Shree Ram Twistex IPO Receives 2x Retail Subscription and 9% Grey Market Premium on Second Day
The initial public offering of **Shree Ram Twistex Limited** has moved into its final stages, showing a distinct divide in investor sentiment. As of **February 24, 2026**, the **Rs 110.24 crore** issue has seen a total subscription of approximately **30%** on its second day of bidding.
Retail investors continue to drive the momentum, with their portion oversubscribed by **2.04 times**. In contrast, institutional interest remains muted, as **Qualified Institutional Buyers (QIBs)** have yet to record any bids for the **79.50 lakh shares** reserved for them. The **Non-Institutional Investor (NII)** segment has seen a coverage of roughly **65%**.
The grey market premium (GMP) has shown a slight upward trend, rising to **Rs 9**. This suggests a potential listing price of **Rs 113**, a premium of approximately **8.65%** over the upper price band of **Rs 104**.
IPO Structure and Financials
The issue is entirely a fresh offering of **1.06 crore shares** with a price band set at **Rs 95 to Rs 104**. Retail participants can enter with a minimum investment of **Rs 14,976** for a lot of **144 shares**.
Shree Ram Twistex, a Gujarat-based manufacturer of cotton and specialized yarns, reported a total income of **Rs 256.32 crore** for the fiscal year ended March 2025. This is an increase from **Rs 231.72 crore** in the previous year. Profit after tax (PAT) for the same period rose to **Rs 8 crore**, up from **Rs 6.55 crore**.
Use of Proceeds and Market Outlook
The capital raised will be directed toward key operational and sustainability goals:
* **Rs 46.85 crore** for setting up a 6.1 MW solar and 4.2 MW wind power plant for captive use.
* **Rs 44.00 crore** for working capital requirements.
* **Rs 14.89 crore** for the repayment or prepayment of existing borrowings.
The company's focus on captive renewable energy is a strategic move to lower high power costs, which currently impact spinning operations. While the textile sector benefits from a favorable **2026-27 Union Budget** and a **Manufacturing PMI of 57.5**, analysts note that the IPO’s valuation at **29x-30x P/E** leaves a limited margin of safety compared to industry peers.
Key Dates for Investors
The bidding window officially closes on **February 25, 2026**. The basis of allotment is expected to be finalized on **February 26**, with the tentative listing on the **BSE and NSE** scheduled for **March 2, 2026**.