Madhur Knit Crafts IPO: Rs 53.28 Crore Issue Opens August 24; Is This IPO Worth Applying For?

Madhur Knit Crafts Ltd, a Ludhiana-based textile manufacturing company, has announced the opening of its Initial Public Offering (IPO) from Monday, August 24, 2026, to Thursday, August 27, 2026. The company is proposed to be listed on the NSE Emerge platform. The IPO has a price band of Rs 95 to Rs 100 per equity share, with the total issue size of up to Rs 53.28 crore.

Madhur Knit Crafts IPO Details

The IPO comprises a fresh issue of 53,28,000 equity shares with a face value of Rs 10 each through the book-building route. The application lot size has been fixed at 1,200 equity shares, while bids can be made for a minimum of 2,400 equity shares and in multiples of 1,200 equity shares thereafter. The issue also includes a Market Maker Reservation of 2,66,400 equity shares, while the Net Issue to the Public comprises 50,60,400 equity shares.

IPO Proceeds to Fund Working Capital, Debt Repayment and Solar Panels

Madhur Knit Crafts Limited plans to deploy the proceeds from the fresh issue across multiple purposes. The company proposes to utilise Rs 3.68 crore towards capital expenditure for the purchase of solar panels. A further Rs 15.92 crore is proposed to be used for meeting the company’s working capital requirements.

The company also plans to utilise Rs 20.85 crore towards the prepayment or repayment of a portion of certain outstanding borrowings. In addition, a portion of the Net Proceeds will be utilised towards general corporate purposes and offer-related expenses.
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Financial Performance

Madhur Knit Crafts Limited reported total income of Rs 194.79 crore for the eleven-month period ended February 28, 2026, compared with total income of Rs 171.76 crore for FY2025. Profit after Tax stood at Rs 12.35 crore during the eleven-month period ended February 28, 2026, compared with Rs 11.03 crore in FY2025. EBITDA stood at Rs 25.68 crore during the eleven-month period, compared with Rs 23.28 crore in FY2025.

However, the company has specifically stated that the February 2026 figures relate to an eleven-month interim period and are therefore not directly comparable with the full-year FY2025 figures. Accordingly, the figures have not been presented as year-on-year growth rates.

Integrated Textile Manufacturing Operations

Incorporated in 1997, Madhur Knit Crafts Limited is engaged in the manufacturing of fabrics, blankets, winter textiles, garments and other textile products. The company operates an integrated yarn-to-cloth manufacturing model, with capabilities spanning knitting, dyeing, printing, brushing, polishing, sueding, stentering, bonding and finishing.

Its product portfolio caters to apparel, home-textile and industrial applications. The company’s manufacturing facility is located in Ludhiana, Punjab, which is a prominent textile hub, and is equipped with modern textile machinery and integrated production capabilities.

The company has evolved from its initial focus on blanket manufacturing into a diversified textile manufacturing business serving consumer, industrial and institutional requirements. Its integrated manufacturing capabilities are designed to provide control over quality and production while catering to varied customer requirements.

IPO Management and Listing

SKI Capital Services Ltd. is acting as the Book Running Lead Manager to the issue, while Skyline Financial Services Pvt. Ltd. is the Registrar to the IPO. The company is proposed to be listed on the NSE Emerge platform following the completion of the issue process.

According to the company, the IPO is intended to support its working capital requirements, strengthen its financial position and enable investment in manufacturing capabilities. The company also intends to utilise part of the proceeds for solar power infrastructure through the proposed purchase of solar panels.

Madhur Knit Crafts Business Strategy

Madhur Knit Crafts Ltd is focused on strengthening its presence across its diversified textile product portfolio and expanding its manufacturing capabilities. The company intends to leverage its integrated manufacturing infrastructure, established presence in the textile sector and product expertise to pursue opportunities across consumer, industrial and institutional segments.

The company stated that its focus remains on expanding its product portfolio, strengthening manufacturing capabilities and building a scalable presence in the domestic textile market. Its operations span multiple stages of textile processing, from knitting and dyeing to printing and finishing.

About Madhur Knit Crafts 

Madhur Knit Crafts Ltd was incorporated in 1997 and is based in Ludhiana, Punjab. The company manufactures fabrics, blankets, winter textiles, garments and other textile products. It follows an integrated yarn-to-cloth manufacturing model covering knitting, dyeing, printing, brushing, polishing, sueding, stentering, bonding and finishing.

The company caters to apparel, home-textile and industrial applications and operates from its manufacturing facility in Ludhiana. With the proposed IPO, the company plans to deploy fresh capital towards working capital, debt repayment, solar panels, general corporate purposes and issue-related expenses.

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