Siddhi Cotspin IPO Overview
Siddhi Cotspin Ltd IPO opens 19-23 September 2025 offering 64,68,000 equity shares (₹69.85 crore). Price band ₹102-108 per share. The issue comprises a fresh issue and an offer for sale. Proceeds will be used for working capital, repayment/prepayment of borrowings, and general corporate purposes.
Siddhi Cotspin GMP Status
| GMP (₹) (grey market premium) | IPO Price (₹) |
| 102-108 | |
| Last Updated: | |
| 📌 Note: The above GMP data is unofficial and has been collected from multiple sources including grey market dealers and market observers. It is provided purely for informational and educational purposes. Please consult your financial advisor before making any investment decisions. | |
IPO Key Detail
Siddhi Cotspin Core Business & Overview
Siddhi Cotspin manufactures and sells cotton yarns. It produces a range of value-added specialty cotton yarns using advanced machinery and technology.
History and status
The company was incorporated as a Private Limited company on 23 November 2015. It was converted into a Public Limited Company by resolution in January 2024, and got its fresh certificate of incorporation as Siddhi Cotspin Limited on 12 February 2024.
Location & facilities
Its registered office and main spinning units are in the Dholi Integrated Spinning Park, Ahmedabad, Gujarat.
It has set up a greenfield project for manufacturing value-added and specialty cotton yarn.
Products
The yarns include: compact carded/combed hosiery, compact carded/combed weaving, carded weaving, combed weaving, hosieries, slub yarn, siro slub yarn, CSY-Lycra core spin yarn (spandex blended), TFO yarn etc.
Management / promoters
Promoters are Navin Saraogi and Aansh Rajesh Bindal. Navin Saraogi is the Managing Director; he has 20+ years’ experience in the textile business.
Strengths
Here are major strengths identified in analyses and filings:
- Experienced promoters & management
The promoters have long experience in the textile sector, which helps in navigating the operational and market challenges. - Quality focus & technology
Siddhi Cotspin emphasizes stringent quality standards, advanced machinery, eco-friendly process, renewable energy use, etc. This helps differentiate in yarn markets that are price-sensitive. - Diversified value-added product mix
Because the company doesn’t produce only basic yarn but specialized and value-added versions (compact, spandex core, slub etc.), it can command higher margins and reduce dependency on commodity yarn cycles. - Strong production capacity, greenfield facility
The new plant at Ahmedabad with installed capacity of ~29,376 spindles helps scale production. - Geographic location advantage
Being in Gujarat (a major textile region) helps access to raw materials, skilled labour, and infrastructure. Also lower logistics cost for both sourcing and sales. (Implicit from filings)
Risks
Some of the main risks Siddhi Cotspin faces:
- Raw-material price volatility & supply disruptions
Cotton (and cotton yarn) prices fluctuate due to weather, global demand, policies, etc. Disruption in supply or sudden price rises can squeeze margins. - Dependence on a few major customers
Losing any one or more big customers could have material adverse effects on cash flows, operations etc. - Regulatory / legal / compliance risks
There are outstanding legal proceedings involving promoters, show cause notices etc. Also, certain permits or approvals (leases/licenses) might expire or not be renewed. - Market risk
Demand fluctuations in cotton yarns depending on fashion, textile export demands, consumption trends etc. Also competition (both domestic & international) could put pressure. - Financial risk
Debt obligations (with promoters giving personal guarantees), repayment obligations etc. Also, cost of funds or interest rate increases could impact profitability.
Financial Performance Overview (₹ in Crore)
| Particulars | FY 2023 | FY 2024 | FY 2025 |
| Revenue | 199.33 | 580.89 | 724.54 |
| Profit | 6.01 | 12.18 | 13.08 |
| Assets | 184.12 | 181.25 | 182.83 |
Revenue
- FY 2023: ₹199.33 Cr
- FY 2024: ₹580.89 Cr
- FY 2025: ₹724.54 Cr
Revenue has shown strong growth, nearly tripling from FY 2023 to FY 2024, and further increasing by 25% in FY 2025. This indicates expanding operations and rising demand for the company’s products.
Profit
- FY 2023: ₹6.01 Cr
- FY 2024: ₹12.18 Cr
- FY 2025: ₹13.08 Cr
Profit has more than doubled from FY 2023 to FY 2024, but growth slowed in FY 2025 (only 7% increase). This suggests profit margins are under pressure, possibly due to higher costs or competitive pricing despite revenue growth.
Total Assets
- FY 2023: ₹184.12 Cr
- FY 2024: ₹181.25 Cr
- FY 2025: ₹182.83 Cr
Assets have remained almost flat over three years, hovering around ₹181–184 Cr. This means the company is generating higher revenue without significant asset expansion, reflecting efficiency, but it could also indicate limited fresh investments.
Disclaimer:
The above IPO analysis and financial data are based on information provided by the company in its official documents. For complete details, please refer to the Red Herring Prospectus (RHP) linked above. Investors are strongly advised to consult their financial advisor before making any investment decisions.
