Sanathan Textiles IPO listed with a 31% premium, debuting at ₹422.30 on the NSE and ₹419.10 on the BSE, compared to its IPO price of ₹319. The IPO’s GMP was last reported at ₹94.
Sanathan Textiles IPO Subscription Status
The Sanathan Textiles IPO saw strong demand, with Qualified Institutional Buyers (QIBs) oversubscribed 75.62 times, Non-Institutional Investors 42.21 times, and Retail Individual Investors (RIIs) 8.93 times. The total subscription was 35.12 times, with significant bids from FIIs, banks, insurance companies, and mutual funds.
Details About Sanathan Textiles IPO
Sanathan Textiles IPO is a book-built issue of ₹550 crores, comprising a ₹400 crore fresh issue and a ₹150 crore OFS. It opens on December 19, 2024, and closes on December 23, 2024, with the listing expected on December 27, 2024. The price band is ₹305 to ₹321 per share. Retail investors can apply for a minimum of ₹14,766. The company’s revenue and profit have declined slightly, but the IPO is still considered a long-term investment opportunity. Allocation: 35% retail, 50% QIB, and 15% HNI.
Funds Deployment of This Company
Sanathan Textiles plans to utilize the funds raised from the IPO for the repayment and/or pre-payment of certain borrowings availed by the company.
Additionally, a portion of the funds will be invested in the company’s subsidiary, Sanathan Polycot Private Limited, to repay or pre-pay borrowings held by the subsidiary.
The remaining funds will be allocated for general corporate purposes, supporting the company’s overall growth and operations.
About Sanathan Textiles IPO
Sanathan Textiles, established in 2005, is a leading polyester and cotton yarn manufacturer, also producing yarns for technical textiles in sectors like automotive and healthcare. With a manufacturing unit in Silvassa, it offers over 3,200 yarn varieties and exports to 14 countries.
The company’s revenue for Fiscal 2024 was ₹29,575.04 million, driven by product innovation, sustainability, and process efficiency. Sanathan Textiles is focused on expanding capacity, enhancing value addition, and adopting energy-efficient technologies to strengthen its position in the global textile market.
IPO Dates
| Parameter | Details |
|---|---|
| IPO Open Date | Thursday, December 19, 2024 |
| IPO Close Date | Monday, December 23, 2024 |
| Basis of Allotment Finalization | Tuesday, December 24, 2024 |
| Initiation of Refunds | Thursday, December 26, 2024 |
| Credit of Shares to Demat Accounts | Thursday, December 26, 2024 |
| Listing Date | Friday, December 27, 2024 |
| Cut-off Time for UPI Mandate Confirmation | 5 PM on December 23, 2024 |
Sanathan Textiles IPO Financial Background
Sanathan Textiles’ financial performance showed a decline from 2023 to 2024. In 2022, revenue was ₹3,201.46 crore with a profit of ₹355.44 crore. In 2023, revenue increased to ₹3,345.02 crore, but profit dropped to ₹152.74 crore. For 2024, revenue decreased to ₹2,979.80 crore, with a profit of ₹133.85 crore. In June 2024, the company earned ₹787.76 crore in revenue and ₹50.07 crore in profit.