Kaka Industries
Book Building issueSME₹21.23 Cr issue
+90.00%
Listing gain over issue price
Issue size
₹21.23 Cr
1 lot at cut-off
₹1,16,000
Lot size
2,000shares
Open
10 Jul 2023
Close
12 Jul 2023
Allotment
17 Jul 2023
Listing
19 Jul 2023
Listing performance
Issue price
₹58
Listed at
₹110.20
Listing-day close
₹115.71
Latest price
₹190
Close on 23 Oct 2026
Listing gain
+90.00%
Return since issue
+227.59%
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 10 Jul 2023 – 12 Jul 2023
- Listing date
- 19 Jul 2023
- Face value
- ₹10 per share
- Issue price
- ₹58 per share
- Lot size
- 2,000 shares
- Issue type
- Book Building issue
- Total issue size
- ₹21.23 Cr
- Market cap at offer price
- ₹79.23 Cr
- Promoter holding
- 95.32% → 69.78% pre-issue → post-issue
- ISIN
- INE0P3N01018
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Hem Securities Ltd.
- Registered office
- Plot No.67, Bhagwati Nagar, Opp Nilkanth Arcade, Opp.Kathwada GIDC, Kuha-Kanbha Road, Gujarat
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 | 10,38,000 | — | — |
| Market maker | 1,92,000 | — | — |
Application size
Minimum 2,000 shares per lot, in multiples, at ₹58
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 2,000 | ₹1,16,000 |
| S-HNI (min) | 2 | 4,000 | ₹2,32,000 |
| S-HNI (max) | 8 | 16,000 | ₹9,28,000 |
| B-HNI (min) | 9 | 18,000 | ₹10,44,000 |
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
10,38,000
Anchor portion
₹6.02 Cr
at ₹58 per share
Valuation and performance
Valuation at offer price
₹58 per share
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 7.19 | — |
| P/E (×) | 8.07 | — |
| Market cap | — | ₹79.23 Cr |
Key performance indicators
Latest reported period
- Return on net worth
- 36.72%
- ROCE
- 20.83%
- Debt / equity
- 2.05
- PAT margin
- 4.53%
- NAV per share
- ₹19.57
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Kaka Industries
Kaka Industries Limited was incorporated on June 21, 2019 and acquired a profile sheet machinery setup in 2019. The company manufactures and sells polymer-based profiles with a portfolio of over 1,200 SKUs covering PVC Profile, uPVC door & window profile, WPC Profile & sheet in various sizes, specifications and colours. It also engages in fabrication of factory-made PVC & Solid PVC doors. The company is registered in Gujarat and operates manufacturing facilities primarily in Zak, Gandhinagar district. Revenue is generated from manufacturing and sale of these polymer-based products. The company had total income of ₹15,887.70 lakhs and profit after tax of ₹718.50 lakhs for the fiscal year ended March 31, 2023.
Company Analysis
from RHPKaka Industries is a PVC profile manufacturer focused on polymer-based profiles for doors, windows, partitions, false ceilings, wall paneling, and interior works across India.
Kaka Industries Limited was incorporated on June 21, 2019 and acquired a profile sheet machinery setup in 2019. The company manufactures and sells polymer-based profiles with a portfolio of over 1,200 SKUs covering PVC Profile, uPVC door & window profile, WPC Profile & sheet in various sizes, specifications and colours. It also engages in fabrication of factory-made PVC & Solid PVC doors. The company is registered in Gujarat and operates manufacturing facilities primarily in Zak, Gandhinagar district. Revenue is generated from manufacturing and sale of these polymer-based products. The company had total income of ₹15,887.70 lakhs and profit after tax of ₹718.50 lakhs for the fiscal year ended March 31, 2023.
