Sona Selection India Limited is set to enter the capital markets with its initial public offering (IPO), with the issue scheduled to open for subscription on September 17, 2026. The IPO will remain open until September 21, giving investors five days to participate in the book-building issue. The bidding process for anchor investors will begin a day earlier, on September 16.
The company, which operates in the fabric manufacturing and processing sector, has fixed the IPO price band at ₹94 to ₹99 per equity share. The equity shares have a face value of ₹10 each. At the upper end of the price band, the issue provides investors with an opportunity to participate in the company’s proposed expansion and financial plans.
The IPO comprises a fresh issue of up to 1.43 crore equity shares. Investors can bid for a minimum of 150 shares, with subsequent bids required to be made in multiples of 150 shares. Based on the upper price band of ₹99 per share, retail investors would need ₹14,850 to apply for one lot.
Where the IPO Proceeds Will Go
Sona Selection India plans to use the net proceeds raised through the IPO for several purposes. A significant portion will be directed towards the repayment or pre-payment of certain borrowings availed from banks.
The company also intends to invest in capital expenditure for purchasing plant and machinery at its existing manufacturing facility in Bhilwara, Rajasthan. The investment is aimed at supporting the company’s manufacturing operations and strengthening its existing production infrastructure.
Apart from debt repayment and capital expenditure, a portion of the IPO proceeds will be used for general corporate purposes. The allocation of funds is expected to support the company’s broader business requirements as it moves forward following the public issue.
Book-Building Issue
The Sona Selection India IPO will be conducted through the book-building process. Under this mechanism, investors can bid within the specified price band, while the final issue price is determined based on demand received during the bidding period.
The company’s equity shares are proposed to be listed on both the BSE and NSE following the completion of the IPO process. The proposed listing on India’s two major stock exchanges will provide investors with a platform to trade the company’s shares after listing.
With the IPO opening on September 17, investors will be watching the subscription response, demand across investor categories and the eventual listing performance. The issue also comes at a time when the primary market continues to attract companies looking to raise funds for debt management, capacity expansion and other corporate requirements.
Investors considering the issue should carefully review the company’s offer documents, financial performance, business prospects, risks and valuation before making an investment decision. The IPO’s price band, lot size and proposed use of proceeds provide the basic framework for investors assessing the offering ahead of the subscription period.
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