August 25, 2025
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Rachit Prints IPO Key Dates
| Anchor Investor Subscription | |
| IPO opens on | 1 September 2025 |
| IPO Closes on | 3 September 2025 |
| Allotment on | 4 September 2025 |
| Credit of shares on | 5 September 2025 |
| Tentative Listing on | 8 Septmber 2025 |
Concise Review of Rachit Prints IPO
Rachit Prints Limited, engaged in manufacturing specialty mattress fabrics since 2003, has demonstrated steady revenue growth and a sharp jump in profits (PAT up from Rs. 0.32 crore in FY23 to Rs. 4.56 crore in FY25). With a price band of Rs. 140–146 and reasonable valuations at ~13–14x earnings, the IPO offers potential upside. The presence of marquee clients like Sleepwell and Kurlon strengthens its business model. Investors with an appetite for SME risk may consider applying for long-term gains.
Final Subscription Tally
| Size Rs. 46.80 Crore | ||||
| QIB | NII x | RII x | Total x | Applications |
| Subscription Review: |
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About Rachit Prints
Incorporated in 2003, Rachit Prints Limited is engaged in the manufacturing of specialty fabrics for the mattress industry. The company produces a wide range of mattress fabrics, including knitted, printed, warp knit, pillow fabrics, and binding tapes, and also trades in comforters and bedsheets.
The business operates on a B2B model, catering to leading mattress brands such as Sleepwell, Kurlon Enterprises, and Prime Comfort Products, supplying them with printed and knitted fabrics for resale or in-house production.
Product Portfolio
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Knitted Fabric (Circular Knitted Polyester): Widely used in mattresses and home furnishings.
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Warp Knit Fabric: Made through vertical interlocking loops, ensuring durability and strength.
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Printed Fabric: Polyester-based mattress fabrics created using advanced printing technology.
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Flame Resistant Fabric: Designed with fibers that resist ignition, or treated with flame-retardant chemicals to self-extinguish when exposed to fire.
Rachit Prints IPO Details
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Sector: |
|
| IPO opens on | 1 September 2025 |
| IPO closes on | 3 September 2025 |
| Issue Type | Book Built Issue IPO |
| Issue Size | 13,08,000 Shares / Rs 19.10 Crore |
| * Fresh Issue | – |
| * Offer for Sale – | – |
| Market Maker Portion | 66,000 Shares |
| Net offer to Public | 12,42,000 Shares Rs. 18.13 Crores |
| Face Value per share | Rs. 10 |
| Price Band | Rs. 140-149 |
| Employee discount | Rs. 0 per share |
| Retail Lot Size | 1000 Shares |
| Listing will at | BSE SME |
How shares are being offered
| Investor Category | Shares Offered |
| Market Maker Shares Offered | 66,000 (5.05%) |
| QIB Shares Offered | 26,000 (1.99%) |
| NII (HNI) Shares Offered | 6,08,000 (46.48%) |
| Retail Shares Offered | 6,08,000 (46.48%) |
| Total Shares Offered | 13,08,000 (100.00%) |
| Application | Lots | Shares | Amount Rs. |
| Individual investors (Retail) (Min) | 2 | 2,000 | 2,92,000 |
| Individual investors (Retail) (Max) | 2 | 2,000 | 2,92,000 |
| HNI (Min) | 3 | 3,000 | 4,38,000 |
Who are the Promoters of Rachit Prints IPO?
The promoters hold 92.09% of the pre-IPO capital
What are the Objects of Rachit Prints IPO?
