- Swara Baby filed DRHP to raise Rs 1,000 crore via IPO with SEBI on July 2
- IPO includes Rs 500 crore fresh issue and Rs 500 crore offer for sale by promoters
- Funds will support new Madhya Pradesh plant, debt repayment, and acquisitions
Disposable hygiene product manufacturer Swara Baby has filed its draft red herring prospectus (DRHP) to raise funds via public issue with market regulator Securities and Exchange Board of India (SEBI) on Thursday, July 2.
The proposed IPO will be a combination of fresh issuance of shares worth Rs 500 crore and an offer for sale (OFS) of Rs 500 crore. Through the OFS, Swara Baby promoters FirstCry parent Brainbees Solutions and Anadya Bon Merchari LLP will sell stake worth Rs 300 crores and Rs 200 crore respectively.
JM Financial Limited and Avendus Capital Private Limited are the bankers to the issue. In consultation with the book-running lead managers, the company may consider a pre-IPO placement of Rs 100 crore. The shares will be listed on NSE and BSE.
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Swara Baby IPO - Proceeds From Issue
The company plans to utilise the net proceeds from the public issue to -
- Finance capital expenditure for setting up a new manufacturing facility in Madhya Pradesh, India amounting to Rs 198.2 Crores repayment or prepayment,
- Full or in part, of certain borrowings availed by the Company amounting to Rs 100 Crores
- Investment in its subsidiaries, Solis Hygiene, Swara Hygiene, KAEHPL for repayment or prepayment of certain outstanding borrowings availed by them amounting to Rs 27.5 Crores
- Pursuing "inorganic growth" through unidentified acquisitions, along with general corporate purposes.
The DRHP read, "company expects to receive the benefits of listing of the equity shares on the stock exchanges, including among other things, enhancement of our company's brand name and creation of a public market for the equity shares in India."
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About Swara Baby
Swara Baby commenced operations in 2018, specialising in manufacturing disposable consumer hygiene products, across the baby care, adult and feminine hygiene product categories.
The company operates four manufacturing facilities across 24 acres in Pithampur and Indore, Madhya Pradesh, supported by warehouses across India. According to the DRHP, the firm leads in the baby diaper contract manufacturing segment with a 37% market share by value in FY25 and delivered 21.9% year-on-year growth in FY26. Swara Baby also leads the largest adult diapers contract manufacturing segment, with nearly 36% market share by value in FY25 and grew 24.9% year-onyear in FY26, the company said in a release.
In fiscal 2025-26, the company reported revenue from operations of Rs 1163.9 crore up from Rs 942.97 crores in the previous financial year. Profit stood at Rs 95.58 crore in FY26, against Rs 80.67 crore in the preceding year. In FY26, baby diapers contributed the largest share of product sales at Rs 911.81 crores, accounting for 79.06% of total sales.
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