Sanathan Textiles IPO – Review, Bid, Size, Allotment, Subscription, GMP & RHP
Last Updated Date: May 13, 2024Sanathan Textiles is a yarn producing Company and its yarn is employed in varied forms. Now, the company is coming up with an IPO which is approximate of Rs. 1200 – 1300 crores.
So, let’s find out the background of the company, its products, and services, promoters and holdings, its financial status.
Further in this IPO, we will talk about the IPO including IPO date, share offerings, share price, GMP, subscription, allotment, and the credibility of the offer.
We are here to help you find out the potential and profitability of the Sanathan Textiles IPO. Sanathan Textiles IPO Review will be a guiding force for all.
| Face Value | Rs 10 |
| Price Band | Not Disclosed |
| Listing At | BSE, NSE |
| Min. Order Quantity | Not Disclosed |
| Listing Date | Not Disclosed |
| Offer for Sale | Rs.1.14 Crore |
| Fresh Issue | Rs.500 Crore |
| IPO Size | Not Disclosed |
| Tick Size | 1 |
Sanathan Textiles IPO Overview
Sanathan Textiles IPO will be a combination, comprising of a Fresh Issue and an Offer for Sale by the promoters of the company.
With the IPO, the company is eyeing on urging funds in aggregate of Rs. 1200 crore. The company has been in operations since 2005 which means it has experience of over a decade.
Sanathan Textiles IPO Important Dates
| Events | Date |
| IPO Opening Date | Not Disclosed |
| IPO Closing Date | Not Disclosed |
| Basis of Allotment Finalization | Not Disclosed |
| Refunds Initiation | Not Disclosed |
| Credit of Shares to Demat Account | Not Disclosed |
| Share Listing Date | Not Disclosed |
IPO Important Dates
For the launch of Sanathan Textiles IPO, the company has already filed the Draft Red Herring Prospectus with SEBI in January 2022.
In pursuance of the IPO, the company has converted its status from a private company to a public company and subsequently, its name has been changed from Sanathan Textiles Private Limited to Sanathan Textiles Limited.
The conversion took place in November 2021. Sanathan Textiles IPO Date will be declared by the company once it receives the SEBI for DRHP.
Sanathan Textiles IPO Price, Size, Share Offerings
| Face Value | Rs.10 |
| Price Band | Not Disclosed |
| Offer for Sale | Rs.1.14 Crore |
| Fresh Issue | Rs.500 Crore |
| IPO Size | Not Disclosed |
In Sanathan Textiles IPO, the company will be raising funds of Rs. 1300 crore which comprises of a Fresh Issue worth Rs. 500 crores and an Offer for Sale for 1.14 crore equity shares.
The promoters will be offloading some of their shares in the IPO. The entity is entirely owned by the promoters. The price of the shares will be determined by the company in consultation with lead managers.
The details regarding the Sanathan Textiles IPO Size and Sanathan Textiles IPO Price will be made available in a short time
Sanathan Textiles IPO Grey Market Premium
| Date | GMP (Rs.) | Kostak Rate (Rs.) | Subject to Sauda (Rs.) |
| Not Trading in Grey Market yet | |||
Grey Market Premium is the premium sum at which the shares of a company are traded between the buyer and seller in the grey market. The activities in the Grey market carry huge importance for the investors.
Sanathan Textiles IPO GMP is not available upto now as the IPO date has not been declared by the company. Usually, the activities in the Grey Market take place before the listing of the shares on the stock exchanges.
Sanathan Textiles IPO Subscription Status
| Day / Date | QIB | NII | RII | Total Subscription |
| 1st Day – | ||||
| 2nd Day – | ||||
| 3rd Day – | ||||
| Shares Offered or Net Issue |
IPO Subscription Status
Subscription in an IPO is the process where the interested investors place their bids for the successful allotment of shares.
Investors place their bids within the price band which is given by the company and such price band is published in the Red herring Prospectus and newspaper.
Sanathan Textiles IPO Subscription is not open for investors to place their bids right now.
The reserved quota for the different categories of investors in the Sanathan Textiles IPO is as follows:
- For Qualified Institutional Buyers – 50%
- For Non- Institutional Bidders – 15%
- *For Retail Investors – 35%
The Lead Managers of the issue are:
- Edelweiss Financial Services Limited
- JM Financial Limited
The details in respect of the price band and subscription will be made available in a short time.
Sanathan Textiles IPO Allotment Status
The Sanathan Textiles IPO Allotment will be governed by the company and will take place in confirmation with the Book Running Lead Managers.
The Registrar of the issue is KFin Technologies Private Limited.
Sanathan Textiles IPO Live Performance
After the IPO is live, investors will be able to check Sanathan Textiles IPO Performance by clicking the given below link. From here, you can stay updated with the prevalent Sanathan Textiles IPO Price.
Subscribe to Sanathan Textiles IPO – Open Free Demat Account Now!
