- What: Midwest Limited, India's top granite exporter, is launching its IPO to raise ₹451 crores.
- When: The IPO is open for public subscription from October 15 to October 17, 2025.
- Price: The price for one share is set between ₹1,014 and ₹1,065.
- Investment: Investors can bid for a minimum of 14 shares.
- Purpose: The company will use the new funds to expand its subsidiary, pay off debts, and invest in sustainable technology like electric trucks and solar power.
- Listing: The shares will be traded on both the BSE and NSE stock exchanges.
Source: SEBI
Midwest Limited, India’s largest producer and exporter of the premium Black Galaxy Granite, has announced its Initial Public Offering (IPO) to raise up to ₹4,510.00 million. The public issue, a mix of a fresh issue of shares and an offer for sale by promoters, will open for subscription on Wednesday, October 15, 2025, and conclude on Friday, October 17, 2025. The anchor investor bidding is scheduled for Tuesday, October 14, 2025.
The IPO comprises a fresh issue of equity shares aggregating up to ₹2,500.00 million and an Offer for Sale (OFS) of up to ₹2,010.00 million by the selling shareholders. The company plans to list its equity shares on both the BSE Limited (BSE) and the National Stock Exchange of India Limited (NSE).
Key IPO Details:
- Offer Period: The bid/offer opens on October 15, 2025, and closes on October 17, 2025.
- Total Offer Size: Up to ₹4,510.00 million.
- Fresh Issue: Aggregating up to ₹2,500.00 million. The company will not receive any proceeds from the Offer for Sale.
- Offer for Sale (OFS): Aggregating up to ₹2,010.00 million, comprising:
- Up to ₹1,810.00 million by Promoter Selling Shareholder, Mr. Kollareddy Rama Raghava Reddy.
- Up to ₹200.00 million by Promoter Group Selling Shareholder, Mr. Guntaka Ravindra Reddy.
- Face Value: ₹5 per equity share.
- Employee Reservation: A reservation of up to ₹10.00 million for subscription by eligible employees, who may be offered a discount.
- Listing: Proposed to be listed on BSE and NSE, with NSE as the Designated Stock Exchange.
Lead Managers and Registrar:
The Book Running Lead Managers for the issue are DAM Capital Advisors Limited, Intensive Fiscal Services Private Limited, and Motilal Oswal Investment Advisors Limited. The registrar to the offer is KFin Technologies Limited.
About the Company and its Promoters:
With a legacy spanning over four decades, Midwest Limited is a leading name in the natural stone industry, specializing in the exploration, mining, processing, and export of granite. The company is the world’s largest producer of the exclusive Black Galaxy Granite, a premium variety available only in a single village in Andhra Pradesh, and accounted for approximately 64% of India’s export market for this stone in Fiscal 2025. They are also India’s largest producer of Absolute Black Granite.
The promoters of the company are Mr. Kollareddy Rama Raghava Reddy, Mr. Kollareddy Ramachandra, Mrs. Kukreti Soumya, and Mrs. Uma Priyadarshini Kollareddy.
The company operates 16 granite mines in Telangana and Andhra Pradesh and serves a global clientele across 17 countries, with its granite being used in marquee projects like the CSSC Power Tower in Shanghai.
Company Strengths:
Midwest Limited holds a dominant position in the natural stone industry, underpinned by several key strengths:
- Market Leadership: It is India’s largest producer and exporter of Black Galaxy Granite, a premium and high-demand variety, holding approximately 64% of the Indian export market share in Fiscal 2025. This specific type of granite, known for its golden flakes, is exclusively found in a single village in Andhra Pradesh.
- Vertically Integrated Operations: The company boasts a “mine to distribution” model, controlling the entire value chain from exploration and mining to processing and global distribution. This integration ensures efficiency, cost control, and quality assurance.
- Extensive Experience and Infrastructure: With a legacy of over four decades since its establishment in 1981, Midwest operates 16 granite mines across Telangana and Andhra Pradesh. This long-standing presence creates high entry barriers for new competitors in a capital-intensive and heavily regulated industry.
- Global Reach and Diversified Clientele: The company exports its products to 17 countries across five continents, with China, Italy, and Thailand being primary markets. This reduces dependency on any single geography.
- Strong Financial Track Record: Midwest has demonstrated consistent growth in revenue and profitability. For the fiscal year 2025, the company reported a revenue of ₹626.18 crore and a profit after tax of ₹133.30 crore.
Offer Structure and Allocation:
The IPO is being made through the book-building process, with the following allocation structure for the Net Offer (the offer excluding the employee reservation portion):
- Retail Individual Bidders (RIBs): Not less than 35% of the Net Offer.
- Qualified Institutional Buyers (QIBs): Not more than 50% of the Net Offer. Up to 60% of the QIB portion may be allocated to Anchor Investors.
- Non-Institutional Bidders (NIBs): Not less than 15% of the Net Offer.
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