Madhur Knit Crafts Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
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IPO Snapshot
Key metrics and details at a glance.
Price Band
₹100
Per ShareLot Size
1200 Shares
Minimum Investment
₹1,20,000
Issue Size
₹53.27 Cr
Face Value
₹10
Per ShareIPO Type
Book Building - SME
Retail Quota
45.01%
QIB Quota
9.98%
NII Quota
45.01%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Madhur Knit Crafts Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
98.01%
Promoter Holding (Post-Issue)
70.55%
Issue Type
Book Building - SME
ISIN
INE1P5601010
About the Company
Madhur Knit Crafts Limited, commencing commercial operations in 2013, is a textile company engaged in manufacturing blankets, knitted fabrics, and providing job work services. While initially focused on winter products, the Company has also ventured into technical textiles, including paint roller fabrics, although revenue from this segment remains minimal. Operating from its ISO 9001:2015 certified facility in Ludhiana with its capacity recently augmented by advanced imported machinery, the Company ensures high efficiency and quality across processes such as knitting, dyeing, and finishing. Its strategic location further strengthens supplier access, logistics, and distribution capabilities, supporting a stable and responsive supply chain.
Company History
Our Company was originally incorporated as a private limited company under the Companies Act, 1956 in the name and style of "Madhur Knit Crafts Private Limited" bearing Corporate Identification Number U17301PB1997PTC020381 August 21, 1997, issued by the Registrar of Companies, Punjab, H.P & Chandigarh. Subsequently, the name of our Company was changed to "Madhur Knit Services Limited" and a fresh Certificate of Incorporation dated January 28, 2025, was issued by the Registrar of Companies, Chandigarh. As on date of this Draft Red Herring Prospectus, the Corporate Identification Number of our Company is U17301PB1997PLC020381.
Growth Strategy
- Future Expansion into Technical Textiles to Boost Sales Volume.
- Increasing Geographical Presence.
- Revival and Expansion of Fabric Exports.
- Efficient Working Capital Utilisation to Avail Supplier Discounts.
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a standalone basis, as reported for FY24 to FY26.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public offering of 53,26,800 equity shares of face value of Rs.10 each (the "Equity Shares") of Madhur Knit Crafts Limited ("MKCL" or the "Company") for cash at a issue price of Rs. 100 per equity shares (including a share premium of Rs. 90 per equity share) (the "Issue Price"), aggregating to Rs. 53.27 Crores ("The Issue"), comprising a fresh issue of 53,26,800 equity shares aggregating to Rs. 53.27 Crores by the company ("Fresh Issue"). There is no offer for sale component in the issue. Out of the issue, 2,66,400 equity shares of Rs.10/- each aggregating to Rs. 2.66 Crores were reserved for subscription by market maker ("Market Maker Reservation Portion"). The issue less the market maker reservation portion i.e. 50,60,400 equity share of face value of Rs. 10 each at an issue price of Rs. 100 per equity share aggregating to Rs. 50.60 Crores is hereinafter referred to as the "Net issue". The issue and the net issue will constitute 28.02% and 26.62%, respectively, of the post issue paid up equity share capital of the company. The face value of the equity shares is Rs. 10/- each. Price Band: Rs. 100/- per equity share of face value of Rs. 10/- each. The floor price is 10 times of the face value of the equity shares. Bids can be made for a minimum of 2,400 equity shares and in multiples of 1,200 equity shares thereafter.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- A state-of-the-art manufacturing facility with advanced technology.
- Strategically located manufacturing unit enabling operational efficiency and cost advantages.
- Extensive experience and proven track record of the promoters.
- Experienced, aligned, and professional management team driving growth and governance.
- Long-standing and robust relationships with customers and suppliers.
- The Company has a high geographical concentration in Punjab, exposing it to region-specific economic, environmental, and operational risks.
- Major portion of the company's revenue depends upon its few customers. The loss of any one or more of its major customers would have a material adverse effect on the company's business operations and profitability.
- The company has experienced negative cash flows in the past. Any such negative cash flows in the future could affect its business, results of operations and prospects.
- A substantial portion of the company's raw materials is sourced from a limited number of suppliers. Any disruption in supply, increase in prices, or inability of these suppliers to meet quality or delivery requirements could materially and adversely affect its operations, production schedules, and profitability.
- A significant portion of the company's raw materials is sourced from Punjab, and any disruption in this region could materially affect its operations, production, and financial performance.