Shree Ram Twistex IPO Overview
Shree Ram Twistex Ltd is a Gujarat-based cotton yarn manufacturer operating a B2B spinning business that produces a wide range of yarn products — including compact ring spun, combed and carded yarns, as well as value-added variants like Eli Twist, compact slub and Lycra-blended yarns for knitting and weaving applications such as denim, towels, shirting, home textiles and industrial fabrics.
The company’s IPO is a mainboard public offering (book-built), with the issue opening on 23 February 2026 and closing on 25 February 2026. The IPO aims to raise ₹110.24 crore through a 100 % fresh issue of equity shares priced at ₹95 – ₹104 per share, with a lot size of 144 shares — making the minimum retail investment ~₹14,976 at the upper band. The shares are slated to list on both NSE and BSE on 2 March 2026 (tentative).
IPO DETAILED INFORMATION
Issue Details
| Parameter | Details |
| IPO Type | Mainboard |
| IPO Open Date | 23 February 2026 |
| IPO Close Date | 25 February 2026 |
| Allotment Date | 26 February 2026 (Expected) |
| Credit to Demat | 27 February 2026 (Expected) |
| Refund Initiation | 27 February 2026 (Expected) |
| Listing Date | 2 March 2026 (Tentative) |
| Price Band | ₹95 – ₹104 per share |
| Face Value | ₹10 per share |
| Lot Size | 144 shares |
| Min Investment (Retail) | ₹14,976 (1 lot) |
| sNII Min | ₹2,09,664 (14 lots) |
| bNII Min | ₹10,03,392 (67 lots) |
| Issue Size | ~₹110.24 cr |
| Fresh Issue | ₹110.24 cr (100%) |
| Offer For Sale (OFS) | Nil |
| Total Shares Offered | 1,06,00,000 equity shares |
| Listing Exchanges | BSE & NSE |
Note: This IPO does not include any OFS, so all funds raised will go to the company for capex, debt reduction and working capital.
Issue Break-up
Approximate allocation (as per regulatory filings):
| Category | Allocation | Shares |
| Qualified Institutional Buyers (QIB) | ~75% | ~7.95 Cr |
| Non-Institutional Investors (NII) | ~15% | ~1.59 Cr |
| Retail Individual Investors (RII) | ~10% | ~1.06 Cr |
| Total | 100% | 10.60 Cr |
Selling Shareholders (OFS)
There is no Offer for Sale (OFS) — the entire IPO is a fresh issue. Promoters are not selling any shares, indicating capital raising for growth and balance-sheet strengthening.
Objects of the Issue (Fund Utilization)
Net proceeds from the IPO will be used for:
- Funding captive renewable energy projects:
- 6.1 MW Solar Power Plant for in-house use.
- 4.2 MW Wind Power Plant for in-house use.
- Repayment and/or pre-payment of certain borrowings.
- Meeting working capital requirements.
- General corporate purposes.
Strategic Context:
- Textile spinning is power-intensive; captive renewable energy can significantly reduce operating costs and improve margins over time.
- Working capital is essential in a B2B supply chain with significant receivables and inventory cycles.
Lead Managers & Registrar
- Book Running Lead Manager (BRLM): Interactive Financial Services Ltd.
- Registrar to the Issue: Bigshare Services Pvt. Ltd.
Promoters & Management
Shree Ram Twistex was originally incorporated on 31 December 2013 and converted into a public limited company on 18 September 2024 ahead of the IPO. It is promoted by Bhaveshbhai Bhikhubhai Ramani, Jay Atulbhai Tilala and Nidhi Bhaveshbhai Kothari, with the management team experienced in cotton yarn manufacturing and textile supply chains.
COMPANY DETAILS
Shree Ram Twistex is engaged in manufacturing 100 % cotton yarns — including combed, carded and compact ring-spun yarns and additional value-added yarn types — at its facility in Gondal, Rajkot (Gujarat). The business operates on a B2B model, supplying institutional customers like textile manufacturers, garment exporters, fabric processors, bulk purchasers and brokers across domestic and international markets.
Product Portfolio:
- Carded & combed yarns
- Compact ring spun yarn
- Value-added yarn (Eli Twist, compact slub, Lycra-blended)
- By-products such as cotton waste and FP bales.
Financial Snapshot
| Period | Revenue (₹ Cr) | PAT (₹ Cr) | EBITDA (₹ Cr) | PAT Margin |
| FY23 | ~213.6 | ~2.05 | ~17.4 | ~0.96% |
| FY24 | ~231.7 | ~6.55 | ~20.2 | ~2.83% |
| FY25 | ~256.3 | ~8.00 | ~21.85 | ~3.14% |
| H1 FY26 | ~132.3 | ~7.00 | ~17.04 | ~5.30% |
Steady revenue growth with improving profitability and margin expansion reflects operational progress in a historically cyclical textile sector.
Company Strengths
- Fully integrated spinning infrastructure with modern compact ring spinning machines and 27,744 spindles.
- Diversified product portfolio including combed, carded and value-added yarn types.
- Renewable energy initiative to cut power costs — a major expense in spinning.
- Consistent growth in revenue & profitability over recent years.
- Strategic location in Rajkot textile cluster with raw material access and logistics advantage.
- Established customer relationships with institutional buyers across textile segments.
Key Risks & Challenges
- Textile industry cyclicality, sensitive to cotton price volatility and global demand shifts.
- Working capital intensity and receivable cycles, common in B2B spinning businesses.
- Customer concentration risk with a few large customers accounting for a significant share of revenues.
- Geographic concentration in Gujarat, exposing operations to regional disruptions.
- Competitive pressure from larger integrated textile manufacturers.
Disclaimer
This document is for informational and educational purposes only and does not constitute investment advice or recommendation. Investors are advised to read the Red Herring Prospectus (RHP) and consult with certified financial advisors before making investment decisions. Past performance is not indicative of future results and all investments are subject to market risks.
