MUMBAI, (GPN/ SACHIN MURDESHWAR 📞8108510506): The Initial Public Offering of Quartz Processor, Midwest Limited, India’s largest producer of Black Galaxy and Absolute Black granite has been subscribed to 87.89 times on the final day of bidding, demonstrating strong demand from retail and non-institutional investors for this IPO.

The issue received bids of 27,39,83,178 shares against the offered 31,17,460 equity shares, according to data available on the stock exchanges.

Retail Portion and Non-institutional portion were subscribed 24.26 times and 168.07 times respectively. Qualified Institutional Buyers (QIB) was subscribed 139.87 times and Employee Portion was subscribed 24.44 times.

Earlier, Midwest Ltd had raised Rs 135 crore from anchor investors. Some of the marquee institutions that participated in the anchor include Goldman Sachs India Equity Portfolio, Edelweiss Life Insurance Company, Axis Mutual Fund Trustee – Axis Mutual Fund Small Cap Fund, Sun Life Aditya Birla India Fund, Kotak Mahindra Trustee – Kotak Consumption Fund, Edelweiss Trusteeship – Edelweiss Recently Listed IPO Fund, ITI Muti Cap Fund, Svadha India Emerging Opportunities Scheme 1.

Leading brokerage firms like Aditya Birla Money, BP Wealth, and Ventura Securities have given a “Subscribe” rating to the issue highlighting the company has a legacy of more than four decades in the extracting and processing dimensional granite, particularly black galaxy and absolute black varieties. It is India’s largest producer of black galaxy and black granite stones, and held a share of approximately 64% of the Indian export market for the export of black galaxy stone during FY25. The company’s absolute black granite production accounted for 15.7% of the overall black granite production in India during FY25. In addition to natural stone business, the company also manufactures diamond wire, which caters to both captive consumption and market demand of the Indian mining and construction industry.

On the valuation front, at the upper end of the price band, the issue is valued at a P/E of 30 times. The company’s diversification into quartz and HMS segments positions it to tap into high-growth industries like solar glass, electric vehicles (EVs), aerospace, and semiconductors. This strategic shift aligns well with India’s push for self-reliance and comes at a pivotal time amid global supply chain disruptions. The report highlights these new verticals will make a meaningful contribution to the company’s revenue and ensure profitability over time.

Dam Capital Advisors, Intensive Fiscal Services and Motilal Investment Advisors are the book-running lead managers, and Kfin Technologies Limited is the registrar of the issue.

Company Information

The company is in the business of exploration, mining, processing, marketing, distribution and export of natural stones, with an emphasis on sustainability. They are one of India’s largest producers and exporters of Black Galaxy Granite. They have diversified into Quartz processing, with operational phase 1 at 303,000 mtpa, catering to heavy mineral sand extraction (yielding titanium feedstock materials such as rutile and ilmenite) and the processing of rare earth elements.

The company held a share of approximately 64% of the Indian export market for Black Galaxy Granite in Fiscal 2025 (Source: CRISIL Report), exporting 44,992 cubic meters of Black Galaxy Granite during Fiscal 2025. Its Absolute Black Granite production accounted for 15.7% of the overall black granite production in India during Fiscal 2025. (Source: CRISIL Report).

Apart from its natural stone business, the company also manufactures diamond wire, which is a precision cutting tool employed in the natural stone and construction industries to size stones and other hard substances with precision in mines and processing/ fabrication facilities.

The company currently has 16 operational granite mines across 6 locations in Telangana and Andhra Pradesh producing granite varieties such as Black Galaxy, Absolute Black, Tan Brown, along with one granite processing facility in Telangana and Andhra Pradesh. In addition to its operational mines, the company has also established a resource base comprising 25 locations across Andhra Pradesh, Telangana, Karnataka and Tamil Nadu.

The company’s revenue from operations in the June 2025 quarter was Rs 142.3 crore and its net profit was Rs 24.4 crore.

The company’s revenue from operations was Rs 626.2 crore during FY25 vis-à-vis Rs 502.5 crore during FY23.

Its net profit was Rs 133.3 crore during FY25 vis-à-vis Rs 54.4crore during FY23.

The table below shows subscription data for all the categories of investors:

Cummulative Demand Schedule
MIDWEST LIMITED 17 Oct 2025 | 05:00:00 PM
1	Qualified Institutional Buyers (QIBs)	8,87,572	12,41,48,388	139.87
1(a)	Foreign Institutional Investors (FIIs)	–	3,04,69,852	–
1(b)	Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies)	–	4,89,43,958	–
1(c)	Mutual Funds	–	1,02,73,018	–
1(D)	Others	–	3,44,61,560	–
2	Non Institutional Investors(NIIS)	6,65,681	11,18,84,094	168.07
2.1	Non Institutional Investors(Bid amount of more than Ten Lakh Rupees)	4,43,788	8,52,34,128	192.06
2.1(a)	Corporates	–	7,30,254	–
2.1(b)	Individuals (Other than RIIs)	–	8,04,51,546	–
2.1(c)	Others	–	40,52,328	–
2.2	Non Institutional Investors(Bid amount of more than Two Lakh Rupees and upto 10 lakh rupees)	2,21,893	2,66,49,966	120.10
2.2(a)	Corporates	–	57,148	–
2.2(b)	Individuals (Other than RIIs)	–	2,53,45,320	–
2.2(c)	Others	–	12,47,498	–
3	Retail Individual Investors (RIIs)	15,53,255	3,76,83,002	24.26
3(a)	Cut Off	–	3,07,20,186	–
3(b)	Price Bids	–	69,62,816	–
4	Employee Reserved	10,952	2,67,694	24.44
4(a)	Employee (Cut off)	–	2,09,846	–
4(b)	Employee (Price)	–	57,848	–
5	Reservation PortionShareholder	–	–	–
5(a)	RPS (Cut off)	–	–	–
5(b)	RPS (Price)	–	–	–
	Total	31,17,460	27,39,83,178	87.89

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