Shree Ram Twistex IPO Day 3 Highlights: GMP jumps to 13%! Issue booked 43.66x — NII portion sees over 200x bids

According to data from BSE, Shree Ram Twistex IPO was subscribed 43.66 times as it garnered bids for 46,28,41,632 shares as against 1,06,00,000 shares on offer. The NII portion was booked the most at 220.30 times.

Meanwhile, the retail quota was subscribed 76.63 times and the qualified institutional buyer (QIB) segment saw 3.94 times bids.

Premium Apparel – Used for high-end T-shirts, polo shirts, dress shirts, and other garments requiring a smooth, soft feel with minimal pilling.

Luxury Home Textiles – Used in bedsheets, pillowcases, and fine-quality towels due to their high durability and softness.

Denim & Bottom Wear – Used in high-quality denim and twill fabrics for jeans and trousers to enhance strength and reduce hairiness.

Knitted Fabrics – Used in jerseys and interlock fabrics for improved fabric quality and superior surface finish.

The company’s cotton compact ring-spun yarns offer a refined texture with strength and uniformity, making them an ideal choice for premium fabrics.

Combed Yarn – Made from long-staple cotton fibers, combed yarn undergoes an additional combing process to remove short fibers and impurities, resulting in smoother, stronger, and softer yarn. It is suited for luxury apparel, high-thread-count fabrics, and soft-touch textiles.

Carded Yarn – Processed without the additional combing step, carded yarn offers a natural, slightly textured finish. It is ideal for denim, casual wear, home textiles, and general-purpose fabrics.

The Company’s revenue from operations has grown at a compound annual growth rate (CAGR) of 2.04%, increasing from ₹21,797.20 lakhs for the fiscal year ended March 31, 2022, to ₹23,159.12 lakhs for the fiscal year ended March 31, 2024.

During the same period, profit after tax (PAT) recorded strong growth, rising at a CAGR of 21.67% from ₹363.76 lakhs in Fiscal 2022 to ₹655.25 lakhs in Fiscal 2024.

The company, over the years, established long-standing relationships with institutional customers such as Welspun Living Limited, Jindal Worldwide Limited and other institutional customers and bulk purchasers.

In the domestic market, the Company sells its products across the Indian states of Gujarat, Rajasthan, West Bengal, Maharashtra, Tamil Nadu, Madhya Pradesh, and Punjab, as well as the union territory of Dadra and Nagar Haveli, through a combination of direct sales and a network of brokers. The Company generates significant revenue from sales in the state of Gujarat, amounting to ₹11,585.48 lakhs, ₹23,607.89 lakhs, ₹19,058.24 lakhs, and ₹18,016.78 lakhs, constituting 87.72%, 93.48%, 83.14%, and 85.59% of total revenue from operations during the six-month period ended September 30, 2025, and Fiscal 2025, 2024, and 2023, respectively.

A major portion of the revenue from operations is dependent upon a limited number of customers. For instance, the top 1 customer contributed 28.57%, 32.97%, 44.35% and 37.26% of total revenue during the six-month period ended Septemeber30, 2025, Fiscal 2025, Fiscal 2024and Fiscal 2023.

Loss of any of our key customers or loss of revenue from any of suchcustomers could have a material adverse effect on our business, financial condition, results of operations and cash flows, said the company.

Bhaveshbhai Bhikhubhai Ramani, Jay Atulbhai Tilala, and Nidhi Bhaveshbhai Kothariare the promoters of the company.

• Operates a fully integrated spinning facility covering the complete yarn production process, from raw cotton procurement to finished yarn packaging.

• Brings nearly a decade of textile industry experience with strong and long-standing customer relationships.

• Manufacturing facility is strategically located with adequate storage capacity and significant expansion potential.

• Achieved consistent growth in revenue and profitability since FY2017.

Shree Ram Twistex IPO's QIB portion sailed through on the final day of bidding. As of 1.30 pm, QIB segment was subscribed 1.12 times with overall IPO booked over 18 times.

• Revenue is highly dependent on a few customers; loss of key customers may impact performance.

• Operations and revenue are concentrated in Gujarat, exposing the business to geographic concentration risks.

