Madhur Knit Crafts IPO

About Madhur Knit Crafts IPO

The Madhur Knit Crafts IPO, an SME IPO, opens on Monday, August 24, 2026 and closes on Thursday, August 27, 2026. The allotment of shares will take place on Friday, August 28, 2026. The credit of shares to the demat account will take place on Monday, August 31, 2026. The initiation of refunds will take place on Monday, August 31, 2026. The listing of shares will take place on Tuesday, September 1, 2026.

The equity shares of the company are proposed to be listed on the NSE SME platform. The offer consists of a fresh issue component. The fresh issue will include 27,00,000 shares aggregating up to ₹27 crore, of which 1,36,000 shares aggregating up to ₹1.36 crore are reserved for the Market Maker. The net issue to the public is 25,64,000 shares aggregating up to ₹25.64 crore.

Madhur Knit Crafts IPO's price band is set at ₹95 to ₹100 per share. The lot size for an application is 1,200 shares. The minimum amount of investment required by a retail investor is ₹2,40,000 (2,400 shares) based on the upper price band.

Madhur Knit Crafts Limited is a Ludhiana-based textile manufacturer producing blankets, knitted fabrics, and job-work services from an ISO 9001:2015 certified facility. Its installed capacity scaled to 75,00,000 KGs per annum in FY 25 from 37,50,000 KGs in FY 24. The Company follows a made-to-order production model across a vertically integrated yarn-to-cloth operation.

Objectives of Madhur Knit Crafts IPO

• Working capital requirement of the company.
• Funding capital expenditure for the purchase of solar panels.
• Prepayment or repayment of a portion of certain outstanding borrowings availed by the company.
• General corporate purposes.

Industry Outlook

The Indian textile industry is among the world's oldest. It contributes 2.3% to GDP, 13% to industrial output, and 12% to exports. As the second largest employment provider after agriculture, the sector engages roughly 45 million people, and India produces about 22,000 million garments each year. The domestic apparel and textile market is projected to grow from US$ 174 billion to US$ 350 billion by 2030, supported by rising household incomes and export demand.

Technical textiles are a fast-emerging arena. India is the fifth largest technical textiles market globally, with a projected growth rate of about 10% and a penetration level of 9–10%. The automotive textiles segment is projected to rise to US$ 3.7 billion by 2027 from US$ 2.4 billion in 2020, while the industrial textiles market is expected to grow at an 8% CAGR to US$ 3.3 billion in 2027. Total textile exports are projected to reach US$ 65 billion by FY 26.

Government support underpins this outlook. Schemes such as the Production Linked Incentive Scheme, the Scheme for Integrated Textile Parks, the Technology Upgradation Fund Scheme, and the National Technical Textiles Mission are in place. Madhur Knit Crafts, operating from the Ludhiana textile cluster, is positioned to benefit from this demand as it expands its blanket, knitted-fabric, and technical-textile lines.

About Madhur Knit Crafts

Madhur Knit Crafts Limited was incorporated on August 21, 1997, and commenced commercial operations in 2013. It manufactures blankets, knitted fabrics, and garments, and provides job-work services from its facility in Ludhiana, Punjab. The Company operates a vertically integrated yarn-to-cloth model covering knitting, dyeing, printing, brushing, stentering, and finishing. Its ISO 9001:2015 certified facility uses machinery imported from Korea, Taiwan, and China.

Installed capacity rose to 75,00,000 KGs per annum in FY 25 from 37,50,000 KGs in FY 24 and 24,00,000 KGs in FY 23. Capacity utilisation stood at 64.5% in FY 25, 80.2% in FY 24, and 78.9% in FY 23. The built-up manufacturing area exceeds 300,000 square feet. Production is order-based, initiated only upon confirmed customer orders to control inventory and working capital.

