Q1. What is the business of Madhur Knit Crafts Limited ?

It is a vertically integrated manufacturer of blankets, knitted fabrics, and home-textile products.

Q2. Why is the company raising funds via IPO?

Madhur Knit Crafts is raising funds via IPO to fund debt repayment, working capital, solar plant installation, and general corporate growth initiatives.

Q3. What is the size of the issue and where will it list?

The issue size of the IPO consists of 56 lakh fresh equity shares and will list on NSE Emerge.

Q4. What are the key risks to an investor?

Key risks include high debt-equity levels, potential raw material price volatility, and heavy dependence on its Ludhiana facility.

Q5. What are the potential upsides?

Potential upsides are robust revenue growth, high profitability margins, experienced leadership, and strategic diversification into sustainable energy projects.

Q6. How to apply for the IPO?

Investors can apply through ASBA via net banking or using UPI through registered stock brokers once the IPO opens for subscription.

Madhur Knit Crafts Limited

Closed

Madhur Knit Crafts Limited

Market Cap

₹ 187.37 Crore

IPO Issue Size

₹ 53.26 Crore

Expected Price by IPOCorner

₹ 95 – 100

IPO Score

*Score varies on actual price

Madhur Knit Crafts Limited is a vertically integrated textile manufacturer specializing in home-furnishing products and knitted fabrics. The company is widely recognized for its diverse range of mink, acrylic, and woolen blankets, as well as specialized textiles like Sherpa and anti-pilling fabrics. Operating from a state-of-the-art facility with machinery from Korea and China, it caters to both domestic and international markets. To fuel its next growth phase, the company filed a Draft Red Herring Prospectus (DRHP) in October 2025 for an SME IPO on the NSE Emerge platform. The issue consists of 56 lakh fresh equity shares, with proceeds intended for debt repayment, solar plant installation, and working capital.

Madhur Knit Crafts Limited was incorporated on August 21, 1997.The company is currently led by Mr. Arun Gupta.

Madhur Knit Crafts Limited specializes in high-quality mink, acrylic, and woolen blankets, alongside premium knitted and crocheted fabrics. Their core portfolio includes specialized textiles like anti-pilling fabric, Sherpa, and fleece, catering to diverse home-furnishing and garment industries. Madhur Knit Crafts Limited operates through a robust distribution network of nearly 150 dealers across major Indian states, including Punjab, Haryana, and Delhi. While primarily focused on the domestic market, it also exports internationally, maintaining a competitive, growth-oriented presence.

Issue size of the IPO is ₹ 53.26 Crore of which consisting entirely as an Offer for Sale. Subscription date to apply for Madhur Knit Crafts Limited it opens on 24th Aug & Closes on 27th Aug. Price band for the IPO is 95-100.

Year	2025
Networth	₹ 29.48 Cr
Revenue	₹ 171.63 Cr
EBITDA	₹ 23.27 Cr
PAT	₹ 11.03 Cr
EBITDA Margin	13.56%
PAT Margin	6.43%
Face Value	Rs.10 per Equity Share

IPO Important Dates

#	Date
Open Date	24 Aug, 2026
Close Date	27 Aug, 2026
Anchor Investor Bidding	21 Aug, 2026
Allotment Date	28 Aug, 2026
Refunds& Demat Credit	31 Aug, 2026
Tentative Listing Date	01 Sept, 2026

Use Of Proceeds

Purpose	Amount
Capital Expenditure ( In Crores)	~ ₹4.00 Cr
Working Capital Requirement	~ ₹ 14.10 Cr
Borrowing prepayment/repayment	~ 17.40 Cr
-	-
-	-
General Corporate Purpose	Balance

Financial Data

#	2023	2024	2025
Revenue (₹ Cr)	₹ 89.3	₹ 108.4	₹ 171.6
PAT (₹ Cr)	₹ 0.9	₹ 1.7	₹ 11.0
Asset (₹ Cr)	₹ 64.6	₹ 90.6	₹ 122.6
Net Worth (₹ Cr)	₹ 14.5	₹ 16.2	₹ 29.5

IPO Grey Market Premium

Date	IPO Price	IPO GMP	Profit Per Lot
30-Aug	₹ 95-100	₹ –	₹ –
29-Aug	₹ 95-100	₹ –	₹ –
28-Aug	₹ 95-100	₹ –	₹ –
27-Aug	₹ 95-100	₹ 07	₹ 8,400
26-Aug	₹ 95-100	₹ 19	₹ 19,200

Pros

High Revenue Growth: Revenue grew by 58% in FY25, showing strong demand for its textile products.
Profitability Surge: Net profit jumped significantly from ₹1.7 crore in FY24 to ₹11 crore in FY25.
Vertical Integration: Operates a fully integrated facility from knitting to printing, ensuring better quality control.
Market Diversification: Serves both domestic and international markets with a varied product range like blankets.
Expansion Initiatives: IPO proceeds are earmarked for solar energy and capacity expansion to boost future margins.

Cons

High Debt Levels: The company has a high Debt-to-Equity ratio of 2.28, posing financial risk.
Cash Flow Issues: Reports show negative cash flow from operations, indicating difficulty in generating liquid cash.
Credit Rating Concerns: Rated as “Issuer Not Cooperating” by CARE Ratings due to lack of information.
Micro-cap Volatility: As an SME listing, the stock may face lower liquidity and higher price volatility.
Industry Competition: Operates in the highly fragmented and competitive textile sector with low pricing power.

Promoters – Pre offer equity (Approx)

Promoters	% Shares
Arun Gupta	34.26%
Chirag Gupta	19.92%
Piyush Gupta	17.05%
-	-
-	-
-	-

Lot Size details

Application Type	Lot Size	No. of Lot	No. of Shares	Investment Amount
Retail (Min)	1200	1	1200	₹ 120,000
Retail (Max)	1200	13	15,600	₹ 1,560,000
HNI (Min)	1200	14	16,800	₹ 1,680,000
HNI (Max)	1200	66	79,200	₹ 7,920,000
Big HNI (Min)	1200	67	80,400	₹ 8,040,000

Key Performance Index (KPI)

ROE	28.33%
ROCE	31.11%
RoNW	28.33%

Lead / Book Running Lead Managers

SKI CAPITAL SERVICES LIMITED

Registrar (RTA)

SKYLINE FINANCIAL SERVICES PRIVATE LIMITED

Q1. What is the business of Madhur Knit Crafts Limited ?
It is a vertically integrated manufacturer of blankets, knitted fabrics, and home-textile products.
Q2. Why is the company raising funds via IPO?
Madhur Knit Crafts is raising funds via IPO to fund debt repayment, working capital, solar plant installation, and general corporate growth initiatives.
Q3. What is the size of the issue and where will it list?
The issue size of the IPO consists of 56 lakh fresh equity shares and will list on NSE Emerge.
Q4. What are the key risks to an investor?
Key risks include high debt-equity levels, potential raw material price volatility, and heavy dependence on its Ludhiana facility.
Q5. What are the potential upsides?
Potential upsides are robust revenue growth, high profitability margins, experienced leadership, and strategic diversification into sustainable energy projects.
Q6. How to apply for the IPO?
Investors can apply through ASBA via net banking or using UPI through registered stock brokers once the IPO opens for subscription.