Kaytex Fabrics
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 29 Jul 2025 – 31 Jul 2025
- Listing date
- 05 Aug 2025
- Face value
- ₹10 per share
- Issue price
- ₹180 per share
- Lot size
- 800 shares
- Issue type
- Book Building issue
- Listing at
- NSE
- Total issue size
- ₹69.81 Cr
- Market cap at offer price
- ₹265 Cr
- Promoter holding
- 100.00% → 78.23% pre-issue → post-issue
- ISIN
- INE13ZD01013
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Socradamus Capital Pvt.Ltd.
- Registered office
- Batala Road, Post Office, Khanna Nagar, Punjab
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 | 9,32,800 | — | — |
| Market maker | 1,94,400 | — | — |
Application size
Minimum 800 shares per lot, in multiples, at ₹180
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 800 | ₹1,44,000 |
| S-HNI (min) | 2 | 1,600 | ₹2,88,000 |
| S-HNI (max) | 6 | 4,800 | ₹8,64,000 |
| B-HNI (min) | 7 | 5,600 | ₹10,08,000 |
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.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 14.70 | 11.50 |
| P/E (×) | 12.24 | 15.65 |
| Price to book (×) | 4.13 | — |
| Market cap | — | ₹265 Cr |
Key performance indicators
- Return on net worth
- 33.76%
- ROCE
- 33.25%
- Debt / equity
- 0.76
- PAT margin
- 11.06%
- EBITDA margin
- 19.68%
- NAV per share
- ₹43.54
- Price to book
- 4.13
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Kaytex Fabrics
Kaytex Fabrics Limited, incorporated in 1996 and converted to a public limited company in December 2024, operates as a fabric solutions and manufacturing enterprise integrating technology, design, and traditional craftsmanship. The company specializes in producing digitally printed fabrics, jacquard, dobby, and corduroy fabrics from natural and synthetic fibers, with a strong focus on digital printing technology enabling vibrant, customizable, and trend-driven designs. Expanding into womenswear, the company offers ready-to-stitch suits, co-ord sets, shawls, and stoles. It operates through three channels: as a brand enabler providing fabrics and design solutions to apparel brands; through its own brands offering fabrics and garments; and in the non-branded segment serving wholesalers and retailers. The company is headquartered in Amritsar, Punjab, India.
Company Analysis
from RHPKaytex Fabrics Limited is a fast-fashion fabric solutions and manufacturing enterprise specializing in digital textile printing, woven and knitted fabrics, and ready-to-stitch garments across cotton, viscose, and polyester fibers.
Kaytex Fabrics Limited, incorporated in 1996 and converted to a public limited company in December 2024, operates as a fabric solutions and manufacturing enterprise integrating technology, design, and traditional craftsmanship. The company specializes in producing digitally printed fabrics, jacquard, dobby, and corduroy fabrics from natural and synthetic fibers, with a strong focus on digital printing technology enabling vibrant, customizable, and trend-driven designs. Expanding into womenswear, the company offers ready-to-stitch suits, co-ord sets, shawls, and stoles. It operates through three channels: as a brand enabler providing fabrics and design solutions to apparel brands; through its own brands offering fabrics and garments; and in the non-branded segment serving wholesalers and retailers. The company is headquartered in Amritsar, Punjab, India.
