KPR Mill promoters to offload 3.2% stake via ₹1,195.6-crore block deals

Promoters of apparel manufacturer KPR Mill Ltd — KP Ramasamy, KPD Sigamani, and P Nataraj — are likely to divest up to 3.2% stake in the company through block deals, sources privy to the developments told CNBC-TV18.

The total offer size is pegged at ₹1,195.6 crore, with a floor price of ₹1,107 per share, the sources told CNBC-TV18. This represents a 10% discount to the company’s current market price.

Q4 results

For the fourth quarter, KPR Mill's revenue for the quarter increased by 4% from last year to ₹1,769 crore, while its earnings before interest, tax, depreciation and amortisation (EBITDA) remained flat on a year-on-year basis, registering a 0.7% decline to ₹333.1 crore.

Also Read: KPR Mill Q3 Results: Net profit rises 8% to ₹202 crore; declares dividend

The EBITDA margin for the quarter narrowed by nearly 100 basis points to 18.83% from 19.77% during the year-ago quarter. Net profit for the period fell 4% to ₹204 crore from ₹213 crore last year.

About KPR Mill

The Tamil Nadu-based KPR Mill is a vertically integrated apparel brand and one of India's fastest-growing companies. It is renowned for its ready-made knitted apparels, cotton-knitted fabrics, and cotton yarns, making it a key player in the textile industry.

KPR Mill's spinning division operates 3,54,240 spindles, producing 1,00,000 MT of yarn annually. The knitting segment can produce 40,000 MT of fabrics annually, while the dyeing division processes 25,000 MT annually.

Also Read: KPR Mill promoter KP Ramaswamy sells ₹971.4 crore worth of shares

In garments, KPR Mill manufactures 147 million pieces of ready-made knitted apparel annually. Additionally, the company operates 37,968 spindles in its vortex segment, producing 10,500 MT of Vortex yarn.

Shares of KPR Mill Ltd ended at ₹1,230.20, up by ₹13.65, or 1.12%, on the BSE.