Cedaar Textile IPO: GMP, Valuation, And Price

Cedaar Textile IPO- Complete Overview

Cedaar Textile IPO under the SME IPO category is a book build issue of Rs. 60.90 Cr by Cedaar Textile Limited. The company was founded in 2020. It is engaged in the manufacturing of specialised yarns. The company’s melange yarn production serves markets such as household textiles, woven goods, and hosiery.

The company includes leading customers from the local and export markets as they provide garments for internationally recognised fashion brands.

The initial stage of production for this company involves acquiring raw materials, which undergo further processing with the combination of several fibres such as cotton, polyester, viscose, acrylic, among others.

Products:

Melange Yarns - Fibres and colours blended to produce unique textures. 

Solid Top-Dyed Yarns - Premium fancy fezzes/turbans are dyed solid. The garnets' quality soars alive, emblazing deeply rich colours.

Grey Fancy Yarns - Special feature with spiral forms enrich fabrics with textures; ausse compass adds innovative design variants.

 

Cedaar Textile IPO Overview

The Cedaar Textile IPO date is on 30 June 2025, and its initial public offering will end on 02 July 2025. 

The Rs. 60.90 crore new SME IPO comprises a wholly fresh issue of 43.50 lac Shares. The Cedaar Textile IPO price is Rs. 130 to Rs. 140 for each Share. 

The Cedaar Textile IPO listing date (expected) might be on Monday, Jul 07, 2025, and listing at the NSE and SME.

Click to open demat account and apply for the IPO.

Company Financial

(Amount in Cr)

Period	31 Dec 2024	31 Mar 2024	31 Mar 2023
Total Assets	222.77	198.23	175.84
Total Revenue	113.91	191.01	161.88
PAT	7.06	11.05	4.59
Net Worth	60.70	25.24	14.19
Reserves & Surplus	51.17	17.74	13.94
Borrowings	120.63	146.15	137.01

 

 

Cash Flows

(Amount in lac)

Net Cash Flow in Multiple Activities	31 Dec 2024	31 Mar 2024	31 Mar 2023
Net Cash Flow Operating Activities	1,098.21	485.44	(196.01)
Net Cash Flow Investing Activities	(493.94)	(251.39)	(649.41)
Net Cash Flow Financing Activities	(568.88)	(234.17)	847.33

 

Revenue Bifurcation

Product-wise Revenue Breakdown

(Amount in lac)

Geography-wise Revenue Breakdown

(Amount in lac)

(Source: RHP)

The Objective of the Issue

The company desires to use the Net Proceeds from the Issue to fulfill its following goals:

• Grid-tied solar PV rooftop system installation for captive evacuation.

• The modernization of machine technology.

• Issue Costs.

• Working capital requirements.

• General corporate purposes.

 

Click to check the IPO application status.

Peers of Cedaar Textile Ltd.

Company Name	Face Value (Rs.)	EPS (Rs.)	P/E (x)
Shiva Texyarn Ltd.	10	(8.55)	22.70
Vardhman Textiles Ltd.	2	21.01	17.03

 

Evaluation

The Cedaar Textile Limited IPO price is Rs. 130 to Rs. 140 for each Share.

Evaluation of P/E Ratio

Considering the FY ended on 31 Mar 2024 with an EPS of Rs. 14.73 from the last year, the resulting P/E ratio is 9.50x.

Considering the weighted EPS of Rs. 11.18 for the last three years, the P/E ratio is 12.52x.

Explore the Marc Loire IPO.

Comparative Analysis With Listed Peers

The average P/E Ratio of the industry is 20.4x.

Particulars	P/E Ratio (x)
Highest	33.6
Lowest	8
Average	20.4

In simple words, the P/E ratio of this IPO is 9.50x, compared with the industry’s average P/E of 20.4x, indicating an undervaluation (on a P/E ratio basis only). Hence, the price of the Share seems fairly priced for the investors when considered based on the average P/E ratio of the industry.

IPO's Strengths

• Marketing Skills. 

• Focus on technology & innovation, sustainability, and quality.

• Delivery, production & sourcing.

• Strong relationship within the industry.

• Procurement  

 

 

IPO’s Weaknesses

• This industry has a significant reliance on cotton. 

• Labour Regulations are not very favourable.

• Interest rates, Indirect taxes, and Utility costs are high. 

• Seasonal employment issues.
  
  

Cedaar Textile IPO GMP

Cedaar Textile IPO GMP is Rs. 10 as of 27 Jun 2025 at the time of writing this information. Hence, its estimated listing price might be Rs. 150.

IPO Timetable (Tentative)

The Cedaar IPO date of opening is from Jun 30 to Jul 02, 2025, allotment on Jul 03, refund initiation on Jul 04, and listing on Jul 07, 2025.

Events	Date
IPO Opening Date	Jun 30, 2025
IPO Closing Date	Jul 02, 2025
IPO Allotment Date	Jul 03, 2025
Refund Initiation	Jul 04, 2025
IPO Listing Date	Jul 07, 2025

 

Cedaar Textile IPO Details 

The IPO with a Face Value of Rs. 10 per share offers a total issue size of 43,50,000 Shares (Rs. 60.90 Cr) with a market maker portion of 2,18,000 Shares (Rs. 3.05 Cr).

IPO Opening & Closing Date	30 Jun, 2025 to 02 Jul, 2025
Face Value	Rs. 10 per Share
Issue Price	Rs. 130 to Rs. 140 per Share.
Lot Size	1000 Shares
Issue Size	43,50,000 Shares (Rs. 60.90 Cr)
Offer for Sale	-
Fresh Issue	43,50,000 Shares (Rs. 60.90 Cr)
Listing at	NSE, SME
Issue Type	Book Built Issue
Registrar	Skyline Financial Services Private Ltd.

 

 

IPO Lot Details 

Retail investors can invest in a minimum and maximum of 1 Lot (1000 Shares) for Rs. 1,40,000 and in multiples thereof, while for HNI investors, the minimum Lot is 2 (2000 Shares) for Rs. 2,80,000.

Minimum Lot Investment (Retail)	1 Lot
Maximum Lot Investment (Retail)	1 Lot
HNI (Min)	2 Lots

 

IPO Reservation (% of Net Issue)

Institutional’s Portion	29.98%
Retail’s Portion	34.48%
Non-Institutional Portion	30.53%

 

Promoters And Management of Cedaar Textile Ltd.

• Rajesh Mittal

• Virender Goyal

• Bachangada Monnappa Saraswathi

• Monnappa Nachappa Bachangada.

Pre-Issue Promoter Shareholding	100%
Post-Issue Promoter Shareholding	68.66%

 

IPO Lead Managers

• Fast Track Finsec Pvt Ltd.

 

 

Dividend Policy

The company has not paid a dividend in the last three financial years.

 

Conclusion

The Cedaar Textile IPO shall remain open for subscription from June 30 to July 2, 2025, offering an aggregate of 43.50 lac fresh shares to raise the sum of Rs. 60.90 crore. The company is involved in melange and fancy yarns at its core. The IPO seems attractive, given it is priced with a P/E ratio of 9.50x as against an industry average of 20.4x.

 

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO. 

You must consult your financial advisor before making any financial decisions. 

To Apply for the IPO, Click Here.

To Read the Prospectus of the Company Click Here to Download the DRHP.

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DISCLAIMER: This blog is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions.