Spunweb Nonwoven Limited launched its initial public offering (IPO) today, July 14, 2025, seeking to raise ₹60.98 crore. The IPO, which is entirely a fresh issue of 63.52 lakh shares, is priced between ₹90 and ₹96 per share. The offer closes on July 16, 2025, and the stock is slated to list on the NSE SME platform on July 21, 2025.
Subscription Status
The IPO has garnered significant investor interest on its first day. By the afternoon of July 14, 2025, the issue had already been subscribed 3.29 times. The retail category was subscribed 3.33 times, while the NII category saw a subscription of 0.97 times.
Grey Market Premium (GMP)
The grey market premium (GMP) for Spunweb Nonwoven's IPO is showing strong interest, with a GMP of 36%, suggesting a potential listing price of ₹130 or higher. Another source indicates a GMP of ₹35 as of today. These premiums reflect the informal market's positive outlook on the IPO.
IPO Details
The IPO consists of a fresh issue of 63,51,600 equity shares. The price band is set between ₹90 and ₹96 per share, with a face value of ₹10 each. Retail investors can apply for a minimum of 2,400 shares, which amounts to an investment of ₹2.30 lakh. The minimum lot size for HNI investors is 3,600 shares, totaling ₹3,45,600.
Utilization of Proceeds
Spunweb Nonwoven plans to use the IPO proceeds for working capital requirements, investment in its subsidiary, debt repayment, and general corporate purposes. These allocations are expected to enhance the company's operational efficiency and support future growth.
Company Overview
Incorporated in 2015 and based in Rajkot, Gujarat, Spunweb Nonwoven manufactures spunbond nonwoven fabrics. These fabrics are used across various industries, including hygiene, medical, packaging, agriculture, and construction. Over 65% of the company's revenue comes from the hygiene segment. Spunweb's product portfolio includes hydrophobic, hydrophilic, super soft, UV-treated, antistatic, and FR-treated nonwoven fabrics. The company exports to countries such as the USA, UAE, Italy, Egypt, and Saudi Arabia, and has established relationships with brands like Millennium Babycares, RGI Meditech, and Myra Hygiene.
Financial Performance
Spunweb Nonwoven has demonstrated solid financial growth. In FY25, the company reported a 47% increase in revenue and a 98% increase in profit. The company's revenue for 2025 was ₹227.14 crores, compared to ₹154.24 crores in 2024. The profit after tax (PAT) for 2025 was ₹10.79 crores, compared to ₹5.44 crores in 2024.
Strengths
Spunweb Nonwoven has several strengths, including being one of the largest manufacturers of spunbond nonwoven fabrics with an installed capacity of 32,640 MT in FY24. The company offers customized manufacturing for specific industry needs and has long-standing relationships with consumers across diverse industries and geographies. Spunweb also utilizes advanced spunbond technology with cleanroom technology in its manufacturing process and has an experienced management team.
IPO Details
Strategic Goals
Spunweb Nonwoven aims to tap into the increasing demand for technical textiles in both Indian and global markets. The company seeks to enhance its competitiveness and deliver long-term value to shareholders through a robust manufacturing base and disciplined capital utilization.
