Kusumgar IPO is a book-built public issue worth ₹650 crore. The entire issue is an Offer for Sale (OFS) of 1.55 crore equity shares, which means the proceeds from the sale will go to the existing selling shareholders and not to the company.
The IPO will open for subscription on July 8, 2026, and close on July 10, 2026. The share allotment is expected to be finalised on July 13, 2026, while the shares are tentatively scheduled to list on the NSE and BSE on July 15, 2026.
The company has fixed the price band at ₹398 to ₹419 per share. Investors can apply for a minimum of 35 shares, requiring an investment of ₹14,665 at the upper end of the price band. For sNII investors, the minimum application is 490 shares (14 lots), amounting to ₹2,05,310. For bNII investors, the minimum application size is 2,415 shares (69 lots), requiring an investment of ₹10,11,885.
Axis Capital Limited, IIFL Capital Services Limited, and Motilal Oswal Investment Advisors are managing the issue as the book-running lead managers, while Bigshare Services Pvt. Ltd. has been appointed as the registrar. Investors should refer to the Red Herring Prospectus (RHP) for complete details about the IPO.
Company Overview
Founded in 1990, Kusumgar Ltd. is an Indian manufacturer of engineered fabrics, specialising in woven, coated and laminated synthetic fabrics. The company develops high-performance fabric solutions using polyamide and polyester filaments along with polyurethane technology to meet demanding performance requirements across multiple industries.
As of March 31, 2026, Kusumgar had developed more than 1,000 unique fabric configurations (SKUs). Its products are designed for applications where durability, strength, abrasion resistance, waterproofing and lightweight performance are essential. The company serves four key business segments: aerospace and defence fabrics, aerospace and defence solutions, industrial and automotive fabrics, and outdoor and lifestyle fabrics.
Beyond fabric manufacturing, Kusumgar also produces specialised aerospace and defence solutions such as parachute systems, camouflage products and rapid deployment systems. Its customers include government organisations as well as private companies in India and overseas.
The company operates an integrated manufacturing network with six facilities in Gujarat and a fabrication unit in Uttar Pradesh, enabling better quality control and production efficiency. Backed by decades of technical expertise and research capabilities, Kusumgar has established a strong presence in the engineered fabrics industry with a focus on innovation and customised solutions.
Industry Context
- Engineered fabrics are specialised technical textiles designed for performance rather than appearance. They offer features such as high strength, durability, waterproofing, breathability and abrasion resistance, making them suitable for demanding applications across aerospace, defence, automotive, industrial, medical and outdoor sectors.
- The industry relies on advanced materials including polyester, polyamide (nylon), polyurethane, aramid and blended fabrics with specialised coatings and laminations. Continuous innovation in smart textiles, sustainable materials and customised solutions is driving product development and expanding application areas.
- Manufacturing engineered fabrics involves significant technical expertise, specialised infrastructure, extensive R&D and long product qualification cycles. These factors create high entry barriers, while customised manufacturing and strong customer relationships make it challenging for new players to compete.
- India’s engineered fabrics market expanded from ₹558.8 billion in FY2020 to ₹990.0 billion in FY2026, reflecting a 10.0% CAGR. The market is projected to reach ₹1,864.7 billion by FY2031, growing at a 13.5% CAGR during FY2026 to FY2031.
- Globally, the engineered fabrics market serves multiple industries, with industrial and automotive accounting for 47.1% of market value in 2025, followed by outdoor and lifestyle at 31.7% and defence and aerospace at 8.0%, highlighting broad and diversified demand.
Business Strengths
- Kusumgar Ltd. has built strong technical expertise over decades, developing 1,000+ engineered fabric SKUs. Its capabilities in fine denier fabrics, Nylon 6 and Nylon 66 processing, advanced coating, lamination and integrated manufacturing create high entry barriers for competitors.
- The company supplies custom-engineered fabric solutions for aerospace, defence, industrial, automotive and outdoor applications. Long product qualification cycles, specialised manufacturing processes and customer-specific designs strengthen long-term relationships and support repeat business across diverse end-use industries.
- Kusumgar benefits from an integrated manufacturing network spanning yarn processing, weaving, dyeing, coating, lamination and fabrication. This enables tighter quality control, improved traceability, production efficiency and greater flexibility in delivering customised solutions for customers.
- The company has established long-standing relationships with government organisations, global brands and private customers through consistent product quality and specialised capabilities. Strategic technology partnerships and collaboration on product development further enhance its access to advanced solutions and new market opportunities.
- Led by an experienced management team with decades of expertise in technical textiles, Kusumgar continues to focus on innovation, research and product development. Its portfolio includes specialised fabrics and solutions for parachutes, camouflage systems, industrial products and extreme weather applications, supporting its competitive positioning.
Financial Performance
Kusumgar Limited – Financials (₹ in Million) (Restated Consolidated)
| Particulars | Fiscal 2026 | Fiscal 2025 | Fiscal 2024 |
|---|---|---|---|
| Revenue from Operations | 6,920.03 | 7,789.97 | 4,679.08 |
| Total Income | 7,117.78 | 7,902.12 | 4,745.51 |
| EBITDA | 1,878.50 | 1,883.89 | 1,318.47 |
| Profit for the year | 982.00 | 1,119.88 | 843.96 |
| Basic EPS (₹) | 9.68 | 11.03 | 8.32 |
| Return on Capital Employed | 24.76% | 42.89% | 55.87% |
| Return on Equity | 25.82% | 56.26% | 86.13% |
(Source: RHP)
Key Ratios & Metrics
| Key Performance Indicator (KPI) | Mar 31, 2026 |
|---|---|
| ROE | 25.82% |
| ROCE | 24.76% |
| Debt/Equity | 0.44 |
| RoNW | 25.82% |
| PAT Margin | 13.80% |
| EBITDA Margin | 27.15% |
| Price to Book Value | 8.45 |
(Source: RHP)
IPO Details
| Particulars | Details |
|---|---|
| IPO Date | 8 – 10 July, 2026 |
| Allotment | Monday, July 13, 2026 |
| Listing Date | Wednesday, July 15, 2026 |
| Face Value | ₹1 per share |
| Price Band | ₹398 to ₹419 per share |
| Lot Size | 35 Shares |
| Issue Type | Book Building IPO |
| Sale Type | Offer for Sale (OFS) |
| Total Issue Size | 1,55,13,126 shares (agg. up to ₹650 crore) |
| Offer for Sale | 1,55,13,126 shares of ₹1 (agg. up to ₹650 crore) |
| Shareholding Pre-Issue | 10,49,91,372 shares |
| Listing Exchange | BSE, NSE |
(Compiled from RHP and market updates)
Conclusion
Kusumgar Ltd. operates in a specialised segment of the technical textiles industry, with a strong presence in engineered fabrics used across aerospace, defence, industrial, automotive and outdoor applications. Its decades of manufacturing experience, integrated production capabilities, customised product offerings and established customer relationships have helped the company build a competitive position in a market with high entry barriers.
However, investors should note that the IPO is entirely an Offer for Sale (OFS), meaning the company will not receive any proceeds from the issue. Before applying, investors should carefully evaluate the company’s financial performance, valuation, industry outlook, competitive strengths and the risks highlighted in the Red Herring Prospectus (RHP) to make an informed investment decision.
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