Vivekanand Cotspin Set for SME Debut on September 28 Following ₹22.20 Crore Public Issue

Gujarat-based textile manufacturer Vivekanand Cotspin Limited is gearing up for its market debut on Monday, September 28, 2026, following the conclusion of its ₹22.20 crore initial public offering (IPO). The issue, which was open for subscription between September 21 and September 23, 2026, was priced in a band of ₹32 to ₹37 per equity share, with the final issue price established at the upper band of ₹37 per share.

Following the finalisation of the basis of allotment on September 24, the transfer of shares to allottees' demat accounts and the dispatch of refunds were completed on September 25.

Issue Breakdown and Subscription Performance

The offering consisted entirely of a fresh issue of 60.00 lakh equity shares with a face value of ₹10 each. Ahead of the issue opening, Vivekanand Cotspin secured ₹6.29 crore from anchor investors on September 18, 2026.

At the close of bidding on September 23, the public issue achieved an overall subscription rate of approximately 1.73 times:

• Qualified Institutional Buyers (QIBs): Subscribed 1.26 times.
• Non-Institutional Investors (NIIs): Subscribed 2.05 times.
• Retail Individual Investors (RIIs): Subscribed 1.82 times.

Swastika Investmart Limited acted as the sole book-running lead manager for the offering, while MUFG Intime India Private Limited served as the registrar to the issue. Sunflower Broking Private Limited is the designated market maker.

Business Operations and Capital Allocation

Established in its current corporate structure in Gujarat, Vivekanand Cotspin operates in the cotton processing and spinning sector. The company's manufacturing facility is located in Kadi, within Gujarat's Mehsana district—a prominent cotton-producing hub. The production unit houses an annual installed spinning capacity of 25,536 spindles, capable of manufacturing roughly 4,551 metric tonnes of cotton yarn annually. Beyond spinning, the firm actively engages in ginning and trading raw cotton bales, cotton yarn, cotton seeds, and yarn waste.

The net proceeds from the fresh issue will be deployed across specific corporate requirements:

• Capital Expenditure: ₹5.27 crore allocated toward the procurement of additional plant and machinery.
• Working Capital: ₹11.00 crore earmarked to meet expanded working capital needs.
• General Corporate Purposes: ₹5.93 crore reserved for general operational and corporate objectives.

Financial Snapshot

For the financial year ended March 31, 2026, Vivekanand Cotspin reported revenue from operations of ₹409.32 crore, up from ₹290.94 crore reported in FY25 and ₹358.02 crore in FY24. The company generated a profit after tax (PAT) of ₹3.69 crore in FY26, compared to ₹4.23 crore in FY25 and ₹3.35 crore in FY24. The post-issue market capitalisation of the company stands at approximately ₹60.13 crore at the issue price of ₹37 per share.

Tags: Vivekanand Cotspin BSE SME Swastika Investmart SEBI IPO Listing Textiles