In an exciting development for India's textile sector, Ken Enterprises Limited is gearing up for a compelling market debut with an ₹83.65 crore IPO. The fabric manufacturing powerhouse, known for its diverse portfolio spanning apparel, industrial, technical, and home furnishings, is offering a fresh issue of 61.99 lakh shares worth ₹58.27 crores, alongside an offer for sale of 27 lakh shares totaling ₹25.38 crores. The subscription window opens February 5, 2025, marking a significant milestone in the company's journey toward its NSE SME platform listing.
With equity shares priced at ₹94 each (face value ₹10), the offering presents an accessible entry point for retail investors, who can participate with a minimum investment of ₹1,12,800 for one lot of 1,200 shares, while HNIs can engage with a minimum two-lot subscription of ₹2,26,600. As the February 7 subscription deadline approaches and the February 12 listing date draws near, savvy investors might want to take a closer look at this emerging player in India's dynamic textile landscape.
Ken Enterprises Limited IPO is a fundraise worth ₹83.65 crores consists of a fresh issue and an offer for sale with 4,45,200 shares reserved for the market maker Giriraj Stock Broking Private Limited. The IPO will be available for subscription from February 5, 2025, to February 7, 2025, providing an opportunity for investors looking to gain a stake in the textile sector.
| Ken Enterprises IPO date | February 5, 2025 - February 7, 2025 |
| Fixed price | ₹94 per share |
| Face value | ₹10 per share |
| Lot size | 1,200 shares |
| Issue type | Fixed Price Issue IPO |
| Fresh issue | 61,99,200 shares amounting to ₹58.27 crores |
| Offer for Sale | 27,00,000 shares amounting to ₹25.38 crores |
| Total issue | 88,99,200 shares amounting to ₹83.65 crores |
| Listing at | NSE SME |
| Market maker portion | 4,45,200 - Giriraj Stock Broking Pvt Ltd |
| Shareholding post-issue | 2,45,65,480 shares |
| Shareholding pre-issue | 1,83,66,280 shares |
The Ken Enterprises Limited IPO opens for subscription on February 5, 2025, and closes on February 7, 2025, with allotment scheduled for February 10, 2025.
| IPO open date | February 5, 2025 (Wednesday) |
| IPO close date | February 7, 2025 (Friday) |
| Basis of allotment | February 10, 2025 (Monday) |
| Initiation of refunds | February 11, 2025 (Tuesday) |
| Credit of shares to Demat account | February 11, 2025 (Tuesday) |
| Listing date on BSE / NSE SME | February 12, 2025 (Wednesday) |
| Cut-off time for UPI mandate confirmation | 5 PM on February 7, 2025 (Friday) |
With a rich legacy dating back to 1998, Ken Enterprises Limited has established itself as a significant player in India's textile manufacturing sector. Operating from two well-equipped manufacturing facilities spanning 50,000 square feet in Maharashtra's textile hub of Ichalkaranji, the company specializes in producing greige fabrics and partners with local third-party manufacturers to enhance production capacity. Their customer-centric approach focuses on delivering quality fabrics on an order-to-order basis, with offerings ranging from greige to dyed, printed, and RFD/PFD fabrics.
The company's diverse product portfolio caters to multiple market segments, featuring high-value apparel fabrics, voiles for ladies' wear, light canvas fabrics for shoe uppers and bags, organic sustainable fabrics for premium apparel, and specialized materials for home textiles and footwear. With a workforce of 228 permanent employees as of December 2024, Ken Enterprises has built a robust infrastructure to serve the evolving needs of the textile industry while maintaining its commitment to quality and sustainability.
Ken Enterprises Limited plans to strategically deploy its IPO proceeds across several key initiatives, including potential acquisitions both domestically and internationally, investment in new machinery to enhance production capabilities, renovation of its existing manufacturing facilities, and strengthening its working capital position. While these fresh issue funds will fuel the company's expansion plans, it's worth noting that proceeds from the Offer for Sale portion will go directly to the selling shareholders rather than the company's coffers.
