Updated on 12.02.2026|14:05 PM
Fractal Industries Limited is set to launch its Initial Public Offering (IPO) on the BSE SME platform on Monday, February 16, 2026. It is an integrated apparel manufacturer and supply chain solution provider based in Ahmedabad. You can track the details of all the upcoming and live IPOs at our IPO calendar hub page which is updated regularly.
Having successfully pivoted from a traditional B2B model to a high-margin Pure Play Marketplace (PPMP) model, the company now designs and manufactures garments for e-commerce giants like Myntra and Ajio.
The IPO, which closes on Wednesday, February 18, 2026, aims to raise approximately ₹49.00 Crores through a 100% fresh issue.
With a price band of ₹205–₹216 per share, the company intends to use the proceeds primarily to fund its working capital requirements as it scales its operations and prepares to launch its own D2C brand, "7ate9".
In this article, you will find Fractal Industries IPO GMP today, price band, and a detailed review. And for subscription and allotment status, check our detailed and regularly updated allotment status and daily subscription status hub pages.
Briefs of Fractal Industries IPO Details:
- Price Band: ₹205 – ₹216 per equity share
- IPO Open / Close Dates: February 16, 2026 – February 18, 2026
- Lot Size: 600 Shares (Note: Retail Minimum Application is 2 Lots / 1,200 Shares)
- Issue Size: 22,68,600 Equity Shares / ~₹49.00 Crores
- Fresh Issue / OFS: 100% Fresh Issue
- Registrar: Kfin Technologies Ltd.
- Listing Exchange: BSE SME
Because Kfin Technologies is the registrar of this IPO, here is the step by step guide to know allotment status at Kfin Technologies Ltd to resolve your allotment status related queries.
What Is The Fractal Industries IPO GMP Today?
You can check the GMP of this and other issues at our GMP today page.
Grey Market Premium (GMP) varies daily based on market demand. It is an unofficial indicator and is not regulated by SEBI.
What Are The Important Fractal Industries IPO Dates & Allotment Schedule?
For investors planning their capital allocation, here is the critical timeline for the issue:
- IPO Open Date: Monday, February 16, 2026
- IPO Close Date: Wednesday, February 18, 2026
- Basis of Allotment Date: Thursday, February 19, 2026
- Refund Initiation Date: Friday, February 20, 2026
- Credit of Shares: Friday, February 20, 2026
- Listing Date: Monday, February 23, 2026
What Are The Objectives of Fractal Industries IPO?
The company proposes to utilize the Net Proceeds from the Fresh Issue towards the following strategic purposes:
- Working Capital: A significant portion of ₹36.50 Crores is earmarked for meeting incremental working capital requirements. This is crucial for the company's new inventory-heavy business model, which involves holding stock for e-commerce fulfilment.
- General Corporate Purposes: To fund ongoing operational needs and strategic initiatives.
How is The Financial Performance of Fractal Industries?
The following table summarises the financial performance of the company based on restated consolidated financial statements.
(Figures in ₹ Crores)
| Particulars | Period Ended 30 Sep 25 | Period Ended 31 Mar 25 | Period Ended 31 Mar 24 | Period Ended 31 Mar 23 |
Total Income | 47.33 | 85.51 | 50.01 | 88.91 |
Profit After Tax (PAT) | 6.78 | 7.54 | 2.27 | 2.66 |
EBITDA | 9.29 | 11.15 | 4.05 | 4.13 |
Total Borrowing | 24.63 | 27.61 | 21.88 | 14.05 |
Assets | 62.03 | 51.42 | 42.27 | 41.21 |
Source: RHP
Financial Analysis & Observations:
Total Income:
After a strategic dip in FY24 due to business model transition, the company rebounded strongly with a Total Income of ₹85.51 Crores in FY25. The momentum continued in the first half of FY26 with ₹47.33 Crores, driven by scaling marketplace operations.
Profit After Tax (PAT):
Profitability has surged significantly, with PAT rising to ₹7.54 Crores in FY25 from ₹2.27 Crores in FY24. The net margins have expanded as the company captures more value in the supply chain through its integrated PPMP model.
EBITDA:
Operational efficiency has improved markedly, with EBITDA margins expanding to nearly 19.6% in the recent period (Sept 2025). The absolute EBITDA of ₹9.29 Crores in just six months of FY26 indicates strong cash generation potential from operations.
Total Borrowing:
Debt levels have increased to ₹24.63 Crores as of September 2025 to support the high working capital needs of the new model. However, the IPO proceeds are expected to alleviate liquidity pressure by funding future inventory through equity.
