Madhur Knit Crafts IPO is an SME IPO raising ₹53 Cr at ₹95 – ₹100 a share. It listed on 1 Sept 2026 at ₹100, 0.0% against its issue price of ₹100, and trades at ₹74 today (−26.4% since issue). It was subscribed 2.28× in total.
2.3 times more demand than shares on offer
populated partly populated we hold nothing here — the tab says why
Read from the 352-page prospectus. Indian prospectuses list hundreds of risk factors, most of them generic boilerplate. These are the 13 specific to this company; 538 generic ones were skipped. Every one is quoted verbatim with its page, so you can check it against the document.
Our business is significantly influenced by seasonal demand, particularly due to our focus on winter wear garments and fabrics. Sales are typically higher during the winter months and lower during off-season periods.
A material event relating to this risk factor has occurred prior to the date of this Red Herring Prospectus, as the military conflict between the United States and Iran and the resultant disruption of global energy markets caused significant volatility in crude oil prices, which has impacted the pricing environment for petrochemical-based raw materials used by our Company.
Our business is primarily dependent on our sole manufacturing facility located in Punjab. The loss of, or any prolonged disruption to, operations at this facility could have a material adverse effect on our business, financial condition, and results of operations.
Our Company derives the majority of its revenue from the state of Punjab, contributing more than 90% of total revenue over the past three fiscal years
The Company sources a significant portion of its raw materials from the state of Punjab, accounting for 99.26% of total procurement in February 28, 2026, 52.37% in Fiscal 2025
retained customers contributing 66.55% of total revenue in February 28, 2026, 77.21% in Fiscal 2025, 73.05% in Fiscal 2024, and 84.08% in Fiscal 2023, while new customers contributed 33.45%, 22.79%, 26.95%, and 15.92%, respectively.
Net Cash from Operating Activities 443.50 -255.82 -367.70 -4.78
our debt-to-equity ratio, which currently stands at 1.69, to increase ... we have availed various working capital and term loan facilities from lenders and secured such borrowings by creating charges on our current assets
The Company's Restated Financial Statements contain adjustments made by peer-reviewed auditors. These adjustments, which differ from the initially audited financials
Groundwater Extraction Permission ... Punjab Water Regulation and Development Authority (PWRDA) ... 28.06.2025
Our Group Company, Star Cottex Limited, is engaged in the manufacturing and trading of certain products similar to those offered by our Company. ... The Company and its group company, Star Cottex Limited, have entered into a non-compete agreement dated September 09, 2025
The Company has experienced delays in the deposit of TDS and statutory employee welfare contributions, including EPF and ESI, for certain periods.
Company Against - 1 material civil litigation Amount Involved (In Rs. lacs) 112.26
Extracted from the issuer’s own prospectus and ranked by how specific and material each risk is to this company. Severity is our assessment of the disclosure, not a prediction — and nothing here is a recommendation to apply to this issue.
The issuer’s own summary of outstanding legal proceedings — SEBI requires this table in every prospectus. Counts and amounts are as disclosed; the disclosed aggregate at stake is ₹1.6 Cr.
| Against | Criminal | Tax | Other material | Amount at stake |
|---|---|---|---|---|
| The company | 2 | 1 | 1 | ₹1.1 Cr |
| Promoters | 0 | 0 | 0 | — |
| Directors | 0 | 0 | 0 | — |
| Subsidiaries | 0 | 0 | 0 | — |
| Group companies | 1 | 0 | 0 | ₹0.5 Cr |
Madhur Knit Crafts vs. Pooja Wollen Industries – recovery claim of Rs. 79.42 lakhs under Section 18 of MSME Act before MSME Samadhan
Star Cottex (Group Co.) vs. B.B. Fabrics & Rajinder Prasad Sharma – criminal case under Section 138 NI Act for cheque dishonour of Rs. 49.80 lakhs
Madhur Knit Crafts vs. 3V International – criminal case under Section 138 NI Act for dishonour of cheques totalling Rs. 20 lakhs
Madhur Knit Crafts vs. Vasu Knitwears (Rahul Arora) – criminal case under Section 138 NI Act / Section 420 IPC for dishonour of nine cheques totalling Rs. 12.85 lakhs
Income Tax Dept. – Interest on TDS default for AY 2025-26 against Company of Rs. 0.31 lakhs (pending)
All amounts stated in the prospectus are in Rs. lakhs; converted to Rs. crore (1 crore = 100 lakhs). Company has no Subsidiary. Group bucket reflects one criminal case filed BY group company Star Cottex Ltd. (not against). Grand total ~Rs. 1.62 crore is sum of all quantifiable amounts (company + group). Promoter/Director/KMP buckets are all Nil for criminal, tax and other proceedings.. Outstanding means unresolved — a listed case is an exposure, not a verdict.
What the issuer and the exchanges published. Everything else on this tab is read out of these.
The full prospectus — business, financials, risk factors and litigation.
Which institutions were allotted shares before bidding opened, and how many.
The issuer's own "basis of issue price": the earnings multiples it is asking for, and the peer companies it chose to compare itself against.
The full prospectus — business, financials, risk factors and litigation.
