Shree Ram Twistex IPO – Complete Guide for Investors

The Shree Ram Twistex IPO is one of the notable upcoming initial public offerings in India’s primary market calendar for early 2026. Investors interested in the textile sector and growth-oriented companies are closely watching this issue, which offers an opportunity to participate in the expansion of a rapidly evolving yarn manufacturer. This detailed blog covers all essential aspects of the IPO — from company background and IPO structure to price band, key dates, objectives, strengths, and risks involved.

About Shree Ram Twistex Ltd

Shree Ram Twistex Limited is a Gujarat-based textile company that specializes in the manufacturing of cotton yarns. Incorporated in 2013, it focuses on producing a wide range of cotton yarns — including compact ring-spun, combed and carded yarns, as well as value-added varieties like Eli Twist, compact slub and lycra-blended yarns. These yarns find extensive use in both knitting and weaving segments across different end-use categories, such as denim, shirting, sheeting, home textiles, socks, and industrial fabrics.

Operating a business-to-business (B2B) model, the company supplies yarns to textile manufacturers, garment exporters, bulk purchasers, and fabric processors. Its manufacturing facility is situated in Gondal, Rajkot district of Gujarat — one of India’s major cotton and textile hubs.

Shree Ram Twistex IPO Details

Here are the most important technical details of the Shree Ram Twistex IPO:

Issue Opening Date: February 23, 2026
Issue Closing Date: February 25, 2026
Basis of Allotment: February 26, 2026
Listing Date: March 2, 2026 (on NSE and BSE)
Price Band: ₹95 to ₹104 per share
Face Value: ₹10 per share
Minimum Lot Size: 144 shares
Minimum Retail Investment: Around ₹14,976 for one lot
Issue Size: Approximately ₹110.24 crore (fresh issue)
Offer for Sale (OFS): None — 100% fresh issue of shares
Lead Manager: Interactive Financial Services
Registrar: Bigshare Services Pvt. Ltd.

The IPO does not include an offer for sale (OFS), which means all shares offered in the issue are fresh shares issued by the company to raise new capital for growth plans.

Objectives of the IPO

The capital raised through the Shree Ram Twistex IPO will be used for multiple strategic purposes aimed at strengthening both operational efficiency and financial position:

🔹 1. Renewable Energy Projects

Part of the proceeds will be invested in setting up green energy capacity for captive use:

6.1 MW Solar Power Plant – to reduce dependency on grid power
4.2 MW Wind Power Plant – to further cut energy costs and increase sustainability

🔹 2. Repayment of Borrowings

A portion of the funds will be used to prepay or fully repay existing borrowings, supporting better financial health and reducing interest costs.

🔹 3. Working Capital Requirements

Capital will be deployed to support daily operational needs and improve cash flow management.

🔹 4. General Corporate Purposes

Remaining funds may be used for general expenditure, business expansion plans, or other corporate activities as approved by the board.

Business Strengths and Market Position

Shree Ram Twistex demonstrates several strengths that make it interesting to investors:

✅ Diversified Product Portfolio

The company’s range of cotton yarns — from basic to value-added varieties — helps cater to a wide range of customers and industries.

✅ Strategic Location

Located in Gujarat’s cotton hub, the company is well-positioned for easy access to raw materials and local industry demand.

✅ Growth Focus on Sustainability

Investing in renewable energy projects not only reduces operating costs over time but boosts environmental credentials — an increasingly important factor for investors and corporate reputation.

✅ B2B Client Base

By focusing on institutional customers such as textile manufacturers and fabric processors, the company establishes stable business relationships and potential long-term contracts.

Financial Performance Snapshot

Financial performance is an essential aspect for investors considering any IPO:

The company has shown consistent revenue growth over recent years, with revenue increasing each fiscal year.
Profit After Tax (PAT) has also improved, reflecting operational profitability.
Shree Ram Twistex displayed improved margins and profitability ratios in recent periods, indicating better efficiency and financial discipline.

A combination of growing revenue and better profit margins often strengthens investor confidence, though past performance does not guarantee future results. Proper research should always accompany investment decisions.

Risks & Considerations Before Investing

Like any investment, especially in the primary market, the Shree Ram Twistex IPO comes with certain risks:

⚠️ Customer Concentration

A significant portion of the revenue is derived from a limited number of customers. Any loss of major clients could impact business performance.

⚠️ Raw Material Price Volatility

Being a cotton yarn manufacturer, the company’s profitability depends heavily on cotton prices, which can be volatile due to global supply and weather patterns.

⚠️ Execution Risks in Renewable Projects

Delays or cost overruns in planned solar or wind projects may affect projected benefits.

⚠️ Industry Competition

The textile and yarn manufacturing industry is highly competitive, with both organized and unorganized players, affecting pricing power and margins.

⚠️ Legal Proceedings

The company may be involved in certain legal matters, which investors should review in the prospectus before subscribing.

Investors should read the Red Herring Prospectus (RHP) and assess their risk tolerance before applying for shares.

How to Apply for the IPO

Applying for the Shree Ram Twistex IPO involves the following steps:

Open a Demat & Trading Account: If you don’t already have one.
Bid Through ASBA: Use the ASBA option via banking apps or your broker’s platform.
Choose Your Lots: Each lot comprises 144 shares — retail investors should bid accordingly.
Monitor Allotment: Post-issue, check the allotment status through the registrar or exchanges.

No investment advice is being given here; investors should consult with financial advisors if unsure.

Conclusion

The Shree Ram Twistex IPO offers investors a chance to participate in the growth of a textile manufacturing company with expanding operations, strategic renewable investments, and a diversified product lineup. With a fresh issue size of approximately ₹110 crore and a price band of ₹95-₹104, this IPO represents an opportunity in India’s textile supply chain space.

However, investors are encouraged to carefully study the IPO prospectus, understand key risks, and consider their financial goals before subscribing.