Indian benchmark indices are flat, while the Midwest IPO lists at a 9.4% premium

DSIJ Intelligence-1 / 24 Oct 2025/ Categories: IPO, Mindshare, Trending

Indian benchmark indices are flat, while the Midwest IPO lists at a 9.4% premium

The stock debuted at a 9.39 per cent premium on the NSE and at a 9.4 per cent premium on the BSE.

While the broader Indian market was muted - with both the Sensex and Nifty down 0.15% - the Midwest Ltd IPO listed strongly today. The stock debuted at a 9.4 per cent premium on the NSE and at a 9.4 per cent premium on the BSE. The listing price on both exchanges was Rs 1,165 per share.

Midwest Limited’s IPO was launched in the price band of Rs 1,014 – Rs 1,065 per share, opened on October 15, 2025 and closed on October 17, 2025, with a listing on both the NSE and BSE. The company, an integrated natural-stone producer, had operations spanning exploration, mining, processing, and export of granite, quartz grit and powder. It supplied to over 30 countries and was in the process of diversifying into heavy mineral sands and rare earth processing, backed by subsidiaries such as Midwest Granites, Midwest Neostone and Midwest Neominerals.

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The IPO, sized at Rs 451 crore (Rs 250 crore fresh issue and Rs 201 crore offer for sale), aimed to fund expansion projects, including Rs 130.30 crore for the Phase-II quartz plant expansion under Midwest Neostone and Rs 25.76 crore for electric dump trucks to modernise the mining operations. Midwest also allocated funds toward Solar PV installations and repayment of borrowings. The company had reported consistent growth, with revenue rising from Rs 502.52 crore in FY23 to Rs 626.18 crore in FY25 and net profit improving from Rs 54.44 crore to Rs 133.30 crore over the same period.

Midwest is valued at a P/E of 32x, commanding a premium over its peer, Pokarna Ltd. Its robust RoNW of 22.11 per cent and RoA of 12.5 per cent reflected operational efficiency, though valuations suggested high growth expectations. With strong fundamentals, including a FY25 EBITDA margin of 27.43 per cent, Midwest’s outlook hinged on the timely execution of expansion plans, efficient capital management, and sustained demand for granite and quartz in both domestic and export markets.

Disclaimer: The article is for informational purposes only and not investment advice.