Rachit Prints Ltd IPO
Status:
Overview
IPO date
01 Sept 2025 to 03 Sept 2025
Face value
₹ 0 per share
Price
₹ 140 to ₹149 per share
Issue Size
1,308,000 shares
(aggregating up to ₹ 19.49 Cr)
(aggregating up to ₹ 19.49 Cr)
Allotment Date
04 Sept 2025
Listing at
NSE
Issue type
Book Building - SME
Sector
Objectives of Rachit Prints Ltd IPO
Rachit Prints Ltd IPO Strategy
About Rachit Prints Ltd
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T&C*
Strengths vs Risks of Rachit Prints Ltd
Know the pros & cons
Strengths
Geographical presence in 15 States and 1 Union Territory.- Ability to provide products as per the customer satisfaction.
- Ability to scout for new opportunities and capitalising the same.
- Consistent track record of growth and financial performance.
- Ability to serve large and reputed customers.
Risks
- Our Company is dependent on few numbers of customers for sales. Loss of any of this large customer may
affect our revenues and profitability.
- We have long-term agreements with two of our top 10 customers only, the loss of one or more of them or a
reduction in their demand for our products could adversely affect our business, results of operations, financial
condition and cash flows.
- Our Company is dependent on few suppliers for purchase of raw material. Loss of any of these large suppliers
may affect our business operations.
- We have experienced negative cash flows in relation to our operating activities, investing activities and
financing activities for the Financial Year 2022 - 23, 2023 - 24 and 2024 - 25. Any negative cash flows in the
future would adversely affect our results of operations and financial condition.
- Our Company has experienced multiple instances of minor delays in filing of returns required under the CGST
Act, 2017, the Employees' Provident Fund and Miscellaneous Provisions Act, 1952 and Employee State
Insurance.
- Our Company was incorporated in the year 2003 and some of our corporate records including forms filed with
the Registrar of Companies are not traceable. Certain forms we cannot assure you that these forms filings will
be available in the future or that we will not be subject to any penalties imposed by the relevant regulatory
authority in this respect which may impact our financial condition and reputation.
- We do not own our Registered Office & our manufacturing facility and we have only lease rights over such
premise. In the event we lose such rights or are required to negotiate it, our cash flows, business, financial
conditions and results of operations could be adversely affected.
- Our existing manufacturing facility is concentrated in a single region i.e., Meerut, Uttar Pradesh and the
inability to operate and grow our business in this particular region may have an adverse effect on our business,
financial condition, results of operations, cash flows and future business prospects.
- Our business is working capital intensive. If we experience insufficient cash flows to meet required payments
on our working capital requirements, there may be an adverse effect on the results of our operations.
- We have experienced fire outbreak in our manufacturing facility on May 10, 2017. We regularly work with
flammable materials and activities in our operation which can be dangerous and could cause injuries to people
or property.
- Our Company has lodged the Insurance claim in the past. Our insurance coverage may not be adequate to
protect us against all material risks.
- In our Audited Financial Statements for the Financial Year 2022-23, our Company did not make any provision
for gratuity payment as required under The Payment of Gratuity Act, 1972. However, in the Restated
Standalone Financial Statements, the impact of provision for gratuity payment on the Profits earned by the
Company has been shown in Annexure-6 "Restated Summary Statement of Reconciliation of Restated
Profit/(Loss) To Profit/ (Loss) as per Audited Financial Statements".
- We have in the past entered into related party transactions and may continue to do so in the future, which may
potentially involve conflicts of interest with the equity shareholders.
- Our lender has charge over our immovable property and stocks in respect of finance availed by us.
- Our inability to collect receivables and default in payment from our customers could result in the reduction of
our profits and affect our cash flows.
- Trade Receivables and Inventories form a substantial part of our current assets. Failure to manage our
inventory could have an adverse effect on our business, results of operations, cash flows and financial
condition.
- Our business depends on the performance of its information technology systems and any interruption or
abnormality in the same may have an impact on our business operations and profitability.
- We do not have long-term agreements with suppliers for our raw materials and an increase in the cost of, or a
shortfall in the availability or quality of such raw materials could have an adverse effect on our business,
financial condition and results of operations.
- We are dependent on third-party transportation providers for the supply of raw materials and delivery of our
finished products.
- We are dependent on a number of key personnel, including our management, and the loss of or our inability
to attract or retain such persons could adversely affect our business, results of operations and financial
condition.
- Our Independent Directors do not have qualification and experience related to the business of our Company.
