Fractal Industries IPO- Company Analysis
Fractal Industries IPO comes under the SME IPO category and is a book-built issue of ₹49 crore. The IPO is launched by Fractal Industries Limited, a company that provides end-to-end warehousing and logistics solutions to leading e-commerce platforms like Myntra, Ajio, Flipkart, and others.
Apart from logistics, the company also offers design, sourcing, and garment manufacturing services. It provides complete apparel production along with supply chain management solutions.
What Does Fractal Industries Do?
Fractal Industries operates across India and focuses on delivering high-quality apparel with fast turnaround time, specially designed for e-commerce brands.
The company also provides:
- Product and order management
- Inventory and returns handling
- Integrated logistics services
- Data and analytics support
- Multi-channel sales support
- Order anomaly detection
Business Models of Fractal Industries
- Outright Sale of Garments
- PPMP Model (Pure Play Marketplace)
- Direct Sale – Own Brand Manufacturing
This SME IPO offers investors an opportunity to participate in a company that combines garment manufacturing, warehousing, logistics, and e-commerce supply chain services under one platform.
Fractal Industries IPO Details
The Fractal Industries IPO will open for subscription on 16 February 2026 and close on 18 February 2026. The IPO allotment is expected on 19 February 2026, while the refund process will begin on 20 February 2026.
This ₹49 crore SME IPO is a completely fresh issue of 0.23 crore equity shares.
The Fractal Industries IPO listing date is likely to be Monday, 23 February 2026, and the shares are expected to be listed on the BSE SME platform.
The IPO price band has been fixed at ₹205 to ₹216 per share.
IPO Timetable (Tentative)
| Events | Date |
| IPO Opening Date | Feb 16, 2026 |
| IPO Closing Date | Feb 18, 2026 |
| IPO Allotment Date | Feb 19, 2026 |
| Refund Initiation | Feb 20, 2026 |
| IPO Listing Date | Feb 23, 2026 |
Company Financials
(Amount in Cr)
| Particulars | 31 Mar 2025 | 31 Mar 2024 | 31 Mar 2023 |
| Assets | 51.42 | 42.27 | 41.21 |
| Total Income | 85.51 | 50.01 | 88.91 |
| Profit After Tax | 7.54 | 2.27 | 2.66 |
| EBITDA | 11.15 | 4.05 | 4.13 |
| Net Worth | 15.70 | 8.16 | 5.89 |
| Reserves and Surplus | 15.20 | 7.66 | 5.39 |
| Total Borrowing | 27.61 | 21.88 | 14.05 |
Cash Flows
(Amount in lac)
| Net Cash Flow | 31 Mar 2025 | 31 Mar 2024 | 31 Mar 2023 |
| Net Cash Flow Operating Activities | -351.93 | -1001.43 | 801.44 |
| Net Cash Flow Investing Activities | -43.18 | -485.86 | -288.30 |
| Net Cash Flow Financing Activities | 393.48 | 686.45 | 293.48 |
Revenue Bifurcation
(Rs. in Lac)
(Source: RHP)
The Objective of the Issue
The company plans to use the net proceeds from the IPO for the following purposes:
- Funding working capital requirements – approximately ₹36.50 crore
- General corporate purposes
This fund utilisation will help the company strengthen its day-to-day operations and support overall business growth.
Listed Peers of Fractal Industries Ltd.
| Name of Company | Face Value (₹) | Basic EPS (₹) | PE Ratio (x) |
| Bang Overseas Limited | 10 | (1.60) | NA |
Valuation
| KPI | Value |
| ROE | 63.20% |
| ROCE | 25.07% |
| Debt / Equity | 1.76% |
| RoNW | 48.02% |
| PAT Margin | 8.82% |
| EBITDA Margin | 13.04% |
Evaluation of P/E Ratio
For the financial year ended FY 2025, the company reported an EPS of ₹13.70.
Based on this earning per share, the calculated Price-to-Earnings (P/E) ratio comes to 15.76x.
IPO's Strengths
- Experienced senior management team and skilled promoters
- Advanced and integrated Warehouse Management System (WMS) for smooth operations
- Strong expertise in reverse logistics, especially in clothing returns management
- Strict inspection and quality control processes to maintain high product standards
These strengths support efficient warehousing, faster order processing, and better customer satisfaction in the e-commerce supply chain.
IPO's Weaknesses
- Client concentration risk – The company depends heavily on major clients like Myntra and Ajio for large contracts. Any reduction in business from these clients may impact revenue.
- High working capital dependency – Due to e-commerce payment cycles such as commission deductions and biweekly settlements, the business requires strong working capital management.
- Limited presence beyond Tier-1 cities – A major focus on Tier-1 markets may limit growth opportunities in Tier-2 and Tier-3 cities, where e-commerce is currently expanding at a faster pace.
Fractal Industries IPO GMP (Grey Market Premium)
Fractal Industries IPO GMP today is ₹6.00 as of 14 February 2026, at the time of writing this update.
Fractal Industries IPO Summary
| IPO Opening & Closing Date | 16 Feb, 2026 to 18 Feb, 2026 |
| Face Value | Rs. 10 per Share |
| Issue Price | Rs. 205 to Rs. 216 per Share. |
| Lot Size | 600 Shares |
| Issue Size | 22,68,600 Shares (Rs. 49 Cr) |
| Offer for Sale | - |
| Fresh Issue | 22,68,600 Shares (Rs. 49 Cr) |
| Listing at | BSE, SME |
| Issue Type | Bookbuild issue IPO |
| Registrar | Kfin Technologies Ltd. |
IPO Lot Details
Fractal Industries IPO Investment Details
- Retail Investors can apply for a minimum of 2 lots (1,200 shares), amounting to ₹2,59,200, and in multiples of the same.
- HNI Investors can apply for a minimum of 3 lots (1,800 shares), requiring an investment of ₹3,88,800.
This lot structure defines the minimum and maximum investment limits for different investor categories in the IPO.
| Minimum Lot Investment (Retail) | 2 Lots |
| Maximum Lot Investment (Retail) | 2 Lots |
| HNI (Min) | 3 Lots |
Fractal Industries IPO Allotment Status
To check the Fractal Industries IPO Allotment Status, you can visit the official Registrar’s website or the BSE website.
Below are the official website links for your reference.
BSE Website - BSE IPO allotment status
Promoters And Management of Fractal Industries Ltd.
- Mr. Pankaj Bishwanath Agrawal
- Mrs. Priti Pankaj Agrawal.
| Pre-Issue Promoter Shareholding | 97.15% |
| Post-Issue Promoter Shareholding | - |
IPO Lead Managers
- Finaax Capital Advisors Private Limited.
Dividend Policy
The company has not declared or paid any dividend in the last three financial years.
Conclusion
The Fractal Industries IPO is a small SME issue focused on the fast-growing e-commerce logistics and garment supply chain sector. However, investors should carefully consider key risks such as client concentration and high working capital requirements.
At a P/E of around 15.7x and with a strong ROE, the valuation appears reasonable. Still, concerns remain regarding rising debt levels and negative operating cash flows.
Since this is an SME IPO, investors should apply only after assessing their risk appetite, liquidity constraints, and long-term business sustainability, rather than investing purely for short-term listing gains.
StocKart IPO Analysis
This blog shares an objective analysis of the Fractal Industries IPO based on publicly available information. It highlights various aspects such as business fundamentals, valuation, and Fractal Industries IPO GMP trends to help readers better understand the offering.
This content is for informational purposes only and does not encourage or recommend investing in the IPO. Readers should assess the IPO based on their own financial goals and risk profile.
