Cedaar Textile
Book Building issueSMENSE₹60.90 Cr issue
-15.00%
Listing gain over issue price
Issue size
₹60.90 Cr
1 lot at cut-off
₹1,40,000
Lot size
1,000shares
Open
30 Jun 2025
Close
02 Jul 2025
Allotment
03 Jul 2025
Listing
07 Jul 2025
Listing performance
Issue price
₹140
Listed at
₹119
Listing-day close
₹113.05
Latest price
₹15.60
Close on 23 Oct 2026
Listing gain
-15.00%
Return since issue
-88.86%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 30 Jun 2025 – 02 Jul 2025
- Listing date
- 07 Jul 2025
- Face value
- ₹10 per share
- Issue price
- ₹140 per share
- Lot size
- 1,000 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹60.90 Cr
- Market cap at offer price
- ₹194 Cr
- Promoter holding
- 100.00% → 68.66% pre-issue → post-issue
- ISIN
- INE11J101017
- Registrar
- Skyline Financial Services Pvt.Ltd.
- Lead managers
- Fast Track Finsec Pvt.Ltd.
- Registered office
- KSSIDC Plot No B-34, Industrial Estate, Yelahanka New Town, Karnataka
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 6,80,000 | — | — |
| Market maker | 2,18,000 | — | — |
Application size
Minimum 1,000 shares per lot, in multiples, at ₹140
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,000 | ₹1,40,000 |
| S-HNI (min) | 2 | 2,000 | ₹2,80,000 |
| S-HNI (max) | 7 | 7,000 | ₹9,80,000 |
| B-HNI (min) | 8 | 8,000 | ₹11,20,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Shares allocated
6,80,000
Anchor portion
₹9.52 Cr
at ₹140 per share
Valuation and performance
Valuation at offer price
₹140 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 11.60 | 7.33 |
| P/E (×) | 12.07 | 19.10 |
| Price to book (×) | 4.16 | — |
| Market cap | — | ₹194 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 56.06%
- ROCE
- 26.90%
- Debt / equity
- 5.79
- PAT margin
- 5.83%
- EBITDA margin
- 15.19%
- NAV per share
- ₹33.65
- Price to book
- 4.16
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Cedaar Textile
Cedaar Textile Limited was incorporated as a private limited company on September 28, 2020, and converted to a public limited company on August 23, 2024. The company is engaged in the manufacturing and sale of quality melange yarn and other specialty yarns for use in household textiles, woven goods, and hosiery. The company's promoters, Mr. Rajesh Mittal and Mr. Virender Goyal, have cumulative industry experience of 63 years. The company offers a wide range of raw white yarns, melange yarns, solid top-dyed yarns, and grey fancy yarns in cotton, polyester, acrylic, viscose, Tencel, Modal, and other fibers, with a focus on sustainability using 100% organic and recycled fibers. The company's production process involves procurement of raw materials and processing through machines by mixing different fabrics. The company manufactures and sells products including yarn, technical textile IFR, fabrics, and dyed yarn, targeting top-line customers overseas and in India who produce garments for renowned fashion brands. The company has a manufacturing facility located in Punjab.
Company Analysis
from RHPCedaar Textile Limited manufactures high-quality yarns including melange, solid top-dyed, and fancy yarns across cotton, polyester, acrylic, viscose, and other fibers for use in household textiles, woven goods, and hosiery.
Cedaar Textile Limited was incorporated as a private limited company on September 28, 2020, and converted to a public limited company on August 23, 2024. The company is engaged in the manufacturing and sale of quality melange yarn and other specialty yarns for use in household textiles, woven goods, and hosiery. The company's promoters, Mr. Rajesh Mittal and Mr. Virender Goyal, have cumulative industry experience of 63 years. The company offers a wide range of raw white yarns, melange yarns, solid top-dyed yarns, and grey fancy yarns in cotton, polyester, acrylic, viscose, Tencel, Modal, and other fibers, with a focus on sustainability using 100% organic and recycled fibers. The company's production process involves procurement of raw materials and processing through machines by mixing different fabrics. The company manufactures and sells products including yarn, technical textile IFR, fabrics, and dyed yarn, targeting top-line customers overseas and in India who produce garments for renowned fashion brands. The company has a manufacturing facility located in Punjab.
