Mon Dec 23 17:39:05 UTC 2024: ## Sanathan Textiles IPO Oversubscribed 35 Times on Day 3

**Mumbai, India –** Sanathan Textiles Ltd.’s initial public offering (IPO) concluded with overwhelming investor interest, closing 35.12 times oversubscribed on its third and final day. The ₹550 crore (approximately $66 million USD) IPO received bids totaling ₹14,229.11 crore (approximately $1.7 billion USD), a significant jump from the 1.43 times subscription recorded on Day 2.

The strong demand was evident across investor categories, with qualified institutional buyers (QIBs) subscribing 75.62 times and non-institutional investors 42.21 times. The IPO comprises a fresh issue of ₹400 crore and an offer for sale of ₹150 crore. The price band was set at ₹305-₹321 per share.

The grey market premium (GMP), an unofficial indicator of expected listing price, stood at ₹68 as of late Friday afternoon, suggesting a potential listing price of ₹389 per share – a 21.18% premium over the upper end of the IPO price band. Investors should note that the GMP is speculative and not an official price quote.

Sanathan Textiles, a manufacturer of polyester, cotton, and technical textiles, holds a 1.7% share of India’s total textile yarn industry. The company boasts a diverse portfolio of over 3,200 yarn variations and serves various sectors, including automotive, healthcare, and construction. While revenue was strong in recent years, the company’s EBITDA and net profit have declined from fiscal year 2022 to fiscal year 2024.

The company raised ₹165 crore through anchor investors prior to the IPO. DAM Capital Advisors Ltd. and ICICI Securities Ltd. acted as book-running lead managers, with KFin Technologies Ltd. serving as the registrar. Shares are expected to be listed on both the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE) on December 27th, following allotment finalization on December 24th.

**Disclaimer:** Investing in IPOs carries inherent market risks. Potential investors are urged to consult with financial advisors and thoroughly review the red herring prospectus before making investment decisions.

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