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Sonaselection India IPO: Issue Size And Other Key Details Explained

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Sonaselection India Limited is intending to issue its IPO, which consists of a fresh issue of 1.43 crore equity shares. The main purpose of the company is to raise funds to settle debts, capital expenditure and general corporate purposes.

Traction in the initial public offering (IPO) market is evident in 2026, as businesses in all industries are accessing the public markets to finance growth and build up balance sheets.

One of them is Sonaselection India Limited, a textile company based in Rajasthan that deals in the cotton fabric manufacturing and processing sector. The company has submitted its draft papers to the Securities and Exchange Board of India (SEBI), and it is about to do a public listing.

The Sonaselection India IPO will be entirely a fresh issue of 1.43 crore equity shares, with no offer-for-sale (OFS) component.

Before applying, investors should know the following details:

Sonaselection India IPO filed its papers with SEBI and the exchange on 11 December 2025.

The company received approval from SEBI and the exchange on 16 April 2026.

The IPO opening date has not been announced yet.

The company has not shared the exact allocation yet. But the expected split across investor categories looks like this.

  • Qualified institutional buyer (QIB) portions can go up to 50% of the total issue.

  • Retail investors can get at least 35% of the issue.

  • Non-institutional investor (NII) category can have a minimum of 15% of the issue.

The planned utilisation of funds is summarised below:

Sonaselection India Limited was incorporated in February 2022 and is an integrated fabric manufacturing and processing company, which specialises in producing value-added textile products.

The company specialises in manufacturing a wide range of fabrics, including 100% cotton fabric, cotton lycra (stretch) fabric, cotton blends, and polyester blends. Other than the manufacturing, it also engages in fabric processing of various materials, including cotton, polyester, polyester-viscose (P/V) and blended fabrics. This enables the company to process raw textiles into finished and quality fabrics that can be utilised in many ways.

Its integrated operating model integrates manufacturing and processing capability, allowing greater control over quality, shorter turnaround times and increased cost efficiency. This arrangement also facilitates product innovation and enables the company to meet diverse customer needs and remain consistent in production.

The company is guided by a flexible workforce model that enables it to scale production according to demand conditions. This method helps to get the most out of manufacturing, keep costs down, and get goods to customers on time without having to lower quality.

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The Sonaselection India IPO provides an exposure to the textile manufacturing industry, which enjoys strong export potential and the domestic market in India.

The transition of the company to an integrated manufacturing model and scheduled capex can contribute to long-term growth, whereas the decrease in debt may enhance financial stability.

Investors must note that the IPO remains in initial phases, and critical information such as pricing and timeline remains unavailable.

Tracking subscription demand, valuation, and post-listing performance will be critical before making an investment decision.

Sources:

Chittorgarh

SEBI DRHP

This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their own research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Brokerage will not exceed SEBI prescribed limit. The securities are quoted as an example and not as a recommendation. SEBI Registration No-INZ000200137 Member Id NSE-08081; BSE-673; MSE-1024, MCX-56285, NCDEX-1262.

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