Objects of the Issue
- Funding capital expenditure for construction of additional warehouse facility in Amritsar ₹255.55 lakhs p.36
- Funding capital expenditure for construction of dedicated sales office in Amritsar ₹373.20 lakhs p.36
- Funding capital expenditure towards purchase of advanced fabric processing system for existing printing, dyeing and processing unit in Amritsar ₹501.00 lakhs p.36
- Funding incremental working capital requirements ₹3,000.00 lakhs p.36
- General corporate purposes p.36
- Funding capital expenditure for construction of additional warehouse facility in Amritsar p.69
- Funding capital expenditure for construction of dedicated sales office in Amritsar p.69
- Funding capital expenditure towards purchase of advanced fabric processing system for existing printing, dyeing and processing unit in Amritsar ₹501.00 Lakhs p.69
- Funding incremental working capital requirements p.69
- General corporate purposes p.69
- Funding capital expenditure for construction of additional warehouse facility in Amritsar ₹255.55 lakhs p.117
- Funding capital expenditure for construction of dedicated sales office in Amritsar ₹373.20 lakhs p.120
- Funding capital expenditure towards purchase of advanced fabric processing system for our existing printing, dyeing and processing unit in Amritsar ₹501.00 lakhs p.122
- Funding our incremental working capital requirements ₹3,000.00 lakhs p.126
- General corporate purposes [●] lakhs (not exceeding 25% of gross proceeds) p.131
- Not determinable at this stage - The document states 'The corresponding post Offer capitalization data is not determinable at this stage pending the determination of the Offer Price' p.345
Issue Structure
- Total Issue
- Up to 38,78,400 Equity Shares aggregating to ₹ [●] Lakhs
- Fresh Issue
- Up to 31,99,200 Equity Shares aggregating to ₹ [●] Lakhs
- Offer for Sale
- Up to 6,79,200 Equity Shares aggregating to ₹ [●] Lakhs (comprising up to 3,39,600 Equity Shares by Sanjeev Kandhari and up to 3,39,600 Equity Shares by Amit Kandhari)
- Price Band
- Floor Price ₹171/- per Equity Share to Cap Price ₹180/- per Equity Share
- Lot Size
- [●] Equity Shares
- Face Value
- ₹10/- each
Business Model
The company earns revenue from the sale of fabrics (digitally printed, dyed, jacquard, dobby, and corduroy fabrics) and ready-to-stitch garments (suits, shawls, and stoles), as well as from job work services including dyeing, digital printing, scouring, and finishing for third-party clients. It operates as a brand enabler, through branded channels, and in the non-branded segment.
Business Segments
SWOT Analysis
- • Recently adopted digital textile printing technology enabling customized, on-trend products(p.47)
- • Diversified product portfolio across traditional and contemporary segments(p.47)
- • Multiple manufacturing technologies enabling customization(p.47)
- • Established market presence in Northern India with strong revenue base(p.44)
- • Significant scale and capacity expansion achieved over 29 years(p.52)
- • Fully integrated manufacturing operations reducing costs and enabling quality control(p.54)
- • Strong revenue growth trajectory(p.70)
- • Diversified product portfolio across premium and value segments(p.50)
- • Integrated manufacturing with multiple capabilities across digital printing, weaving, jacquards, and embroidery(p.134)
- • Advanced digital printing technology adoption in operations(p.134)
- • Broad market coverage from tier-1 to rural segments and branded to unbranded(p.134)
- • Established distribution network with low customer concentration(p.134)
- • Strong financial performance and profitability metrics(p.134)
- • High return on equity of 40.43% as of March 31, 2025(p.136)
- • Improved debt-equity ratio from 1.28x to 0.76x demonstrating stronger capital structure(p.136)
- • Established digital textile printing infrastructure with 1,000+ services operating(p.151)
- • Growing domestic textile industry supporting demand for printing services(p.173)
- • Strong raw material availability and established textile value chain(p.165)
- • Government support through policy initiatives and incentives(p.193)
- • Significant growth in digital printing machinery imports indicating market expansion(p.180)
- • Lower space requirements and entry barriers for digital textile printing(p.181)
- • Integrated manufacturing unit with capabilities across digital printing, weaving, jacquards, and embroidery enabling single-stop solution(p.215)
- • Early adopter of digital printing technology with significant installed capacity expansion(p.220)
