Sonaselection India

Founded in February 2022, Sonaselection India has rapidly evolved into a professional fabric manufacturing and processing entity. The company is strategically headquartered in Bhilwara, Rajasthan, a prominent textile hub, where it operates a substantial manufacturing facility spanning approximately 49,540 square metres.

The company's core business model focuses on the production of high-quality textiles, including 100% cotton fabric, cotton lycra (stretch) fabric, and various blends such as polyester-viscose (P/V) and polyester fabrics. These products serve a wide array of end-use applications across the fashion and apparel industries.

To maintain high quality and efficiency, Sonaselection utilizes modern textile processing machinery for bleaching, dyeing, and finishing. The company employs a hybrid operational approach, utilizing its own sophisticated facilities while leveraging outside job-work services to ensure a seamless lifecycle from quality checking and grading to final packing.

The company's growth is driven by its ability to scale operations quickly, as evidenced by its rapid revenue climb since its inception. The operational scale is supported by a strategic location in Rajasthan, providing access to critical textile raw materials and labor.

The promoter group consists of Harshil Nuwal, Subhash Chandra Nuwal, Uma Nuwal, Deepank Bhandari, and Sona Polyspin Private Limited, who collectively steer the strategic direction and operational expansion of the firm.

Sonaselection India is launching a Mainboard IPO to raise approximately ₹142 Crore, consisting entirely of a fresh issue of shares with no Offer for Sale (OFS) component. The IPO is priced within a band of ₹94 to ₹99 per share, with a minimum retail lot size of 150 shares requiring an application amount of ₹14,850. The issue is scheduled to open on September 17, 2026, and close on September 21, 2026, with listing on the BSE and NSE on September 24, 2026.

The proceeds from the fresh issue are earmarked for critical business needs, including ₹80.00 Crore for the repayment or pre-payment of certain borrowings and ₹50.61 Crore for capital expenditure toward the purchase of new plant and machinery, indicating a focus on deleveraging and capacity expansion.

Financial performance has shown an aggressive upward trajectory. Revenue grew from ₹121.31 Crore in FY24 to ₹316.47 Crore in FY25, and further surged to ₹517.60 Crore in FY26. Similarly, the Profit After Tax (PAT) has climbed from ₹13.10 Crore in FY24 to ₹34.02 Crore in FY26, demonstrating strong operational scaling.

From a valuation perspective, the company reports an EPS of ₹8.09. While a specific P/E ratio is not provided, the company shows a very strong Return on Equity (ROE) of 39.05%. However, the Debt to Equity ratio stands high at 2.48, which is a point of concern for conservative investors.

The key investment strength lies in the rapid top-line growth and the fact that 100% of the proceeds are entering the company as fresh capital. Conversely, the primary risk is the high leverage and the inherent volatility of the textile sector.

Overall, the IPO presents a growth-oriented opportunity in the textile space. Investors may view the strong ROE and revenue jump positively, though the high debt levels suggest a need for cautious long-term monitoring.