The Ken Enterprises Limited IPO’s key performance indicators, as on March 31, 2024, reflect the company's financial health with a Return on Equity of 19.90%, Return on Capital Employed (ROCE) at 51.52% and a Debt-to-Equity ratio of 0.09. The Return on Net-Worth (RoNW) stands at 19.90%, and the PAT Margin was 2.22%. The Price to Book Value was 3.85. The company’s market capitalisation is ₹230.92 crores.
| Period Ended | November 30, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
| Assets | 266.3 | 242.15 | 195.16 | 187.26 |
| Revenue | 332.85 | 409.13 | 375.23 | 360.32 |
| Profit After Tax | 9.53 | 8.93 | 3.95 | 2.36 |
| Net Worth | 54.38 | 44.85 | 35.93 | 31.98 |
| Reserves & Surplus | 36.01 | 42.27 | 33.34 | 29.39 |
| Total Borrowing | 43.14 | 47.84 | 49.45 | 41.01 |
Amount in ₹ crores
The pre-IPO EPS is at ₹4.86 while the post-IPO EPS will be ₹5.82. Similarly, the pre-IPO Price to Earnings ratio is 19.34 and will become 16.16 post-IPO.
Ken Enterprises Limited's strengths are anchored in its seasoned leadership and efficient operational model. The company's experienced management team, backed by 228 dedicated employees, has fostered strong client relationships and established a reputation for quality assurance and timely delivery. Their asset-light business model, which leverages strategic third-party manufacturing partnerships, has enabled them to maintain cost competitiveness while ensuring scalability and operational flexibility.
Their in-house product development expertise and diverse portfolio spanning apparel, industrial, technical, and home furnishings position them as a one-stop solution provider in the textile sector. The company's demonstrated ability to rapidly develop and deliver products, combined with their robust financial performance and consistent revenue generation through order-based supply, further strengthens their market position and potential for sustainable growth.
Ken Enterprises faces several operational and regulatory challenges that merit attention. The heavy reliance on third-party manufacturers for production poses significant risks to quality control and timely delivery, while their geographically concentrated operations in Ichalkaranji, Maharashtra, make them vulnerable to local disruptions. The company's history of non-compliance in ROC filings and pending trademark registrations for their "KEN" brand expose them to potential regulatory penalties and brand protection issues.
Furthermore, their financial stability faces headwinds from historical negative cash flows and working capital challenges. The absence of long-term supplier contracts, combined with the lack of owned facilities for their registered office and some manufacturing operations, introduces additional operational uncertainties. The company's labor-intensive nature makes them susceptible to workforce-related disruptions, while their reliance on export sales exposes them to international market risks and currency fluctuations.
Investing early in Ken Enterprises Limited presents an opportunity to be part of the company's growth in the textile industry. However, investors should evaluate key factors such as the company's operational history, financial stability, market trends, and growth strategy, while aligning this opportunity with their personal investment goals and risk tolerance. It is advisable to carefully review the offer document and consult a professional if needed to make an informed decision about participating in the IPO.
What is the Ken Enterprises Limited IPO?
The Ken Enterprises Limited IPO is an NSE SME offering consisting of 61.99 lakh fresh equity shares and an offer for sale of 27 lakh equity shares with a face value of ₹10 per share, aiming to raise ₹83.65 crores. The fixed price has been set at ₹94 per share, with a minimum order quantity of 1,200 shares. This IPO will be open for subscription from February 5, 2025, to February 7, 2025. Corporate Makers Capital Limited is the book-running lead manager, Skyline Financial Services Private Limited is the registrar while Giriraj Stock Broking Private Limited is the market maker.
When will the Ken Enterprises IPO open?
The Ken Enterprises Limited IPO will open for subscription on February 5, 2025, and will close on February 7, 2025.
When is the Ken Enterprises IPO listing date?
The tentative listing date for the Ken Enterprises Limited IPO is Wednesday, February 12, 2025.
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