Aastha Spintex
Aastha Spintex Limited is engaged in the manufacturing and trading of carded, combed, and compact combed cotton yarns, as well as cotton bales. Its cotton bales are utilized both for captive production of cotton yarns and for supply to other spinning units. The cotton yarns produced are suitable for both knitting and weaving applications, serving a wide range of end-use segments and products including denim, terry towels, shirting, sheeting, sweaters, socks, bottom wear, home textiles, and industrial fabrics. The company operates a semi-automated and integrated spinning and ginning manufacturing facility located in Halvad, Morbi, Gujarat. It specializes in the production of 100% cotton yarns in counts ranging from Ne 26 to Ne 40, encompassing carded, combed, and combed compact varieties. Operating exclusively within the business-to-business (B2B) segment,
Weak fundamentals and premium/expensive valuation
Plain-English Summary✨
What does the company do?
Aastha Spintex Limited is engaged in the manufacturing and trading of carded, combed, and compact combed cotton yarns, with a semi-automated and integrated spinning and ginning manufacturing facility located in Halvad, Morbi, Gujarat.
Why are investors interested?
The company's financials show revenue growth and improving EBITDA margins, but high debt-equity ratio is a concern.
What should beginners watch out for?
Some data points, such as anchor investor data and objects of the issue, are missing or not available, which could impact the analysis.
Key IPO Metrics
GMP Today
+3.7%
Total Subscription
Overall demand
Retail Subscription
Retail Queue
QIB Subscription
Institutional Queue
NII (HNI) Subscription
Non-Institutional
Anchor Book
Subscribed
Business Overview
About the Company
Aastha Spintex Limited is engaged in the manufacturing and trading of carded, combed, and compact combed cotton yarns, as well as cotton bales. Its cotton bales are utilized both for captive production of cotton yarns and for supply to other spinning units. The cotton yarns produced are suitable for both knitting and weaving applications, serving a wide range of end-use segments and products including denim, terry towels, shirting, sheeting, sweaters, socks, bottom wear, home textiles, and industrial fabrics. The company operates a semi-automated and integrated spinning and ginning manufacturing facility located in Halvad, Morbi, Gujarat. It specializes in the production of 100% cotton yarns in counts ranging from Ne 26 to Ne 40, encompassing carded, combed, and combed compact varieties. Operating exclusively within the business-to-business (B2B) segment,
Industry
Textiles - Fabrics
High growth industry driven by energy transition and carbon mitigation.
Business Segments (FY24)
Objects of the Issue
Promoters
Promoters group
Promoter Group holds 72.21% of pre-issue capital.
Lead Managers
Registrar
Financials & Performance(Standalone)
Revenue (₹ Cr)
CAGR 21.1%PAT (₹ Cr)
CAGR 370.8%EBITDA Margin (%)
ImprovingDebt / Equity (x)
Strong DeleveragingROCE (%)
Healthy Trend| Financial Year | Revenue (₹ Cr) | EBITDA Margin (%) | PAT (₹ Cr) | ROCE (%) | ROE (%) | Debt / Equity (x) |
|---|---|---|---|---|---|---|
| FY23 | ₹239.27 Cr | 4.85% | ₹1.06 Cr | 4.58% | 1.77% | 1.35x |
| FY24 | ₹304.86 Cr | 11.23% | ₹16.29 Cr | 18.95% | 21.33% | 1.08x |
| FY25 | ₹351.16 Cr | 13.37% | ₹23.50 Cr | 19.12% | 19.32% | 0.78x |
Valuation & Peer Comparison
| Company | P/E (x) | ROE (%) | Revenue CAGR (3Y) | EBITDA Margin (%) | Market Cap (₹ Cr) |
|---|---|---|---|---|---|
| Aastha Spintex (IPO) | 16x | 19.32% | 15.2% | 13.4% | -- |
| Borana Weaves | 1.47x | -- | -- | -- | ₹423.225 Cr |
| K.P.R. Mill | 11.82x | -- | -- | -- | ₹722.43 Cr |
| Sanathan Textiles | 13.53x | -- | -- | -- | ₹4,686.6 Cr |
Why this IPO looks good
- The company has shown revenue growth in recent years, with FY25 revenue at 351.16 cr.
- The company's EBITDA margin has also shown improvement, with FY25 EBITDA margin at 13.37%.
- The company has a diversified product portfolio, serving a wide range of end-use segments and products.
Demand & Momentum
Subscription Trend (Times)
GMP Trend
GMP Trend (₹)
Documents
AI Research Q&A
Who is this IPO suitable for?
Ideal for investors who:
- Believe in India's renewable energy growth story
- Have a medium to long-term investment horizon
- Are comfortable with moderate to high risk appetite