Strengths of Madhur Knit Crafts

• The company runs a vertically integrated facility covering knitting, dyeing, printing, stentering, brushing, and finishing within a single production hub.
• Its built-up manufacturing area exceeds 300,000 square feet and uses high-speed machinery imported from Germany, Japan, South Korea, Taiwan, and China.
• Installed capacity scaled to 75,00,000 KGs per annum in FY 25 from 37,50,000 KGs in FY 24.
• A diversified product portfolio spanning blankets, knitted winterwear fabrics, garments, and technical textiles reduces dependence on any single line.
• The made-to-order production model initiates manufacturing only on confirmed orders, limiting excess inventory and optimising working capital.
• Its Ludhiana location, a leading textile hub, provides just-in-time yarn procurement, skilled labour, and lower freight costs.

Risks of Madhur Knit Crafts

• Raw materials are sourced from a limited supplier base, with the top 10 suppliers accounting for 54.23% of procurement in FY 25, exposing the Company to supply and price disruption.
• A high share of raw materials is procured from Punjab, so regional disruption in that state could halt production and hurt financial performance.
• The business is seasonal and skewed to winter wear, so unseasonal weather or shifting demand could depress revenue and inventory turnover.
• The company reported negative net cash from operating activities of ₹1.77 crore in FY 25 and ₹5.97 crore in FY 24, which could strain liquidity if it continues.

Peer Comparison

As on the date of the offer document, there are no listed peers comparable to the company. Accordingly, no peer comparison table is presented in the source document.

Anchor Investor Bidding Date

Friday, August 21, 2026

IPO Registrar and Book Running Lead Managers

Registrar Details
Skyline Financial Services Private Limited
Email: ipo@skylinerta.com
Tel No: 011-40450193-97

Book Running Lead Manager
SKI Capital Services Limited

Madhur Knit Crafts Contact Details
Village - Seera, Sattowal Road, Rahon Road, Eros, Bajra Road,
Ludhiana, Punjab, India, 141007
Tel: +91 91 9878009690
Email: ipo@mkcpl.in

Madhur Knit Crafts Business Model

The company earns its revenue through the manufacture and sale of textile products — primarily blankets, knitted fabrics, and garments — together with job-work processing services offered to third-party textile companies. It follows a made-to-order model, initiating production only on confirmed customer orders across consumer and industrial segments. Consumer products such as blankets and winter wear are marketed through wholesalers, distributors, and retailers, while industrial and technical textiles are sold through direct channels. Spare production capacity is monetised by offering dyeing, knitting, and finishing services to other Ludhiana-based textile businesses.

Madhur Knit Crafts Growth Trajectory

Madhur Knit Crafts's Total Income for FY25 was ₹171.76 crore, whereas in FY24 and FY23 it was ₹108.41 crore and ₹89.56 crore, respectively.

The Profit After Tax for FY25 was ₹11.03 crore, whereas in FY24 and FY23 it was ₹1.70 crore and ₹0.90 crore, respectively.

Their EBITDA for FY25 was ₹23.28 crore, whereas in FY24 and FY23 it was ₹8.04 crore and ₹5.51 crore, respectively.

Madhur Knit Crafts Market Position

Madhur Knit Crafts operates from the Ludhiana textile cluster in Punjab, one of India's most prominent textile and hosiery hubs, with a built-up manufacturing area exceeding 300,000 square feet. Its facility is ISO 9001:2015 certified and equipped with machinery imported from Korea, Taiwan, and China. The company serves B2B customers including wholesalers, distributors, retailers, and institutional clients, primarily across the domestic market, and is working to revive its fabric export operations.

As of 31 March 2025, the company's Total Income, Profit After Tax, and EBITDA were ₹171.76 crore, ₹11.03 crore, and ₹23.28 crore, respectively.

How to apply for Madhur Knit Crafts IPO?

• Step 1: Log in to your Kotak Neo Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details. Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID. After entering your UPI ID, click submit. This will place your bid with the exchange.
• Step 4: Mandate Notification. Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request. Your funds will be blocked once you approve the mandate request on your UPI.