Siddhi Cotspin 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
₹108
Per ShareLot Size
1200 Shares
Minimum Investment
₹1,29,600
Issue Size
₹69.85 Cr
Face Value
₹10
Per ShareIPO Type
Book Building - SME
Retail Quota
63%
QIB Quota
10%
NII Quota
27%
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
Siddhi Cotspin Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
85.57%
Promoter Holding (Post-Issue)
65.56%
Issue Type
Book Building - SME
ISIN
INE0SVO01019
About the Company
Our Company is primarily engaged in manufacturing and selling of Cotton Yarns. Our manufacturing process adheres to stringent quality standards and is backed by advanced technology and machinery. We have set up a Greenfield project of manufacturing cotton yarn including value added and specialty yarn at Unit No.13, Sub Plot No. 18, Survey No. 279 & 280, Village Dholi, Taluka Dholka, District Ahmedabad, Gujarat - 382240, with a total spinning capacity of 29,376 spindles. The installed unit is capable of producing cotton yarn including value added yarns. Our current capacity for producing Cotton Yarn is 90,11,850 Kgs.
Industry Overview
TEXTILE SECTOR India is the world's second-largest producer of textiles and garments. It is also the sixth-largest exporter of textiles spanning apparel, home and technical products. India has a 4.6% share of the global trade in textiles and apparel. India is the world's 3rd largest exporter of Textiles and Apparel. The textiles and apparel industry contributes 2.3% to the country's GDP, 13% to industrial production and 12% to exports. The textile industry has around 45 million workers employed in the textiles sector, including 3.5 million handloom workers. During (April-March) 2022-23, the total exports of textiles (including handicrafts) stood at US$ 36.68 billion. India's textile and apparel exports (including handicrafts) stood at US$ 44.4 billion in FY22, a 41% increase YoY. The Indian textile industry has made a mark in the world with its innovative and attractive products. Total textile exports are expected to reach US$ 65 billion by FY26. The Indian textile and apparel industry is expected to grow at 10% CAGR from 2019-20 to reach US$ 190 billion by 2025-26.
Company History
Our Company was incorporated on November 23, 2015, as "Siddhi Cotspin Private Limited", a private limited company under the Companies Act, 2013, pursuant to a certificate of incorporation dated November 23, 2015, issued by the Assistant Registrar of Companies, Ahmedabad. Subsequently, our Company was converted into a public limited company pursuant to a resolution passed by our Shareholders at an extraordinary general meeting held on January 29, 2024, and a fresh certificate of incorporation dated February 12, 2024 was issued by the Registrar of Companies, Ahmedabad consequent upon conversion, recording the change in the name of our Company to "Siddhi Cotspin Limited".
Products & Services
- The Company is primarily engaged in manufacturing and selling of Cotton Yarns.
Growth Strategy
- Maintain and Expand Long-term Relationships with Customers.
- Investing In Advanced Technology.
- Leveraging our market skills and relationship.
- Continue to build-up a professional organization.
- Compliance Management.
Customer Base
Wholesaler and Retailer
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 FY23 to FY25.
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 offer of 64,68,000 equity shares of face value of Rs. 10/- each of Siddhi Cotspin Limited ("SCI" or the "Company" or the "Offer or") for cash at a price of Rs. 108/- per equity share including a share premium of Rs. 98/- per equity share (the "offer price") aggregating to Rs. 69.85 crores ("the offer") comprising of a fresh issue 49,44,000 equity shares aggregating to Rs. 53.40/- crores (the "fresh issue") and an offer for sale of 15,24,000 equity shares by promoter selling shareholder- Navin Saraogi and selling shareholder - Vineeta Vishal Chiripal aggregating to Rs.16.46/- crores ("offer for sale"), of which 3,24,000 equity shares of face value of Rs. 10/- each for cash at a price of Rs. 108/- per equity share including a share premium of Rs. 98/- per equity share aggregating to Rs. 3.50 crores will be reserved for subscription by market maker to the offer (the "market maker reservation portion"). The offer less the market maker reservation portion i.e. net offer of 61,44,000 equity shares of face value of Rs. 10/- each at a price of Rs. 108/- per equity share including a share premium of Rs. 98/- per equity share aggregating to Rs. 66.36 crores is herein after referred to as the "net offer". The offer and the net offer will constitute 26.50% and 25.17%, respectively, of the post offer paid up equity share capital of the company.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Experienced Promoter and Management Team.
- Quality Standards.
- Strong and diversified supplier base for sourcing raw materials.
- Optimal Utilization of Resources.
- Long-standing relationships with our customers.
- There is an Interim Order/Show Cause Notice passed by the Securities and Exchange Board of India (SEBI) involving Mr. Vedprakash Devkinandan Chiripal and Ms. Savitridevi Chiripal part of the company Promoter Group, alongwith other entities viz. Mauria Udyog Limited, 7NR Retail Limited, Darjeeling Ropeway Company Limited, GBL Industries Limited, and Vishal Fabrics Limited which may impact its Promoter's reputation and in turn affecting the company is business operations and the value of its shares.
- The company does not own its registered office.
- Substantial portion of its revenues has been dependent upon few customers, with which the company does not have any firm commitments. The loss of any one or more of its major customers would have a material adverse effect on its business, cash flows, results of operations and financial condition.
- Its business is vulnerable to variations in demand for cotton yarn and changes in consumer preferences, which could have an adverse effect on its business, results of operations and financial condition.
- The Company has not entered into any fixed or long term contracts with its customers and the company will operates on the basis of orders received on hand. Inability to maintain regular order flow would adversely impact its revenues and profitability.