Sonaselection India IPO

Sonaselection India IPO is a book-built issue of ₹141.57 crore, comprising entirely a fresh issue of 1.43 crore equity shares. The IPO will open for subscription on September 17, 2026 and close on September 21, 2026.

The IPO allotment is expected to be finalised on September 22, 2026, with the shares proposed to be listed on both NSE and BSE. The tentative listing date is September 24, 2026.

The price band is set at ₹94 to ₹99 per share, with a lot size of 150 shares. Retail investors need to invest a minimum of ₹14,850 for one lot at the upper end of the price band.

Choice Capital Advisors Pvt. Ltd. is the book-running lead manager for the issue, while Kfin Technologies Ltd. is the registrar.

About Sonaselection India 

Sonaselection India Limited is an integrated fabric manufacturing and processing company based in Bhilwara, Rajasthan. The company converts raw textiles into finished, value-added fabrics used in the fashion, apparel, and readymade garment industries. In FY26, the company reported revenue from operations of ₹516.95 crore, compared with ₹120.98 crore in FY24, while net profit stood at ₹34.02 crore.

Sonaselection operates a manufacturing facility in Hamirgarh, Bhilwara, spread across approximately 49,540 sq. metres. The facility has an installed processing capacity of around 82.44 million metres per year, or approximately 10.15 million metres per month. 

The company has also expanded its customer base significantly, from 191 customers in FY24 to 909 in FY26. Its geographic reach has widened beyond Rajasthan, reducing the state’s contribution to revenue from 95.31% in FY24 to 37.31% in FY26, indicating a broader presence across India.

Sonaselection India IPO Objectives

1. The company plans to use around ₹80 crore to repay or prepay part of its outstanding borrowings, helping reduce its debt and interest costs.
2. Around ₹50.61 crore will be invested in purchasing and installing new plant and machinery at its Hamirgarh facility in Bhilwara, Rajasthan, to increase production capacity.
3. The remaining IPO proceeds will be used for general business needs, operational requirements and other corporate activities.
4. Overall, around 57% of the IPO proceeds will be used for debt reduction, while approximately 36% will go towards capacity expansion through capital expenditure.

Industry Outlook

The company belongs to the fabric manufacturing industry. 

1. India’s textile and apparel market, currently valued at around US$165 billion, is expected to grow at a 10% CAGR and reach around US$350 billion by 2030. The domestic fabric and apparel market accounts for over US$125 billion.
2. The Ministry of Textiles aims to increase textile and apparel exports to around ₹9 lakh crore (US$100 billion) by 2030, up from approximately US$37.75 billion currently. The China+1 strategy could further benefit Indian textile manufacturers.
3. The sector is supported by schemes such as the ₹10,683 crore PLI scheme for man-made fibre textiles and the ₹4,445 crore PM MITRA scheme for developing seven integrated textile parks.
4. Textile manufacturers are increasingly adopting eco-friendly processing methods, including bio-processing, waterless dyeing and Zero Liquid Discharge (ZLD) systems, driven by stricter environmental norms and global demand for sustainable sourcing.
5. Technical textile applications such as medical, agricultural and protective fabrics are growing rapidly, supported by the ₹1,480 crore National Technical Textiles Mission.
6. Textile processors are upgrading to high-efficiency machinery and digital printing technologies to improve productivity, product quality and production efficiency.

