Kaytex Fabrics Limited is making headlines as it opens its Initial Public Offering (IPO) on July 29, 2025. The company, which specializes in digital fabric printing and unstitched garment manufacturing, is aiming to raise ₹69.81 Crores through a Book Built Issue. The issue consists of a fresh issue of 31.99 lakh shares worth ₹57.58 Crores and an offer for sale (OFS) of 6.79 lakh shares totaling ₹12.22 Crores.

The IPO will close on July 31, 2025, with allotment expected on August 1, 2025, and listing scheduled for August 5, 2025 on the NSE SME platform.

Kaytex Fabrics: Company Overview

Kaytex Fabrics positions itself as more than just a fabric supplier. They serve as partners to fashion brands in innovation, speed, and growth. With cutting-edge digital printing technology, high-quality fabrics, and support for both emerging designers and established labels, the company has positioned itself well in the textile and apparel manufacturing sector.

Led by Sanjeev Kandhari (Chairman & Managing Director) and Amit Kandhari (Whole-time Director and CFO), both with 30+ years of experience, the company has seen robust operational and financial growth in recent years.

Kaytex Fabrics IPO Details

• IPO Opening Date: July 29, 2025

• IPO Closing Date: July 31, 2025

• Allotment Date: August 1, 2025 (Tentative)

• Listing Date: August 5, 2025 (Tentative)

• Price Band: ₹171 to ₹180 per share

• Market Capitalization at Upper Band: ₹264.58 Crores

• IPO Size: ₹69.81 Crores

• Lot Size: 800 shares

• Minimum Investment: ₹2,88,000 (for 2 lots)

• Registrar: BIGSHARE SERVICES PVT LTD

• Book Running Lead Manager (BRLM): Socradamus Capital Private Limited

• Market Maker: Gretex Share Broking Limited

Kaytex Fabrics Anchor Investor Update

On July 28, 2025, Kaytex Fabrics raised ₹18 Crores from anchor investors by allotting 10,00,000 shares at ₹180 each. The anchor portion is part of the Qualified Institutional Buyers (QIBs) reservation.

IPO Grey Market Premium (GMP) Analysis

As of July 24, 2025, the Grey Market Premium (GMP) for Kaytex Fabrics stood at ₹20, indicating a listing gain of 11.11% over the upper IPO price of ₹180.

Note: GMP is based on unofficial markets and should not be the sole criterion for investment decisions.

Live IPO Subscription Status

As of 11:30 AM on July 31, 2025, Kaytex Fabrics IPO is subscribed 5.91 times overall.

Kaytex Fabrics IPO Allotment Status – How to Check

1. Go to the official registrar’s website

2. Select “Kaytex Fabrics Limited IPO”

3. Enter your PAN, application number, or DP/Client ID

4. Click “Submit” to view your allotment status

Objects of the Issue

Kaytex Fabrics will utilize the net proceeds from the IPO for:

1. ₹255.55 Lakh for additional warehouse construction in Amritsar

2. ₹373.20 Lakh for building a dedicated sales office in Amritsar

3. ₹501.00 Lakh for purchasing advanced fabric processing systems

4. ₹3,000.00 Lakh for working capital requirements

5. Remaining for general corporate purposes

Kaytex Fabrics Financial Highlights

• Pre-Issue EPS: ₹14.7

• Post-Issue EPS: ₹11.5

• Pre-Issue P/E: 12.24x

• Post-Issue P/E: 15.65x

• Industry P/E: ~10x

• ROCE (FY24): 33.25%

• ROE (FY24): 40.43%

• RoNW (FY24): 33.76%

The consistent year-on-year growth in revenue, profitability, and operational efficiency suggests a strong financial foundation for the company.

IPO Valuation & Peer Comparison

While the P/E multiple post-issue is higher than the industry average, the company's return ratios such as ROCE and ROE are significantly higher than peers, supporting the pricing rationale.

Kaytex Fabrics IPO Review – Should You Subscribe?

Strengths:

• Consistent financial growth with increasing profitability

• Strong ROCE and ROE figures

• Use of IPO funds towards business expansion, warehouse, and tech

• Industry-aligned valuation

Risks:

• Competitive textile sector with pricing pressures

• SME listing comes with liquidity constraints

• High minimum investment for retail investors

Verdict:
Given the company’s financial strength, steady growth, and listing premium expectation, risky investors may consider applying for listing gains. However, investors should evaluate risk appetite and investment horizon before subscribing.

Disclaimer

The information provided is for educational and informational purposes only. This is not a recommendation to buy or sell securities. IPO investments are subject to market risks. Please consult a SEBI-registered financial advisor before investing. Kaytex Fabrics IPO data is based on publicly available sources as of July 31, 2025.

The Upcoming IPOs in this week and coming weeks are BLT Logistics, Bhadora Industries, Highway Infrastructure, Flysbs Aviation, Parth Electricals & Engineering, Jyoti Global Plast, Essex Marine, Aaradhya Disposal Industries.

The Current active IPO are Cash Ur Drive Marketing, Renol Polychem, B.D. Industries (Pune), NSDL, Takyon Networks, Mehul Colours, M&B Engineering, Sri Lotus Developers & Realty, Aditya Infotech, Lakshmi India Finance, Kaytex Fabrics.

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