Sonaselection India Limited will launch its Initial Public Offering on September 17, 2026, with a price band of ₹94–₹99 per equity share and a fresh issue of up to 14.3 million equity shares.
Sonaselection India Limited, an integrated fabric manufacturing and processing company involved in producing value-added products, has announced the launch of its Initial Public Offering (IPO). The issue will open on Thursday, September 17, 2026, and close on Monday, September 21, 2026. The Anchor Investor Bid/Issue Period will open on Wednesday, September 16, 2026, one working day before the public issue.
IPO Price Band and Issue Details
The IPO comprises a Fresh Issue of up to 14,300,000 equity shares, each having a face value of ₹10.
The price band has been fixed at ₹94 to ₹99 per equity share. The minimum bid lot is 150 equity shares, with subsequent bids to be made in multiples of 150 shares.
The Floor Price represents 9.40 times the face value of the equity shares, while the Cap Price represents 9.90 times the face value.
The issue is being conducted through the Book Building Process in accordance with Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended, read with Regulation 31 and Regulation 6(1) of the SEBI ICDR Regulations.
Allocation for Institutional and Other Investors
Not more than 50% of the issue will be available for allocation on a proportionate basis to Qualified Institutional Buyers (QIBs), subject to the applicable SEBI ICDR Regulations.
In consultation with the Book Running Lead Manager (BRLM), the company may allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis.
Of the Anchor Investor Portion, 40% will be reserved as follows:
- 33.33% of the Anchor Investor Portion for domestic Mutual Funds.
- 6.67% for Life Insurance Companies and Pension Funds, subject to valid bids being received from the respective categories at or above the Anchor Investor Allocation Price.
Any under-subscription in the Life Insurance Companies and Pension Funds category may be allocated to domestic Mutual Funds in accordance with the SEBI ICDR Regulations.
If there is under-subscription or non-allocation in the Anchor Investor Portion, the balance equity shares will be added to the remaining QIB Portion, referred to as the Net QIB Portion.
Of the Net QIB Portion, 5% will be available for allocation on a proportionate basis only to Mutual Funds, subject to valid bids being received at or above the Issue Price. The remaining Net QIB Portion will be available for proportionate allocation to QIB bidders, other than Anchor Investors, including Mutual Funds.
If aggregate demand from Mutual Funds is below 5% of the Net QIB Portion, the balance shares available under the Mutual Fund Portion will be added to the remaining Net QIB Portion for proportionate allocation among all QIBs.
Non-Institutional and Retail Allocation
Not less than 15% of the issue will be available for allocation to Non-Institutional Bidders, while not less than 35% will be available to Retail Individual Bidders, subject to valid bids being received at or above the Issue Price.
One-third of the Non-Institutional Portion will be available to bidders with a bid size of more than ₹0.20 million and up to ₹1.00 million.
Two-thirds will be available to Non-Institutional Bidders with a bid size of more than ₹1.00 million.
Any under-subscription in either of these two sub-categories may be allocated to Non-Institutional Bidders in the other sub-category, in accordance with the SEBI ICDR Regulations and subject to valid bids being received at or above the Issue Price.
ASBA and UPI Application Process
All potential bidders, except Anchor Investors, are required to participate in the issue through the Application Supported by Blocked Amount (ASBA) process.
UPI Bidders will be required to provide their UPI ID, as applicable, along with details of their ASBA accounts. The corresponding bid amount will be blocked by Self Certified Syndicate Banks (SCSBs) or Sponsor Banks under the UPI mechanism, as applicable.
Anchor Investors are not permitted to participate through the ASBA process.
Use of IPO Proceeds
The net proceeds from the issue are proposed to be used for three primary purposes.
These include repayment and/or pre-payment, in full or part, of certain borrowings availed by the company from banks; funding capital expenditure for the purchase of plant and machinery at its existing manufacturing facility at 18th K.M. Stone, Chittorgarh Road, Hamirgarh, Bhilwara, Rajasthan; and general corporate purposes.
Listing on BSE and NSE
Choice Capital Advisors Private Limited is the Book Running Lead Manager to the issue, while Kfin Technologies Limited is the Registrar to the Issue.
The equity shares are proposed to be listed on both the BSE and NSE.
Sonaselection India Limited operates in fabric manufacturing and processing, with a focus on value-added products. The proposed IPO will provide funding towards borrowings, manufacturing equipment and general corporate purposes as outlined in the issue documents.