Sanathan Textiles Yarns a Successful IPO Tale with 31% Premium

Sanathan Textiles Ltd's shares debuted with a remarkable 31% premium over their issue price of Rs 321. The company's Rs 550-crore IPO was vastly oversubscribed, with the funds aimed at debt repayment and investment in subsidiaries. Sanathan operates three yarn business divisions.

Shares of Sanathan Textiles Ltd experienced a robust debut, listing with an impressive 31% premium over their issue price of Rs 321. The stock opened at Rs 419.10 on the BSE, surging to Rs 422.65, while on the NSE, it began at Rs 422.30, reflecting investor enthusiasm.

Sanathan's initial public offering attracted significant attention, being subscribed 35.12 times by the final day of bidding. The IPO, comprising a Rs 550-crore deal with a price band of Rs 305-321 per share, included a fresh equity issue and an Offer-for-Sale by promoters.

The firm aims to utilize a portion of the proceeds to repay debt and fund its subsidiary, Sanathan Polycot Pvt Ltd, with additional funds allocated for general corporate purposes. Sanathan Textiles manages three yarn divisions under a unified corporate entity.

(With inputs from agencies.)