textilesyarn manufacturingspecialty fibershousehold textileshosierywoven goods
Objects of the Issue
- Installation of Grid-tied Solar PV Rooftop System for Captive evacuation ₹ 800 Lakhs p.34
- Modernization of the Machines ₹ 1,700 Lakhs p.34
- To meet working capital requirements ₹ 2,490 Lakhs p.34
- General Corporate Purpose [●] p.34
- Issue Expenses [●] p.34
- Installation of Grid-tied Solar PV Rooftop System for Captive evacuation ₹800 lakhs p.113
- Modernization of the dyeing plant ₹1,700 lakhs p.113
- Working Capital Requirements ₹2,490 lakhs p.113
- General Corporate Purposes p.113
- Issue Expenses p.113
- Funding capex for fabric dyeing machinery installation and capacity expansion ₹1,700.00 lakhs from net proceeds of issue p.127
- To meet the working capital requirement ₹2,490.00 lakhs (proceeds from IPO for FY 2025-26) p.131
- General corporate purposes Balance of net proceeds, subject to not exceeding 25% of gross proceeds p.135
- Not explicitly stated in this document section
- Not specified in this document part - Objects of the Issue section not included in pages 277-357
Issue Structure
- Total Issue
- Up to 43,50,000 Equity Shares aggregating to Rs. [●] Lakhs
- Fresh Issue
- Up to 43,50,000 Equity Shares of face value Rs. 10/- each for cash at price of Rs. [●]/- per Equity Share aggregating to Rs. [●] Lakhs
- Offer for Sale
- Nil
- Price Band
- [●] (Floor Price) to [●] (Cap Price)
- Lot Size
- [●]
- Face Value
- ₹ 10/- each
Business Model
The company manufactures quality melange and specialty yarns using various fibers and sells them to customers who produce garments for renowned fashion brands. Revenue is generated through the sale of yarns including raw white yarns, melange yarns, solid top-dyed yarns, grey fancy yarns, technical textiles, fabrics, and dyed yarns. The company operates on a purchase order basis with customers and has not entered into long-term contracts.
Business Segments
Manufacturing of yarn through spinning process
Dyeing of yarns
The company manufactures specialty yarns including cotton, polyester/cotton, and polyester/viscose blended yarns, with dyeing facilities for yarn processing.
Manufacturing and selling melange yarns and dyed yarns in various fiber blends including 100% cotton, polyester/viscose, polyester/cotton, cotton/viscose, acrylic/cotton, acrylic/viscose, cotton/nylon, 100% viscose, 100% polyester, and modal/cotton blends
Manufacturing colored neppy melange, jaspe/siro yarn (two/multi toned grindle), raw white jaspe/siro yarn, neon neppy melange, snow heather, flax feel melange, triblends melange, slub melange, and injection yarn
Manufacturing yarn for sweaters in count range 2/20 Ne to 2/40 Ne
Manufacturing raw white yarns in counts NE 16s to NE 40s for knitting and weaving in 100% cotton, cotton/polyester blended, cotton/viscose blended, cotton/modal, cotton/tencel, cotton/acrylic blended, cotton/nylon yarns, tri blend yarns, recycled cotton and recycled polyester GRS certified yarns, organic and BCI cotton in blended yarns
Yarn dyeing services with capacity of 4 MT per day in 100% polyester, 100% cotton, polyester filament, poly/cotton, and 100% viscose
Trading in single jersey, interlock and rib fabrics and various customized fabrics, with company giving yarn to job workers for fabric manufacturing
Manufacturing of inherently flame retardant (IFR) yarns and fabrics for technical textiles, protective wear, home furnishings and apparel in cotton/acrylic, 100% cotton, acrylic/viscose, cotton/viscose, 100% viscose, and cotton/polyester blends
Manufacturing and selling sustainable textile products including 100% organic cotton and organic blends, BCI cotton and cotton blends, GRS certified recycled polyester blends, eco-friendly viscose blends, and recycled cotton blends
Specialized products where the company mixes two different blend fibers and converts into sliver form; also includes biomass pellets production (recently installed on trial basis with capacity of approximately 20 MT per day)
The company provides job work services for fabric dyeing and finishing. Receives knitted fabric, performs dyeing process at company cost, and finishing to become final product. Company decided not to set up knitting machines due to multiple references of fabrics and lack of cost benefit.
Manufacturing of yarn through spinning mills using fibers and staple materials. Processes raw fibers through carding, drawing, twisting and forming into yarn.