- • Cross-segment coverage from Tier 1 to rural areas through brand enabler and own brands model(p.217)
- • Well-established distribution network with 154 distributors and 71 brokers/agents across geographies(p.217)
- • Low customer concentration with top 20 customers representing 55% of revenue, providing revenue stability(p.218)
- • Strong financial performance with improving profitability metrics and deleveraging trend(p.219)
- • Experienced management team with 30+ years of industry experience(p.219)
- • In-house design team with CAD expertise ensuring trend-alignment and product innovation(p.211)
- • Long operational history and established manufacturing capability(p.254)
- • Diversified product portfolio across multiple fabric types and segments(p.254)
- • Strong revenue growth trajectory(p.254)
- • Integrated manufacturing operations with state-of-the-art capabilities(p.254)
- • Rapid capacity expansion in digital printing(p.254)
- • Brand presence in fashion segment(p.254)
- • Strong profitability metrics(p.308)
- • Financial growth trajectory with positive EBITDA trend(p.367)
- • Consistent improvement in net worth over three years(p.367)
- • Experienced promoter team with established business track record(p.367)
- • Strong financial compliance and regulatory standing(p.368)
- • No defaults in debt obligations(p.368)
- • High geographic concentration with 89.68% revenue from Northern India(p.44)
- • Significant working capital requirements with substantial inventory and receivables(p.45)
- • Recent entrant to digital textile printing with limited operational experience(p.47)
- • Vulnerability to customer payment defaults affecting profitability(p.45)
- • Heavy dependence on small supplier base; top 10 suppliers represent 68.55% of purchases(p.48)
- • Significant customer concentration; top 20 customers account for 55.08% of revenue(p.53)
- • Heavy reliance on distributor channel; 41.61% of FY2025 revenue from distributors(p.49)
- • Declining capacity utilization in digital printing from 76.19% to 58.90%(p.58)
- • Significant indebtedness with debt-equity ratio of 0.76 times(p.56)
- • Working capital intensive business with inventory at 42.39% of current assets(p.49)
- • History of ROC filing delays and missing statutory forms(p.62)
- • Business is highly working capital intensive requiring significant capital to fund operations(p.126)
- • Long inventory holding period of 137 days ties up significant working capital(p.136)
- • Trade receivables cycle of 85 days extends cash conversion cycle(p.136)
- • Significant reliance on bank and financial institution borrowings with total debt of ₹2,067.88 lakhs(p.128)
- • High working capital cycle of 145 days indicating prolonged cash-to-cash conversion(p.136)
- • High initial investment costs for digital textile printing machinery(p.159)
- • Significant skill gaps in digital textile printing operation(p.161)
- • High costs of specialized digital printing inks(p.160)
- • Slower production speed compared to rotary screen printing for bulk orders(p.160)
- • Limited fabric compatibility restricting technology application(p.160)
- • High reliance on top suppliers with top 10 suppliers representing 69% of purchases(p.218)
- • Geographic concentration with 68% of domestic revenue from Punjab(p.214)
- • High inventory levels with 137 days inventory on hand as of March 31, 2025(p.212)
- • Declining capacity utilization for digital printing from 76% to 59% despite capacity expansion(p.225)
- • Service revenue declining from 14.4% to 8.1% of total revenue, indicating reduced job-work orders(p.213)
- • Significant working capital cycle of 145 days as of March 31, 2025(p.212)
- • High leverage with significant debt burden(p.309)
- • Dependence on promoter guarantees for bank financing(p.255)
- • Concentrated ownership structure(p.273)
- • Significant inventory holdings creating working capital pressure(p.283)
- • Material concentration in plant and machinery assets(p.283)
- • Heavy reliance on related party borrowings with significant interest burden(p.334)
- • Concentration of revenue among top customers(p.344)
- • Significant inventory carrying costs and working capital requirements(p.322)
- • Dependency on related party suppliers for raw materials(p.312)
- • High debt levels though improving(p.305)
- • Rent obligations on leased facilities creating fixed costs(p.335)
- • Negative free cash flow in FY2024(p.367)
- • Significant finance costs relative to operating profitability(p.367)