plastic processingpolymer profilesconstruction materialsinterior furnishings
Objects of the Issue
- To meet Working Capital requirements ₹775.00 lakhs p.21
- Repayment and/or pre-payment, in full or part, of certain borrowings availed by our Company ₹730.00 lakhs p.21
- General Corporate Purpose p.21
- To meet Working Capital requirements ₹775.00 lakhs p.71
- Repayment and/or pre-payment, in full or part, of certain borrowings availed by our Company ₹730.00 lakhs p.71
- General Corporate Purpose [●] p.71
- Setting up of new integrated manufacturing facility at Lasundra, Kheda district, Gujarat ₹27 crores estimated total cost p.96
- Financing of the new manufacturing plant through term loan from SIDBI ₹20 crores sanctioned term loan p.96
Issue Structure
- Total Issue
- ₹[●] lakhs (upto 36,60,000 equity shares of face value ₹10 each)
- Fresh Issue
- ₹[●] lakhs (upto 36,60,000 equity shares of face value ₹10 each, including 1,92,000 equity shares for market maker reservation)
- Offer for Sale
- Nil
- Price Band
- ₹[●] to ₹[●] (to be decided)
- Lot Size
- [●] equity shares
- Face Value
- ₹10 per equity share
Business Model
The company manufactures and sells polymer-based profiles and related products. Majority revenue is dependent on the single business segment of polymer-based profiles which find application in doors, windows, partitions, false ceilings, wall paneling, kitchen cabinets and other interior and exterior works. Products are sold through dealers and customers. For fiscal 2023, cost of materials consumed was ₹11,029.24 lakhs, representing 71.65% of revenue from operations.
Business Segments
Manufacturing of polymer-based PVC profiles for application in doors, windows, partitions, false ceilings, wall paneling, kitchen cabinets and other interior works
Manufacturing of unplasticized polyvinyl chloride (uPVC) profiles for doors and windows
Manufacturing of wood plastic composite (WPC) profiles and sheets in various sizes, specifications and colours
Fabrication of factory-made PVC & Solid PVC doors
Polyvinyl chloride profiles used in end-products such as furniture, wall panels, ceiling panels, decorative products, doors, and partitions. Includes PVC multichambered hollow profile, hollow door frames, hollow molding, framing pipes, wall and ceiling panels, corner profiles, solid polymeric reinforcement and frames in various finishes.
Unplasticised Polyvinyl Chloride profiles that are low conductors of heat and energy-efficient products for windows and doors. Reduces temperature transfer from outside to inside and is low maintenance with durability and customizable options.
Wood plastic composite profiles used mainly for making doors, ply, and wall panels. Available in various door sizes and ply dimensions with printed texture coated, plain, and digital printed forms.
Fabrication of factory-made PVC & Solid PVC doors in various sizes.
Sale of raw materials including chemicals, resin and other items.
Manufacturing and sale of PVC profiles, uPVC door & window profiles, WPC profiles and fabrication of factory-made PVC and solid PVC doors
SWOT Analysis
Strengths
- • Diversified product portfolio with over 1200 SKUs across multiple profile types(p.21)
- • Experienced promoter with 20+ years in PVC profile and related products sector(p.29)
- • Manufacturing capabilities across multiple product lines including PVC, uPVC and WPC profiles(p.37)
- • Growing revenue and profitability with expanding market presence(p.22)
- • Restrictive covenants limit operational flexibility(p.42)
- • Fund deployment not independently monitored(p.42)
- • Extensive dealer network across 20+ states with 300 dealers(p.94)
- • Wide product portfolio of 1200+ SKUs across multiple categories(p.94)
- • Stringent quality control with ISO certifications and CPR compliance(p.94)
- • In-house manufacturing with installed capacity of 15,425 MT for PVC, 2,995 MT for WPC, 2,022 MT for uPVC(p.94)
- • Experienced management team with 22 years industry expertise from founder(p.94)
- • Strong revenue growth from ₹78.79 Cr (FY2021) to ₹158.88 Cr (FY2023)(p.94)
- • Multiple brand names (Kaka, Poly Plast, Jinwin, Nice Plast, Barbarika) for market penetration(p.94)
- • Extensive distribution network across India(p.180)
- • Multiple recognized brands and market presence(p.180)
