⁠Borana Weaves IPO GMP Falls To Rs 52 On Day Two — Check Subscription Status And Other Details

The initial public offering (IPO) of Borana Weaves Ltd. opened for subscriptions on May 20 and saw strong investor interest. On the first day of bidding, the issue was subscribed 8.66 times, according to the NSE data.

Borana Weaves, based in Surat, Gujarat, operates in the textile manufacturing sector. The price band for the Borana Weaves IPO has been set between Rs 205 and Rs 216 per share.

As of 11:53 a.m. on May 21, 2025, the grey market premium (GMP) for the Borana Weaves IPO stood at Rs 52, according to InvestorGain. Based on the upper end of the price band of Rs 216, the estimated listing price would be around Rs 268 (216 + 52). This suggests a potential listing gain of around 24.07% per share.

Note: GMP is not an official source of data and is based on speculation.

The bidding window for the Borana Weaves IPO opened on Tuesday, May 20. On the first day, investors placed bids for 3.14 crore shares against the 36.89 lakh shares available, leading to an overall subscription of 8.66 times.

Retail investors showed the strongest demand, subscribing their quota 25.55 times. The Non-Institutional Investors (NIIs) booked their category 11.64 times, while the Qualified Institutional Buyers (QIBs) booked their segment 1.54 times.

Check Borana Weaves IPO Day 2 Subscription Status Here.

Borana Weaves IPO is a book-building issue worth Rs 144.89 crore, consisting entirely of a fresh issue of 67.08 lakh shares.

The retail investors can bid for at least a single lot size of 69 shares. For retail investors, the minimum application amount is Rs 14,904 for a single lot size.

For small high-net-worth individuals (S-HNIs), the minimum application is 14 lots (966 shares) worth Rs 2,08,656, with a maximum of 67 lots (4,623 shares) valued at Rs 9,98,568. Big high-net-worth individuals (B-HNIs) can apply for a minimum of 68 lots, which equals 4,692 shares and requires an investment of Rs 10,13,472.

Beeline Capital Advisors Pvt Ltd. is the book-running lead manager for the Borana Weaves IPO, with Kfin Technologies ltd. appointed as the registrar for the issue.

The subscription window for the Borana Weaves IPO will remain open until May 22. The allotment of shares is expected to be finalised on May 23, followed by the initiation of refunds to unsuccessful applicants and the credit of shares into the Demat accounts of successful bidders on May 26. The company’s shares are proposed to be listed on the stock exchanges on May 27. Shares of Borana Weaves will be listed on BSE and NSE.

Borana Weaves specialises in unbleached synthetic grey fabric. This fabric acts as a raw material for further processes like dyeing and printing, serving diverse industries such as fashion, traditional textiles, technical textiles, home décor and interior design. Besides grey fabric, the company also produces polyester textured yarn, which is made by heating polyester oriented yarn — an essential raw material used in manufacturing their grey fabric.

Borana Weaves plans to use the net proceeds from the IPO to finance the establishment of a new manufacturing unit in Surat, Gujarat, aimed at expanding its production capacity for grey fabric. Additionally, the company intends to use the funds to meet incremental working capital requirements and for general corporate purposes.

In FY24, Borana Weaves posted a 44.7% year-on-year increase in net profit at Rs 23.59 crore compared to Rs 16.3 crore in FY23. Revenue also grew to Rs 199.6 crore compared to Rs 135.53 crore in the previous fiscal.

For the nine-month period ending Dec. 31, 2024, the company reported a net profit of Rs 29.31 crore and revenue of Rs 215.71 crore.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.