The dates of Saraswati Saree Depot’s initial public offering (IPO) are set for August 12, 2024, and August 14, 2024. The IPO’s precise date is still pending. Saraswati Saree Depot hopes to raise about ₹160.01 crores through its initial public offering (IPO) with the new issue of ₹56.02 crores and the offering for sale of up to 6,499,800 equity shares at a price of ₹10 per. 15% of HNI, 50% of QIB, and 35% of the retail quota are all allotted.
Saraswati Saree Depot IPO Information
| Date Of Opening | 12/08/2024 |
| Date Of Closing | 14/08/2024 |
|  Size Of Ipo | Nearly ₹160.01 Cr |
| sale Offer |  ₹56.02 Cr |
|  Value | ₹10/- Equity |
| IPO Price | ₹152 – 160 Per Share |
Regarding Saraswati Saree Depot
Since its founding in 1996, Saraswati Saree Depot Limited has grown to become a reputable producer and wholesaler in the women’s clothing sector, with a focus on the business-to-business (B2B) saree market. The company’s steady prosperity and substantial market share attest to its lengthy history in the saree industry, which dates back to 1966.
Over 90% of Saraswati Saree Depot’s total revenue comes from the wholesale distribution of sarees, which is the company’s primary activity. The company deals in the wholesale trade of many different types of women’s apparel items, including bottoms, blouse pieces, lehengas, kurtis, and dress materials, in addition to sarees. Because of their wide selection of products, they have been able to satisfy a wide range of client wants and market preferences.
Overview
On the plus side, the company has shown impressive financial performance; for the fiscal year ending on March 31, 2023, revenues topped ₹600 crores, and earnings after taxes came to ₹22.97 crores. The high return on equity (ROE) of 96.15% and return on capital employed (ROCE) of 98.03% suggest strong profitability and efficient use of capital.
In addition, it is projected that the Indian ethnic wear market will continue to increase, which may benefit the company as it expands. But the risks should also be considered by potential investors.
The ethnic clothing market is very competitive, therefore any disruptions to the supply chain could have an impact on the company’s profit margins. Furthermore, sustainability may be questioned despite positive financial signs.
