Midwest's ₹451cr IPO now open: Should you bid?
What's the story
Midwest, a leading natural stone exporter, has launched its ₹451-crore initial public offering (IPO) today. The issue comprises a fresh share sale worth ₹250 crore and an offer for sale (OFS) of ₹201 crore by existing shareholders. The IPO will close on October 17 with allotment expected on October 20 and listing scheduled for October 24 on BSE and NSE.
Pricing details
Price band, lot size and more
The price band for the Midwest IPO has been fixed between ₹1,014-₹1,065 per share. Investors can bid for a minimum of 14 shares, amounting to ₹14,910 at the upper end of the price range. Retail investors can apply for up to 13 lots (182 shares) worth ₹1.94 lakh. DAM Capital Advisors is the book-running lead manager while KFin Technologies serves as registrar to the issue.
Market outlook
GMP and business overview
The gray market premium (GMP) for the Midwest IPO currently trends at 1%, indicating cautious optimism among investors ahead of its debut. Midwest is engaged in exploring, mining, processing, marketing and exporting granite and natural stones. The company operates 16 granite mines across Telangana and Andhra Pradesh with two large-scale processing facilities—one in each state.
Growth trajectory
Financial performance and future outlook
Midwest has demonstrated consistent growth in recent years. For FY25, it reported a 7% increase in revenue to ₹643 crore, while profit after tax jumped 33% to ₹133 crore. The company's balance sheet also reflects prudent leverage with a debt-to-equity ratio of 0.43 and net worth of ₹554 crore. The market cap based on the IPO's upper price band is estimated at around ₹3,851 crore.