Avi Ansh Textile Limited IPO Soars on NSE SME Platform with a 9.68% Premium

New Delhi, September 27, 2024 – Avi Ansh Textile Limited, a name synonymous with quality cotton yarn, made its debut on the NSE SME platform today, listing at ₹68 per share, which was a 9.68% premium over its issue price of ₹62. This listing signifies robust investor confidence in the company’s business model and growth potential.

The IPO, which opened for subscription on September 20 and closed on September 24, aimed to raise ₹25.99 crore through a fresh issue of 41.92 lakh equity shares. Despite initial lukewarm subscription rates, the IPO managed to capture significant retail investor interest, reflecting strong market sentiment towards textile manufacturing companies with a solid track record.

Market Performance and Analysis:

Listing Price: The shares of Avi Ansh Textile Limited not only listed at a premium but also saw trading enthusiasm, indicating positive market reception.

Investor Sentiment: The listing premium suggests that investors are optimistic about the company’s financial health and market position. Avi Ansh Textile Limited has established itself as a prominent player in the cotton yarn industry, known for its Pooja Gold cotton yarn, catering to both domestic and international markets.

Financial Performance: Avi Ansh Textile Limited’s financials have shown a positive trend, with its revenue increasing from ₹121.49 crore in FY 2023 to ₹142.14 crore in FY 2024, alongside a significant rise in profit after tax from ₹0.29 crore to ₹3.31 crore over the same period.

Post-IPO Plans:

Avi Ansh Textile Limited plans to utilize the net proceeds from the IPO to fund its working capital requirements, expanding its production capabilities, and potentially exploring new market opportunities. This move is expected to solidify its position in the competitive textile sector.