United Cotfab IPO 2024: Issue Price, Dates & Details | Textile Industry

United Cotfab Limited, Ahmedabad based company engaged in manufacturing of high-quality open-end cotton yarn, also engaged in selling and distribution of open-end cotton yarn and cotton waste. Originally incorporated in 2015 as United Cotfab LLP is now entering into equity market and has announced an Initial Public Offer to open on 13^th June 2024. The company is aiming to raise ₹ 36.29 Crore at an Issue Price of Rs.70/- per share having face value of each share is Rs. 10, set to be listed on the BSE SME platform. IPO Closing date is 19^th June 2024.

The IPO will open on Thursday, June 13, 2024, and close on Wednesday, June 19, 2024. The issue size is Rs. 36.29 crore with an issue price of Rs. 70 per share and a face value of Rs. 10 per share. This IPO is a fresh issue with a fixed price, consisting of 51,84,000 equity shares. The lot size for this IPO is 2000 equity shares. The allocation of shares includes a quota of 24,62,000 equity shares for High Net Worth Individuals (HNI), 24,62,000 equity shares for retail investors, and 2,60,000 equity shares for market makers.

The Lead Manager to the Issue is Beeline Capital Advisors Pvt. Ltd. and the Registrar to the issue is Purva Sharegistry (India) Pvt. Ltd.

Gagan Nirmalkumar Mittal, Chairman and Managing Director, having more than 18 years of experience in the Textile Industry Said, “We are pleased to announce our forthcoming IPO. We have a strong foothold in the Yarn Industry and Years of experience in manufacturing Cotton open end yarn. Yarn is the end product of spinning, vital for cotton woven or knitted fabric. We are also engaged in selling and distribution channel of open end cotton yarn and cotton waste.

The issue proceeds will be utilized to meet Working Capital requirement and General Corporate Purposes.

About United Cotfab Limited-

United Cotfab Limited is located at Dascroi- Ahmedabad Originally incorporated as United Cotfab LLP in 2015 under the LLP Act, 2008. Well Equipped with modern and automatic plant and machinery for manufacturing high-quality open-end yarn for the textile industry. The manufacturing process upholds strict quality standards with advanced technology and machinery support, also manufacturing facility with an annual installed capacity of approximately 9,125 MT. Yarn is widely used in knitting, weaving, crocheting, and various textile products.

The Company recorded a revenue of Rs. 115.53 Crs. with a profit after tax of Rs. 8.67 Crs. in the financial year 2023-24, compared to revenue of Rs. 64.02  Crs. with a profit after tax of Rs. 0.14 Crs. in financial year 2022-23.