Aastha Spintex Ltd.
AASTHAMainboard
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Overview
Aastha Spintex Limited manufactures and trades 100% cotton yarn (carded, combed and compact-combed) and cotton bales, operating an integrated ginning-and-spinning facility at Halvad, Morbi, Gujarat. The company supplies B2B customers such as textile manufacturers, exporters and processors, and also monetizes ginning and spinning by-products (cotton seeds and cotton waste) as ancillary revenue streams; it supports operations with in-house quality testing and significant captive renewable power (solar and wind).
Opening Date
Jun 29, 2026
Closing Date
Jul 01, 2026
Listing Date
Jul 06, 2026
IPO Type
Mainboard
IPO Status
Closed
Issue Size
170 Cr
Fresh Issue
170 Cr
Offer for Sale
0 Cr
Price Band
₹125 - ₹136
Lot Size
110
IPO Timeline
Financials
Revenue
Profit After Tax (PAT)
Use of IPO funds
Key Performance Indicator
P/E Ratio
18.78
EPS
7.24
ROE
12.8%
ROCE
12.13%
RONW
11.46%
Debt to Equity Ratio
0.66
PAT Margin
5.6%
EBITDA Margin
11.25%
P/B
3.11
Bull vs Bear
Bull case
- •
Near-full utilization in FY2025: cotton yarn 7,436 MT -96.57% and cotton bales 9,897 MT -82.48%—integrated plant throughput is hard to replicate quickly.
- •
Renewable captive mix is sizeable: 1 MW rooftop solar + 4 MW solar + 2.7 MW wind; renewables were 80% of FY2025 power consumption, lowering grid dependence.
- •
Industry tailwind: Indian textile market projected to expand from $174 billion -2024 to $350 billion by 2030 at 12.3% CAGR—larger end-market for yarn/bales.
Bear case
- •
Sales concentration in one reseller: 7 Seas Impex contributed 33.88% of FY2025 product revenue (54.73% FY2024; 66.61% FY2023); contract changes disrupt reach outside Gujarat/exports.
- •
IPO proceeds fund acquisition timing risk: Falcon purchase consideration up to ₹13,151 lakhs, with ₹11,151 lakhs due within 30 days post-IPO; shortfall forces alternate funding.
- •
Supplier concentration in cotton bales: top 10 suppliers were 73.05% of FY2025 purchases (79.62% FY2024); any disruption raises input-cost and continuity risk.
Net takeaway
At its core this is a bet on improving profitability in a cotton-focused business: PAT margin 6.69% in FY2025 (5.34% FY2024; 0.44% FY2023). If you believe high utilization (96.57% yarn) plus added capacity via Falcon (₹11,151 lakhs from IPO) sustains margins, upside holds; if integration/funding strains, risk holds. Watch customer concentration and cash conversion: 7 Seas Impex was 33.88% of FY2025 product revenue and operating cash flow was (₹1,871.62) lakhs in FY2025.
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