02-Mar-2024
2 mins read
Shree Karni Fabcom Limited is coming up with the SME IPO. This initial public offer is open for subscription from Wednesday, March 6, 2024, and will close on Monday, March 11, 2024. The price is decided at Rs 220 to Rs 227 per share. The minimum lot size of this application for the retail category is 600 shares. Meanwhile, the minimum lot size for the HNI category is 2 lots consisting of 1200 shares. The minimum amount of investment required for retail category investors is Rs 1,36,200 (227 x 600 shares). However, for the HNI category, the minimum investment amount required is Rs 2,72,400 (227 x 1200 shares). Shree Karni Fabcom Limited IPO is a book-built issue of Rs 42.49 crores. The IPO issue is completely a fresh issue of 18.72 lakh equity shares. The allotment for this IPO is expected to be finalised on Tuesday, March 12, 2024. Shree Karni Fabcom Limited’s IPO will be listed on NSE SME, and the listing date is fixed on Thursday, March 14, 2024. The book-running lead manager of Shree Karni Fabcom Limited IPO is Horizon Management Private Limited. The registrar for this IPO is Mas Services Limited. The market maker for this IPO is MLB Stock Broking.
About Shree Karni Fabcom Limited Profile
Shree Karni Fabcom Company was incorporated in 2018, engaged in the business of producing customised knitted and woven fabrics for industries such as luggage, chairs, shoes, apparel, medical arch support. Company specialises in women fabrics, Knitted fabrics, Coated Fabrics and 100% polyester. Also they specialise in yarn, resin, acrylic and coating chemicals. Company’s manufacturing unit has modern and highly automated machines that produce specialised technical textiles. Shree Karni Fabcom sells its products to various contract manufacturers of branded luggage and shoe manufacturers, traders and others located in thirteen states. The company has been awarded a certificate for their management system by INTERTEK. As of November 2023, the Company has 39 employees in the various other departments.
Primary Objectives of Shree Karni Fabcom IPO
The net capital received by this initial public offer is likely to fund the capital expenditure for setting up an dyeing unit Navsari District, Surat, Gujarat. Other than this, funds will be utilised for the purchase of new machinery which is to be installed. Also, the proceeds will be used to fund the working capital requirements. Moreover, the general corporate purpose will also be fulfilled.
Financials of Shree Karni Fabcom Limited (Amt in Rs Lakhs)
The company reported a revenue of Rs 7,599.48 lakhs and profit after tax of Rs 813.44 lakhs for the period ending on 30 November 2023. Shree Karni Fabcom revenue increased by 51.87% and net profit of Rs 7.85% between the FY ending on 31 March 2023 and 31 March 2022.
| Period Ended | 30-Nov-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 14,124.38 | 9,864.25 | 5,911.11 | 2,743.05 |
| Revenue | 7,599.48 | 12,704.05 | 8,365.18 | 3,289.86 |
| Profit After Tax | 813.44 | 555.25 | 514.84 | 153.48 |
| Net Worth | 1,912.17 | 2,602.24 | 1,321.61 | 671.23 |
| Reserves and Surplus | 1,392.17 | 2,502.24 | 1,221.61 | 571.23 |
| Total Borrowing | 9,504.27 | 3,658.72 | 2,718.09 | 1,451.30 |
Other Important Details of Shree Karni Fabcom Limited IPO
| IPO Date | March 6, 2024 to March 11, 2024 |
| Listing Date | 14-Mar-24 |
| Face Value | Rs 10 per share |
| Price Band | Rs 220 to Rs 227 per share |
| Lot Size | 600 Shares |
| Total Issue Size | 1,872,000 shares |
| amounting to Rs 42.49 crore | |
| Fresh Issue | 1,872,000 shares |
| amounting to Rs 42.49 crore | |
| Issue Type | Book Built Issue IPO |
| Listing At | NSE SME |
| Shareholding pre issue | 5,200,000 |
| Shareholding post issue | 7,072,000 |
| Market Maker portion | 93,600 shares |
Time-Table of Shree Karni Fabcom Limited IPO