- • Strong track record of revenue growth and profitability(p.180)
- • ISO certifications and quality management systems(p.180)
- • Government vendor status and approvals(p.180)
- • Diversified product portfolio with 1200+ SKUs(p.180)
- • Vertically integrated manufacturing and fabrication capabilities(p.180)
- • Improved working capital management and operational efficiency(p.169)
Weaknesses
- • Limited operating history since company incorporation in June 2019(p.29)
- • High dependence on few major customers - top 10 customers account for 32.67% of revenue(p.34)
- • No long-term supply contracts with major raw material supplier Reliance Industries(p.31)
- • High raw material cost as percentage of revenue - 71.65% in FY2023(p.31)
- • Non-compliance with certain statutory provisions under Companies Act 2013(p.32)
- • Ongoing income tax proceedings against promoters with significant undisclosed income declarations(p.30)
- • Business and manufacturing operations highly concentrated in single geographic location (Zak, Gandhinagar)(p.39)
- • Heavy promoter control with 95.32% pre-IPO shareholding creating governance risks(p.21)
- • Unsecured loans of ₹571.74 lakhs repayable on demand without notice(p.41)
- • Trademarks not registered in company name but held by promoter's proprietorship(p.35)
- • Promoter control concentration post-IPO(p.43)
- • No dividend assurance; limited shareholder returns(p.43)
- • High financial leverage and debt burden(p.73)
- • Potential future equity dilution for shareholders(p.43)
- • Heavy dependence on Gujarat state for 63.73% of FY2023 revenue(p.94)
- • Significant lease dependence for manufacturing facilities from promoter-related entities(p.95)
- • Low capacity utilization rates: PVC Profile 55.65%, uPVC 34.88% in FY2023(p.99)
- • New manufacturing facility at Lasundra under construction with execution risk(p.95)
- • High promoter shareholding of 57.72% with limited public float post-IPO(p.127)
- • High dependence on few customers for revenue(p.185)
- • Significant debt burden relative to equity(p.187)
- • Trademark ownership not registered in company name(p.195)
- • Pending regulatory approvals and licenses(p.195)
- • Promoter group tax proceedings and regulatory investigations(p.189)
- • Inadequate insurance coverage and manufacturing risk concentration(p.146)
Opportunities
- • Setting up new manufacturing facility in Lasundra with 49,000 sq. meters to increase production capacity(p.36)
- • Access to ₹20 crores SIDBI term loan for expansion project(p.36)
- • Growing plastics industry with 50,000 industries contributing ₹3.5 lakh crore to economy(p.21)
- • Significant geographic expansion opportunity with major revenue concentration in Gujarat (63.73%)(p.39)
- • Growing market for polymer-based profiles in residential and non-residential construction segments(p.32)
- • Listing enhances corporate visibility and market access(p.71)
- • Working capital expansion to support business growth(p.72)
- • Debt reduction to improve financial flexibility(p.73)
- • Government target to increase plastic exports to US$ 25 billion by 2025(p.93)
- • 10 Plastic Parks approved across India with funding support up to ₹40 crore(p.92)
- • Government initiatives like Digital India, Make in India and Skill India supporting domestic plastic manufacturing(p.93)
- • Real estate market expected to reach US$ 1 trillion by 2030, driving demand for PVC profiles in doors/windows(p.93)
- • Strategy to expand dealer network in existing and new geographic markets(p.96)
- • Expansion of new manufacturing facility with increased automation and production capacity(p.96)
- • 32.3% growth in plastic raw materials exports and 24.8% growth in medical items in April-Sept 2022(p.92)
- • Geographic expansion into newer states and markets(p.180)
- • Expansion of manufacturing capacity(p.180)
- • Growth in environmentally sustainable products(p.180)
- • Sustained revenue growth trajectory(p.183)
Threats
- • Intense competition from large established competitors with greater resources and brand recognition(p.30)
- • Competition from substitute products including wooden, glass and aluminium doors(p.30)
- • Volatility in crude oil prices impacting raw material costs (PVC resin derived from crude oil)(p.31)
- • Reduction in import duty on PVC profiles could increase competition from international players(p.30)
