Schedule of Gajanand International
| Issue open date | 09 Sep 2024 |
| Issue close date | 11 Sep 2024 |
| UPI mandate deadline | 11 Sep 2024 (5 PM) |
| Allotment finalization | 12 Sep 2024 |
| Refund initiation | 13 Sep 2024 |
| Share credit | 13 Sep 2024 |
| Listing date | 16 Sep 2024 |
| Mandate end date | 26 Sep 2024 |
| Lock-in end date for anchor investors (50%) | 12 Oct 2024 |
| Lock-in end date for anchor investors (remaining) | 11 Dec 2024 |
Note: The schedule is tentative. The anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares and 90 days after for the remaining portion. The allotment status can be checked on the registrar's website and the exchange website.
About Gajanand International
Incorporated in 2009, Gajanand International is engaged in the manufacturing of cotton. It is an ISO 9001:2015 certified manufacturer that produces various types of cotton i.e. Mech1 Cotton which is sown in the June/July period, Shankar6 Cotton which is the most exported raw cotton variety in India, DCH 32 cotton which is sown in the months of July-August, Khol which is made from high-quality and pure cotton seeds, etc. The company has constructed well-established manufacturing units for Ginning, quality inspection, Storage, and packing equipped with all the necessary hi-tech machines and tools for a modern manufacturing unit.
Financials of Gajanand International
Issue size
| Funds Raised in the IPO | Amount |
| Overall | ₹20.65 crores |
| Fresh Issue | ₹20.65 crores |
| Offer for sale | – |
Utilisation of proceeds
| Purpose | INR crores (%) |
| Working capital requirements | 14.99 (72.59%) |
| Issue expenses | 1.65 (8%) |
| General corporate purposes | 4.01 (19.41%) |
Strengths
- The company has an installed capacity of 37,500 MT/year enabling it to produce large volumes of cotton products to meet market demand efficiently.
- The company strategically selects locations near cotton-growing regions to ensure easy access to raw materials. This proximity minimizes transportation costs, reduces lead times, and provides a consistent and reliable supply of high-quality cotton.
- The company prioritizes stringent quality control measures to maintain the superior quality of raw materials. Regular inspections and quality checks are conducted at various stages of production to ensure compliance with industry standards and specifications.
Risks
- The company’s business is subject to seasonal volatility which contributes to fluctuations in the results of operations and financial condition.
- The company has negative cash flows from its operating activities, investing activities as well as financing activities in the current and past years. Sustained negative cash flow could impact the growth and business.
- The company has not entered into any long-term or definitive agreements with its customers. If the customers choose to refrain from sourcing their requirements from the company, its business may be adversely affected.
- The company’s top 5 customers contributed nearly 86% of its total revenue from operations for the last three years. Any loss of business from one or more of them may adversely affect the revenues and profitability.
- Any adverse movement in the price of the raw material may affect the price of the finished products and affect the profitability.