Borana Weaves Files for IPO to Raise Funds for Expansion and Growth

21 Nov 2024 , 10:33 AM

Surat-based textile maker Borana Weaves filed draft papers with SEBI for its initial public offering involving a fresh issue of 70 lakh equity shares. The company runs three units in Surat and manufactures unbleached synthetic grey fabric, which finds extensive usage for further processes such as dyeing and printing purposes in industries like fashion, traditional textiles, technical textiles, home décor, and interior design.

It also produces polyester textured yarn, which forms the principal raw material for grey fabric. The funds raised through the initial public offer would be used for-

• ₹71.3 crores for a new manufacturing unit at Surat to increase grey fabric production.
• ₹26.5 crores for working capital.

The balance for general corporate purposes.

The company’s consolidated net profit was ₹23.6 crore for FY24 as compared to ₹16.3 crore for FY23. Revenue in FY24 increased to ₹199 crore compared to ₹135.4 crore recorded in FY23. The company reported a profit of ₹17.9 crore on revenue of ₹133 crore for the six months ended September 2024 Equity shares are proposed to be listed on BSE and NSE. Beeline Capital Advisors is the sole merchant banker for the issue. The registrar for the issue is KFIN Technologies.