For investors, it can be quite challenging to decide if the Midwest IPO is a good investment or not. If you are unsure and still thinking about whether to apply or skip this IPO, don’t worry. In this article, we present the top key factors and a detailed review of the Midwest IPO. This will help you analyze the strengths, risks, and financial details of the Midwest IPO, making your investment decision better.
About Company
Founded in 1981, Midwest Limited is one of the leading companies involved in the business of exploration, mining, processing, marketing, distribution, and export of natural stones.
The company has over 40 years of experience in the natural stone industry, from mining and processing to sales, distribution, and marketing of different types of natural stones, they cover everything. Moreover, the Midwest is the largest producer and exporter of Black Galaxy Granite, which is a variety of Granite that is sparkling with flakes of a golden hue, Absolute Black Granite (a variety known for its remarkable surface finish), and Tan Brown Granite in India.
The company consists of 16 active granite mines in 6 locations across Telangana and Andhra Pradesh in India. Over the years of hard work, the company has established a strong international presence by exporting its products to 17 countries, mainly China, Italy, and Thailand. Its major clients include MP STENEKO AB (Sweden), GI-MA STONE SRL (Italy), Quanzhou Xingguang Stone Co., Ltd. (China), The Xiamen Group (China), King Marble and Granite Co. Limited (Thailand), and more. Midwest Limited Company consists of a total of 1,326 employees as of June 30, 2025.
Strengths
- Midwest is India’s largest producer and exporter of Black Galaxy Granite, which is a premium type of Granite.
- From mining to distribution, the company has its presence across the entire granite value chain.
- The company’s priority is on research, development, and the use of technology.
- The company consists of experienced promoters and a skilled management team who have more than 40 years of experience in the mining industry.
Weaknesses
- The amount and quality of mine stones can be different from what they expect them to be. Also, the mine life may not be accurate, or changes in the price or cost of the mine may not be profitable to operate.
- The mining business requires many approvals to operate its business. Meaning sometimes granting or renewing approvals can take time, which can badly impact the business, cash flow, and overall financial condition.
- Midwest is expanding into a new business segment, and if it fails to expand in this new segment successfully can badly affect the business, cash flow, and financial performance.
- The company mostly generated its revenue from the top 10 customers, meaning that if it gets less revenue from these customers, then it can adversely impact the business, profits, and cash flow.
Midwest IPO Review
| Reviewer | Recommendation |
| IPO Watch | May Apply |
| Capital Market | Avoid |
| SBICAP Securities Limited | Neutral |
| Ventura Securities Limited | Apply |
| Hem Securities | |
| IDBI Capital | |
| Marwadi Shares | |
| Nirmal Bang | |
| Sharekhan | |
| SMC Global | |
| Sushil Finance | |
| Swastika Investmart | |
| Geojit | |
| Reliance Securities | |
| BP Wealth | |
| ICICIdirect | |
| Choice Broking |
Midwest IPO Details
| IPO Open Date: | October 15, 2025 |
| IPO Close Date: | October 17, 2025 |
| Face Value: | ₹5 Per Equity Share |
| IPO Price Band: | ₹1014 to ₹1065 Per Share |
| Issue Size: | ₹451 Crores |
| Offer-for-Sale | Up to 18,87,323 Equity shares |
| Registrar | Kfin Technologies Ltd. |
| IPO Lead Managers | Dam Capital Advisors Ltd. Intensive Fiscal Services Pvt. Ltd. Motilal Oswal Investment Advisors Ltd |
| Basis of Allotment | October 20, 2025 |
| IPO Listing Date: | October 24, 2025 |
| Listing | BSE, NSE |
Financial Performance Trend Details
Amount in ₹ Crore
| Particulars | 30 Jun 2025 | 31 Mar 2025 | 31 Mar 2024 |
| Total Income | 146.47 | 643.14 | 603.33 |
| EBITDA | 38.97 | 171.78 | 151.44 |
| PAT | 24.38 | 133.30 | 100.32 |
| Net Worth | 577.03 | 553.69 | 421.93 |
| Total Borrowings | 270.11 | 236.61 | 120.48 |
Peer Comparison with the Company
| Name of the Company | Face Value per Equity Share (₹) | P/E | EPS (Basic) (₹) | RoNW (%) | NAV(₹ per Share) |
| Midwest Limited | ₹5 | [●] | ₹39.42 | 22.11% | ₹163.75 |
| Pokarna Limited | ₹2 | 12.73x | ₹60.49 | 24.11% | ₹250.93 |
Key Performance Indicator
| KPI | Values |
| ROE | 19.42% |
| ROCE | 18.84% |
| PAT Margin | 17.17% |
| Debt/Equity | 0.43 |
| RoNW | 22.11% |
| EBITDA Margin | 27.43% |
| Price to Book Value | 6.50 |
Promoters & Track Records, if any
- Mr. Kollareddy Rama Raghava Reddy, born on April 28, 1953, aged 72 years, is the Founder and one of the Promoters of the Company. He holds 24,879,304 shares, representing 73.58% of pre-Issue paid-up capital in the company.
- Mr. Kollareddy Ramachandra is one of the Promoters of the Company and is also the Whole-time Director and Chief Executive Officer of the Company. He holds 1,690,621 shares, representing 5.00% of pre-issue paid-up capital in the company.
- Kukreti Soumya is one of the Promoters of the Company and is also a Wholetime Director on the Board. She holds 1,690,621 shares, representing 5.00% of pre-issue paid-up capital in the company.
- Mrs. Uma Priyadarshini Kollareddy is one of the Promoters of the Company and is also a Whole-time Director on the Board. She holds 338,124 shares, representing 1.00% of pre-issue paid-up capital in the company.
Information on Industry’s P/E Ratio
The company’s Midwest IPO did not show the P/E ratio in the RHP. However, let’s check out the mining industry’s peer P/E ratio to understand it more.
| Particulars | Peer P/E | Name of the Listed Peer |
| Highest | 12.73 | Pokarna Limited |
| Lowest | 12.73 | Pokarna Limited |
| Average | 12.73 | Pokarna Limited |
Midwest IPO – Should You Apply or Not?
Midwest Limited features a strong market leadership in Black Galaxy Granite, consistent financial performance, and expansion plans in quartz and granite processing can promote future growth. However, Regulatory and Environmental Risks, price volatility, and premium valuation are some of the major concerns.
The verdict is that short-term investors can apply for the listing gains after valuing the GMP and the market sentiment & demand. Long-term investors must evaluate the risks, the company’s overall performance, and regulatory dependencies before subscribing.
Please note:
Investors are advised to make their own decisions and apply entirely at their own risk. This article uses information from the company’s RHP (Red Herring Prospectus) data and online sources. If you have any queries, kindly contact the IPO Watch Team.
