Fascinate Textiles Limited IPO Overview
Established in 2017, Fascinate Textiles Limited is a West Bengal-based readymade garment manufacturer specialising in the design, development, and production of apparel for men, women, and children — with children’s wear forming the core of its business. The company follows an integrated manufacturing model, performing key value-added activities such as cutting, printing, finishing, quality control, and sample development in-house, while outsourcing knitting, dyeing, and a portion of stitching operations. Its customer base primarily comprises large-format retailers and wholesalers, with manufacturing undertaken only after sample approval and confirmed purchase orders — enabling efficient inventory management and demand-driven production. The company derives 99.75% of its revenue from B2B customers, reflecting its strong positioning as an OEM manufacturing partner for organised retailers.
The company is launching its SME IPO to raise approximately ₹67 crore, comprising a fresh issue of ₹53.94 crore and an Offer for Sale of 8,36,000 equity shares. The price band is set at ₹148 – ₹156 per share, with a lot size of 1,600 shares. The IPO opens on 11 August 2026 and closes on 13 August 2026, with listing expected on 18 August 2026 on the NSE SME platform.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – SME |
| Listing Exchange | NSE SME |
| IPO Open Date | 11 August 2026 |
| IPO Close Date | 13 August 2026 |
| Allotment Date | 14 August 2026 (Expected) |
| Refund Initiation | 15 August 2026 |
| Credit to Demat | 15 August 2026 |
| Listing Date | 18 August 2026 (Tentative) |
| Price Band | ₹148 – ₹156 per share |
| Face Value | ₹10 per share |
| Lot Size | 1,600 shares |
| Minimum Investment (Retail) | ₹2,49,600 (approx) |
| Issue Size | ~₹67 crore |
| Fresh Issue | ₹53.94 crore |
| Offer For Sale (OFS) | 8,36,000 shares |
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII/HNI) | ~15% |
| Retail Individual Investors (RII) | ~35% |
| Market Maker | 2,15,200 shares (Reserved) |
OFS / Selling Shareholders
The OFS component consists of up to 8,36,000 shares being sold by promoter group member Neetu Nahar. The fresh issue proceeds will go directly to the company for business use, while OFS proceeds will go to the selling shareholder.
Objects of the Issue (Fund Utilization)
The company proposes to utilise the net proceeds from the fresh issue towards the following objects:
- Funding working capital requirements — ₹25.15 crore
- Prepayment and repayment of secured and unsecured loans — ₹2.68 crore
- Capital expenditure for setting up an additional manufacturing facility — ₹12.35 crore
- General corporate purposes — remaining proceeds
Lead Managers & Registrar
- Book Running Lead Managers: Affinity Global Capital Market Pvt.Ltd.
- Registrar to the Issue: Cameo Corporate Services Ltd.
Promoters & Management
The promoters of the company are Chirag Ahuja, Narinder Kumar Ahuja, Rishabh Nahar, Vishal Nahar, and Vishal Nahar (HUF).
The average cost of acquisition of shares by the promoters is ₹0.00, ₹0.04, and ₹18.34 per share. The company has also issued bonus shares in the ratio of 2:1 in March 2016 and 9:1 in August 2025.
Registered Office: 3/A Kutul Sahi Road, Barasat, North 24 Parganas, West Bengal — 700124
Company Details
Fascinate Textiles is a West Bengal-based garment manufacturer specializing in the design, development, and production of readymade apparel for men, women, and children. The company follows an integrated manufacturing model, performing key value-added activities such as cutting, printing, finishing, quality control, and sample development in-house, while outsourcing knitting, dyeing, and a portion of stitching operations.
Sectors Served:
- Readymade Garments (B2B)
- Large-Format Retail Chains & Wholesalers
- Domestic Market + Emerging Exports (Saudi Arabia, UAE)
Key Products Manufactured:
- Kids’ Wear (T-shirts, Shorts, Joggers, Leggings)
- Men’s Wear
- Women’s Wear
- Infant Wear (Vests, Infant Garments)
Key Capabilities:
- Order-driven manufacturing model — production begins only after sample approval and confirmed purchase orders, ensuring efficient inventory management. Kids’ garments contributed 38.41% of FY26 revenue, followed by men’s wear (28.71%) and infant wear (21.97%).
- The company produced 5.76 million garments during FY26 compared with 3.11 million in FY25, while its garment manufacturing facility operated at 106.7% capacity utilisation on a double-shift basis.
Workforce:
- As of 31 March 2026, the company workforce comprised 254 employees — 106 permanent staff and 148 contractual employees. As of March 31, 2026, the company employed 19 personnel at R&D laboratories, constituting 5.25% of its total permanent employee strength.
Financial Snapshot
| Period | Revenue (₹ Cr) | PAT (₹ Cr) |
| FY24 | ₹28.90 | ₹0.48 |
| FY25 | ₹60.28 | ₹5.81 |
Key Financial Metrics
- Total income increased 109% from FY24 to FY25. PAT surged from ₹0.48 crore to ₹5.81 crore — an exceptional single-year jump in profitability.
- At the upper price of ₹156, post-issue P/E is approximately 36.97x compared with pre-IPO P/E of 27.66x.
- Borrowings of ₹18.21 crore against net worth of ₹10.45 crore — a leveraged balance sheet deserving attention from investors.
Company Strengths
- Exceptional revenue and profit growth in FY25 — total income more than doubled and PAT grew over 12x in a single year, indicating strong execution and demand momentum.
- Diversified garment portfolio across infant wear, kids wear, womenswear, and menswear — reducing dependence on a single product category.
- Manufacturing facility operating at over 106% capacity utilisation, reflecting strong order flow and efficient asset utilisation.
- Company has commenced exports to Saudi Arabia and the UAE, marking the beginning of international expansion beyond the domestic market.
- Order-driven, demand-pull manufacturing model reduces inventory risk and ensures capital-efficient operations
- Fresh issue proceeds directed towards additional manufacturing capacity and working capital — both of which can directly support future revenue growth.
Key Risks & Challenges
- The key concern is whether the company can sustain FY25’s exceptional earnings growth — investors should not extrapolate one exceptional year of growth indefinitely.
- Post-issue P/E of ~36.97x is relatively expensive for a small garment manufacturer with a limited track record, leaving limited margin of safety for investors.
- High borrowings of ₹18.21 crore against a net worth of ₹10.45 crore indicate a leveraged balance sheet, adding financial risk.
- Heavy dependence on B2B large-format retail customers — loss of any key account could significantly impact revenues
- Intense competition in India’s readymade garment manufacturing sector from both organized and unorganized players
- SME IPO liquidity risk — limited secondary market trading volumes on NSE SME platform
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
