Shree Ram Twistex Limited, a cotton yarn manufacturer catering to India’s textile industry, is set to enter the capital markets with its initial public offering. The Shree Ram Twistex IPO will open for subscription on February 23, 2026, and close on February 25, 2026. The company aims to raise ₹110.24 crore through a fresh issue of shares under the book-built route.

The IPO marks an important milestone for the textile-focused company as it seeks to strengthen its capital base and enhance operational capabilities in a competitive industry.

Company Overview

Shree Ram Twistex Limited is engaged in the manufacturing of cotton yarn, which is widely used in weaving and knitting applications. Cotton yarn is a core raw material for the textile industry, forming the foundation for fabric production.

The company produces various yarn counts to meet diverse customer requirements. Yarn counts refer to the thickness and fineness of the yarn, which determine its suitability for specific textile products.

Its customer base consists primarily of domestic textile manufacturers, and the company generates revenue largely from sales within India.

Financial Performance

For the financial year FY25, Shree Ram Twistex reported:

• Revenue from operations of ₹25,504.47 lakh

• EBITDA of ₹2,185.26 lakh

The EBITDA performance indicates operational profitability before accounting for interest, taxes, depreciation and amortisation.

With installed production capacity of 9,855 metric tonnes per annum, the company achieved 87 percent utilization during FY25. High capacity utilization suggests efficient use of assets and steady demand for its products.

IPO Structure and Details

The IPO is a Book Built Issue, amounting entirely to a fresh issue of 1.06 crore shares, aggregating to ₹110.24 crore.

Key dates include:

• IPO Opening Date: February 23, 2026

• IPO Closing Date: February 25, 2026

• Allotment Finalisation: On or about February 26, 2026

• Tentative Listing Date: On or about March 2, 2026

• Listing Platform: NSE

The IPO price band has been fixed at ₹95 to ₹104 per equity share.

At the upper price band of ₹104, the company’s market capitalisation at listing is estimated at ₹415.74 crore.

Investment Details

The lot size for the IPO is 144 shares.

For retail investors:

• Minimum investment: 1 lot

• Shares per lot: 144

• Investment at upper price band: ₹14,976

For High Net-Worth Individuals:

• Minimum: 14 lots

• Total shares: 2,016

• Investment amount: ₹209,664

These structured categories allow participation from both retail and larger investors.

Lead Managers and Registrar

Interactive Financial Services Limited has been appointed as the Book Running Lead Manager for the issue.

KFIN Technologies Limited will act as the Registrar to the issue, handling application processing, allotment and related activities.

Industry Overview

India’s textile industry is one of the oldest and most significant sectors in the economy. It contributes substantially to employment and exports.

Cotton yarn manufacturers play a crucial role in the value chain, supplying raw material to fabric producers, garment manufacturers and exporters.

The demand for cotton yarn is influenced by:

• Domestic textile consumption

• Export demand

• Cotton prices

• Global economic conditions

• Fashion and apparel trends

Companies with consistent quality and cost efficiency tend to maintain stable relationships with textile mills.

Capacity Utilization and Growth Prospects

With 87 percent capacity utilization, Shree Ram Twistex demonstrates operational efficiency. High utilization levels often indicate steady demand and limited idle capacity.

However, to scale further, companies may need additional capital investment for:

• Machinery upgrades

• Capacity expansion

• Working capital

• Debt reduction

The proceeds from the IPO are expected to strengthen the company’s financial position and support growth strategies.

Market Capitalisation and Valuation

At the upper price band of ₹104, the company’s post-issue market capitalisation stands at ₹415.74 crore.

Investors typically assess valuation based on:

• Earnings multiples

• Revenue growth

• Profit margins

• Industry comparison

• Future expansion plans

The textile industry often operates on moderate margins due to fluctuating raw material costs.

Grey Market Premium

The Grey Market Premium (GMP) for the Shree Ram Twistex IPO is currently expected to be ₹0.

It is important to understand that grey market trading is unofficial and unregulated. No actual transaction takes place on the stock exchange platform.

GMP is based purely on demand and supply in the unofficial market and does not guarantee listing performance.

Investors are advised to consider company fundamentals rather than relying solely on grey market signals.

Risk Factors

Investors should evaluate several risks before subscribing:

• Dependence on cotton prices

• Fluctuations in textile demand

• Competition from domestic and global manufacturers

• Working capital requirements

• Regulatory and environmental compliance

The textile sector is sensitive to commodity price volatility and export market conditions.

Competitive Landscape

India has numerous yarn manufacturers across various states.

Competition is driven by:

• Pricing

• Product quality

• Delivery reliability

• Customer relationships

Companies that maintain cost efficiency and consistent quality standards can retain market share.

Strategic Importance of Domestic Focus

Shree Ram Twistex primarily earns revenue from domestic sales.

A domestic focus may provide stability compared to export-dependent businesses, which face global market volatility.

However, expansion into export markets could offer growth opportunities in the future.

Investor Considerations

Investors evaluating the IPO may consider:

• Revenue growth trends

• Profit margins

• Debt levels

• Expansion plans

• Industry outlook

Long-term prospects depend on sustained demand in the textile sector and operational efficiency.

Outlook for Textile Industry

India’s textile industry continues to benefit from:

• Strong domestic consumption

• Government support schemes

• Growing apparel exports

• Rising demand for sustainable fabrics

However, challenges include:

• Raw material price volatility

• Global competition

• Technological upgrades

Yarn manufacturers positioned with modern machinery and efficient processes may gain competitive advantages.

Conclusion

The Shree Ram Twistex IPO offers investors an opportunity to participate in a cotton yarn manufacturing company with established domestic operations and high capacity utilization.

With a fresh issue of ₹110.24 crore, price band of ₹95 to ₹104 and listing planned on NSE, the IPO is positioned within the SME segment.

The company’s FY25 performance, operational efficiency and industry positioning will be key factors influencing investor response.

While the Grey Market Premium remains at ₹0, long-term investment decisions should be based on fundamentals, industry outlook and risk assessment.

As subscription opens on February 23, 2026, market participants will closely watch demand trends and oversubscription levels to gauge investor sentiment toward the issue.

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