make shares more accessible to retail investors. Alongside the split, the company has appointed M/s Jagetiya & Co as the new Internal Auditor following the resignation of Mr. Sanjay Vyas. Furthermore, the board has proposed revisions to the remuneration of the Managing Director and Whole Time Director, pending shareholder approval.

Stock split ratio of 1:2, reducing face value from ₹10 to ₹5 per share
Total number of paid-up equity shares to increase from 2,57,64,339 to 5,15,28,678
Authorized share capital remains at ₹50 crore, including ₹35 crore in equity and ₹15 crore in preference shares
Appointment of M/s Jagetiya & Co as Internal Auditor for FY 2025-26
Proposed revision in remuneration for MD Jaimin Kailash Gupta and WTD Tarachand Agrawal

💡 Investors should watch for the announcement of the record date to benefit from the increased liquidity post-split. While the split is a positive sentiment driver, monitor the upcoming shareholder vote on director remuneration and the impact of the new internal audit team.

View All VGL Announcements on Live Market Tracking →

💰 Financial Performance

Revenue Growth by Segment

Total Revenue from Operations decreased 49.9% YoY to INR 42.45 Cr in FY25 from INR 84.73 Cr in FY24. The company is pivoting from denim to non-denim fabrics (shirting and cotton trousers), which is expected to drive future growth.

Geographic Revenue Split

Historically, the company had significant export exposure to the USA and Europe, but these declined due to COVID-19 and the Russia-Ukraine war. Current focus is on domestic retail and fashion segments which showed robust demand in FY25.

Profitability Margins

Profit After Tax (PAT) stood at INR 18.54 Cr in FY25 (43.7% margin) compared to a loss of INR 44.62 Cr in FY24. The high PAT margin is driven by the absence of interest costs, minimal depreciation, and carry-forward tax losses.

EBITDA Margin

EBITDA margin is currently ~50% as of Q2 FY25. Management expects this to normalize to 43-45% (a 5-7% compression) as the business scales from job work to full-scale production.

Capital Expenditure

The company is utilizing its existing 60,000 square yard land base for expansion. Specific INR Cr for future capex was not disclosed, but the company is focusing on converting denim capacity to non-denim.

Credit Rating & Borrowing

The company's credit rating was historically 'D' (Default) due to ongoing delays in debt servicing. However, post-acquisition, the company is debt-free with zero bank liabilities and zero interest costs.

⚙️ Operational Drivers

Raw Materials

Cotton (cotton candy) is the primary raw material, representing the bulk of production costs. Raw material consumption decreased 84.8% YoY to INR 7.42 Cr in FY25 due to reduced production activities during the transition.

Import Sources

Sourced primarily from Gujarat, India, which is a major cotton and textile hub.

Capacity Expansion

Current job work capacity is 20 lakh meters per month. Management vision is to scale capacity to 80-90 lakh meters per month (a 300-350% increase) over the next few years.

Raw Material Costs

Raw material costs were INR 7.42 Cr in FY25, down from INR 48.93 Cr in FY24. The company uses a 'cash' procurement strategy (7-15 day payment terms) to secure a 5-7% pricing advantage over competitors on 60-day credit.

Manufacturing Efficiency

Efficiency is driven by a shift to non-denim products and tighter execution on the production floor. Machinery is largely depreciated, reducing the fixed cost burden.

📈 Strategic Growth

Growth Strategy

The strategy involves a product pivot from denim to non-denim (shirting, trousers, ladieswear), scaling job work to 20 lakh meters/month, and eventually diversifying into multiple verticals including infrastructure, renewable energy, and chemicals over a 5-year horizon.

Products & Services

Denim fabrics, shirting fabrics, cotton trouser fabrics, and ladieswear fabrics.

Brand Portfolio

Barcelona (retail brand owned by the promoter).

New Products/Services

Non-denim category expansion including fabrics for shorts, cotton pants, and ladieswear, expected to support scaling and higher volume.

Market Expansion

Focusing on the large non-denim market in India and exploring backward integration into chemicals and auxiliaries.

🌍 External Factors

Industry Trends

The Indian textile industry is seeing a shift toward non-denim and a revival in US/EU markets. The industry is evolving through technological innovation and supportive policy frameworks.

Competitive Landscape

Intense competition from established and lower-end operators in Gujarat, many of whom have expanded capacity due to state incentives.

Competitive Moat

Durable cost advantage through zero debt (no interest expense), fully depreciated machinery (low depreciation), and a 5-7% procurement discount. These are sustainable as long as the company maintains its debt-free status and cash-rich procurement.

Macro Economic Sensitivity

Sensitive to global trade policies and domestic urbanization/e-commerce penetration which drives retail demand.

Consumer Behavior

Shifting consumer preferences toward non-denim apparel and increased e-commerce penetration are driving demand for the company's new product pivot.

Geopolitical Risks

Russia-Ukraine war and US/EU protectionist policies have previously threatened trade stability and impacted export volumes.

⚖️ Regulatory & Governance

Industry Regulations

Subject to US/EU tariffs and global trade regulations. Compliant with the Companies Act, 2013 regarding internal financial controls.

Taxation Policy Impact

The company has recognized deferred tax assets of INR 67.25 Cr (including INR 8.02 Cr MAT credit). Carry-forward losses mean there is no immediate tax impact on PAT.