Crizac Education Platform and Borana Weaves Receive SEBI Approval for IPO Launch

The Securities and Exchange Board of India (SEBI), the country's market regulator, has approved two initial public offerings (IPOs) in March.

Crizac Ltd, a student recruitment solutions provider, and Borana Weaves Ltd, a textile manufacturing company, have received final observations on their draft IPO documents. With this approval, both companies are now eligible to launch their public offerings within the next year.

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Crizac IPO

Based in Kolkata, Crizac Ltd operates as a B2B education platform catering to agents and international institutions. The company specializes in student recruitment solutions for higher education institutions in the United Kingdom, Canada, the Republic of Ireland, Australia, and New Zealand.

Crizac had resubmitted its IPO documents to SEBI on November 18, 2024. The offering will be structured entirely as an Offer-for-Sale (OFS), with existing promoters divesting shares worth up to ₹1,000 crore. Specifically, promoter Pinky Agarwal will offload shares amounting to ₹841 crore, while co-promoter Manish Agarwal will sell shares worth ₹159 crore.

According to the draft prospectus, the IPO will be conducted through the book-building process. The issue’s registrar is Link Intime India Pvt Ltd, while Equirus Capital Pvt Ltd and Anand Rathi Advisors Ltd will serve as the book-running lead managers.

The company has positioned itself as a key player in the student recruitment industry, leveraging partnerships with international universities to facilitate seamless enrollment processes. With rising demand for overseas education, Crizac aims to enhance its services and expand its global reach through technology-driven solutions. The IPO proceeds, while not contributing directly to the company’s capital since it is an OFS, are expected to improve market visibility and enhance liquidity for existing shareholders.

Industry experts believe that Crizac’s IPO could attract significant investor interest, given the increasing demand for global education services and India’s growing role in student mobility. The company’s ability to maintain strong relationships with overseas institutions and navigate complex visa and admission processes makes it a valuable player in the sector.

Borana Weaves IPO

Headquartered in Surat, Gujarat, Borana Weaves Ltd is a textile manufacturing company specializing in the production of unbleached synthetic grey fabric. This fabric serves as a base material for various post-production processes such as dyeing and printing.

The company had submitted its draft red herring prospectus to SEBI in November 2024. As per its statement, the IPO will include the issuance of up to 70 lakh equity shares, each with a face value of ₹10. Unlike Crizac’s IPO, Borana Weaves' offering will be a fresh issue, with no Offer-for-Sale component.

Beeline Capital Advisors Pvt Ltd has been appointed as the book-running lead manager, while KFIN Technologies Ltd will handle the registrar responsibilities.

The proceeds from the Borana Weaves IPO are intended to fund the establishment of a new manufacturing unit in Surat to expand production capacity for grey fabric. Additionally, the company aims to allocate funds toward incremental working capital needs and general corporate expenses.

Surat is known as one of India's largest textile hubs, and Borana Weaves’ decision to expand in the region aligns with the growing demand for high-quality synthetic fabric. With an increasing focus on sustainability and advanced textile technology, the company is expected to integrate modern machinery and efficient production techniques in its new facility.

Market analysts suggest that Borana Weaves’ IPO could be an attractive opportunity for investors looking to tap into India’s expanding textile industry. The demand for synthetic fabrics is on the rise, driven by evolving fashion trends and increased usage in home furnishings and industrial applications. Additionally, government initiatives supporting domestic textile manufacturing could further benefit the company’s growth prospects.

With SEBI’s approval in place, both Crizac Ltd and Borana Weaves Ltd are now set to proceed with their public offerings. Investors will be keenly watching the final issue price, subscription details, and overall market sentiment as these companies move closer to their IPO launch dates.