Sanathan Textiles – Company Review
Sanathan Textile was incorporated in the form of a private company in the year 2005. It started its operations in West Bengal.
The company operates in three broad sectors including polyester yarn products; cotton yarn products and yarns for technical textiles.
The company has a wide and diversified product portfolio and offers over 12,000 varieties of yarn products. The company delivers made-to-order (MTO) yarns, colored yarns, niche yarns, and other value-added yarns.
Company is owned by the Dattani Family which has a legacy of 100+ years in business which gives the company, credibility praised amongst all.
Products or Services
Sanathan Textiles has proliferated its operations across the world.
In its three varied verticals of polyester, cotton, and technical textile, it embraces a large group of products which gives Sanathan Textiles flexibility and freedom to cater demands of different customers.
Sanathan Textiles serves various sectors and industries nationally and internationally.
The product line of the company includes commodities like sportswear, apparels, umbrellas, marine nets, geogrid fabrics, luggage, ropes, firefighting equipment, seatbelts, car upholstery, lingerie, furnishings, and optical cables. These are just some of the products offered by the yarn textile company.
The company deeply believes in the rich heritage of the country and beautifully combines it with the right technologies to propound products which are effective and satisfy the requirements.
Promoters and Holding
The Promoters of Sanathan Textiles Limited are:
- Nimbus Trust
- D&G Family Trust
- A&J Family Trust
- P&B Family Trust
- Pareshkumar Dattani
- Ajaykumar Dattani
- Anilkumar Dattani
- Dineshkumar Dattani
The management of the company comprises of:
- Pareshkumar Dattani holds the position of Chairman & Managing Director
- Ajaykumar Dattani holds the position of Joint Managing Director
- Anilkumar Dattani holds the position of Executive Director
- Sammir Dattani holds the position of Executive Director
- Nidhi Batavia holds the position of Chief Financial Officer
- Senthilvel Chettiar holds the position of Chief Operating Officer
Is Sanathan Textiles Good for Investment?
The global yarn supplier Sanathan Textiles has gained high prominence over the years in the industry. It has an extensively broad product portfolio and a technologically advanced manufacturing facility from where it serves the world.
The opportunities for the company are endless and Sanathan Textiles is continuously exploring new innovative products and options.
Along with being one of the global suppliers, the company ensures that its operations are in conformity with the environmental situation and that there operations do not affect the surroundings adversely.
Sanathan Textiles enables its customers to fulfill their needs and desires with value-added yarns, niche yarns, functional yarns, and a wide range of colored yarns.
Sanathan Textiles Financial Statements
| Amount (in INR & Million) | ||||
| 30-Sept-21 | 31-Mar-21 | Mar-20 | 31-Mar-19 | |
| Assets | 17,726.31 | 16,419.86 | 14,521.08 | 13,445.82 |
| Revenue | 14,388.80 | 19,329.70 | 21,234.99 | 23,465.26 |
| Expense | 12,108.90 | 16,802.66 | 20,494.10 | 22,629.49 |
| Profit After Tax | 1,707.78 | 1,856.31 | 460.16 | 552.26 |
Though Sanathan Textiles is a healthy profit-making company, but its revenues are continuously decreasing with each year.
The total revenue for the financial years 2019, 2020, and 2021 were Rs. 2346.53 crore, Rs. 2123.50 crore and Rs. 1932.97 crore respectively. Whereas, the profits of the company shows an upward graph.
The profits for the financial year 2019, 2020 and 2021 were Rs. 55.23 crore, Rs. 46.02 crore and Rs. 185.63 crore.
The EPS of the company has delivered a drastic enhancement from Rs. 6.40 in FY – 2020 to Rs. 25.80 in FY – 2021.
So, we can assume that Sanathan Textiles IPO will bring positive stability in the financial statements and the company will record greater profits in the coming years.
| Earnings per Equity Share (in Million) | ||||
| 30-Sept-21 | 31-Mar-21 | Mar-20 | 31-Mar-19 | |
| Basic & Diluted | 23.75 | 25.80 | 6.40 | 7.68 |
Sanathan Textiles IPO Review
Sanathan Textiles is promoted by the Dattani family which carries a brief account of knowledge and experience.
The company has a strong manufacturing unit located in Silvassa from where the company delivers its products to the world. The manufacturing unit has a capacity of production of about 2,21,050 MTPA across its 3 yarn verticals.
The company has in place quality tests which ensure the good quality of a commodity and it is enhancing its efficiency in operations with the employment of the latest and finest technologies.
The IPO will back the operations of the company majorly. The proceeds from the IPO will be used towards fulfilling the working capital requirement and repayment of debts.
Sanathan Textiles IPO Details
Here are a few more details you need to know before investing in Sanathan Textiles IPO –
Sanathan Textiles IPO Issue Object
Sanathan Textiles has proposed diverse objectives for making the IPO offer and some of the objectives are:
- Prepayment or scheduled repayment of all, or a portion, of certain outstanding borrowings availed by our Company;
- Funding working capital requirements of our Company; and
- General corporate purposes.
