Company Profile
Borana Weaves Limited is a Surat-based textile manufacturer specializing in the production of unbleached synthetic grey fabric. Established in 2020, the company has rapidly expanded its operations and now operates three state-of-the-art manufacturing units in Surat, Gujarat. These facilities are equipped with advanced machinery, including 700 high-speed water jet looms, 15 texturizing machines, and 6 warping machines, enabling Borana Weaves to produce high-quality fabrics efficiently.
Business Model
- Manufacturing Excellence
Leveraging advanced machinery and technology in their Surat-based manufacturing units to produce high-quality synthetic fabrics efficiently and at scale. - Product Focus
Concentrating on unbleached synthetic grey fabric, which serves as a key raw material for further processing like dyeing and printing, as well as producing polyester textured yarn used in various textile applications. - Customer Segments
Serving a wide range of textile manufacturers, garment producers, and other industrial customers both domestically and internationally. - Sustainability Initiatives
Implementing eco-friendly processes such as water recycling to minimize environmental impact and comply with regulatory standards. - Growth through Capacity Expansion
Continuously investing in expanding manufacturing capacity to meet increasing demand and enhance market share. - Efficient Supply Chain Management
Maintaining close relationships with suppliers of raw materials and distributors to ensure timely delivery and cost control. - Quality Assurance and Innovation
Focusing on quality control and adopting new technologies to improve product consistency and meet evolving industry standards.
Product Portfolio
- Unbleached Synthetic Grey Fabric
- The company specializes in manufacturing unbleached synthetic grey fabric, which is a versatile base fabric used extensively in the textile industry for further processing such as dyeing, printing, and finishing.
- This fabric serves as a foundational product for various garment manufacturers and textile processors.
- Polyester Textured Yarn (PTY Yarn)
- Borana Weaves produces polyester textured yarn, an essential input used in synthetic fabric production.
- PTY yarn enhances fabric properties such as stretch, comfort, and appearance, making it highly valued in apparel and home textile products.
- Other Synthetic Fabrics
- Alongside its core products, the company also manufactures a range of synthetic fabrics tailored to customer specifications, meeting diverse industrial requirements.
Financial Snapshot (as of March 31, 2024)
📊 Financial Highlights (₹ in Crores)
| Metric | Value |
|---|---|
| Revenue | ₹199.1 crore |
| EBITDA | ₹41.17 crore |
| Net Profit | ₹23.59 crore |
| Total Expenditure | ₹171.21 crore |
| Total Assets | ₹74.98 crore |
| Total Liabilities | ₹74.98 crore |
| Net Worth | ₹24.77 crore |
| Debt | ₹38.89 crore |
📈 Key Financial Ratios
| Ratio | Value | Explanation |
|---|---|---|
| Operating Margin | ~20.7% | EBITDA / Revenue — Indicates operational efficiency and profitability before interest and taxes. |
| Net Profit Margin | ~11.85% | Net Profit / Revenue — Measures the percentage of revenue converted into net profit. |
| Debt-to-Equity Ratio | ~1.57 | Debt / Net Worth — Reflects the company’s financial leverage and reliance on debt financing. |
| Return on Equity (ROE) | ~95.3% | Net Profit / Net Worth — Shows how effectively the company generates profit from shareholders’ equity. |
| Return on Assets (ROA) | ~31.5% | Net Profit / Total Assets — Indicates how efficiently assets are used to generate profit. |
Initial Public Offering (IPO) Plans
Issue Type: Book Building – Mainboard IPO
Issue Size: Fresh issue of 70,00,000 equity shares with a face value of ₹10 each
Price Band: ₹205 to ₹216 per share
Retail Allocation: 10%
Qualified Institutional Buyers (QIB) Allocation: 75%
High Net-worth Individuals (HNI) Allocation: 15%
Listing Exchanges: BSE and NSE
Listing Date: May 27, 2025
Merchant Banker: Beeline Capital Advisors Private Limited
Registrar: KFIN Technologies Limited
Objectives of the Issue
The funds raised through the IPO will be utilized for:
- Establishing a New Manufacturing Unit: To expand production capabilities for grey fabric in Surat, Gujarat.
- Working Capital Requirements: To support the company’s operational needs.
- General Corporate Purposes: To fund various corporate activities.
