Siddhi Cotspin IPO

About Siddhi Cotspin IPO

The 100% book building issue of Siddhi Cotspin Ltd comprises a fresh issue of up to 49,44,000 equity shares. It also has an offer for sale of up to 15,24,000 equity shares. The total number of shares in this IPO is 64,68,000. The price band is ₹102 to ₹108 per share and the lot size is 1200. The IPO opens on September 19, 2025 and closes on September 23, 2025.

The listing date is on or before September 26, 2025 and the allotment date is on or before September 24, 2025. The credit of shares to the Demat account will take place on or before September 25, 2025, while the initiation of refund will take place on or before September 25, 2025.

Siddhi Cotspin Ltd is primarily engaged in manufacturing and selling of cotton yarns. The company produces compact carded hosiery, compact combed hosiery, compact carded weaving, carded weaving, combed weaving, carded hosiery, combed hosiery, Eli KW, Eli CW, slub yarn, siro slub yarn, CSY-lycra-core spin yarn and TFO yarn. They manufacture their cotton yarn at their integrated spinning park at Ahmedabad.

Objectives of Siddhi Cotspin IPO

The company proposes to utilise the IPO proceeds for:

• Funding the working capital requirements of the company
  
• Repayment or prepayment of all or a portion of certain outstanding borrowings availed by the company
  
• General corporate purposes
  

Industry Outlook

India's home textile sector is known for its rich traditions and craftsmanship, with various regions specialising in unique textile techniques and patterns Gujarat is renowned for its vibrant and intricate embroidery, while Kashmir is famous for its luxurious woollen shawls and rugs This diversity reflects India's extensive heritage and expertise in textile production.

The Indian home textiles exports spurred from US 5 3 billion in CY 17 to US 8 billion in CY 22 at a CAGR of 7.1%. India’s home textile industry is expected to expand at a CAGR of 8.9% during 2023-32 and reach US $23.32 billion in 2032 from US$ 10.78 billion in 2023.

India accounts for 4% of the global home textiles trade. The growth in home textiles is driven by growing household income, increasing population and growth of end use sectors like housing, hospitality, healthcare, etc. Home textile companies In India are also leveraging strategic partnership to strengthen their business operations and foothold in the country.

Company Information

Siddhi Cotspin Ltd is primarily engaged in manufacturing and selling of cotton yarns. Its manufacturing process adheres to stringent quality standards and is backed by advanced technology and machinery.

It has set up a Greenfield project of manufacturing value added and specialty cotton yarn at Unit No.13, Sub Plot No. 18, Survey No. 279 & 280, Village Dholi, Taluka Dholka, District Ahmedabad, Gujarat – 382240, with a total spinning capacity of 29,376 spindles.

The installed unit is capable of producing cotton yarn including value added yarns. Its current capacity of production is 90,11,850 Kgs for cotton yarn and 90,11,850 Kgs (can be used multiple times) for value added yarn.

Strengths of Siddhi Cotspin IPO

• Experienced promoter and management team
• Quality standards
• Strong and diversified supplier base for sourcing raw materials
• Optimal utilisation of resources
• Long standing relationships with customers

Risks of Siddhi Cotspin IPO

• Show cause notice issued by SEBI against the promoters along with other entities can impact the promoters’ reputation and in turn the business.
  
• Adverse decision in the outstanding legal proceedings involving the promoters can harm the business.
  
• Termination of lease/license and/or non-renewal thereof and attachment by property owner could adversely affect its operations
  
• Disruption in the supply of raw materials or fluctuations in their prices could have a material adverse effect on business operations and financial conditions
  
• Loss of any one or more major customers would have a material adverse effect on business, cash flows, results of operations and financial condition
  
• Business is vulnerable to variations in demand for cotton yarn and changes in consumer preferences
  
• The company doesn’t maintain long-term contracts with third-party suppliers, and business may be adversely affected by a shortfall in supply, or increase in price of materials
  

Anchor Investor Bidding Date TBA

IPO Registrar and Book Running Lead Manager

• Registrar: KFin Technologies Ltd
• Book Running Lead Manager: Swastika Investmart Ltd

Business Model

Siddhi Cotspin Ltd is into manufacturing various value-added cotton yarns like Compact Carded Hosiery, Compact Combed Hosiery, Compact Carded Weaving, Compact Comb Weaving, Carded Weaving, Combed Weaving, Carded Hosiery, Combed Hosiery, Eli KW, Eli CW, Slub Yarn, Siro Slub Yarn, CSY-Lycra-Core Spin Yarn (Spandex), TFO Yarn - Double etc.

Company Growth Trajectory

The revenue from operations of Siddhi Cotspin Ltd grew from ₹199.3260 crores in FY 23 to ₹724.5445 crores in FY 25. Its gross profit increased from ₹33.2543 crores in FY 23 to ₹44.7289 crores in FY 25. Quality standards and an experienced management team have helped the company grow over the years.

Market Position

The yarn produced by Siddhi Cotspin Ltd is mainly used in Denim industries. Its main customers are located in Gujarat. Though the company is not exporting directly, it exports the cotton yarn to many countries through merchant exporters.

How to Check Allotment Status of Siddhi Cotspin Ltd IPO?

1. Visit the Registrar’s Website

• Visit the official website of KFin Technologies Ltd
• Click on ‘IPO Allotment Status’ from ‘Investors’ under ‘Products’
• Click on any one of the appearing links
• Choose IPO name and enter either your application number, Demat account or PAN number
• Enter captcha and click on ‘Submit’ to know the status

2. Check on the National Stock Exchange Website

The National Stock Exchange (NSE) has an IPO Bid Verification module. You can use it to check the status of Siddhi Cotspin Ltd. Go to the NSE website and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'.

On the NSE IPO Bid Verification page, enter:

• Company name from dropdown
• Application number
• PAN

Then click 'Submit' to know the allotment status.