Dyeing and coloring of yarn and fibers. Provides dyeing services to convert raw or undyed fibers into colored products.
Manufacturing and sale of raw white yarns, melange yarns, solid top-dyed yarns, and grey fancy yarns in cotton, polyester, acrylic, viscose, tencel, modal, and other fibers. Includes all melange, blends and counts.
Manufacturing and sale of technical textiles with IFR (Inherent Flame Retardant) properties
Manufacturing and trading of fabrics
Job work of dying of fiber, yarns and fabrics for customers
Specialized products in which the company mixes two different blends of fibers and converts into sliver form. Includes sale of biomass pellets.
SWOT Analysis
Strengths
- • Experienced promoter team with 63 years combined textile industry experience(p.32)
- • Diverse product portfolio across multiple fiber types and specialty yarns(p.32)
- • Focus on sustainability with organic and recycled fiber offerings(p.32)
- • Strategic focus on innovation, R&D, technology upgradation and digitalization(p.32)
- • Experienced promoter team with decades of textile industry knowledge(p.67)
- • Established market presence with consistent revenue from domestic and export markets(p.74)
- • No bad debts with consistent on-time payment collection history(p.68)
- • Dedicated workforce with health and safety certifications in place(p.68)
- • Experienced management with 28+ years in textiles(p.177)
- • Wide product range across multiple fibre types(p.177)
- • Strong sustainability focus with certified eco-friendly products(p.177)
- • Forward integration into fabric dyeing and technical textiles(p.194)
- • Own manufacturing facility with significant capacity(p.192)
- • Diversification into renewable energy and biomass pellets(p.198)
- • Advanced filtration and automated ETP systems for efficient wastewater treatment(p.200)
- • Strong capacity utilization in dyeing operations at 90-91%(p.200)
- • Increasing spinning capacity utilization reaching 70% as of December 2024(p.200)
- • Substantial power generation through solar plant reducing operating costs(p.217)
- • Experienced management team with combined 28-33+ years in textile industry(p.224)
- • Good labor relations with low attrition rates(p.203)
- • Comprehensive insurance coverage for operational risks(p.205)
- • Established operational presence with 3+ years track record(p.342)
- • Diversified product portfolio spanning specialty yarns and technical textiles(p.316)
- • Strong management team with deep industry experience(p.316)
- • Profitability and positive net worth trajectory(p.342)
- • Sustainability-focused manufacturing with organic and recycled fiber capabilities(p.316)
- • International quality certifications validating manufacturing standards(p.338)
- • Successful revenue growth and market acceptance demonstrated(p.324)
Weaknesses
- • High customer concentration with top 10 customers contributing majority of revenue(p.43)
- • No long-term contracts with customers; reliance on purchase orders creates revenue variability(p.44)
- • Geographic concentration of manufacturing in single city (Ludhiana, Punjab) creates operational risk(p.43)
- • High dependence on top 10 suppliers for raw materials with no long-term supply agreements(p.55)
- • Substantial debt burden with total borrowings of ₹12,062.63 Lakhs as of December 31, 2024(p.46)
- • No trademark registration for company logo; risk of unauthorized use by third parties(p.44)
- • History of delayed statutory filings and tax payments with potential penalties(p.49)
- • Contingent liabilities of ₹45.06 Lakhs (Income Tax) and ₹15.24 Lakhs (GST) pending resolution(p.37)
- • Lease-based offices with short tenure (11 months) creating operational instability(p.54)
- • Unsecured promoter loans of ₹110.15 Lakhs that can be recalled at any time(p.56)
- • Critical dependence on key promoters with no written contracts and high attrition risk(p.60)
- • Severe machine underutilization reducing returns on capital investments(p.69)
- • Heavy debt burden with promoter personal guarantees on ₹11,507.41 lakhs in loans(p.69)
- • History of negative cash flows impacting liquidity and growth capacity(p.62)
- • No formal written agreements with dealers and agents creating supply chain vulnerability(p.64)
- • High contingent liabilities from pending GST and income tax demands(p.68)
- • Highly volatile trade receivables turnover creating cash flow strain(p.68)
- • First-generation entrepreneurs with limited succession planning experience(p.67)
