IPO Alert: Opportunity to invest in Borana Weaves from today, know the complete details before investing:

News Topical, Digital Desk : Borana Weaves Ltd has opened its IPO for subscription from Tuesday (May 20, 2025) i.e. today. Interested investors can bid for it till Thursday (May 22, 2025). The company has fixed a price band of Rs 205-216 per share for its IPO. The company intends to raise Rs 144.89 crore through this issue. This IPO is completely a fresh issue, under which 67.08 lakh equity shares will be issued.

The company may allot shares on Friday (May 23, 2025). The company's shares are expected to be listed on the stock exchanges on May 27.

Purpose of IPO
Out of the funds raised through the IPO, Rs 71.35 crore will be used to set up a new manufacturing unit in Gujarat.

What does the company do Borana Weaves is based in Surat, Gujarat and specializes in manufacturing unbleached synthetic grey fabric. This fabric is often used for fashion, traditional textiles, technical textiles, home decor and interior design.

A look at the finances Borana Weaves has registered tremendous growth in the last three business years. In the financial year 2024, the company recorded a revenue of Rs 199.10 crore, which is much higher than Rs 135.40 crore in the financial year 2023 and Rs 42.30 crore in the financial year 2022.

Risks also exist If the required approvals, licenses or permits for the proposed Unit 4 are not obtained, it could have a negative impact on the company's business, financial position, cash flows and operations. As of December 31, 2024, more than 98% of the company's revenues have come from clients in Gujarat and they do not have long-term agreements with these clients. Any change or cancellation of orders from these clients may affect the company's operations.