Shree Karni Fabcom IPO will open for subscription from 06 March 2024. The company aims for an issue size of ₹42.49 Cr through this IPO.
Company Overview
| Full name | Shree Karni Fabcom Limited |
| Sector | Textile |
| Industry | Textile |
| Company Website | https://skflindia.com/ |
About Company
Shree Karni Fabcom manufactures specialized technical textiles including weaving, coating, printing, and finishing of grey fabric to produce finished knitted and woven fabrics. They specialize in various fabrics like woven, knitted, coated, 100% polyester, and recycled polyester. The company sources materials domestically and sells to manufacturers in luggage, medical support, chairs, shoes, and apparel industries.
The company’s product applications span a wide spectrum, including luggage, roofing, agriculture netting, vehicle covers, tents, armed forces fabric, sports kits, chairs, medical arch support, umbrellas, and raincoats. The manufacturing unit is equipped with automated machines for the production of specialized technical textiles, with an installed capacity of 70,000 meters per day for weaving. The company markets and sells under the brand ‘SKFL’. As of 31 October 2023, the company has acquired a 66.67% stake in IGK Technical Textile LLP, which is engaged in the weaving, coating, sizing, and embossing of specialized technical textiles. As of 30 November 2023, the company has 39 employees.
The Objectives of the Issue
- Funding the capital expenditure setting up a dyeing unit in Navsari District, Surat, Gujarat;
- Funding the purchase of new machinery proposed to be installed at the new unit proposed to be set up for manufacturing bags in Palsana, Surat, Gujarat, with an intent to expand the product portfolio;
- Funding working capital requirements of the company; and
- General Corporate Purposes.
Shree Karni Fabcom IPO Timetable
| IPO Opening date | 06 March 2024 |
| IPO Closing | 11 March 2024 |
| Basis of Allotment | 12 March 2024 |
| Initiation Refund | 13 March 2024 |
| Credit to Demat Account | 13 March 2024 |
| Listing Date | 14 March 2024 |
Shree Karni Fabcom IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹42.49 Cr – 1,872,000 shares |
| Fresh Issue | ₹42.49 Cr – 1,872,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Price Band | ₹220 to ₹227 per share |
| Lot size | 600 Sahers |
| Market Maker portion | 93,600 shares |
| Shareholding pre-issue | 5,200,000 |
| Shareholding post-issue | 7,072,000 |
| Listing Exchange | NSE SME |
Shree Karni Fabcom IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 600 | ₹136,200 |
| Retail (Max) | 1 | 600 | ₹136,200 |
| HNI (Min) | 2 | 1,200 | ₹272,400 |
Shree Karni Fabcom IPO Reservation Details
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
Shree Karni Fabcom Financial Performance
| FY 2021 | FY 2022 | FY 2023 | 8M FY 2024 | |
| Revenue | 32.87 | 83.57 | 126.95 | 75.72 |
| Expenses | 31.22 | 78.40 | 118.53 | 65.08 |
| Net income | 1.53 | 5.15 | 5.55 | 8.13 |
Shree Karni Fabcom Valuations & Margins
| FY 2021 | FY 2022 | FY 2023 | |
| EPS | 15.35 | 51.48 | 11.10 |
| PE ratio | – | – | – |
| RONW (%) | 22.87 | 38.96 | 21.34 |
| NAV | 67.12 | 132.16 | 260.22 |
| ROCE (%) | 16.80 | 19.20 | 21.83 |
| EBITDA (%) | 11.57 | 9.91 | 11.97 |
| Debt/Equity | – | – | – |
Company Promoters
- Manoj Kumar Karnani
- Radhe Shyam Daga
- Rajiv Lakhotia
- Raj Kumar Agarwal
Promoter Holding
| Pre Issue Share Holding | 96.16% |
| Post Issue Share Holding | 70.07% |
Shree Karni Fabcom IPO Lead Manager(s)
HORIZON MANAGEMENT PRIVATE LIMITED
19 R N Mukherjee Road, Main Building, 2nd Floor,
Kolkata- 700 001, West Bengal, India
Phone: +91 33 4600 0607
Email: smeipo@horizon.net.co
Website: www.horizonmanagement.in
Shree Karni Fabcom Registrar
MAS SERVICES LIMITED
T-34, 2nd Floor, Okhla Industrial Area,
Phase-II New Delhi- 110 020
Phone: +91 112 638 7281/83
Email: ipo@masserv.com
Website: www.masserv.com
Shree Karni Fabcom Contact Details
SHREE KARNI FABCOM LIMITED
Plot 188,189,190, Block No. 314,
Rajhans Texpa, Village Baleshvar,
Taluka Palsana, Surat – 394 317, Gujarat
Phone: +91 262 235 0900
E-mail: shreekarni@skflindia.com
Website: www.skflindia.com
Shree Karni Fabcom IPO Allotment Status
Shree Karni Fabcom IPO allotment status will be available on Mas Services’ website. Click on Mas Services IPO weblink to get allotment status.
Final thoughts
Shree Karni Fabcom IPO is going to hit Dalal Street soon. applying for an IPO is purely a personal choice. study well about the company and subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