- • High dependency on cotton as raw material(p.194)
- • Significant raw material inventory requirements(p.129)
- • High short-term borrowings relative to current liabilities(p.128)
- • Concentration of revenue in few customers(p.190)
- • Labour-related operational constraints(p.194)
- • High employee attrition rate averaging 10-12% annually(p.204)
- • Heavy dependence on export revenue with over 50% from overseas customers lacking formal agreements(p.205)
- • Significant short-term borrowings of Rs. 8,456.11 lacs creating debt service pressure(p.256)
- • Relatively low net profitability with PAT margins declining in recent periods(p.204)
- • High financial charges at Rs. 901.03 lacs for 9-month period indicating elevated borrowing costs(p.258)
- • High debt-to-equity ratio indicating significant leverage(p.304)
- • Weak debt service coverage indicating liquidity stress(p.304)
- • Heavy reliance on few major customers creating revenue concentration risk(p.317)
- • Inconsistent working capital management and inventory fluctuations(p.297)
- • Inventory turnover deteriorated significantly(p.304)
- • GST input credit reconciliation issues creating contingent liability(p.299)
- • Contingent income tax and GST demands pending resolution(p.335)
Opportunities
- • India's textile sector driven by various government schemes for expansion(p.33)
- • Growing export market with 34.99-59.29% of revenue from international markets(p.56)
- • Strategy to add new customers and expand customer base in normal course of business(p.43)
- • Plans for grid-tied solar power installation reducing dependence on external power(p.34)
- • Modernization of machinery to improve production capacity and efficiency(p.34)
- • Optimization of working capital requirements through better management(p.34)
- • Grid-tied solar installation reducing long-term electricity costs by ₹3.74 crore annually(p.123)
- • Expansion of yarn dyeing capacity by 83% (6MT to 11MT per day) with higher profit margins(p.126)
- • Modernization enabling production cost reduction from ₹45/kg to ₹40/kg on yarn dyeing(p.126)
- • Entry into fabric dyeing processing with captive supply to sister company and market demand(p.126)
- • Growing export market demand for blended yarns across multiple geographies(p.124)
- • Water conservation through new machines reducing consumption from 8:1 to 3:1 ratio enabling sustainable production(p.124)
- • Growing global demand for sustainable and technical textiles(p.194)
- • Expansion into fabric dyeing with higher value addition(p.135)
- • PLI scheme providing incentives for MMF apparel and technical textiles(p.175)
- • Rising market for fire-retardant and specialty textiles(p.185)
- • Government infrastructure development through PM-MITRA parks(p.174)
- • Expansion into e-commerce and online retail channels for textiles and fashion products(p.219)
- • Growing export market participation through international exhibitions and buyer-seller meets(p.218)
- • Fashion and lifestyle product diversification through established brands and design capabilities(p.219)
- • Capacity expansion potential with current infrastructure supporting higher throughput(p.200)
- • Sustainability and CSR positioning through wastewater treatment and community engagement(p.200)
- • Expansion into value-added product segments beyond commodity yarns(p.323)
- • Geographic expansion in export markets with growing demand(p.320)
- • Growth in technical textiles and specialized fiber segments(p.319)
- • Investment in renewable energy reducing operational costs(p.294)
- • Capacity utilization improvements through automation and modernization(p.325)
- • Growing domestic market demand from fashion and apparel brands(p.320)
Threats
- • Political instability in Bangladesh affecting export demand and payment reliability(p.46)
- • Volatility in raw material prices with exposure to price fluctuations(p.44)
- • Fluctuating electricity tariffs and dependency on third-party power suppliers(p.47)
- • Competitive market with organized and unorganized players affecting margins(p.57)
- • Changing consumer preferences and quality perceptions affecting brand reputation(p.44)
- • Labor shortage and potential strikes disrupting operations(p.53)
- • Dependence on third-party logistics creating delivery and cost risks(p.48)
- • Import duties and trade restrictions on exported products in various countries(p.56)
- • Risks of natural disasters and localized adverse events in Punjab(p.43)
- • Regulatory and compliance risks including potential penalties for delayed filings(p.51)