The Company proposes to utilize the Net Proceeds from Issue towards funding the following objects
+Working Capital Requirement Rs. 9.50 Crore
+To fund the expansion plan of the Company i.e. Capital expenditure towards purchase of Plant and Machinery. Rs. 4.40 Crore
+Partial Pre-payment of term loans to bank.Rs. 1.32 Crore
+General Corporate purposes
Rachit Prints IPO Lead Managers
Khambatt Securities ltd
| Registered Office of the Company |
| Rachit Prints Ltd. B-9, 10 & 11, Udyog Puram, Delhi Road, Partapur, Meerut, Uttar Pradesh, 250103 Email: cs@rachitprints.co.in |
| Who is the Registrar to the IPO? Maashitla Securities Pvt ltd |
Rachit Prints Financials Snapshot
| Period Ended | 31-Mar-25 | 31-Mar-24 | 31-Mar-23 |
| Assets | 26.09 | 19.02 | 23.27 |
| Total Income | 41.78 | 37.11 | 32.39 |
| Profit After Tax | 4.56 | 2.03 | 0.32 |
| EBITDA | 7.23 | 4.27 | 2.01 |
| Net Worth | 12.31 | 5.46 | 3.43 |
| Reserves and Surplus | 8.68 | 3.55 | 1.52 |
| Total Borrowing | 9.23 | 6.38 | 14.79 |
| Amount in Rs. Crore | |||
Performance Indicators
| KPI | Values |
| ROE | 51.34% |
| ROCE | 29.61% |
| Debt/Equity | 0.75 |
| RoNW | 37.06% |
| PAT Margin | 10.94% |
| EBITDA Margin | 17.33% |
| EPS-Pre | 5.59 |
| PERatio | 26.12 |
How RAchit Prints IPO compares with the Peers?
There is no listed company in India having business similar to this company.
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Rachit Prints IPO Review
by Paresh Gordhandas, CA & Research Analyst
Rachit Prints Limited has been serving the mattress industry for over two decades, supplying specialty fabrics including knitted, warp knit, printed, pillow fabrics, and binding tape. Its strong B2B network includes renowned brands such as Sleepwell, Kurlon Enterprises, and Prime Comfort Products, ensuring steady order flows.
On the financial front, the company has recorded significant growth:
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Total Income rose from Rs. 32.39 crore in FY23 to Rs. 41.78 crore in FY25.
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PAT surged from just Rs. 0.32 crore in FY23 to Rs. 4.56 crore in FY25, reflecting robust margin expansion.
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EBITDA increased steadily from Rs. 2.01 crore in FY23 to Rs. 7.23 crore in FY25.
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Net worth has doubled in the past two years, though borrowings remain moderate at Rs. 9.23 crore.
At the IPO price band of Rs. 140–146, the valuation works out to a P/E multiple of ~13–14x FY25 earnings, which is in line with or slightly lower than listed SME peers in the textiles sector. With improved profitability, reputed clientele, and consistent growth, Rachit Prints IPO looks attractive for long-term investors. However, as with all SME issues, investors must factor in low liquidity and higher volatility risks.
Chanakya Verdict: Apply with a long-term perspective.
Rachit Prints Limited, incorporated in 2003, manufactures specialty fabrics for the mattress industry. Its portfolio includes knitted, printed, warp knit, pillow fabrics, and binding tape. The company also trades in comforters and bedsheets and supplies to brands like Sleepwell, Kurlon, and Prime Comfort Products.
res.
IPO Opens: 1st September 2025
IPO Closes: 3rd September 2025
Allotment: 4th September 2025
Listing on BSE SME: 8th September 2025
Rachit Prints has shown steady growth, with revenue generated from its B2B sales model catering to well-known mattress brands. Detailed financials including income, profit after tax, and net worth will be covered in Chanakya’s IPO analysis section for investors’ evaluation.
The IPO price band is fixed at Rs. 140–146 per share. The lot size is 1,000 shares, making the minimum investment Rs. 1,46,000 at the upper price band.
At the upper price band of Rs. 146, the company is asking a valuation of around P/E 13–14x (FY25 earnings), which appears reasonable compared to other listed SME peers in the textile/fabric space. Considering its steady growth, strong client base (Sleepwell, Kurlon), and improving margins, the IPO looks attractive for long-term investors, though SME IPO risks (low liquidity, high volatility) remain.
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