Company Overview

Alpine Texworld Limited (formerly Alpine Spinweave Limited) is a vertically integrated textile manufacturer based in Ahmedabad, Gujarat, specializing in weaving and spinning operations. The company operates 112 Toyota shuttleless air-jet looms with annual capacity of 180 lakh meters of grey fabric and four open-end spinning machines with 6,000 metric tonnes yarn capacity. Through its 97%-owned subsidiary Alpine Cottweave LLP (acquired October 2024), the company added 72 Picanol airjet looms contributing 35.89% to FY26 consolidated revenue of ₹3,427.13 million.

IPO Details

The company proposes an Initial Public Offering of 12,024,000 equity shares at ₹105 each, aggregating to ₹1,262.52 million. The issue opens July 14-16, 2026 with price band of ₹100-105 per share, representing 31.44% of post-issue paid-up capital. The shares will be listed on both NSE and BSE, with D and A Financial Services as Book Running Lead Manager and Kfin Technologies as Registrar.

Financial Performance

The company demonstrated strong growth with consolidated revenue increasing to ₹3,427.13 million in FY26 from ₹2,373.24 million in FY25, while PAT grew significantly to ₹217.16 million from ₹86.26 million. EBITDA margins improved to 13.84% in FY26 from 11.38% in FY25. The capital structure includes pre-issue paid-up capital of ₹262.23 million (26,223,000 shares) with promoters holding 90.36%, reducing to 61.95% post-issue.

Use of Proceeds

Net proceeds of ₹1,132.97 million (after issue expenses) will be utilized for: (1) Setting up new weaving unit (Proposed Manufacturing Unit 3) with 48 additional looms at cost of ₹307.11 million, expanding capacity by 28.08%; (2) Repayment of ₹522 million borrowings from Saraswat Bank and SVC Bank consortium; (3) General corporate purposes including working capital and subsidiary investment.

Risk Factors

Key risks include high customer concentration (70.33% revenue from top 10 clients), geographic focus on Gujarat (97.37% revenue), raw material price volatility, intense competition from domestic and international players, and environmental compliance requirements. The company has ongoing tax proceedings involving ₹18.7 million and corporate guarantees of ₹557.50 million for subsidiary debt.

Industry Context

The Indian textile industry is projected to grow from USD 188 billion in FY26 to USD 350 billion in FY30 with 16.8% CAGR. Gujarat produces 60-70% of India's denim fabric and 37% of India's cotton, providing strategic positioning. The company has installed 10.30 MW solar capacity across multiple units, enhancing cost efficiency and sustainability.

Management & Governance

Promoters include Sumit Champalal Agarwal (62% pre-issue), Sandeep Santkumar Agrawal (17.44%), and Sachinkumar Santkumar Agrawal (10.92%), all with extensive textile industry experience. The board includes independent directors and mandatory committees have been constituted. The company converted from private to public limited in December 2024 and changed name in February 2025.