Neelam Linens and Garment IPO

Neelam Linens IPO: Fresh issue of 54.18 lakh shares for INR 13 Cr to fund embroidery machine purchases, debt repayment, and general corporate purposes.

Important Details

Open Date : November 8, 2024 Close Date : November 12, 2024 Allotment Date: November 13, 2024 Listing Date: November 18, 2024

Important Details

IPO Price: INR 20-24 per share Lot Size: 6000 Shares Total Issue Size: INR 13 crores

Fundamental Analysis

Neelam Linens and Garments IPO shows mixed performance: 1. Revenue growth, but declining profitability. 2. Lower EPS, RoNW, and inventory turnover. 3. Increased assets, equity, & liquidity. 4. Reduced reliance on debt.

Peer Comparison

Neelam Linens and Garments IPO  Peer Comparison: 1. Modest metrics vs. Loyal Textile & Bannari Amman. 2. Profitable despite smaller scale. 3. Peers show negative earnings or lower returns.

Objective

Neelam Linens and Garments IPO  Objective: 1. Fund embroidery machine expansion. 2. Reduce borrowings. 3. Strengthen financial stability.

Risks And Challenges

Neelam Linens and Garments IPO Risks: 1. Risks: Demand fluctuations, supplier reliance without contracts, uncertain customer relationships. 2. Potential impact on profitability and stability.