Fractal Industries Ltd IPO
Textiles
Price Band
₹205 – ₹216
Lot Size
600
Minimum Bid Quantity
1200
Minimum Investment
₹259200
Issue Size
₹49Cr
Opens
2026-02-16
Closes
2026-02-18
Listing
24-02-2026
Subscription Status
Qualified Institutional Buyers
5.95 x
Non-Institutional Investor
6.08 x
Retail Individual Investor
4 x
Total
5.08 x
IPO Details
Issue Type
FP
Face Value
₹10
Tick Size
1
ISIN
INE1W3Q01011
Pre-Apply Available
No
Daily Bidding Time
10:00:00 - 17:00:00
About the Company
Fractal Industries Limited is engaged in the designing, sourcing, and manufacturing of garments and in providing warehousing and supply chain services for e-commerce platforms. The company undertakes end-to-end garment manufacturing activities, including design coordination, production, quality control, and order fulfilment for online marketplaces such as Myntra, Ajio, among others. It also provides supply chain and fulfilment services covering warehousing, logistics coordination, inventory management, order management, returns processing, and multi-channel sales support. In addition, the company offers technology-enabled services such as product management systems, data analytics, order anomaly detection, and integrated logistics management to support apparel-related e-commerce operations. Fractal Industries initially began manufacturing garments for Myntra and subsequently expanded its client base to other marketplaces. The company’s manufacturing facility is located in Mumbai, while its warehouses are situated in Gujarat, Maharashtra, Haryana, West Bengal, and Karnataka.
Pros
- • Fractal Industries claims to operate a technologically advanced Warehouse Management System (WMS) that provides real-time visibility across the entire inventory lifecycle, from raw materials to finished goods ready for dispatch. The system automates warehouse processes such as inwarding, quality checks, picking, and packing, and uses barcode-based tracking to improve process accuracy and reduce order fulfilment time. The WMS is designed to handle a high volume of SKUs and is integrated with major online marketplaces, enabling unified inventory management across multiple sales channels.
- • The company claims to have developed dedicated processes for managing reverse logistics in the apparel e-commerce segment, where return rates are relatively high. Returned items undergo structured inspection and grading, with refurbishment activities such as steaming, stain removal, and minor repairs carried out where feasible. According to the company, these processes help make saleable returned products available for resale within a short turnaround time.
- • Fractal Industries claims to have embedded quality control measures across raw material inspection, work-in-progress stages, finished goods, and warehouse operations. The company states that its quality assurance processes combine manual checks with automated tracking systems to monitor compliance with marketplace requirements. This end-to-end inspection framework is intended to reduce defects and rejections across manufacturing and fulfilment activities.
Cons
- • The top customer accounted for Rs 37.11 crore (78.45 percent) (consolidated) of the company’s revenue for the period ended September 30, 2025; Rs 75.20 crore (88.01 percent) (standalone) in FY25; Rs 25.25 crore (50.57 percent) (consolidated) in FY24; and Rs 68.37 crore (76.90 percent) (consolidated) in FY23. Failure to retain this key client, loss of business from this customer, or failure to secure new customers through marketplaces could adversely affect the company’s revenue, operations, and financial condition.
- • The top supplier accounted for Rs 3.24 crore (11.80 percent) (consolidated) of the company’s total purchases for the period ended September 30, 2025; Rs 2.89 crore (6.36 percent) (standalone) in FY25; Rs 4.60 crore (8.66 percent) (consolidated) in FY24; and Rs 7.60 crore (9.21 percent) (consolidated) in FY23. Any disruption in supplies, deterioration in supplier relationships, or inability to source materials of similar quality and prices from alternative suppliers could hurt the company’s procurement, operations, and financial performance.
- • The company and its promoters are involved in certain ongoing legal proceedings. The company’s business prospects could be hit in case of adverse judgments in any of these cases.
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