| IPO Open Date | Wednesday, March 6, 2024 |
| IPO Close Date | Monday, March 11, 2024 |
| Basis of Allotment | Tuesday, March 12, 2024 |
| Initiation of Refunds | Wednesday, March 13, 2024 |
| Credit of Shares to Demat | Wednesday, March 13, 2024 |
| Listing Date | Thursday, March 14, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on March 11, 2024 |
Lot Size of Shree Karni Fabcom Limited IPO
| Application | Lots | Shares | Amount |
| Retail – Minimum | 1 | 600 | Rs 136,200 |
| Retail – Minimum | 1 | 600 | Rs 136,200 |
| HNI – Minimum | 2 | 1,200 | Rs 272,400 |
IPO Reservation of Shree Karni Fabcom Limited
| Category Of Investors | Equity Shares Offered |
| Equity shares offered to Qualified Institutional Investors | Not more than 50 percent of the Net Issue |
| Equity shares offered to the Retail Investors | Not less than 35 percent of the Net Issue |
| Equity shares offered to Non-Institutional Investors | Not less than 15 percent of the Net Issue |
Promoters of Shree Karni Fabcom Limited and Their Holdings
The promoters of Shree Karni Fabcom company are Manoj Kumar Karnani, Radhe Shyam Daga, Rajiv Lakhotia and Raj Kumar Agarwal.
| Shareholding Pre Issue | 96.16percent |
| Shareholding Post Issue | 70.07 percent |
Key Performance Indicator of Shree Karni Fabcom Limited IPO
| KPI | Values |
| ROE | 42.56% |
| ROCE | 11.34% |
| RoNW | 42.56% |
| P/BV | 6.17 |
| PAT Margin (%) | 10.75 |
EPS and P/E Ratio Post IPO
| Pre IPO | Post IPO | |
| EPS (Rs) | 10.68 | 17.25 |
| P/E (x) | 21.26 | 13.16 |
Lead Manager(s) of Shree Karni Fabcom Limited IPO
The lead manager for Shree Karni Fabcom Limited IPO is Horizon Management Private Limited.
How do you apply for the Shree Karni Fabcom Limited IPO?
Wait for the public issue to open for subscription, then visit Bigul website to apply for the Shree Karni Fabcom Limited IPO with Bigul.
How do you check the allotment status of Shree Karni Fabcom Limited IPO?
The registrar for Shree Karni Fabcom Limited IPO is Mas Services Limited. To check your allotment status, please click here.
FAQs
- What is Shree Karni Fabcom Limited IPO 2024?
Shree Karni Fabcom Limited IPO is a book-built issue of Rs 42.49 crores. The IPO issue is completely a fresh issue of 18.72 lakh equity shares. The price is decided at Rs 220 to Rs 227 per share. The minimum lot size of this application for the retail category is 600 shares. Meanwhile, the minimum lot size for the HNI category is 2 lots consisting of 1200 shares.
- Who are the lead managers for the Shree Karni Fabcom Limited IPO?
Horizon Management Private Limited is appointed as the lead manager for the IPO.
- What is the role of Mas Services Limited in this IPO?
Mas Services Limited is the registrar for Shree Karni Fabcom Limited, handling the IPO’s administrative aspects.
- How can I apply for the Shree Karni Fabcom Limited IPO?
The public subscription of this IPO will open on March 6, 2024. Visit the Bigul website for the application process.
- How will the net proceeds from the IPO be utilised?
The net capital received by this initial public offer is likely to fund the capital expenditure for setting up an dyeing unit Navsari District, Surat, Gujarat. Other than this, funds will be utilised for the purchase of new machinery which is to be installed. Also, the proceeds will be used to fund the working capital requirements.
- How can I check the allotment status of the IPO?
Investors can check the allotment status of the Shree Karni Fabcom Limited IPO 2024 by visiting here.
- What is the financial performance of Shree Karni Fabcom Limited?
The company reported a revenue of Rs 7,599.48 lakhs and profit after tax of Rs 813.44 lakhs for the period ending on 30 November 2023. Shree Karni Fabcom revenue increased by 51.87% and net profit of Rs 7.85% between the FY ending on 31 March 2023 and 31 March 2022.