- • Demand dependency on cyclical construction and real estate sector(p.32)
- • Price sensitivity in the industry requiring competitive pricing to maintain market share(p.30)
- • Dependence on third-party transportation without long-term agreements(p.40)
- • Regulatory risks including missing statutory approvals for manufacturing facilities and depots(p.32)
- • Global economic slowdown and recession risk(p.86)
- • Indian economic growth deceleration(p.44)
- • Regulatory and tax uncertainty in India(p.44)
- • GST implementation and tax efficiency impact(p.44)
- • Financial market instability and currency volatility(p.44)
- • Natural disasters, pandemics, and external shocks(p.45)
- • Political instability affecting business and market conditions(p.45)
- • Labour law changes may restrict operational flexibility(p.45)
- • Single-use plastics and PVC items banned under Plastic Waste Management Rules 2016 (amended 2021/2022)(p.104)
- • Highly competitive PVC profile industry with larger organized competitors(p.100)
- • Significant competitors including Dhabriya Polywood, Sintex Plastics, and Fenesta Building Systems with better penetration(p.100)
- • Dependence on raw material availability (PVC resin, calcium carbonate, stabilizers) from limited suppliers(p.100)
- • Extended Producer Responsibility (EPR) regulations increasing compliance burden on plastic producers(p.104)
- • Dependence on limited customer base creates concentration risk(p.185)
- • Fluctuations in raw material and input costs(p.182)
- • Competition in PVC profiles and polymer products industry(p.186)
- • Regulatory and compliance risks in manufacturing(p.181)
- • Economic and market cyclicality affecting demand(p.181)
- • Technology obsolescence and product upgradation requirements(p.181)
- • Key person dependence on promoters and management(p.181)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Rajesh Dhirubhai Gondaliya | Promoter | 12.80% | 9.37% |
| Bhavin Rajeshbhai Gondaliya | Promoter | 26.32% | 19.27% |
| Rajeshkumar Dhirubhai Gondaliya (HUF) | Promoter | 18.60% | 13.62% |
| Jinal Rajeshbhai Gondaliya | Promoter Group | 14.90% | 10.91% |
| Prabhaben Rajeshbhai Gondaliya | Promoter Group | 12.80% | 9.37% |
| Bhaveshkumar Shambhubhai Gondaliya | Promoter Group | 0.20% | 0.15% |
| Kaka Engineering Private Limited | Promoter Group | 4.85% | 3.55% |
| Pinaxis Hi-Tech Engineering Private Limited | Promoter Group | 4.85% | 3.55% |
| Rajesh Dhirubhai Gondaliya | Promoter | 12.80% | 9.37% |
| Bhavin Rajeshbhai Gondaliya | Promoter | 26.32% | 19.27% |
| Rajeshkumar Dhirubhai Gondaliya (HUF) | Promoter | 18.60% | 13.62% |
| Jinal Rajeshbhai Gondaliya | Promoter Group | 14.90% | 10.91% |
| Prabhaben Rajeshbhai Gondaliya | Promoter Group | 12.80% | 9.37% |
| Kaka Engineering Private Limited | Promoter Group | 4.85% | 3.55% |
| Pinaxis Hi-Tech Engineering Private Limited | Promoter Group | 4.85% | 3.55% |
| Rajesh Dhirubhai Gondaliya | Promoter/Chairman & Managing Director | 12.80% | — |
| Bhavin Rajeshbhai Gondaliya | Promoter/Whole-time Director | 26.32% | — |
| Rajeshkumar Dhirubhai Gondaliya (HUF) | Promoter | 18.60% | — |
| Rajeshbhai D Gondaliya | Promoter | 12.80% | — |
| Jinal R Gondaliya | Promoter | 14.90% | — |
| Prabhaben R Patel | Promoter | 12.80% | — |
| Bhavin R Gondaliya | Promoter | 26.32% | — |
| Rajeshbhai D Gondaliya (HUF) | Promoter Group | 18.60% | — |
| Pinaxis Hi Tech Engineering Pvt Ltd | Promoter Group | 4.85% | — |
| Kaka Engineering Private Limited | Promoter Group | 4.85% | — |
Leadership
Rajesh Dhirubhai Gondaliya · Managing Director
Bhavin Rajeshbhai Gondaliya · Director
Rajeshkumar Dhirubhai Gondaliya · Director
Prabhaben Rajeshbhai Gondaliya · Non-Executive Director
Chintan Jayantibhai Bodar · Chief Financial Officer
Vandana Arun Baldi · Company Secretary & Compliance Officer
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.
Kaka Industries IPO FAQs
What is the lot size of Kaka Industries IPO?
The minimum lot size of Kaka Industries IPO is 2,000 shares. One lot costs ₹1,16,000 at the cut-off price.
When does Kaka Industries IPO open and close?
Kaka Industries IPO opened for subscription on 10 Jul 2023 and closed on 12 Jul 2023.
What is the listing date of Kaka Industries IPO?
Kaka Industries IPO listed on 19 Jul 2023.