Alpine Texworld Ltd. IPO Date, Price, GMP, Review, Details

OVERVIEW:

Alpine Texworld Ltd. is an integrated textile manufacturer engaged in the manufacturing and trading of grey fabric and yarn, with operations spanning the spinning and weaving segments of the textile value chain. Incorporated in February 2016, the company commenced commercial production in April 2017 with its first manufacturing facility in Ahmedabad, Gujarat. Over the years, it has expanded its manufacturing footprint through capacity additions, backward integration, and the acquisition of a subsidiary, transforming itself into a vertically integrated textile player.

The company's operations are strategically located in Ahmedabad, one of India's leading textiles manufacturing hubs, providing access to a well-established supplier ecosystem, skilled workforce, and proximity to major cotton-producing regions. Initially, Alpine Texworld commenced operations with 48 high-speed Toyota shuttleless airjet looms at its weaving facility. In August 2018, it expanded capacity by installing an additional 64 Toyota airjet looms, taking the total to 112 looms with an annual installed weaving capacity of 180 lakh metres of grey fabric. The company also operates a Karl Mayer high-speed sizing machine with an annual yarn sizing capacity of 6,650 metric tonnes.

To strengthen its integrated manufacturing model, Alpine Texworld commissioned its spinning unit (Manufacturing Unit 2) in March 2025. The facility is equipped with four open-end rotor spinning machines supplied by Saurer Intelligent Technology AG, with an annual installed capacity of 6,000 metric tonnes of cotton and blended yarn. The spinning unit is located adjacent to the weaving facility, enabling efficient movement of yarn for in-house fabric production, reducing dependence on third-party suppliers, and improving operational efficiencies through backward integration.

The company's manufacturing capabilities were further enhanced following the acquisition of a 97% partnership stake in Alpine Cottweave LLP in October 2024. The subsidiary operates a weaving facility equipped with 72 high-speed Picanol airjet looms, adding an annual weaving capacity of 96 lakh metres. During FY26, Alpine Cottweave LLP accounted for approximately 36% of the company's consolidated revenue from operations, underscoring its significance within the group's manufacturing operations.

Alpine Texworld primarily generates major revenue from manufacturing and selling grey fabric in FY26. The company also manufactures yarn, provides yarn sizing services, and undertakes limited trading of grey fabric and yarn. Revenue from operations increased from ₹1,836.03 million in FY24 to ₹3,427.13 million in FY26, supported by capacity expansion, higher production volumes, and the consolidation of its subsidiary. Gujarat remains the company's primary market, being the major contributor to revenue, while it has gradually expanded its presence into states such as Uttar Pradesh, Delhi, Haryana, and Punjab.

The company has also invested in renewable energy infrastructure to improve cost efficiency and sustainability. Its renewable energy portfolio comprises rooftop solar installations at both manufacturing units and a ground-mounted solar power project in Banaskantha, Gujarat, helping reduce dependence on conventional grid power. Looking ahead, Alpine Texworld is developing its proposed Manufacturing Unit 3 to further expand weaving capacity and support future growth. Backed by integrated manufacturing operations, modern production infrastructure, and ongoing capacity expansion, the company aims to strengthen its position in India's textile manufacturing industry while improving operational efficiency and production scalability. Bottom of Form

IPO DETAILS

USE OF FUNDS

• Setting up a new weaving unit at the proposed Manufacturing Unit 3 in Ahmedabad, Gujarat, to expand grey fabric manufacturing capacity.
• Prepayment or repayment, in full or in part, of certain outstanding borrowings.
• Meeting general corporate purposes.

KEY STRENGTHS

• Strategic Presence in Gujarat with Integrated Manufacturing Capabilities

Alpine Texworld benefits from its strategic location in Ahmedabad, Gujarat, one of India's leading textile manufacturing hubs with strong access to high-quality cotton, robust infrastructure, and supportive government policies. The company's integrated operations, comprising adjacent weaving and spinning facilities, strengthen operational efficiency, improve supply chain reliability, and enhance quality control through backward integration. Its proximity to key cotton-producing regions ensures consistent availability of raw materials and cost advantages. Supported by long-standing supplier relationships and a growing customer base across multiple states, the company is well-positioned to capitalise on rising demand in the textile sector while leveraging its modern manufacturing capabilities to drive scalable and efficient operations.

