Alpine Texworld Shares Debut Flat At ₹105 On NSE And BSE After ₹126.25 Crore IPO

Alpine Texworld shares made a muted stock market debut on Tuesday, listing at ₹105 apiece on both the National Stock Exchange and Bombay Stock Exchange, exactly in line with their initial public offering (IPO) price.

The ₹126.25 crore public issue had received an overall subscription of 1.40 times during the three-day bidding window from 14 July to 16 July. Following the listing, the company's market capitalisation stood at ₹381.51 crore.

Alpine Texworld shares opened at ₹105 per share on both exchanges, showing no listing premium or discount compared to the IPO price. The IPO was priced in a band of ₹100-105 per share, with investors bidding at the upper end of the range.

At 11:45 AM, it was trading at ₹99.75, down 5% on the NSE.

How Was The IPO Received?

Bidding remained modest through most of the subscription period before the issue closed with an overall subscription of 1.40 times. Retail investors led the demand, while subscriptions from Qualified Institutional Buyers (QIBs) and Non-Institutional Investors (NIIs) were almost identical at 1.09 times each.

The Alpine Texworld IPO raised ₹126.25 crore through a fresh issue of 1.20 crore shares. Since it did not include an offer for sale, the proceeds will flow directly to the company for its expansion and other planned uses.

The Alpine Texworld listing comes after a modestly subscribed IPO, with the stock making a flat debut despite retail investors showing relatively stronger interest.

Where Will The IPO Funds Be Used?

A large part of the IPO proceeds has been earmarked for a new weaving unit at the company's proposed Manufacturing Unit 3 in Ahmedabad. The facility will add to Alpine Texworld's grey fabric production capacity.

A part of the proceeds will also go towards repaying certain borrowings, while the remaining amount will be used for general corporate purposes.

Founded in February 2016, Alpine Texworld manufactures, dyes and processes textiles, with a focus on premium-quality fabrics. It currently operates two manufacturing units equipped with dyeing and finishing facilities and has an installed annual processing capacity of 6,000 metric tonnes of cotton and blended yarn.

D&A Financial Services managed the issue as the book-running lead manager, while Kfin Technologies served as the registrar.

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