Madhur Knit Crafts IPO Details: Key Dates, Price Band & Investment Overview

By Wealthova | Last Updated: August 20, 2026

Madhur Knit Crafts Limited, an established player in the Indian textile sector with a focus on home furnishings since 1997, is gearing up to make its primary market debut with an upcoming ₹53.27 Crore SME IPO. Operating from a technologically advanced manufacturing plant in Punjab, the company specializes in home-furnishing products, acrylic and mink blankets, and knitted fabrics. The subscription window for this book-built issue opens on August 24 and closes on August 27, 2026. The price band is set between ₹95 to ₹100 per equity share, comprising entirely of a fresh issue of ₹53.27 Crore (53,26,800 shares) with no Offer for Sale (OFS) component. The company plans to utilize the net proceeds to fund capital expenditure for solar panel installations, meet its working capital requirements, and allocate funds for the repayment of outstanding borrowings, alongside general corporate purposes. Set to list exclusively on the NSE SME platform, market participants are closely watching this fast-growing textile stock. Below, we break down the financial health, risk factors, and our honest Smart Market Insights to help you decide if you should subscribe to this issue!

Incorporated in August 1997, Madhur Knit Crafts Limited is a highly established textile manufacturing company operating out of Ludhiana, Punjab—one of India's premier textile manufacturing hubs. Over the past two decades, the company has evolved into a prominent manufacturer and supplier of diverse textile products catering to consumer, institutional, and industrial markets.

Here is a breakdown of their core business operations:

• Integrated "Yarn-to-Cloth" Manufacturing: The company operates a highly scalable, vertically integrated production model. Their in-house capabilities cover the entire textile lifecycle, including knitting, dyeing, printing, brushing, polishing, sueding, stentering, bonding, and finishing.
• Diversified Product Portfolio: While the company initially built its reputation on winter products, its current catalog is vast. They specialize in acrylic and mink blankets, home furnishing textiles, winter garments, and knitted fabrics. They have also successfully ventured into technical textiles, such as manufacturing paint roller fabrics.
• Advanced Infrastructure & Sustainability: Their Ludhiana facility is equipped with modern, high-tech textile machinery imported directly from Korea, Taiwan, and China. Demonstrating a commitment to sustainable manufacturing, the plant is supported by a dedicated in-house Effluent Treatment Plant (ETP).
• Quality & Distribution: Madhur Knit Crafts is ISO 9001:2015 certified for its strict quality management systems. Operating primarily on a demand-driven, made-to-order model, they distribute their products pan-India through a robust network of wholesalers, retailers, and institutional buyers. Additionally, they generate steady revenue by undertaking third-party job work (dyeing and knitting) for other textile brands.

Unlike many SME IPOs that raise capital solely to cover daily operations, Madhur Knit Crafts has outlined a highly strategic, growth-focused deployment of its IPO proceeds. The capital is balanced across debt reduction, green energy initiatives, and operational liquidity.

The net proceeds from the fresh issue will be utilized for the following core objectives:

• Aggressive Debt Repayment (₹20.85 Crore): The largest portion of the raised capital is strictly earmarked to prepay or repay existing outstanding borrowings. This strategic deleveraging will drastically reduce their recurring finance costs, strengthening the balance sheet and directly boosting post-IPO profit margins.
• Working Capital Requirements (₹15.92 Crore): The textile manufacturing business is inherently working-capital intensive. This allocation will ensure smooth day-to-day operations, allowing the company to procure raw materials in bulk, manage longer credit cycles, and execute large institutional orders without cash flow bottlenecks.
• Green Energy Capital Expenditure (₹3.68 Crore): In a smart move to reduce long-term operational overhead, the company is investing in sustainability by purchasing and installing solar panels for its manufacturing facility. This will significantly lower their industrial power consumption costs over the coming years.
• General Corporate Purposes: The remaining balance will be deployed for routine corporate expenses, brand building, business development, and general operational contingencies.