Cotton yarn and cotton bale manufacturer Aastha Spintex Ltd will launch its ₹170 crore initial public offering on June 29, with the subscription period extending until July 1. According to latest reports, the company has fixed the price band at ₹125-136 per share, with investors required to bid for a minimum of 110 shares, translating to an investment of ₹14,960. The issue comprises an offer of 1.25 crore equity shares with no offer for sale (OFS) component, indicating the company is raising entirely new capital. The anchor book will open for a day on June 25, with the basis of allotment expected to be finalized on July 2, and shares slated to list on July 6, 2026. The company was incorporated in August 2013 as a private limited company and converted to a public limited company in February 2025.
As reported by Moneycontrol, the funds raised from the IPO will be utilized for ₹111.51 crore specifically towards the Falcon Yarns acquisition, with ₹10 crore allocated for funding working capital requirements of Falcon Yarns. The company has already acquired a 15.2% stake in Falcon Yarns for ₹131.51 crore in tranches during September 2025 and March 2026. The remaining 84.79% stake in Falcon Yarns will be acquired for ₹111.51 crore, to be paid after the completion of the IPO or prior to the long-stop date of July 31, 2027, whichever is earlier. The Falcon Yarns acquisition is the dominant use of IPO funds and makes this less of a conventional capacity-expansion story and more of a consolidation play in the cotton yarn sector.
According to Moneycontrol, Aastha Spintex has demonstrated robust financial performance in recent years. Profit for the nine-month period ended December 2025 stood at ₹17.55 crore, while revenue reached ₹313.3 crore. In FY25, profit grew 40.7% to ₹22.9 crore, while revenue increased 15.2% to ₹351.2 crore compared to the previous year. The company's healthy financial trajectory supports its expansion plans and provides a strong foundation for the IPO launch.
According to the red herring prospectus (RHP), the lot size for application is 110 shares and multiples thereof. The company has allocated 20% of the net offer for qualified institutional buyers, 40% for retail investors, and 40% for non-institutional investors. BOI Merchant Bankers and PNB Investment Services serve as the book-running lead managers, while Bigshare Services acts as the registrar. The company's equity shares will debut on both NSE and BSE. As per IPO Ji, investors can apply through the IPO Ji app or visit ipoji.com, selecting their Demat account and entering the number of lots, with the application amount staying blocked until allotment.
Aastha Spintex produces 100% cotton yarns in counts ranging from Ne 26 to Ne 40, including combed, carded and combed compact varieties. The company operates from an integrated semi-automated spinning and ginning facility in Halvad, Morbi, Gujarat, spanning 65,762 sq. mtr. on the Halvad Maliya Highway. The cotton bales are used for captive manufacturing of cotton yarns and supply to other spinning units. The cotton yarns serve applications in knitting and weaving for denim, shirting, socks, sheeting, sweaters, home textiles, terry towels, bottom wear and industrial fabrics. The company operates on renewable energy through solar and wind power, positioning this as both a sustainability measure and cost-management tool against fluctuating conventional energy prices. The company also highlights a 70% female workforce, reflecting a stated commitment to inclusivity.
