United Cotfab IPO price band announced ahead of June 13 launch, check key details

United Cotfab IPO: Yarn manufacturer United Cotfab Limited has finalised the price band for its initial public offering (IPO) which is all set to open for subscription on Thursday, June 13. The company has fixed the IPO price at ₹70 per share of a face value of ₹10 each.

The fixed price BSE SME public offer consists of an entirely fresh issue of 51.84 lakh shares, without any offer-for-sale (OFS) component. The SME IPO is valued at ₹36.29 crore. The company has reserved 50% of the net issue for retail investors and the remaining 50% for other investors.

United Cotfab Limited IPO Registrar

The book running lead manager for United Cotfab IPO is Beeline Capital Advisors Pvt Ltd, and Purva Sharegistry India Pvt Ltd is the registrar for the issue. United Cotfab IPO’s market maker is Spread X Securities.

United Cotfab Limited lot size, minimum investment

Retail investors can bid for a minimum lot size of 2,000 Shares, which translates to an investment of ₹1,40,000. High Net Worth Individuals can bid for at least 2 lots comprising 4,000 shares, which translates to a minimum amount of ₹2,80,000.

##United Cotfab IPO allotment status, listing date The share allotment status of United Cotfab IPO will be decided by Friday, June 20. Refunds will be issued towards the accounts of unsuccessful bidders and shares will be credited to the Demat accounts of successful bidders on Friday, June 21. Shares of United Cotfab are likely to list on the BSE SME platform on Monday, June 24.

United Cotfab promoters

The promoters of United Cotfab are Nirmalkumar Mangalchand Mittal and Gagan Nirmalkumar Mittal. The shareholding of the promoters before the issue is 100% and will reduce to 69.84% after the public issue.

United Cotfab Ltd key financials

The company’s revenue for FY24 grew by a whopping 17,945.5% to ₹115.52 crore compared to ₹64.02 lakh in the preceding fiscal. The company’s Profit After Tax (PAT) for FY24 increased 6121% to ₹8.66 crore against ₹13.93 lakh in the preceding fiscal. The company’s net worth for the fiscal year ended March 31, 2024, increased over 36% to ₹13.56 crore compared to ₹9.93 crore in the year-ago period. The company posted a revenue from operations of ₹1.88 lakh in FY22, the company’s net worth stood at ₹6.81 crore in the same period. The company’s PAT for the period ended March 31, 2022, stood at ₹1.6 lakh.

United Cotfab IPO objectives

United Cotfab will use the money raised via the IPO for meeting working capital requirements, general corporate purposes and to meet public issue expenses.

About United Cotfab

United Cotfab Ltd, incorporated in 2015, is a manufacturer of high-quality open-end yarn for the textile industry. The company's diverse clientele includes textile manufacturers, garment exporters and distributors. United Cotfab’s manufacturing facility is located in Ahmedabad, Gujarat. The company has an installed capacity of approximately 9125 (MT) per annum.

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