• Manufacturing facility is strategically located with adequate storage capacity and significant expansion potential.

• Achieved consistent growth in revenue and profitability since FY2017.

• Led by a qualified and experienced management team.

• Dependence on limited cotton suppliers exposes the business to supply disruptions and price volatility risks.

• Delays or defaults in payments by customers could increase working capital requirements, which could impact cash flows, and adversely affect financial performance and condition.

• Under-utilization of manufacturing capacity may adversely impact business performance and growth prospects

India’s textile industry is a large and rapidly growing sector that plays a significant role in economic growth, employment generation, and global trade.

The industry is valued at around $174 billion and is projected to reach $350 billion by 2030, driven by rising demand, innovation, sustainability initiatives, and government support. The sector employs over 45 million people, produces nearly 22 billion garments annually, and holds about a 4–5% share in global textile trade, making India one of the largest textile producers globally.

India is also a major player in the global cotton market and is expected to remain the largest cotton producer, contributing nearly 25% of global production by 2030. India ranks as the 6th largest exporter of textiles and apparel globally, with exports of $34.43 billion in FY24. The sector aims to achieve $100 billion in exports by FY30, with the United States and the European Union as key export markets.

Shree Ram Twistex IPO was subscribed 10.21 times as of 12.21 pm. The different quotas were booked as follows:

QIB: 8%

NII: 51.95 times

Retail: 23.58 times

In this expanding industry landscape, Shree Ram Twistex operates as a manufacturer of cotton yarns, catering to a wide range of textile applications. With its presence in the B2B segment, established customer relationships, and strategically located manufacturing facility, the company is positioned to benefit from rising demand for cotton-based products, growth in domestic consumption, and expanding export opportunities in the Indian textile sector.

Investors may consider the IPO as a potential long-term investment opportunity.

— Master Trust Capital

Shree Ram Twistex Limited is a Gujarat-based cotton yarn manufacturing company incorporated on December 31, 2013, as a private limited company.

The Company operates a manufacturing facility at Gondal, Rajkot, Gujarat. It is engaged in the manufacturing of cotton yarns, including compact ring spun and carded yarns, both combed and carded.

Its product portfolio also includes value-added yarns such as Eli Twist, compact slub yarns, and Lycra-blended yarns. These yarns cater to knitting and weaving applications across denim, terry towels, shirting, home textiles, and industrial fabrics.

The Company follows a B2B business model, supplying institutional buyers such as textile manufacturers and garment exporters.

Shree Ram Twistex IPO is entirely a fresh issue of shares. The funds will be used for the following purposes:

1. The funds will be used to set up a 6.1 MW solar power plant and a 4.2 MW wind power plant for captive use.
2. Repayment of certain company borrowings.
3. The company will also allocate funds to meet its working capital requirements.
4. General corporate purposes.

Shree Ram Twistex is showing improving margins and strong earnings momentum, supported by its shift to captive green energy.

However, the IPO valuation at around 29x-30x P/E already factors in most of the future growth.

Compared to cheaper listed peers, near-term upside looks limited. Overall, it is suitable only for high-risk, long-term investors, Avoid for investors seeking listing gains or safe, value-based entries. The IPO appears fully priced to overvalued, leaving little "margin of safety" for retail investors.

— Swastika Investmart

Shree Ram Twistex IPO sailed through on the final day of bidding amid strong NII and retail demand. QIB segment did not see any bids so far. NII was subscribed 6.86 times and retail investors segment was booked 5.57 times.

Shree Ram Twistex IPO has opened for final day of bidding today. Investors can apply for the offer till 5 pm. The issue was booked 75% at the end of the second day, with NII and retail portions fully booked. QIB segment did not see any bids yet.

Shree Ram Twistex IPO GMP today jumped to ₹13.5 per share. This means that shares of Shree Ram Twistex were trading at ₹117.5, a premium of 12.98% as against the offer price of ₹104. This is the highest GMP for the offer so far.

The offer was booked 75% as of the second day. The retail portion was subscribed 3.46 times, NII quota 2.70 times and the QIB segment nil.