India’s textile industry remains one of the country’s largest manufacturing sectors, supported by abundant raw material availability, a well established value chain, and strong domestic as well as export demand. Cotton yarn continues to be a critical raw material for the textile industry, with growing demand from apparel, home textiles, denim, and industrial fabric manufacturers. Increasing investments in modern spinning facilities and technology driven manufacturing are enabling yarn producers to improve quality, productivity, and operational efficiency.
Against this backdrop, Shreedhar Spinners Limited is set to open its IPO on June 23, 2026. The company is engaged in the manufacturing of compact spun cotton yarn, catering exclusively to the B2B textile industry. Here is a detailed insight into Shreedhar Spinners Limited, its IPO, and the industry outlook.
About Shreedhar Spinners Ltd.
Incorporated in December 2020, Shreedhar Spinners Limited is a cotton yarn manufacturing company engaged in producing 100% compact spun cotton yarn with counts ranging from Ne 10s to Ne 40s.
The company operates a modern spinning facility located at Amravati Textile Park, Maharashtra, with an installed production capacity of 10,000 metric tonnes per annum and 28,608 spindles.
Its products are suitable for both knitting and weaving applications and cater to a wide range of end use industries, including apparel, denim, terry towels, shirting, bed linen, sweaters, socks, furnishing fabrics, and industrial textiles.
Shreedhar Spinners operates exclusively in the B2B segment, supplying cotton yarn to textile manufacturers, exporters, traders, and fabric processors, primarily across Maharashtra.
The company sources raw cotton from local ginners, traders, and the Cotton Corporation of India (CCI), benefiting from its strategic location in the cotton rich Vidarbha region. It is certified under ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018 standards and maintains dedicated quality control facilities supported by advanced testing equipment and contamination control systems.
The company is promoted by Dharmendra Mohandas Goyal and Vishal Agarwal, both Chartered Accountants with more than 25 years of experience in the textile industry. As of April 30, 2026, the company had 164 employees.
Shreedhar Spinners Ltd. IPO Details
With the IPO launch, Shreedhar Spinners Limited intends to utilise the net proceeds towards expanding its manufacturing capabilities and strengthening working capital.
The company plans to utilise approximately ₹21.04 crore towards funding incremental working capital requirements. Another ₹4.95 crore will be used for purchasing machinery for its existing manufacturing facility at Amravati, Maharashtra. The remaining proceeds will be utilised for general corporate purposes.
Important IPO Timeline
| Particulars | Details |
|---|---|
| IPO Open Date | June 23, 2026 |
| IPO Close Date | June 25, 2026 |
| Allotment Date (Tentative) | June 29, 2026 |
| Initiation of Refunds | June 30, 2026 |
| Credit of Shares to Demat | June 30, 2026 |
| Listing Date (Tentative) | July 1, 2026 |
Key IPO Details
Here is the table on the Shreedhar Spinners IPO Review:
| Particulars | Details |
|---|---|
| Face Value | ₹10 per share |
| Price Band | ₹51 to ₹53 per share |
| Lot Size | 2,000 Shares |
| Total Issue Size | 57,88,000 shares (aggregating up to ₹30.68 Cr) |
| Fresh Issue | 57,88,000 shares (aggregating up to ₹30.68 Cr) |
| Fresh Issue (Ex Market Maker) | 54,02,000 shares (aggregating up to ₹28.63 Cr) |
| Net Offered to Public | 54,02,000 shares (aggregating up to ₹28.63 Cr) |
| Reserved for Market Maker | 3,86,000 shares (aggregating up to ₹2.05 Cr) |
| Issue Type | Bookbuilding IPO |
| Sale Type | Fresh Capital Only |
| Listing At | NSE SME |
| Market Capitalisation (Pre IPO) | ₹113.62 Cr |
| Shareholding Pre Issue | 1,56,50,000 shares |
| Shareholding Post Issue | 2,14,38,000 shares |
| Book Running Lead Manager | Marwadi Chandarana Intermediaries Brokers Pvt. Ltd. |
| Registrar | MUFG Intime India Pvt. Ltd. |
| Market Maker | Mansi Share & Stock Broking Pvt. Ltd. |
Lot Size of Shreedhar Spinners IPO
Here is the table of lot sizes for each category of investors:
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Individual Investors (Min) | 2 | 4,000 | ₹2,12,000 |
| Individual Investors (Max) | 2 | 4,000 | ₹2,12,000 |
| S HNI (Min) | 3 | 6,000 | ₹3,18,000 |
| S HNI (Max) | 9 | 18,000 | ₹9,54,000 |
| B HNI (Min) | 10 | 20,000 | ₹10,60,000 |
Shreedhar Spinners Ltd. Financials
The Shreedhar Spinners IPO has a pre IPO market capitalisation of ₹113.62 crore. As of March 31, 2026, its key performance indicators showcase a Return on Equity (ROE) of 24.64% and a Return on Capital Employed (ROCE) of 9.34%. The Return on Net Worth (RoNW) stood at 20.74%, while the company reported a PAT margin of 4.22% and an EBITDA margin of 12.04%.
The company recorded steady financial growth during FY26. Revenue increased by 9%, while Profit After Tax grew by 81% compared to FY25, reflecting improved operational efficiency and profitability.
Other financial details of the company include the following:
Key Company Financials
| Period Ended | 31 Mar 2026 (Crores) | 31 Mar 2025 (Crores) | 31 Mar 2024 (Crores) |
|---|---|---|---|
| Assets | ₹172.12 | ₹102.32 | ₹92.28 |
| Total Income | ₹146.55 | ₹134.43 | ₹126.35 |
| Profit After Tax | ₹6.17 | ₹3.42 | ₹3.35 |
| EBITDA | ₹17.62 | ₹13.11 | ₹13.41 |
| Net Worth | ₹29.76 | ₹20.34 | ₹16.92 |
| Reserves and Surplus | ₹14.11 | ₹5.34 | ₹1.92 |
| Total Borrowing | ₹115.90 | ₹65.31 | ₹62.11 |
Shreedhar Spinners Ltd.: Industry Outlook
• India’s textile industry continues to be one of the country’s largest manufacturing sectors, supported by strong domestic consumption and export demand.
• Demand for compact spun cotton yarn is increasing due to its superior strength, reduced hairiness, and suitability for premium textile applications.
• Growing demand from apparel, denim, home textiles, industrial fabrics, and technical textiles is expected to support long term growth in the cotton yarn industry.
• India’s abundant cotton production and strong raw material availability provide competitive advantages for domestic yarn manufacturers.
• Investments in modern spinning technology and automation are helping manufacturers improve operational efficiency and product quality.
• Shreedhar Spinners’ modern manufacturing facility, strategic location in the cotton rich Vidarbha region, integrated spinning operations, and experienced management team position the company to benefit from the growing textile industry.
Conclusion
Shreedhar Spinners Ltd. presents an interesting investment opportunity because of its presence in the compact spun cotton yarn manufacturing industry. The company operates a modern spinning facility with significant production capacity and caters to a diversified B2B customer base across the textile value chain.
The company has demonstrated revenue growth and a significant improvement in profitability during FY26. Furthermore, the proposed utilisation of IPO proceeds towards working capital enhancement and machinery purchases may strengthen its manufacturing capabilities and support future growth.
However, potential investors should also consider risks such as fluctuations in cotton prices, dependence on demand from the textile industry, relatively high debt levels, and the sustainability of the sharp increase in profitability reported during FY26. As with any SME IPO, investors should carefully evaluate their investment objectives and risk appetite before making an investment decision.
