Kusumgar’s Rs 650-crore IPO opens right now; gray market factors to almost 40% itemizing good points
The IPO has generated important pleasure within the gray market, the place it’s at present buying and selling at a Gray Market Premium (GMP) of about Rs 166 per share. At this degree, the inventory is anticipated to listing round Rs 585 per share, implying a possible acquire of practically 40% over the higher finish of the IPO value band. The sturdy GMP displays upbeat market sentiment and strong demand forward of the corporate’s market debut.
The corporate has fastened the worth band at Rs 398–419 per fairness share. The general public problem will stay open for subscription from July 8 to July 10, 2026.
The IPO is totally an Supply for Sale (OFS) value Rs 650 crore, which means the corporate is not going to obtain any proceeds from the difficulty as no recent shares are being issued. Buyers can apply for no less than 35 fairness shares and in multiples of 35 thereafter. As of the provide date, Kusumgar has 104.99 million excellent fairness shares with a face worth of Re 1 every.
The difficulty is being launched by the book-building course of, with as much as 50% of the web provide reserved for Certified Institutional Consumers (QIBs), 15% for Non-Institutional Buyers (NIIs), and 35% for Retail Particular person Buyers (RIIs).
In a gesture geared toward rewarding its workforce, Kusumgar has earmarked shares value Rs 3.5 crore for eligible workers. They will even obtain a reduction of Rs 39 per share on the ultimate problem value.
Kusumgar has demonstrated strong monetary efficiency over the previous two years. The corporate’s income from operations elevated to Rs 692 crore in FY26, in contrast with Rs 467.9 crore in FY24, reflecting wholesome enterprise growth throughout its key segments.
Its internet revenue additionally witnessed regular development, rising to Rs 98.2 crore in FY26 from Rs 84.3 crore in FY24, highlighting improved profitability and operational effectivity.
Concern Administration and Itemizing
The IPO is being managed by Axis Capital Restricted, IIFL Capital Companies Limitedand Motilal Oswal Funding Advisors Restricted, who’re performing because the E book Operating Lead Managers. Bigshare Companies Personal Restricted is the registrar to the difficulty.
The corporate’s fairness shares are proposed to be listed on each the BSE and the NSE.
About Kusumgar
Established in 1990, Kusumgar is a number one producer of woven, coated, and laminated engineered artificial materials designed for demanding industrial and efficiency purposes. The corporate makes a speciality of superior cloth options based mostly on polyamide and polyester filaments mixed with polyurethane chemistry, enabling merchandise that meet stringent efficiency requirements.
Its engineered materials are designed to ship superior tensile energy, tear resistance, abrasion resistance, consolation, air permeability, and waterproofing, making them appropriate for mission-critical and high-performance purposes.
Leveraging many years of producing experience and robust product improvement capabilities, the corporate has developed greater than 1,000 distinctive Inventory Preserving Models (SKUs) as of March 31, 2026. These merchandise cater to a various vary of industries, together with aerospace and defence, industrial and automotive, and out of doors and way of life segments.
Kusumgar operates a vertically built-in manufacturing platform, encompassing preparatory processes, weaving, dyeing, printing, ending, coating, lamination, and fabrication. Its manufacturing footprint consists of six amenities in Gujarat and one fabrication unit in Uttar Pradesh, supported by trendy infrastructure, superior expertise, and robust analysis and improvement capabilities.
(Disclaimer: Suggestions, ideas, views and opinions given by the consultants are their very own. These don’t characterize the views of Financial Instances)