Financial Performance of Sonaselection India 

Sonaselection India Peer Comparison

Strengths and Opportunities for Sonaselection India 

1. The company follows a hybrid business model, combining its own fabric manufacturing with contract job-work processing to improve capacity utilisation, control costs and maintain steady business volumes.
2. Its manufacturing facility is located in Hamirgarh, Bhilwara, Rajasthan, a major textile hub that provides access to raw materials, skilled workers and established supply chains.
3. Spread across more than 49,540 sq. metres, the facility has an installed processing capacity of 82.44 million metres per year, supporting large-scale fabric bleaching, dyeing and finishing.
4. The company offers a diverse range of fabrics, including 100% cotton, cotton lycra, cotton blends and polyester-viscose fabrics, catering to the apparel and fashion industries.
5. Its customer base grew from 191 clients in FY24 to 909 clients in FY26, while its business presence expanded beyond Rajasthan, helping reduce customer and geographic concentration.
6. The company reported RoNW of 39.05% and an EBITDA margin of 16.40% in FY26, reflecting strong profitability and capital efficiency.
7. Its shift from mainly job-work processing to in-house fabric manufacturing has supported higher margins, with PAT increasing 83.3% YoY in FY26.
8. The business is led by Chairman Subhash Chandra Nuwal, who has over 30 years of textile industry experience, along with Managing Director Harshil Nuwal, bringing industry knowledge and management expertise.

Risks and Threats for Sonaselection India 

1. The company operates from a single manufacturing facility in Hamirgarh, Bhilwara, making it vulnerable to disruptions such as power outages, labour issues, extreme weather or fire that could affect production and revenue.
2. The company has reported negative operating cash flows in FY25 and FY26, mainly due to increased working capital requirements as the business expanded and more funds were tied up in inventory and receivables.
3. The business requires significant working capital to purchase raw materials such as yarn, greige fabric and chemicals, while also managing credit periods offered to customers.
4. The company had a relatively high debt-to-equity ratio of 2.96x before the IPO. Any difficulty in servicing debt or maintaining credit facilities could affect its operations.
5. Fluctuations in the prices of cotton yarn, greige fabric, dyes and processing chemicals could put pressure on margins if higher input costs cannot be passed on to customers.
6. Around ₹50.61 crore of IPO proceeds will be used for new plant and machinery. If the additional capacity is not utilised effectively, the company could face higher fixed costs and lower returns.
7. Although the company is expanding beyond Rajasthan, around 37.31% of FY26 revenue came from the state, leaving it exposed to regional demand and market conditions.
8. The company, its promoters and subsidiaries are involved in ongoing legal, tax and regulatory proceedings. Unfavourable outcomes could lead to additional financial liabilities.

Sonaselection India IPO Reservation

Sonaselection India IPO Promoter Holding

The promoters of Sonaselection India Limited are Harshil Nuwal, Subhash Chandra Nuwal, Uma Nuwal, Deepank Bhandari and Sona Polyspin Private Limited.

Sonaselection India IPO Registrar and Lead Managers

Sonaselection India IPO Lead Managers

Choice Capital Advisors Pvt.Ltd.

Registrar for Sonaselection India IPO

Name: Kfin Technologies Ltd.

Phone: 040-79615565

Email ID: sona.ipo@kfintech.com

How To Check the Allotment Status of the Sonaselection India IPO?

1. Login to Your Angel One Account: Open the Angel One app or website and log in with your credentials.
2. Locate the IPO Section: Navigate to the 'IPO' section on the platform.
3. Select IPO: Find and select the Milky Mist Ltd. IPO from the list of open IPOs.
4. Enter the Lot Size: Specify the number of lots you want to bid for.
5. Submit Your UPI ID: Enter your UPI ID to link your payment method and submit your application.
6. Approve Funds: Once you receive the bid request on your UPI app, approve it by entering your UPI PIN.

How To Apply for Sonaselection India IPO Online?

Steps to check IPO allotment status on Angel One’s app:

1. Log in to the Angel One app.
2. Go to the IPO Section and then to IPO Orders.
3. Select the individual IPO that you had applied for and check the allotment status.
4. Angel One will notify you of your IPO allotment status via push notification and email.

Contact Details of Sonaselection India IPO

Address: 18th K M Stone, Chittorgarh Road, Hamirgarh, Bhilwara, Rajasthan, 311025

Phone: +91 8386090831

Email ID: cs@sonaselection.com