Sanathan Textiles IPO Price: ₹305 to ₹321 per share
IPO Dates: December 19, 2024 to December 23, 2024
About Sanathan Textiles Limited
Founded in 2005, Sanathan Textiles Limited is a leading manufacturer of polyester yarn and a global supplier of cotton yarn. The company operates through three main business segments:
- Polyester Yarn Products
- Cotton Yarn Products
- Yarns for Technical Textiles and Industrial Uses
The technical textiles manufactured by Sanathan Textiles serve various industries, including automotive, healthcare, construction, sports, outdoor activities, and protective clothing.
Product Portfolio (as of September 30, 2024):
- More than 3,200 active varieties of yarn products manufactured from April 1, 2021, to September 30, 2024.
- Over 45,000 SKUs, with a diversified portfolio of more than 14,000 yarn varieties and 190,000 SKUs used for different applications and end-uses.
Export and Distribution (as of June 30, 2024):
- Exported to 14, 27, and 29 countries in Fiscal 2024, 2023, and 2022, respectively.
- More than 925 distributors across 7 countries, including India, Argentina, Singapore, Germany, Greece, Canada, and Israel.
Manufacturing Facility:
The company operates its manufacturing unit in Silvassa, India.
Key Clients:
Sanathan Textiles serves several multinational, regional, and local companies, including Welspun India Limited, Valson Industries Limited, G.M. Fabrics Private Limited, Premco Global Limited, Creative Garments Textile Mills Private Limited, Banswara Syntex Limited, AYM Syntex Limited, Techno Sportswear Private Limited, Haren Textiles Private Limited, Khosla Profil Private Limited, Tulip Elastics Private Limited, and others.
Company Strengths
- One of the few Indian companies with a presence across polyester, cotton, and technical textile sectors.
- Strong focus on product development through process innovation.
- Fully integrated yarn manufacturing plant, equipped with machinery from both domestic and global suppliers.
- Long-term relationships with leading consumer brands, with low customer concentration.
- In-depth knowledge of product assortment and a strong supplier network, enabling competitive pricing and efficient operations.
- Healthy financial performance and an experienced management team with a proven track record.
Strategic Goals
Leveraging digitization and technology in production processes, focusing on energy efficiency and sustainability.
Expanding manufacturing capacity.
Enhancing value addition to existing products and developing new ones.
Bidding Starts In
Sanathan Textiles IPO Specifics:
| IPO Date | December 19, 2024 to December 23, 2024 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price Band | ₹305 to ₹321 per share |
| Lot Size | 46 Shares |
| Total Issue Size | 1,71,33,958 shares (aggregating up to ₹550.00 Cr) |
| Fresh Issue | 1,24,61,060 shares (aggregating up to ₹ 400.00 Cr) |
| Offer for Sale | 46,72,898 shares of ₹10 (aggregating up to ₹150.00 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 7,19,43,000 shares |
| Share Holding Post Issue | 8,44,04,060 shares |
Sanathan Textiles IPO Timeline (Tentative Schedule)
Sanathan Textiles IPO IPO opens on December 19, 2024, and closes on December 23, 2024.
| IPO Open Date | Thursday, December 19, 2024 |
| IPO Close Date | Monday, December 23, 2024 |
| Basis of Allotment | Tuesday, December 24, 2024 |
| Initiation of Refunds | Thursday, December 26, 2024 |
| Credit of Shares to Demat | 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 Lot Size
Bidders have the opportunity to bid for a minimum of 35 shares, with the option to increase in multiples. The table below outlines the minimum and maximum investment thresholds for both retail investors and High Net Worth Individuals (HNIs), specifying the corresponding number of shares and amounts involved.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 46 | ₹14,766 |
| Retail (Max) | 13 | 598 | ₹1,91,958 |
| S-HNI (Min) | 14 | 644 | ₹2,06,724 |
| S-HNI (Max) | 67 | 3,082 | ₹9,89,322 |
| B-HNI (Min) | 68 | 3,128 | ₹10,04,088 |
Sanathan Textiles IPO Reservation
| Investor Category | Shares Offered |
|---|---|
| QIB Shares Offered | Not more than 50% of the Offer |
| Retail Shares Offered | Not less than 35% of the Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Offer |
Sanathan Textiles Limited Financial Information
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.
| Period Ended | 30 Jun 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
| Assets | 2,529.53 | 2,203.68 | 1,906.67 | 1,796.47 |
| Revenue | 787.76 | 2,979.8 | 3,345.02 | 3,201.46 |
| Profit After Tax | 50.07 | 133.85 | 152.74 | 355.44 |
| Net Worth | 1,324.06 | 1,273.98 | 1,140.13 | 987.39 |
| Total Borrowing | 644.93 | 379.88 | 281 | 378.19 |
Key Performance Indicator
The market capitalization of Sanathan Textiles IPO is Rs 2709.37 Cr.
KPI as of Sun, Mar 31, 2024.
| KPI | Values |
|---|---|
| ROE | 11.09% |
| ROCE | 11.80% |
| RoNW | 10.42% |
| Price to Book Value | 1.81 |
Objects of the Issue (Sanathan Textiles IPO Objectives)
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.
Sanathan Textiles IPO Prospectus