Sanathan Textiles IPO – Basis of Offer Price
The issue price is determined by the company in consultation with the Lead manager on the basis of the following qualitative and quantitative factors.
Qualitative factors are:
- We are one of the few companies in India with a presence across the polyester, cotton, and technical textile sectors.
- Focus on the product development of new products, through R&D and process innovation.
- Fully integrated yarn manufacturing set up at a strategic location catering to global suppliers.
- Long-standing association with leading consumer brands with a low customer concentration.
- Deep knowledge and understanding of optimal product assortment and strong supplier network enabling procurement at predictable and competitive pricing, leading to an overall efficient cycle.
- Healthy financial performance
- Experienced management team with a proven track record
Quantitative factors are:
| Basic & Diluted EPS | RONW (%) | NAV (Rs.) | |
| 31-Mar-21 | 25.80 | 29.42 | 87.70 |
| 31-Mar-20 | 6.40 | 10.36 | – |
| Mar-19 | 7.68 | 13.82 | – |
Sanathan Textiles IPO Lead Managers
Here are the list of Lead managers –
- Edelweiss Financial Services Limited
- JM Financial Limited
Sanathan Textiles IPO Registrar to offer
Check out the details of the registrar here –
KFin Technologies Private Limited (formerly known as Karvy Fintech Private Limited)
Selenium, Tower-B
Plot No. 31 & 32, Financial District
Nanakramguda, Serilingampally
Hyderabad, Rangareddi 500 032
Telangana, India
Telephone: +91 40 6716 2222
E-mail: sanathan.ipo@kfintech.com
Website: www.kfintech.com
Investor grievance E-mail: einward.ris@kfintech.com
Contact person: M Murali Krishna
SEBI Registration No.: INR000000221
Sanathan Textiles IPO – Other Details
- Statutory Auditor – Walker Chandiok & Co LLP
- Legal Counsel to the Company – AZB & Partners
- Bankers to the Company – Bank of Baroda, Union Bank of India, and Landesbank Baden-Württemberg
Sanathan Textiles IPO – Conclusion
The Sanathan Textiles offers a wide product portfolio which is a profitable remark.
The company is growing and is developing great products. The products are sold globally which offers Sanathan Textiles great opportunities for expansion.
Therefore, the investors can consider to invest in the IPO and add Sanathan Textile to their investment portfolio.
To Subscribe to Sanathan Textiles IPO – Open Demat Account Now!
Sanathan Textiles IPO Review FAQs
Check out the FAQs on Sanathan Textiles IPO –
What is the Issue Size of Sanathan Textiles IPO?
The Company is making an initial public offer of NA equity shares. They vividly portray the aspects of the issue in this article.
You can check the stats on the fresh issue, Offer for sale, and net issue.
What is the Price band of Sanathan Textiles IPO?
The price band for this particular IPO ranges between NA. As far as the face value of the share is of concern, it is Rs.1 per share.
What is the Sanathan Textiles IPO Open Date?
The opening and closing dates for this IPO have been updated. The IPO is set to open on NA, while the closing date is set at NA.
What is the Sanathan Textiles IPO Allotment Date?
They also have the news regarding the respective allotment dates of this IPO.
Basis of Allotment finalization is on NA, refund initiation is on NA, credit of shares is on NA, and share listing date is on NA.
What is the Sanathan Textiles IPO Listing Date?
Shares of this company shall be listed in the exchanges NA. The date, when the listing would be done, is stagnant on NA.
Who is the Registrar of Sanathan Textiles IPO?
One of the reputed registrars is managing the issue of this IPO, i.e. KFin Technologies Private Limited (formerly known as Karvy Fintech Private Limited). Their website will help you regarding the further information you are on the lookout for.
Who is the Promoter of Sanathan Textiles IPO?
Here are the promoters of this IPO – NIMBUS TRUST, D&G FAMILY TRUST, A&J FAMILY TRUST, P&B FAMILY TRUST, PARESHKUMAR DATTANI, AJAYKUMAR DATTANI, ANILKUMAR DATTANI, AND DINESHKUMAR DATTANI. You can refer to the RHP for further information on the promoter. You will find the link to RHP in the article.
What is the GMP of Sanathan Textiles IPO?
They have obtained the GMP of this IPO and it is NA. Further insights of Kostak rate and subject to sauda or SS are as well included in this report.
Is Sanathan IPO good for Investment?
They have further provided the financial status of the company in this article, from the past few years.
You can refer to the same, and also check the line of operations they are into and then decide to invest in the IPO.
What is the PAT of Sanathan Textiles Company?
They have the information of company financials, and according to that, they have the figures from the last few years to provide.
PAT for the financial year 2021 in Million is 1,856.31, 2020 is 460.16, 2019 is 552.26. PAT from Sept 2021 is 1,707.78.
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