- A shortage or non-availability of electricity or water or fuel may affect our manufacturing operations and have
an adverse effect on our business, results of operations and financial condition.
- We cannot assure you that the Objects of the Issue will be achieved within the expected time frame, or at all,
and any variation in the utilisation of the Net Proceeds would be subject to certain compliance requirements,
including prior shareholders' approval.
- One of our Certificate i.e Import Export Certificate is in erstwhile name.
- Our operations are subject to environmental, health and safety laws and regulations.
- Our Promoters and Promoters Group will continue to exercise control post completion of the Issue and will
have considerable influence over the outcome of matters.
- In addition to normal remuneration, other benefits and reimbursement of expenses of some of our Directors
(including our Promoters) and Key Management Personnel are interested in our Company to the extent of
their shareholding and dividend entitlement in our Company.
- Our Company is involved in certain legal proceedings. Any adverse decision in such proceedings may have a
material adverse effect on our business, results of operations and financial condition.
- Any negative publicity or defect in product quality may cause our Company substantial costs which in turn
could adversely affect our goodwill and our sales could be diminished.
- Any failure to protect or enforce our rights to own or use our trademark could have an adverse effect on our
business and competitive position.
- Improper storage, processing and handling of our raw materials, work products and products could damage
our inventories and, as a result, have an adverse effect on our business, results of operations and cash flows.
- Our business is dependent on our manufacturing facility and we are subject to certain risks in our
manufacturing process. Any slowdown or shutdown in our manufacturing operations or under-utilization of
our manufacturing facility could have an adverse effect on our business, operations and financial condition.
- Our ability to pay dividends will depend upon future earnings, financial condition, cash flows, working capital
requirements, capital expenditures and other factors.
- The requirements of being a publicly listed company may strain our resources.
- Changes in latest technology or requirement of machinery based on business opportunity may adversely affect
our Company's results of operations and its financial condition.
- We face competition in our business from domestic competitors. Such competition would have an adverse
impact on our business and financial performance.
- Our inability or failure to maintain a balance between optimum inventory levels and our product offering may
adversely affect our business, results of operations and financial condition.
- We are subject to risk of fraud, theft, embezzlement by our employees, contractors and customers, employee
negligence or similar incidents may adversely affect our results of operations and financial condition.
- The average cost of acquisition of Equity Shares by our Promoters is lower than the floor price.
- There is no monitoring agency appointed by our Company and the deployment of funds are at the discretion
of our Management and our Board of Directors, though it shall be monitored by our Audit Committee.
- Applicants to this Issue are not allowed to withdraw their Applications after the Bid/Issue Closing Date.
- The determination of the Issue Price is based on various factors and assumptions and the Issue Price of the
Equity Shares may not be indicative of the market price of the Equity Shares after the Issue.
- Industry information included in this Red Herring Prospectus has been derived from the Industry Analysis of
the Home Textile Sector-Emphasis on Printed and Knitted Fabrics ("D&B Report", which was prepared by
Dun & Bradstreet ("Dun & Bradstreet") and exclusively commissioned and paid for by our Company for the
purposes of the Issue, and any reliance on information from the Report for making an investment decision in
the Issue is subject to inherent risks.
How to check the allotment status of Rachit Prints Ltd IPO?
Follow the steps
Open link to the registrar using this URL (https://evault.kfintech.com/ipostatus/).
Select company from dropdown menu.
Enter details- PAN, Application number or DP client ID
Get your allotment status
Open link to the registrar using this URL (https://evault.kfintech.com/ipostatus/).
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The IPO opens on 01 Sept 2025 & closes on 03 Sept 2025.
Rachit Prints Limited was originally incorporated as 'Rachit Prints Private Limited' vide Certificate of Incorporation dated March 31, 2003, issued by the Registrar of Companies, Kanpur. Prior to incorporation of the Company, the promoters were engaged in the business of printing and manufacturing clothes under the name M/s Rachit Prints, a partnership firm.
During year 2003, Promoters incorporated 'Rachit Prints Private Limited' and had taken over the business of the Partnership Firm. Subsequently, Company converted its status into a Public Limited Company and the name was changed to 'Rachit Prints Limited' on July 29, 2024.
The Company is engaged in the manufacturing of Speciality fabric tailored for mattresses such as knitted fabric, printed fabric, warp knit, pillow fabric, Binding Tape and trading of the comforters and bedsheets. Production process begins with yarn procurement and encompasses inhouse weaving, designing, printing, and finishing, resulting in knitted and printed fabrics crafted to meet clients' customized specifications. Specializing in knitted Fabrics, printed Fabrics, and warp knit, Company source yarn and chemicals to produce specialized textiles.
