Midwest IPO

About Midwest IPO

The Midwest IPO comprises a fresh issue and an offer for sale. The fresh issue aggregates up to ₹250 crores and the offer for sale is up to ₹201 crores. The total issue size is pegged at ₹451 crores. It’s a 100% book-built issue. The price band is ₹1014 to ₹1065 per share. The IPO opens on October 15, 2025 and closes on October 17, 2025.

The listing date is on or about October 24, 2025 and the allotment date is or about October 20, 2025. The credit of shares to the Demat account will take place on or about October 23, 2025 while the initiation of refund will take place on or about October 23, 2025.

Midwest has a legacy of more than four decades in the dimensional natural stone (i.e., naturally occurring stones) industry with experience in exploration, development and operation of mines, stone processing and fabrication, sales, distribution and marketing of various types of natural stone. It’s engaged in the business of exploration, mining, processing, marketing, distribution and export of natural stones, with an emphasis on sustainability.

Objectives of Midwest IPO

The company plans to utilise the proceeds received from the IPO to:

• Fund capital expenditure by Midwest Neostone, the wholly-owned subsidiary of Midwest, towards Phase II of the quartz grit and powder processing plant
  
• Meet capital expenditure for purchase of electric dump trucks to be used by the company and Andhra Pradesh Granite (Midwest), its material subsidiary
  
• Fund capital expenditure for integration of solar energy at certain mines of the company
  
• Pre-pay/re-pay, in part or full, certain outstanding borrowings of the company and APGM
  
• Meet general corporate purposes
  

Industry Outlook

The natural and engineered stone industry encompasses the extraction, processing, and distribution of both naturally occurring stones such as granite, marble, and limestone, as well as man-made materials such as engineered quartz slabs. Natural stones are valued for their unique patterns, durability, and timeless appeal, making them a popular choice for countertops, flooring, and architectural elements.

As per IBM, the total granite resources in India stood at an estimated 46,320 million cubic metres as on April 1, 2015. In terms of classification by grade, ~7% of total resources consist of black granite, while 92% consist of coloured granite. About 1% of the resources remain unclassified. Granite production increased from 17,193 KT in fiscal 2022 to 19,709 KT in fiscal 2025, clocking a CAGR of 4.7%, driven by domestic demand for granite from the building and construction industry.

Granite’s domestic demand is projected to grow to 21,907-22,960 KT in fiscal 2030, logging a CAGR of 6-7% between fiscal 2025 and 2030 driven by increased demand from the housing and construction sector. On the other hand, the quartz industry is projected to register a CAGR of 8-8.5% and the production is expected to reach 6,824-6,983 KT in fiscal 2030 from the 2025 level.

Company Information

Midwest has a legacy of more than four decades in the dimensional natural stone (i.e., naturally occurring stones) industry with experience in exploration, development and operation of mines, stone processing and fabrication, sales, distribution and marketing of various types of natural stone. It’s engaged in the business of exploration, mining, processing, marketing, distribution and export of natural stones, with an emphasis on sustainability.

The company is India’s largest producer and exporter of black galaxy granite (a variety of granite which is sparkling with flakes of a golden hue), and held a share of approximately 64% of the Indian export market for black galaxy granite in fiscal 2025, exporting 44,992 cubic meters of black galaxy granite during fiscal 2025.

Strengths of Midwest

• India’s largest producer and exporter of black galaxy granite, a premium variety of granite
  
• Presence across the entire dimensional granite value chain with mine to distribution capabilities
  
• Emphasis on R&D and technology integration
  
• Significant establishment costs with a long gestation period benefitting established players
  
• Proven track record of financial and operational performance
  
• Experienced promoters and professional management team with deep industry experience and track record
  

Risks of Midwest IPO

• One of their promoters has been summoned for an investigation by the CBI. Any adverse outcome in the investigation will affect the company.
  
• Market price fluctuations and changes in operating and capital costs may render certain or all of natural stone reserves uneconomical to exploit
  
• The company may experience delays in obtaining, renewing or maintaining such approvals or be unable to obtain such approvals due to litigation and change in regulatory landscape
  
• Inability to establish themselves in such nascent business segments could adversely affect business condition
  
• Inability of China to continue to act as a hub to cater to the global demands, could adversely affect business and results of operations
  
• Disruption of production at it’s black galaxy granite mines or reduction in demand for black galaxy granite could adversely affect business
  
• Adverse changes in Telangana and Andhra Pradesh could adversely impact business
  
• Certain contingent liabilities and commitments which, if materialised, may adversely affect financial condition

Anchor Investor Bidding Date

Anchor portion of the IPO opens for bidding on October 14, 2025.

IPO Registrar and Book Running Lead Managers

KFin Technologies is the registrar of Midwest IPO. The book running lead managers are:

• DAM Capital Advisors
• Intensive Fiscal Services
• Motilal Oswal Investment Advisors

Business Model

Midwest is engaged in the business of exploration, mining, processing, marketing, distribution and export of natural stones. Its existing business activities primarily comprise extracting and processing dimensional granite, particularly the black galaxy and absolute black varieties.

In addition to its natural stone business, the company also manufactures diamond wire, which is a precision cutting tool employed in the natural stone and construction industries to size stones and other hard substances with precision in mines and processing/ fabrication facilities.

Company Growth Trajectory

The revenue from operations of Midwest grew from ₹502.517 crores in FY 23 to ₹626.182 crores in FY 25, while the EBITDA margin grew from 17.83% in FY 23 to 27.43% in FY 25. Net profit margin grew from 10.83% in FY 23 to 17.17% in FY 25. Emphasis on R&D and technology integration have helped the company grow over the years.

Market Position

Midwest is India’s largest producer and exporter of black galaxy granite (a variety of granite which is sparkling with flakes of a golden hue), and held a share of approximately 64% of the Indian export market for black galaxy granite in fiscal 2025, exporting 44,992 cubic meters of black galaxy granite during fiscal 2025.

The company is also the largest producer of absolute black granite (a variety known for its remarkable surface finish) in India, both of which have high demand. Its absolute black granite production accounted for 15.7% of the overall black granite production in India during fiscal 2025.

How to Check Allotment Status of Midwest IPO?

1. Visit the Registrar’s Website

• Visit the official website of KFin Technologies
  
• Click on ‘IPO Allotment Status’ from ‘Investors’ under ‘Products’
  
• Click on any one of the appearing links
  
• Choose IPO name and enter either your application number, Demat account or PAN number
  
• Enter captcha and click on ‘Submit’ to know the status
  

2. Check on the Bombay Stock Exchange Website

The Bombay Stock Exchange (BSE) also has an IPO allotment status page. Go to the BSE website and find the 'Investors' tab. Under 'Investors', click on 'IPO'. This will take you to the IPO allotment status page. On the BSE IPO page, follow these steps:

• Select ‘Equity’ from the dropdown menu
  
• Choose ‘Midwest’ in the next dropdown
  
• Enter your application number
  
• Enter your PAN
  
• Click ‘Search’ to know allotment status
  

3. Check on the National Stock Exchange Website

The National Stock Exchange (NSE) website has an IPO bid verification module. You can use it to check the allotment status of Midwest IPO. Go to the NSE website and find the ‘Invest’ tab. Click on ‘Verify IPO Bids’ under ‘Resources & Tools’.

On the NSE IPO bid verification page, enter:

• Company name from dropdown
  
• Application number
  
• PAN
  

Then click ‘Submit’ to know the allotment status.

How to Apply for Midwest IPO?

To apply for Midwest IPO:

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