Assets:
The asset base expanded to ₹62.03 Crores by September 2025, largely due to inventory buildup required for e-commerce fulfillment. This reflects the capital-intensive nature of the PPMP model compared to the earlier B2B approach.
What Are the P/E Ratio and Peer Comparison?
Based on its Fiscal Year 2025 earnings per share (EPS) of ₹13.70, the IPO is priced at a Price-to-Earnings (P/E) multiple of approximately 15.77x at the upper end of the price band (₹216).
P/E Ratio = ₹216(Price) / ₹13.70(Earnings Per Share)
P/E Ratio ≈ 15.77x
Peer Comparison Table:
| Company | P/E Ratio | RoNW (%) | EPS (₹) |
Fractal Industries | ~15.77x | 48.02% | 13.70 |
| Bang Overseas Ltd | N/A (Loss) | (2.54%) | (1.60) |
Analysis:
Fractal Industries is entering the market at a P/E multiple of approximately 15.77x.
Since its listed peer, Bang Overseas Limited, is loss-making, a direct P/E comparison is not possible.
However, Fractal's strong Return on Net Worth (RoNW) of over 48% suggests an efficient capital utilisation and profitability, which may justify the valuation in the absence of profitable peers.
What is the Industry Outlook for Fractal Industries ?
Growth Potential:
The Indian textile and apparel industry is projected to reach $190 billion by 2025-26. The e-commerce segment, in particular, is growing rapidly, with platforms like Myntra and Ajio driving demand for integrated supply chain partners.
Market Trends:
There is a shift towards full-service vendors who can handle design-to-delivery. Fractal's PPMP model aligns perfectly with this trend, offering e-commerce platforms a reliable partner for private label manufacturing.
What Are The Strengths and Risks of Fractal Industries IPO?
Strengths:
- High Profitability: The strategic pivot has unlocked high margins (PAT ~14% in H1 FY26) and robust return ratios (RoNW ~48%).
- Integrated Model: Handling everything from manufacturing to warehousing creates stickiness with e-commerce clients.
- D2C Potential: The upcoming launch of the "7ate9" brand offers a new avenue for growth and margin expansion.
Risks:
- Client Concentration: The top customer accounts for over 78% of revenue. Loss of this key account would be catastrophic.
- Negative Cash Flow: The company reported negative operating cash flows recently due to funds getting locked in inventory.
- Inventory Risk: The inventory holding period has jumped to 151 days, increasing the risk of obsolete stock in the fast-fashion industry.
Key Considerations for Investors
This section is neutral and for informational purposes only.
Investors should note the Minimum Investment structure.
- Minimum Application: The lot size is 600 Shares. Based on the data provided, the minimum application for Retail Individual Investors is 2 Lots (1,200 Shares), amounting to ₹2,59,200. Note: This investment amount exceeds the typical ₹2 Lakh retail limit, essentially treating retail applicants as Small-HNI.
- Valuation: At ~15.8x P/E, the pricing seems reasonable given the growth and profitability.
- Risk Profile: High growth but extreme customer concentration and cash flow issues make this a high-risk bet.
Key Takeaways
- IPO Price: ₹216 per share (Upper Band).
- Min Investment: ₹2,59,200 (1,200 Shares).
- Allotment Date: February 19, 2026
- Listing: BSE SME platform on February 23, 2026.
FAQs on Fractal Industries IPO
What is Fractal Industries IPO GMP today?
The GMP is a dynamic market sentiment indicator. You can check gmp of all the ipos including this at our gmp today page which is updated regularly.
What is Fractal Industries IPO price band?
The price band is fixed at ₹205 to ₹216 per equity share.
What is Fractal Industries IPO allotment date?
The allotment status is expected to be finalized on Thursday, February 19, 2026.
How to check Fractal Industries IPO allotment status?
Investors can check the status on the website of Kfin Technologies Ltd. (the Registrar) or via the BSE IPO allotment portal.
What is Fractal Industries IPO listing date?
The shares are tentatively scheduled to list on Monday, February 23, 2026.
Investment Perspective on Fractal Industries IPO
Fractal Industries offers a high-growth opportunity in the apparel manufacturing space with impressive margins driven by its unique business model. However, the extreme client concentration and negative cash flows are significant risks that investors must weigh carefully against the potential rewards.
Disclaimer:
This article is strictly for educational purposes. Please consult a SEBI-registered investment advisor before making any investment decisions.