The Company added 4 Circular Knit machineries to expand the capacity in FY 2023.
The Company issued 13,08,000 equity shares of face value Rs 10, by raising Rs 19.48 crores by way of initial public offering in September 2025.
In FY 2025, Company has expanded the production by enhancing the capacity of 6 Circular Knit machineries.
Rachit Prints Ltd IPO will close on 03 Sept 2025.
- Geographical presence in 15 States and 1 Union Territory.
- Ability to provide products as per the customer satisfaction.
- Ability to scout for new opportunities and capitalising the same.
- Consistent track record of growth and financial performance.
- Ability to serve large and reputed customers.
| S.No | Promoters Name | Pre Issue Shares | Pre Issue Percentage | Post Issue Shares | Post Issue Percentage |
|---|---|---|---|---|---|
| 1 | Anupam Kansal | 1667750 | 45.97 | 1667750 | 33.79 |
| 2 | Naina Kansal | 1667750 | 45.97 | 1667750 | 33.79 |
| 3 | Rose Kansal | 2625 | 0.07 | 2625 | 0.05 |
| 4 | Karan Kansal | 2625 | 0.07 | 2625 | 0.05 |
| 5 | Amit Jaitly | 437 | 0.01 | 437 | 0.01 |
- Our Company is dependent on few numbers of customers for sales. Loss of any of this large customer may affect our revenues and profitability.
- We have long-term agreements with two of our top 10 customers only, the loss of one or more of them or a reduction in their demand for our products could adversely affect our business, results of operations, financial condition and cash flows.
- Our Company is dependent on few suppliers for purchase of raw material. Loss of any of these large suppliers may affect our business operations.
- We have experienced negative cash flows in relation to our operating activities, investing activities and financing activities for the Financial Year 2022 - 23, 2023 - 24 and 2024 - 25. Any negative cash flows in the future would adversely affect our results of operations and financial condition.
- Our Company has experienced multiple instances of minor delays in filing of returns required under the CGST Act, 2017, the Employees' Provident Fund and Miscellaneous Provisions Act, 1952 and Employee State Insurance.
- Our Company was incorporated in the year 2003 and some of our corporate records including forms filed with the Registrar of Companies are not traceable. Certain forms we cannot assure you that these forms filings will be available in the future or that we will not be subject to any penalties imposed by the relevant regulatory authority in this respect which may impact our financial condition and reputation.
- We do not own our Registered Office & our manufacturing facility and we have only lease rights over such premise. In the event we lose such rights or are required to negotiate it, our cash flows, business, financial conditions and results of operations could be adversely affected.
- Our existing manufacturing facility is concentrated in a single region i.e., Meerut, Uttar Pradesh and the inability to operate and grow our business in this particular region may have an adverse effect on our business, financial condition, results of operations, cash flows and future business prospects.
- Our business is working capital intensive. If we experience insufficient cash flows to meet required payments on our working capital requirements, there may be an adverse effect on the results of our operations.
- We have experienced fire outbreak in our manufacturing facility on May 10, 2017. We regularly work with flammable materials and activities in our operation which can be dangerous and could cause injuries to people or property.
- Our Company has lodged the Insurance claim in the past. Our insurance coverage may not be adequate to protect us against all material risks.
- In our Audited Financial Statements for the Financial Year 2022-23, our Company did not make any provision for gratuity payment as required under The Payment of Gratuity Act, 1972. However, in the Restated Standalone Financial Statements, the impact of provision for gratuity payment on the Profits earned by the Company has been shown in Annexure-6 "Restated Summary Statement of Reconciliation of Restated Profit/(Loss) To Profit/ (Loss) as per Audited Financial Statements".
- We have in the past entered into related party transactions and may continue to do so in the future, which may potentially involve conflicts of interest with the equity shareholders.
- Our lender has charge over our immovable property and stocks in respect of finance availed by us.
- Our inability to collect receivables and default in payment from our customers could result in the reduction of our profits and affect our cash flows.
- Trade Receivables and Inventories form a substantial part of our current assets. Failure to manage our inventory could have an adverse effect on our business, results of operations, cash flows and financial condition.
- Our business depends on the performance of its information technology systems and any interruption or abnormality in the same may have an impact on our business operations and profitability.
- We do not have long-term agreements with suppliers for our raw materials and an increase in the cost of, or a shortfall in the availability or quality of such raw materials could have an adverse effect on our business, financial condition and results of operations.
