Richa Knits IPO on Sep 13

Indore, Sep 10 (UNI) Richa Knits Ltd -- a Rs 45-crore turnover, Gurgaon-based manufacturer of knit fabric and readymade garments -- will hit the primary market with an IPO through a fixed price issue of 90 lakh equity shares of Rs 30 each aggregating Rs 2,700 lakh.

This is to part finance expansion capability in all existing facilities of knitting, dyeing, processing and garment manufacturing. A Rs 63-crore expansion project was appraised by the Indian Overseas Bank (IOB) and funded by a Rs 33-crore term loan.

The issue is scheduled to open for public subscription on September 13 and will close on September 19.

''The expansion is to carve a niche in the export segment that, coupled with tangible presence in the domestic market, will help provide customers with the best innovative product at the most affordable price without compromising on quality,'' MD Sushil Gupta said in a release issued here.

The company has a state-of-the-art lab facility for developing shades, fastness of colour, fabric quality and adopts stringent quality checks at each step of the manufacturing process.

Established in 1993 as a process house to cater to the needs of knit fabric for exporters in northern India, Richa Knits has two manufacturing facilities, one at Faridabad for dyeing and processing and another at Gurgaon for knitting, dyeing and processing and garment manufacturing, the release added.

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