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Textile IPO Opens: Funds for Factory Expansion
25 May
Summary
- Harikanta Overseas IPO worth ₹24.30 crore is fully a fresh issue.
- Funds will boost factory premises, machinery, and working capital.
- Company serves women's wear, also exports to Bahrain, Singapore, Thailand.
Harikanta Overseas' Initial Public Offering (IPO) of ₹24.30 crore is now open for subscription until May 27. This offering is entirely a fresh issue, with all proceeds directed to the company for expansion and operational enhancement.
The company intends to utilize the raised capital for significant investments in its manufacturing capabilities. This includes funding capital expenditures for factory premises and acquiring new machinery. Furthermore, a portion of the funds will address working capital requirements and general corporate purposes.
Established in 2018, Harikanta Overseas specializes in manufacturing a diverse range of synthetic textile fabrics. Its product portfolio encompasses Ikat fabrics, polyester garment fabrics, saree fabrics, dhupion fabrics, poly linen, and natural fibre fabrics.
Primarily serving the women's wear segment with materials for sarees, dress materials, and kurtas, the company also supplies fabrics for men's kurtas. Its manufacturing base is located in Surat, Gujarat, within a 953.93 square metre facility.
Beyond its domestic reach across various Indian states, Harikanta Overseas actively exports its products to international markets, including Bahrain, Singapore, and Thailand, demonstrating its global presence.
The IPO booking status shows strong interest in the Qualified Institutional Buyer (QIB) segment, booked at 11.18 times. The Non-Institutional Investor (NII) and Retail quotas were subscribed at 0.34 times each. Shares are anticipated to list on the BSE SME on June 2, with current grey market premium suggesting a neutral listing.