- We are dependent on third-party transportation providers for the supply of raw materials and delivery of our finished products.
- We are dependent on a number of key personnel, including our management, and the loss of or our inability to attract or retain such persons could adversely affect our business, results of operations and financial condition.
- Our Independent Directors do not have qualification and experience related to the business of our Company.
- A shortage or non-availability of electricity or water or fuel may affect our manufacturing operations and have an adverse effect on our business, results of operations and financial condition.
- We cannot assure you that the Objects of the Issue will be achieved within the expected time frame, or at all, and any variation in the utilisation of the Net Proceeds would be subject to certain compliance requirements, including prior shareholders' approval.
- One of our Certificate i.e Import Export Certificate is in erstwhile name.
- Our operations are subject to environmental, health and safety laws and regulations.
- Our Promoters and Promoters Group will continue to exercise control post completion of the Issue and will have considerable influence over the outcome of matters.
- In addition to normal remuneration, other benefits and reimbursement of expenses of some of our Directors (including our Promoters) and Key Management Personnel are interested in our Company to the extent of their shareholding and dividend entitlement in our Company.
- Our Company is involved in certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on our business, results of operations and financial condition.
- Any negative publicity or defect in product quality may cause our Company substantial costs which in turn could adversely affect our goodwill and our sales could be diminished.
- Any failure to protect or enforce our rights to own or use our trademark could have an adverse effect on our business and competitive position.
- Improper storage, processing and handling of our raw materials, work products and products could damage our inventories and, as a result, have an adverse effect on our business, results of operations and cash flows.
- Our business is dependent on our manufacturing facility and we are subject to certain risks in our manufacturing process. Any slowdown or shutdown in our manufacturing operations or under-utilization of our manufacturing facility could have an adverse effect on our business, operations and financial condition.
- Our ability to pay dividends will depend upon future earnings, financial condition, cash flows, working capital requirements, capital expenditures and other factors.
- The requirements of being a publicly listed company may strain our resources.
- Changes in latest technology or requirement of machinery based on business opportunity may adversely affect our Company's results of operations and its financial condition.
- We face competition in our business from domestic competitors. Such competition would have an adverse impact on our business and financial performance.
- Our inability or failure to maintain a balance between optimum inventory levels and our product offering may adversely affect our business, results of operations and financial condition.
- We are subject to risk of fraud, theft, embezzlement by our employees, contractors and customers, employee negligence or similar incidents may adversely affect our results of operations and financial condition.
- The average cost of acquisition of Equity Shares by our Promoters is lower than the floor price.
- There is no monitoring agency appointed by our Company and the deployment of funds are at the discretion of our Management and our Board of Directors, though it shall be monitored by our Audit Committee.
- Applicants to this Issue are not allowed to withdraw their Applications after the Bid/Issue Closing Date.
- The determination of the Issue Price is based on various factors and assumptions and the Issue Price of the Equity Shares may not be indicative of the market price of the Equity Shares after the Issue.
- Industry information included in this Red Herring Prospectus has been derived from the Industry Analysis of the Home Textile Sector-Emphasis on Printed and Knitted Fabrics ("D&B Report", which was prepared by Dun & Bradstreet ("Dun & Bradstreet") and exclusively commissioned and paid for by our Company for the purposes of the Issue, and any reliance on information from the Report for making an investment decision in the Issue is subject to inherent risks.
The Issue type of Rachit Prints Ltd is Book Building - SME.
The minimum application for shares of Rachit Prints Ltd is 2000.
The total shares issue of Rachit Prints Ltd is 1308000.
Initial public offer of upto 13,08,000equity shares of face value of Rs.10/- each ( the "equity shares") of rachit prints limited ("our company"or"rpl"or"the issuer") for cash at a price of
Rs. 149 per equity share (the "Issue Price") aggregating to Rs. 19.49 crores will upto 66,000 equity shares of face value of Rs.10/-each for cash at a prie of Rs.149 per equity shares including a share premium of Rs.139 per equity share aggregating to Rs. .98 crores will be reserved for subscription by market maker to the issue ( the "market maker reservation portion"). the issue less the market maker reservation portion i.e., net issue of upto 12,42,000 equity shares of face value of Rs.10/- each at a price of Rs. 149 per equity share including a share premium of Rs. 139 per equity share aggregating to
Rs. 18.51 crores is herein after referred to as the "net issue". the issue and the net issue will constitute 26.50% and 25.16% respectively the post issue paid up equity share capital of the company.