Neelam Linens and Garments (India) IPO

About  Neelam Linens and Garments (India) IPO

Incorporated in September 2010, Neelam Linens and Garments is a dynamic soft home furnishing company based in Maharashtra, India, that operates on a global scale, catering to clients in the USA, Australia, and the Far East. Their business is divided into two primary sectors: processing and trading of high-quality home textiles, and the sale of specialized import licenses. With a commitment to excellence, they specialize in a diverse range of products including bedsheets, pillow covers, duvet covers, towels, rugs, dohers, and garments, primarily aimed at discounted retail outlets. By sourcing surplus or slightly imperfect fabrics, they enhance their value through services such as designing, digital printing, dyeing, stitching, and embroidery, ensuring that their clients receive refined products that meet their needs.

In 2023, they expanded their portfolio to include the production of men’s and women’s fashion apparel, further establishing their presence in the apparel industry. Their in-house production capabilities allow them to respond swiftly to market demands while maintaining the highest standards of quality and design. Their strategy of leveraging surplus materials not only promotes sustainability but also offers competitive pricing to their clients, positioning them favorably in the marketplace against international competitors like Vietnam and Bangladesh.

In addition to their core manufacturing operations, Neelam Linens and Garments generates revenue through the sale of import licenses, which are essential for importing goods that face restrictions. These licenses are a result of governmental incentives aimed at supporting exporters. They specifically deal with import licenses related to the Remission of Duties and Taxes on Export Product (RODTEP) and the Rebate of State and Central Taxes and Levies (ROSCTL). 

Their manufacturing operations are housed in two strategically located units within the Prithvi Complex in Bhiwandi, Thane. This location provides excellent logistical advantages, ensuring efficient transportation of raw materials and finished goods. Unit 1 focuses on cutting and stitching fabrics, while Unit 2 specializes in quality control and packaging, equipped with the necessary infrastructure for the smooth operation of their business. Their commitment to quality and customer satisfaction drives their operations, as they strive to deliver exceptional products and services that resonate with their global clientele.

Neelam Linens and Garments prepares for its Initial Public Offering (IPO), the proceeds from the Fresh Issue will be allocated towards critical objectives

1. Funding capital expenditure requirement of the Company towards purchase of Embroidery Machines for expansion.
2. Prepayment or repayment of all or a portion of certain outstanding borrowings availed by the Company.
3. General corporate purposes.