- • No prior public market experience as this is an initial public offering(p.372)
- • Significant growth potential in digital textile printing market(p.35)
- • Expansion into Tier 3 and Tier 4 cities with growing disposable incomes(p.46)
- • Scaling up digital printing capacity to meet demand(p.47)
- • Rising demand driven by changing consumer preferences and disposable incomes(p.35)
- • Growing demand for digital textile printing and customizable fabrics(p.52)
- • Expansion into Tier 3/4 cities and rural markets of North India(p.50)
- • Growing own brand portfolio showing strong performance(p.50)
- • Increasing international market access; FY2025 exports to UAE and Saudi Arabia(p.58)
- • Capacity to increase production through additional orders(p.48)
- • Global digital textile printing market projected to reach USD 11.67 billion by 2030 at 12.8% CAGR(p.125)
- • Indian digital textile printing market projected to reach USD 1,212.3 million by 2030 at 11.0% CAGR(p.125)
- • Expansion of production capacity through new warehouse and advanced fabric processing machinery(p.117)
- • Dedicated sales office in Amritsar to strengthen market presence and reach tier-2 and tier-3 cities(p.120)
- • Growing demand for personalized and customized products driving digital textile printing adoption(p.125)
- • Expansion into new product segments including ready-to-stitch garments and ethical wear(p.129)
- • Projected market growth with CAGR of 11% for Indian digital textile printing(p.189)
- • Rapidly growing e-commerce and direct-to-consumer (D2C) business model demand(p.182)
- • Strong consumer demand for customization and personalization(p.182)
- • Sustainability trends driving adoption of eco-friendly printing methods(p.160)
- • Rapid urbanization and rising disposable incomes expanding market base(p.183)
- • Growing fast fashion market segment with demand for quick turnaround(p.184)
- • High growth trajectory in global digital textile printing market at 12.8% CAGR projected to 2030(p.216)
- • Indian digital textile printing market projected to grow at 11% CAGR to USD 1.2 billion by 2030(p.216)
- • Expanding own brands segment targeting high-growth Tier 3, Tier 4 and rural markets(p.221)
- • International market expansion with exports to UAE and Saudi Arabia initiated in FY2025(p.222)
- • Establishing sales offices in Mumbai and Amritsar to strengthen market presence(p.222)
- • E-commerce expansion opportunity with growing online retail platforms for textile products(p.235)
- • Entry into menswear segment through Mumbai sales office(p.222)
- • Government support through PM MITRA Parks and PLI scheme for textile manufacturers(p.234)
- • Expansion into menswear segment(p.254)
- • Geographic market expansion(p.254)
- • Digital printing technology advancement(p.254)
- • Export market development(p.305)
- • India's FDI-friendly environment supporting manufacturing growth(p.252)
- • Strong growth in global digital textile printing market(p.318)
- • Indian digital textile printing market expansion(p.318)
- • Rising demand from urbanization and middle-class growth(p.324)
- • Growing working-age population with higher spending power(p.324)
- • Government support for textile sector modernization(p.325)
- • Expansion into Tier 3/4 cities and rural markets(p.333)
- • Growth in fast-fashion demand driving customized products(p.318)
- • Potential for main board migration with improving financial metrics(p.383)
- • Capital deployment for growth through IPO proceeds(p.384)
- • Vulnerability to geographic-specific risks in Northern India(p.45)
- • Rapid changes in consumer preferences and fashion trends(p.46)
- • Intense competition requiring continuous technology investment(p.47)
- • Raw material cost volatility affecting profitability(p.47)
- • Environmental regulations increasing operational costs(p.47)
- • Seasonal nature of business creates revenue volatility; Q3 contributes 33.17% of annual revenue(p.49)
- • High raw material costs (85.18% of total expenses in FY2025) subject to external price pressures(p.48)
- • Intense competitive pricing pressure in textile and fast-fashion segments(p.54)
- • Industry-specific challenges including high ink costs and production speed constraints(p.55)
- • Exchange rate fluctuation risk with exports now commencing(p.59)
- • Dependence on third-party logistics providers with no long-term contracts(p.72)
- • Vulnerability to power supply disruptions critical to operations(p.74)
- • Geopolitical risks affecting supply chains and markets(p.81)
