Sanathan Textiles Ltd. IPO
Sanathan Textiles IPO opens for subscription on December 19, 2024 and closes on December 23, 2024. The allotment for the Sanathan Textiles IPO is expected to be finalized on Tuesday, December 24, 2024. Sanathan Textiles IPO will list on BSE, NSE with tentative listing date fixed as Friday, December 27, 2024. This article provides a detailed overview of the IPO, including key details, financials, and important dates for potential investors.
RI
by RA ALOK DAIYA SEBI Reg. INH000011468
About Sanathan Textiles Limited
Founded in 2005, Sanathan Textiles Limited has grown into a global leader in polyester and cotton yarn manufacturing.
State-of-the-Art Manufacturing
Company's Silvassa facility produces over 3,200 active varieties of yarn products and manages more than 45,000 SKUs, with capability to manufacture 14,000+ yarn varieties across 190,000+ SKUs.
Global Market Presence
Strong international footprint with exports to 29 countries and a network of 925+ distributors across 7 countries including India, Argentina, Singapore, Germany, Greece, Canada, and Israel.
Diverse Product Portfolio
Comprehensive range of products including polyester yarn, cotton yarn, and technical textiles serving automotive, healthcare, construction, and protective clothing sectors. Trusted by major clients like Welspun India, Valson Industries, and AYM Syntex Limited.
IPO Details
Sanathan Textiles IPO is a book built issue of Rs 550.00 crores. The issue is a combination of fresh issue of 1.25 crore shares aggregating to Rs 400.00 crores and offer for sale of 0.47 crore shares aggregating to Rs 150.00 crores.
Sanathan Textiles IPO price band is set at ₹305 to ₹321 per share. The minimum lot size for an application is 46. The minimum amount of investment required by retail investors is ₹14,766. The minimum lot size investment for sNII is 14 lots (644 shares), amounting to ₹2,06,724, and for bNII, it is 68 lots (3,128 shares), amounting to ₹10,04,088.
Dam Capital Advisors Ltd (Formerly Idfc Securities Ltd), ICICI Securities Limited are the book running lead managers of the Sanathan Textiles IPO,while Kfin Technologies Limited is the registrar for the issue.
Sanathan Textiles IPO Reservation
IPO Timeline
Follow the key dates for the Sanathan Textiles IPO process:
1
IPO Opening
Thursday, December 19, 2024
2
IPO Closing
Monday, December 23, 2024 (UPI mandate confirmation by 5 PM)
3
Basis of Allotment
Tuesday, December 24, 2024
4
Refunds & Share Credit
Thursday, December 26, 2024 - Initiation of refunds and credit of shares to Demat accounts
5
Listing Date
Friday, December 27, 2024 - Trading begins on BSE and NSE
Sanathan Textiles IPO Lot Size
Investors can bid for a minimum of 46 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
IPO Lead Manager(s)
- Dam Capital Advisors Ltd (Formerly Idfc Securities Ltd)
- ICICI Securities Limited
Company Financials
Sanathan Textiles Limited's revenue decreased by -11% and profit after tax (PAT) dropped by -12% between the financial year ending with March 31, 2024 and March 31, 2023.
Amount in ₹ Crore
Key Performance Indicator
The market capitalization of Sanathan Textiles IPO is Rs 2709.37 Cr.
KPI as of Sun, Mar 31, 2024.
Note:
- The Pre IPO EPS is calculated based on Pre issue shareholding as on date of RHP and the latest FY earnings as of March 31, 2024 that is available in RHP.
- The Post Issue EPS is calculated based on the Post issue shareholding and annualized FY earnings of June 30, 2024 that is available in RHP.
Objects of the Issue
The company proposes to utilise the Net Proceeds towards the following objects:
- Repayment and/ or pre-payment, in full or part, of certain borrowings availed by the Company;
- Investment in our subsidiary viz. Sanathan Polycot Private Limited, for repayment and/ or pre-payment, in full or part, of certain borrowings availed by our subsidiary viz. Sanathan Polycot Private Limited; and
- General corporate purposes.
Company Strengths:
- The company is one of the few companies (amongst our peer group) in India with a presence across the polyester, cotton and technical textile sectors.
- Focus on the product development of new products, through process innovation.
- Fully integrated Yarn manufacturing plant set up at a strategic location with equipment supplied by domestic and globally renowned players.
- Long-standing association with leading consumer brands with a low customer concentration.
- Deep knowledge and understanding of optimal product assortment and strong supplier network enabling procurement at predictable and competitive pricing, leading to an overall efficient cycle.
- Healthy financial performance
- Experienced management team with a proven track record
- Our Strategies Expanding our manufacturing capacity.
- Enhance value addition in existing products and development of new products.
- Harnessing digitization and technology in production processes with a focus on energy efficiency and sustainable practices.
- Cotton yarn manufacturing process
- Yarns for technical textiles and industrial end-use