Aastha Spintex shares hit the 5% upper circuit at ₹122.89 on Friday, recovering from a weak debut that saw the stock hit the 5% lower circuit at ₹123.19 on July 8. The stock had made a weak debut at ₹130 per share on both NSE and BSE, representing a discount of 4.41% from the IPO price of ₹136. The initial listing price stood at ₹130.10 at 10:15 IST on the BSE, with the stock hitting a high of ₹135 during intraday trading. Over 1.68 lakh shares were traded in the counter on debut day, indicating active trading despite the weak start. The ₹170-crore IPO was subscribed 4.64 times during its public subscription period between June 29 and July 1, 2026, with the company's market valuation standing at ₹598.13 crore following the listing. The recent gain came after the stock had declined for three consecutive sessions, during which it had fallen nearly 15%.
Aastha Spintex announced the acquisition of Falcon Yarns, which will double its spinning capacity from 7,700 MT to 17,457 MT and increase spindle capacity from 25,920 to 61,824, representing a 2.3x expansion. According to the company, the acquisition will help meet rising customer demand, improve operational efficiency and strengthen its position in the cotton yarn industry. Falcon Yarns operates a spinning facility in Gujarat with an installed capacity of 35,904 spindles and annual production capacity of 9,757 MT. The company has already paid ₹20 crore before the IPO, with the balance payment from IPO proceeds pending due to procedural formalities and expected to be completed shortly. The acquisition is aimed at meeting rising demand and addressing existing capacity constraints, as the company's order book exceeds current capacity.
Commenting on the acquisition, Aastha Spintex Managing Director Divyang Jashwant Patel stated that "The acquisition of Falcon Yarns is a strategic step that aligns with our long-term vision of building a larger and more efficient manufacturing platform." The expansion is expected to significantly enhance the company's operational capabilities and market position in the cotton yarn industry. The acquisition was announced following the company's recent completion of its ₹170-crore IPO and listing on stock exchanges on July 6, 2026.
The ₹170-crore IPO witnessed strong demand across all investor categories, with the non-institutional investor (NII) portion leading at 7.62 times subscription, followed by qualified institutional buyers (QIBs) at 3.30 times, and retail investors at 2.33 times. The employee segment also saw a 2.33 times subscription. As reported by Moneycontrol, the issue comprised an entirely fresh issue of 12.5 million equity shares with no offer-for-sale component, offered in a price band of ₹125-136 per share with a lot size of 110 shares. The minimum investment for retail investors at the upper band was ₹14,960. The strong subscription indicates significant investor interest in the textile manufacturing company, with broad-based participation across all categories.