Strengths for Investors
Strong Manufacturing Capabilities
Borana Weaves operates modern, well-equipped manufacturing units with advanced technology, enabling efficient production and consistent quality of synthetic fabrics.
Robust Financial Performance
The company has demonstrated steady revenue growth and profitability, reflecting effective cost management and strong market demand.
Strategic Location
Based in Surat, a major textile hub, the company benefits from proximity to raw material suppliers, skilled labor, and a large customer base.
Growing Market Demand
Synthetic fabrics continue to see increasing demand due to their versatility and cost-effectiveness, providing a favorable environment for sustained growth.
Focused Product Portfolio
Concentration on unbleached synthetic grey fabric and polyester textured yarn allows specialization and expertise, creating a competitive advantage.
Sustainability Initiatives
Commitment to environmentally friendly practices such as water recycling aligns with global sustainability trends and regulatory requirements.
Planned Capacity Expansion
Use of IPO proceeds to expand manufacturing capacity positions the company for higher production volumes and market share growth.
Experienced Management Team
Leadership with deep industry knowledge and strategic vision supports strong governance and business execution.
Future Outlook
Borana Weaves Limited is well-positioned to capitalize on the growing demand for synthetic textiles driven by expanding markets in both domestic and international sectors. With plans to enhance production capacity through new manufacturing facilities, the company aims to meet increasing customer needs efficiently.
The focus on innovation and sustainable manufacturing practices will further strengthen its competitive edge, appealing to environmentally conscious buyers and regulatory bodies. Continuous investment in technology and process optimization is expected to improve operational efficiency and reduce costs.
Additionally, Borana Weaves plans to diversify its product offerings and expand into new market segments, which can drive revenue growth and enhance profitability. Strong management and financial discipline provide a solid foundation for navigating market challenges and capturing emerging opportunities.
Overall, the company’s future looks promising as it pursues strategic growth initiatives, embraces sustainability, and leverages its industry expertise to build long-term value for stakeholders.
🧭 Vision and Leadership
Vision:
Borana Weaves Limited aspires to be a leading manufacturer of high-quality synthetic fabrics, known for innovation, sustainability, and customer-centric solutions. The company envisions driving growth by blending advanced technology with environmentally responsible practices, aiming to create lasting value for customers, employees, and shareholders alike.
Leadership:
The company is guided by a team of experienced professionals with deep expertise in textile manufacturing, operations, and business strategy. The leadership prioritizes ethical governance, operational excellence, and continuous improvement. Their strategic focus includes expanding manufacturing capacity, adopting sustainable practices, and strengthening market presence.
The leadership’s commitment to transparency, innovation, and sustainability ensures that Borana Weaves is well-equipped to navigate industry challenges and capitalize on emerging opportunities, steering the company towards a robust and sustainable future.
Market Positioning and Growth Prospects
Borana Weaves Limited has established itself as a prominent player in the synthetic textile manufacturing sector. Specializing in unbleached synthetic grey fabric and polyester textured yarn, the company caters to diverse industries, including fashion, technical textiles, home décor, and interior design.
Strategic Location:
Headquartered in Surat, Gujarat—a renowned textile hub—Borana Weaves benefits from proximity to raw material suppliers, skilled labor, and a robust distribution network. This strategic location enhances its operational efficiency and market reach.
Technological Edge:
The company operates state-of-the-art manufacturing units equipped with advanced machinery, including high-speed water jet looms, texturizing machines, and warping machines. This technological prowess enables Borana Weaves to produce high-quality fabrics efficiently, meeting the evolving demands of the textile industry.
Growth Prospects
Borana Weaves Limited is set to experience strong growth driven by increasing demand for synthetic textiles in both domestic and international markets. The company plans to expand its manufacturing capacity by setting up new production facilities, enabling it to cater to a broader customer base and meet rising order volumes efficiently.
Continuous investments in modern machinery and technology will enhance product quality and operational efficiency, supporting higher production output with controlled costs. Additionally, the company aims to diversify its product offerings, exploring new types of synthetic fabrics and yarns to capture emerging market segments.
Sustainability remains a key focus, with initiatives to minimize environmental impact through resource-efficient processes, which is expected to improve brand reputation and open up new opportunities.
Strategic market expansion, coupled with strong management and financial discipline, positions Borana Weaves for sustainable and profitable growth in the coming years.
