⚠️ Neutral
Listed
Garments & Apparels
Aastha Spintex Limited IPO
₹170 Cr · Fresh Issue · Garments & Apparels
Price Band
₹125 – ₹136
GMP (Grey Market)
—
No GMP data yet
Issue Size
₹170 Cr
Fresh Issue
Market Cap
₹600.33 Cr
At upper band
P/E Ratio
26.2x
P/S: 1.7x
Listing Date
06 Jul 2026
BSE & NSE
IPO Timeline
✓
Opens
29 Jun 2026
✓
Closes
01 Jul 2026
✓
Allotment
2 Jul 2026
✓
Refund
3 Jul 2026
✓
Listing
06 Jul 2026
IPO India Hub: Neutral
Conviction
5/10
The company trades at 1.14× sector midpoint with fair valuation, but revenue growth has stalled at 1.4% CAGR over two years and net margin of 5.6% is well below the 15% threshold for conviction. Execution risk on the Falcon Yarns acquisition—which absorbs 65% of proceeds—is material and unproven.
Listing Performance
Issue Price
₹136
Allotment price
Listing Price
₹130
-4.41% on listing day
Current Price (CMP)
₹78.43
-42.3% vs issue
Listed On
06 Jul 2026
BSE & NSE
Our Analysis — Key Points
✓ Strength
Healthy balance sheet and returns
Debt-to-equity of 0.79x is conservative and well below the 1.5x threshold, indicating low financial risk. ROCE of 18.89% demonstrates reasonable capital efficiency in the garments business, suggesting the company generates acceptable returns on deployed capital.
✓ Strength
Valuation within sector norms
At 26.2x P/E, the company trades at 1.14× the niche sector midpoint of 23x, placing it in the fair-value zone. This modest premium is justified by the 18.89% ROCE, avoiding overvaluation traps common in SME IPOs.
⚠ Risk
Revenue growth has collapsed
Two-year revenue CAGR of just 1.4% (₹305.7 Cr → ₹314.0 Cr) signals stagnation, not growth. FY0 revenue of ₹314 Cr actually declined from FY-1's ₹352.2 Cr, a 10.8% year-on-year drop that raises questions about market position and demand.
⚠ Risk
Acquisition-dependent growth strategy
₹111.51 Cr (65% of net proceeds) is earmarked for acquiring Falcon Yarns, making this IPO largely a financing vehicle for M&A rather than organic expansion. No track record of successful acquisitions is disclosed, and integration execution risk is substantial and unquantified.
⚠ Risk
Thin net margins limit downside protection
Net profit margin of 5.6% is fragile in a cyclical, competitive garments sector. Any demand shock or input cost inflation could quickly erode profitability, leaving little buffer for investors.
₹ Valuation
Fair P/E masks weak growth fundamentals
At 26.2x P/E (1.14× sector midpoint), valuation appears reasonable on the surface. However, this multiple is not justified by growth: 2-year PAT CAGR of 3.8% is far below the 20% threshold needed to support conviction, and the 5.6% NPM is half the 15% margin benchmark.
👁 Watch
Monitor Falcon Yarns integration and synergies
Post-listing, track quarterly updates on Falcon Yarns revenue contribution, margin accretion, and debt repayment. Any delay in synergy realization or margin compression post-acquisition should trigger a reassessment of the investment thesis.
Top Analyst Reviews
| Analyst / Firm | Rating | Known For | Review |
|---|---|---|---|
| IPO India Hub Our independent review |
Original analysis based on DRHP & public financials | This page | |
| Dilip Davda Chittorgarh.com |
India's most followed independent IPO analyst | Search on Chittorgarh → | |
| Capital Market (CM Rating) CapitalMarket.com |
Widely-cited "New Issue Monitor" reports | Search on CapitalMarket → | |
| ICICI Securities ICICIdirect Research |
SEBI-registered broker research desk | Visit ICICIdirect → | |
| IPO Guru Analyst Leaderboard ipoguru.in |
Ranks 49 analysts by real IPO outcome accuracy | View leaderboard → |
External links go to each platform's IPO section — search for "Aastha Spintex Limited" to find the specific review. IPO India Hub does not represent the accuracy of third-party ratings.
Company Snapshot
Revenue
₹351.16 Cr
Net Profit
₹22.92 Cr
Industry
Garments & Apparels
Issue Type
Fresh Issue
Promoters
PATEL DIVYANG JASHWANTBHAI, RASIKLAL VALJIBHAI PATEL, GOTHI VIVEK RASIKLAL, AND JASHWANTBHAI VALJIBHAI PATEL
Lead Managers
BOI Merchant Bankers and PNB INVESTMENT SERVICE
Quick Actions
Frequently Asked Questions
Neutral. The company trades at 1.14× sector midpoint with fair valuation, but revenue growth has stalled at 1.4% CAGR over two years and net margin of 5.6% is well below the 15% threshold for conviction. Execution risk on the Falcon Yarns acquisition—which absorbs 65% of proceeds—is material and unproven.
GMP data is not yet available for this IPO. Check our GMP Live page for the latest updates closer to the listing date.
Lot size details will be updated when the DRHP is filed. The price band is ₹125 – ₹136.
The IPO opens on 29 Jun 2026. It closes on 01 Jul 2026. Allotment is expected on 2 Jul 2026. Refunds initiate on 3 Jul 2026. Listing on BSE and NSE is on 06 Jul 2026.
The lead managers for the IPO are BOI Merchant Bankers and PNB INVESTMENT SERVICE. Check the SEBI filing for the registrar details.
The IPO listed on 06 Jul 2026 at ₹130 against an issue price of ₹136 (-4.41% on listing day). The current market price (CMP) is approximately ₹78.43 (-42.3% vs issue).
Our analysis is <strong>Neutral</strong>. Consider applying selectively before the issue closes on 01 Jul 2026. The company trades at 1.14× sector midpoint with fair valuation, but revenue growth has stalled at 1.4% CAGR over two years and net margin of 5.6% is well below the 15% threshold for conviction. Execution risk on the Falcon Yarns acquisition—which absorbs 65% of proceeds—is material and unproven.
Our analysis is <strong>Neutral</strong>. Consider applying selectively before the issue closes on 01 Jul 2026. The IPO is priced at a P/E of 26.2x. Market cap at issue price is ₹600.33 Cr. As with all IPOs, please read the DRHP and assess your own risk tolerance before investing.
You can apply via UPI through your broker's trading app (Zerodha, Upstox, Fyers, etc.) or via ASBA through your net banking portal. The issue closes on 01 Jul 2026, so apply before that date. Step 1: Log in to your broker or bank app. Step 2: Go to IPO section and search for 'Aastha Spintex Limited'. Step 3: Enter the number of lots and UPI ID. Step 4: Accept the mandate on your UPI app.
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