- • Volatility in raw material prices such as cotton, polyester, and viscose affecting production costs(p.127)
- • Seasonality and demand fluctuations in textile industry requiring higher inventory during peak seasons(p.127)
- • Dependence on extended credit terms to customers affecting cash flow(p.126)
- • Rising energy costs and inflationary pressures affecting production costs and profitability(p.127)
- • Currency fluctuations impacting export operations and international receivables(p.127)
- • Competitive pressure from larger textile manufacturers with greater economies of scale(p.125)
- • Global competition from Bangladesh with lower-cost manufacturing advantage(p.168)
- • Fluctuating raw material costs impacting competitiveness(p.197)
- • Global economic slowdown affecting textile export demand(p.168)
- • Import competition from cheaper foreign textiles via trade agreements(p.197)
- • Geopolitical tensions increasing operational costs through shipping disruptions(p.198)
- • Market acceptance challenges among traditional textile manufacturers(p.161)
- • Highly fragmented and competitive textile industry with many small players(p.237)
- • Competition from established players like Krishna Alkali and Kankariya with significant installed capacity(p.237)
- • Raw material price volatility and dependence on domestic suppliers(p.229)
- • Risk of input price inflation affecting margins and competitiveness(p.218)
- • Textile exports from India facing FX headwinds impacting export competitiveness(p.222)
- • Dependence on power supply and utilities for manufacturing operations(p.230)
- • Exposure to volatile input costs and commodity price fluctuations(p.302)
- • Regulatory changes affecting labor costs(p.248)
- • Environmental compliance and pollution control obligations(p.250)
- • Complex GST and tax compliance requirements(p.249)
- • Child labor regulatory restrictions(p.249)
- • Hazardous waste management compliance burden(p.251)
- • Raw material price volatility and supply chain disruptions(p.323)
- • Foreign exchange and commodity price exposure(p.323)
- • Intense competition from larger players with more resources(p.324)
- • Regulatory and environmental compliance costs(p.323)
- • Seasonal demand fluctuations affecting revenue(p.323)
- • Supply chain disruptions impacting operations(p.323)
- • Economic downturns affecting consumer spending(p.324)
- • Dependence on capital expenditure with substantial annual capex requirements(p.367)
- • Minimum allottee threshold risk for offer completion(p.368)
- • Market and liquidity risks in early-stage listing(p.371)
- • Foreign investment restrictions in border-sharing countries(p.407)
- • Regulatory compliance burden and disclosure requirements(p.377)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sanjeev Kandhari | Promoter/Promoter Selling Shareholder | 49.99% | — |
| Amit Kandhari | Promoter/Promoter Selling Shareholder | 49.99% | — |
| Shelly Kandhari | Promoter | — | — |
| Priti Kandhari | Promoter | — | — |
| Sanjeev Kandhari | Promoter | 57,49,975 Equity Shares (as at date of Red Herring Prospectus) | — |
| Amit Kandhari | Promoter | 57,49,975 Equity Shares (as at date of Red Herring Prospectus) | — |
| Shelly Kandhari | Promoter | — | — |
| Priti Kandhari | Promoter | — | — |
| Sanjeev Kandhari | Promoter & Managing Director | 49.99% | [●]% |
| Amit Kandhari | Promoter & Wholetime Director | 49.99% | [●]% |
| Shelly Kandhari | Promoter Group | — | — |
| Priti Kandhari | Promoter Group | — | — |
| Sanjeev Kandhari | Promoter | — | — |
| Amit Kandhari | Promoter | — | — |
| Shelly Kandhari | Promoter | — | — |
| Priti Kandhari | Promoter | — | — |
| Sanjeev Kandhari | Promoter/Chairman and Managing Director | 49.99% | — |
| Amit Kandhari | Promoter/Wholetime Director and Chief Financial Officer | 49.99% | — |
| Shelly Kandhari | Promoter/Non-Executive Director | 0% | — |
| Priti Kandhari | Promoter/Non-Executive Director | 0% | — |
| Sanjeev Kandhari | Promoter | — | — |
| Amit Kandhari | Promoter | — | — |
| Sanjeev Kandhari | Promoter | — | at least 20% (individually or severally) |
| Amit Kandhari | Promoter | — | at least 20% (individually or severally) |
| Shelly Kandhari | Promoter | — | at least 20% (individually or severally) |
| Priti Kandhari | Promoter | — | at least 20% (individually or severally) |
| Sanjeev Kandhari | Promoter | — | — |
| Amit Kandhari | Promoter | — | — |
| Krishan Kumar Kandhari | Promoter | — | — |
Leadership
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.