Karnika Industries Limited is poised to launch its IPO, which is a fixed price issue amounting to Rs 25.07 crores. This IPO comprises exclusively of a fresh issue of 32.99 lakh shares.
The subscription period for the Karnika Industries IPO is scheduled to commence on September 29, 2023, and will conclude on October 4, 2023. The allotment of shares for this IPO is expected to be completed by Monday, October 9, 2023. Karnika Industries’ IPO is slated to be listed on the NSE SME platform, with a tentative listing date set for Thursday, October 12, 2023.
The per-share price for the Karnika Industries IPO is ₹76, and the minimum lot size for an application is 1600 shares. Retail investors are required to invest a minimum of ₹121,600, while for High Net Worth Individuals (HNI), the minimum lot size investment is 2 lots (3,200 shares), totaling ₹243,200.
Beeline Capital Advisors Pvt Ltd is the designated book running lead manager for the Karnika Industries IPO, and Skyline Financial Services Private Ltd is the appointed registrar for the issue. Spread X Securities serves as the market maker for this IPO.
For a comprehensive and detailed understanding of this IPO, please refer to the Karnika Industries IPO RHP (Red Herring Prospectus).
Karnika Industries IPO Details #
| IPO Date | September 29, 2023 to October 4, 2023 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price | ₹76 per share |
| Lot Size | 1600 Shares |
| Total Issue Size | 3,299,200 shares (aggregating up to ₹25.07 Cr) |
| Fresh Issue | 3,299,200 shares (aggregating up to ₹25.07 Cr) |
| Issue Type | Fixed Price Issue IPO |
| Listing At | NSE SME |
| Share holding pre issue | 9,100,300 |
| Share holding post issue | 12,399,500 |
| Market Maker portion | 166,400 shares Spread X Securities |
Karnika Industries IPO Reservation #
| Other Shares Offered | 50% of the net offer |
| Retail Shares Offered | 50% of the net offer |
Karnika Industries IPO Timeline (Tentative Schedule) #
Karnika Industries IPO opens on September 29, 2023, and closes on October 4, 2023.
| IPO Open Date | Friday, September 29, 2023 |
| IPO Close Date | Wednesday, October 4, 2023 |
| Basis of Allotment | Monday, October 9, 2023 |
| Initiation of Refunds | Tuesday, October 10, 2023 |
| Credit of Shares to Demat | Wednesday, October 11, 2023 |
| Listing Date | Thursday, October 12, 2023 |
| Cut-off time for UPI mandate confirmation | 5 PM on October 4, 2023 |
Karnika Industries IPO Lot Size #
Investors can bid for a minimum of 1600 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1600 | ₹121,600 |
| Retail (Max) | 1 | 1600 | ₹121,600 |
| HNI (Min) | 2 | 3,200 | ₹243,200 |
| Lot Size Calculator | |||
Karnika Industries IPO Promoter Holding #
Mr. Niranjan Mundhra, Mr. Shiv Shankar Mundhra, and Mr. Mahesh Kumar Mundhr are the company’s promoters.
| Share Holding Pre Issue | 100.00% |
| Share Holding Post Issue | 73.39% |
About Karnika Industries Limited #
Incorporated in 2017, Karnika Industries Limited, previously known as Karni International, manufactures and exports garments in India.
Karnika Industries manufactures all types of kids’ wear i.e., shorts, joggers, capri, tees, rompers, sleepsuits, pajamas, winter wear, infant wear, etc. The company has well-established manufacturing units for designing, preparing the sample, quality inspection, ironing, and packing of Garments that are equipped with all the necessary hi-tech machines and tools that are required for a modern manufacturing unit.
The company sells its products under the brand KARNIKA and sub-categories as KARNIKA Care, KARNIKA Cool, KARNIKA Cube, KARNIKA Life, KARNIKA Key, KARNIKA Club.
Company Financials #
| Period Ended | 31 Mar 2021 | 31 Mar 2022 | 31 Mar 2023 |
| Assets | 3,055.87 | 5,921.42 | 10,071.04 |
| Revenue | 4,779.31 | 9,892.52 | 12,605.62 |
| Profit After Tax | 81.61 | 454.01 | 826.74 |
| Net Worth | 378.14 | 1,860.88 | 1,806.83 |
| Reserves and Surplus | 896.80 | ||
| Total Borrowing | 1,570.94 | 2,224.13 | 5,245.53 |
Key Performance Indicator #
| KPI | Values |
|---|---|
| P/E (x) | 7.57 |
| EPS (Rs) | 9.66 |
| RoNW | 45.76% |
Objects of the Issue (Karnika Industries IPO Objectives) #
The company intends to utilize the net proceeds from the issue towards the funding of the following objects:
- To Meet Working Capital Requirement.
- General Corporate Purpose.
- To Meet the Issue Expenses.
Karnika Industries IPO Prospectus #
- › Karnika Industries IPO DRHP
- › Karnika Industries IPO RHP
Karnika Industries IPO Contact Details #
6&6/1,
Gurgola Ghat Road P.O. Salkia
Howrah – 711106
Phone: 033-26558101
Email: info@karnikaindustries.com
Website: http://www.karnikaindustries.com/Default/Index
Karnika Industries IPO Registrar #
Skyline Financial Services Private Ltd
Phone: 02228511022
Email: ipo@skylinerta.com
Website: https://www.skylinerta.com/ipo.php
Karnika Industries IPO Lead Manager(s) #
FAQS #
What is the total value of the Karnika Industries IPO? #
The Karnika Industries IPO has a total value of Rs 25.07 crores, consisting exclusively of a fresh issue of 32.99 lakh shares.
When is the subscription period for the Karnika Industries IPO? #
The subscription period for the Karnika Industries IPO is scheduled to begin on September 29, 2023, and it will conclude on October 4, 2023.
What is the price per share for the Karnika Industries IPO? #
The price per share for the Karnika Industries IPO is ₹76.
What is the minimum lot size for an application in the Karnika Industries IPO? #
The minimum lot size for an application in the Karnika Industries IPO is 1600 shares.
Who is the book running lead manager for the Karnika Industries IPO? #
Beeline Capital Advisors Pvt Ltd is the designated book running lead manager for the Karnika Industries IPO.
What are the objectives for which the company intends to utilize the net proceeds from the IPO?
The company plans to utilize the net proceeds from the IPO for the following objectives:
To meet working capital requirements.
General corporate purpose.
To meet the issue expenses.
For more comprehensive details about the offering, including financial information and business details, investors are encouraged to refer to the IPO’s Draft Red Herring Prospectus (DRHP) and Red Herring Prospectus (RHP) once they become available.
