Sonaselection India IPO

About Sonaselection India IPO

The IPO of Sonaselection India comprises only a fresh issue with no offer for sale. The fresh issue comprises up to 14,300,000 equity shares. The total offer size is up to 14,300,000 equity shares. The price band is ₹[TBA] per share.

Sonaselection India IPO opens on [TBA] and closes on [TBA]. The allotment of shares will take place on [TBA]. The credit of shares to the Demat account will take place on [TBA]. The initiation of refunds will take place on [TBA]. The listing of shares will take place on [TBA].

The lot size of shares in the IPO is [TBA]. The minimum number of lots in the IPO for retail investors is [TBA]. The minimum investment amount required by a retail investor is ₹[TBA] based on the upper price.

Sonaselection India is an integrated fabric manufacturing and processing company engaged in the production of value-added products. Leveraging advanced technology, well established production capabilities and stringent quality systems, it converts raw textiles into finished, high‑quality fabrics.

Objectives of Sonaselection India IPO

The company proposes to utilise the net proceeds received for:

• Repayment and/or pre-payment, in full or part, of certain borrowings availed by the company from banks
• Funding of capital expenditure towards purchase of plant and machineries at the existing manufacturing facility
• General corporate purposes

Industry Outlook

The global textile industry has shown consistent growth over recent years, with its market size increasing steadily from USD 1,209 billion in 2019 to an estimated USD 1,460 billion in 2024. This upward trend reflects the rising demand for textiles across various segments including fashion, home furnishings, and technical applications.

The growth is driven by factors such as expanding global population, the rise of fast fashion, and advancements in textile technology. Additionally, growing awareness around sustainable and functional textiles has further diversified market offerings, contributing to this continued expansion in value.

The Indian textile and apparel industry is set to grow from USD 174 billion in FY24 to USD 350 billion in FY30, with a 12.4% CAGR driven by rising domestic and export demand. Domestically, rising disposable incomes, and rapid urbanisation have led to increased consumption of fashion and home textiles. The boom in online retail and e-commerce platforms has also expanded market access and visibility, particularly for small and medium textile enterprises.

Sonaselection India Company Information

Sonaselection India is an integrated fabric manufacturing and processing company engaged in the production of value-added products. Leveraging advanced technology, well established production capabilities and stringent quality systems, it converts raw textiles into finished, high‑quality fabrics.

Its model enables it to offer a diversified product portfolio, maintain consistent quality, support innovation in fabric development and provide its customers with reliable, cost‑efficient and timely solutions, thereby positioning it as a preferred partner for brands seeking consistency, innovation and faster delivery timelines.

Strengths of Sonaselection India

• Strategically located manufacturing facility with modern technologies to support product portfolio
• Integrated business model combining manufacturing and job work activities
• Strong standing relationships with customers with high retention rate
• Experienced promoters supported by a professional management team with domain knowledge
• Healthy track record and steady growth

Risks of Sonaselection India

• Loss of any customers or loss of revenue from any of these customers could have a material adverse effect on business
• Any loss of suppliers or interruptions in the timely delivery of supplies and services could have an adverse impact on business
• Exposed to geographic concentration risks that may adversely affect operations
• Slowdown or shutdown of manufacturing operations at its manufacturing facility could have an adverse effect on business
• Failure to meet prescribed quality specifications may result in product rejections
• Under-utilisation of manufacturing capacity and an inability to effectively utilise manufacturing capacity could have an adverse effect on business
• Negative cash flows in the past, and sustained or significant negative cash flows may adversely affect business

Anchor Investor Bidding Date

TBA

IPO Registrar and Book Running Lead Manager

• IPO Registrar: KFin Technologies
• Book Running Lead Manager: Choice Capital Advisors

Sonaselection India Business Model

Sonaselection India specialises in the manufacturing of 100% cotton fabric, cotton lycra (stretch) fabric, cotton blends, polyester blends, and in the processing of fabric including 100% cotton, cotton blends, polyester-viscose (P/V) and polyester fabric. An integrated business model combining manufacturing and job work activities and strong standing relationships with customers with high retention rate have helped the company grow over the years.

Sonaselection India Growth Trajectory

The revenue from operations of Sonaselection India increased from ₹93.912 crores in FY 23 to ₹315.952 crores in FY 25. Its net profit margin saw a rise from 2.67% in FY 23 to 5.88% in FY 25. Strategically located manufacturing facilities with modern technologies to support product portfolio and an integrated business model have helped the company grow over the years.

Sonaselection India Market Position

The company’s manufacturing facility is located in Bhilwara, Rajasthan. It’s spread across an aggregate land area of approximately 49,540 Sq. Mtr. Its manufacturing facility has an installed processing capacity of 82.44 million meters per annum.

How to Apply for Sonaselection India IPO?

To apply for Sonaselection India IPO:

• Log in to your Kotak Securities Demat account - Log in to your Demat account to access IPO investments. Next, select the current IPO section.
• Specify IPO details - Enter the number of lots and the price you wish to apply for.
• Enter UPI ID - After entering your UPI ID, click submit. This will place your bid with the exchange.
• Mandate Notification - Your UPI app will receive a mandate notification to block funds.
• Approve Request - Your funds will be blocked once you approve the mandate request on your UPI.