• Advanced Manufacturing Infrastructure with Automated Global Machinery

Alpine Texworld has invested in modern, automated manufacturing infrastructure equipped with machinery from globally recognised manufacturers, including Toyota, Picanol, Karl Mayer, and Saurer. Its manufacturing facilities include 112 high-speed Toyota airjet looms, a Karl Mayer high-speed sizing machine, and four open-end rotor spinning machines, enabling efficient production of grey fabric and yarn, as well as yarn sizing services. In addition, its subsidiary operates 72 Picanol airjet looms, further enhancing production capacity. The use of advanced automation improves productivity, product consistency, operational efficiency, and manufacturing precision, strengthening the company's ability to meet customer demand while maintaining quality standards.

• Backward Integration Enhances Operational Efficiency and Cost Competitiveness

Alpine Texworld has strengthened its manufacturing capabilities through strategic investments and backward integration initiatives. The company acquired a 97% stake in Alpine Cottweave LLP, adding 72 high-speed Picanol airjet looms and increasing the group's total weaving capacity to 276 lakh metres per annum. In 2025, it commissioned an in-house spinning facility with an annual capacity of 6,000 MT, reducing dependence on external yarn suppliers and mitigating raw material price volatility. The proximity of its spinning and weaving units enables seamless yarn movement, improving production efficiency, reducing logistics costs, and enhancing overall operational efficiency.

KEY RISKS

• Regulatory Compliance and Environmental Approval Risk

Alpine Texworld commenced operations at its second manufacturing unit before obtaining the required environmental approvals from the Gujarat Pollution Control Board (GPCB), resulting in regulatory scrutiny and a penalty before the necessary consent was subsequently obtained. While the company intends to secure all approvals for its proposed Manufacturing Unit 3 in a timely manner, any future delays or non-compliance with environmental and statutory regulations could lead to penalties, operational disruptions, project delays, or reputational damage. Such regulatory lapses could adversely affect the company's business operations, financial performance, and growth plans.

• Customer Concentration Risk

Alpine Texworld derives over 70% of its revenue from its top 10 customers, with no long-term supply agreements in place. This exposes the company to risks such as order cancellations, pricing pressures, customer attrition, and payment delays. Additionally, many of its key customers operate within the same textile cluster, increasing exposure to regional demand slowdowns and credit-related risks. Any reduction in business from these customers or deterioration in their financial health could adversely affect the company's revenue, working capital, cash flows, profitability, and overall financial performance.

• Contingent Liability from Corporate Guarantees

Alpine Texworld has extended corporate guarantees, along with a promoter group company, to secure borrowings availed by its subsidiary, Alpine Cottweave LLP. While the subsidiary has consistently serviced its debt obligations, these guarantees represent a significant contingent liability for the company. Any future default by the subsidiary could trigger the invocation of the guarantees, requiring Alpine Texworld to assume repayment obligations. Such an event could adversely impact the company's liquidity, cash flows, borrowing capacity, and overall financial condition.

Financial Snapshot

Peer Group Comparison

Conclusion

Alpine Texworld Ltd. has evolved into an integrated textile manufacturer with capabilities across spinning and weaving, supported by modern manufacturing infrastructure and investments in renewable energy. The company has demonstrated strong revenue and profitability growth over the last three years while expanding its production capacity through backward integration. However, investors should also consider its high customer concentration, elevated leverage, contingent liabilities from corporate guarantees, and past regulatory compliance issues. The company's ability to successfully execute its ongoing expansion, diversify its customer base, manage debt, and maintain regulatory compliance will be key determinants of its long-term growth and financial performance.