- • Heavy reliance on exports (35-59% of revenue) exposed to geopolitical trade barriers and conflicts(p.74)
- • Significant currency depreciation risk on ₹3,74 crore annual export earnings with limited hedging(p.74)
- • Indian economy cyclicality and slowdowns directly impacting domestic textile demand(p.71)
- • Quota expiration and global textile competition eroding market share(p.60)
- • Indian tax regime undergoing substantial changes with uncertain GST and GAAR implications(p.71)
- • Loss of current tax incentives and benefits increasing tax liability(p.61)
- • Machinery procurement delays and cost escalations impacting project timelines and capex(p.61)
- • Rapid technological obsolescence risk requiring continuous system upgrades(p.61)
- • Global financial market instability affecting Indian economy and market valuations(p.73)
- • Significant raw material price volatility affecting margins(p.194)
- • Exposure to Bangladesh market disruptions affecting orders(p.133)
- • Global textile market volatility and weak demand(p.194)
- • Rising energy and power costs impacting profitability(p.194)
- • Increasing environmental regulations requiring capital investment(p.194)
- • Global trade tensions and tariff uncertainties(p.151)
- • Fragmented and competitive textile market with substantial competition from unorganized players(p.204)
- • Dependence on raw material availability and price fluctuations in cotton and synthetic fibers(p.219)
- • Foreign exchange fluctuation risk on export revenues(p.270)
- • Regulatory compliance requirements across environmental, labor, and taxation domains(p.205)
- • Stringent environmental regulations requiring continuous compliance and capital investment in pollution control(p.214)
- • High volatility in raw material prices, particularly cotton(p.317)
- • Dependency on monsoon and weather patterns affecting cotton supply(p.317)
- • Exposure to export market volatility and geopolitical risks(p.323)
- • Intense competition from existing and potential competitors(p.331)
- • Regulatory and policy changes affecting textile industry(p.317)
- • Interest rate and inflation volatility impacting financial costs(p.317)
- • Revenue decline during commodity price downturns(p.326)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Mr. Rajesh Mittal | Promoter | 40.35% | 27.71% |
| Mr. Virender Goyal | Promoter | 18.30% | 12.57% |
| Mr. Bachangada Nachappa Monnappa | Promoter | 39.77% | 27.30% |
| Mrs. Bachangada Monnappa Saraswati | Promoter | 1.57% | 1.08% |
| Upma Goyal | Promoter Group | Negligible | Negligible |
| Naveen Mittal | Promoter Group | Negligible | Negligible |
| Chetna Mittal | Promoter Group | Negligible | Negligible |
| Rajesh Mittal | Promoter | 40.35% | 27.71% |
| Virender Goyal | Promoter | 18.30% | 12.57% |
| Monnappa Nachappa Bachangada | Promoter | 39.77% | 27.30% |
| Bachangada Monnappa Saraswathi | Promoter | 1.57% | 1.08% |
| Rajesh Mittal | Promoter | — | — |
| Virender Goyal | Promoter | — | — |
| Bachangada Monnappa Saraswathi | Promoter | — | — |
| Monnappa Nachappa Bachangada | Promoter | — | — |
| Rajesh Mittal | Promoter/Managing Director | 40.35% | 27.70% |
| Virender Goyal | Promoter/Director/CFO | 18.30% | 12.56% |
| Bachangada Nachappa Monnappa | Promoter/Non-Executive Director | 39.77% | 27.30% |
| Bachangada Monnappa Saraswathi | Promoter/Non-Executive Director | 1.57% | 1.08% |
| Rajesh Mittal | Promoter | 40.35% | — |
| Monnappa Nachappa Bachangada | Promoter | 39.77% | — |
| Virender Goyal | Promoter | 18.30% | — |
| Saraswathi Bopiah Monappa | Promoter | 1.57% | — |
Leadership
Mr. Rajesh Mittal · Promoter/Managing Director
Mr. Virender Goyal · Promoter/Chief Financial Officer
Mr. Bachangada Nachappa Monnappa · Promoter/Director
Mrs. Bachangada Monnappa Saraswathi · Promoter/Director
Ms. Neha Parbhakar Rawat · Company Secretary & Compliance Officer
Mr. Kamta Nath Pandey · Independent Director
Mr. Yogendra Kumar Singhal · Independent Director
Mr. Yatish Chandra Gupta · Independent Director
Mr. Rajesh Bansal · Independent Director
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.
Cedaar Textile IPO FAQs
What is the lot size of Cedaar Textile IPO?
The minimum lot size of Cedaar Textile IPO is 1,000 shares. One lot costs ₹1,40,000 at the cut-off price.
When does Cedaar Textile IPO open and close?
Cedaar Textile IPO opened for subscription on 30 Jun 2025 and closed on 02 Jul 2025.
What is the listing date of Cedaar Textile IPO?
Cedaar Textile IPO listed on 07 Jul 2025.