Ashutosh Fibre to launch new IPO

The global technical textile market is moving toward high-performance materials, and Ashutosh Fibre is positioning itself to capture this demand by launching a new IPO. The Gujarat-based company has filed a Draft Red Herring Prospectus for an IPO of 70,00,000 equity shares on the NSE SME platform, prioritizing a heavy investment in Friction Spinning and Ring Spinning infrastructure.

This capital infusion is a response to the growing industrial requirements for specialized para-aramid and antistatic polypropylene yarns that are essential for flame-retardant apparel and high-efficiency filtration systems. Industry analysts note, as global safety regulations tighten, the demand for ‘Protech’ and ‘Indutech’ textiles is expected to grow at a CAGR of over 10 per cent.

Ashutosh Fibre’s recent financial performance, marked by a 21 per cent rise in profit to Rs 8.51 crore, provides a stable foundation for this expansion. Rajen Jhaveri, Managing Director states, the objective of this IPO launch is to modernize the Petlad facility to meet the rigorous quality standards of international markets like the UK and Thailand. While rising raw material costs for synthetic fibers pose a challenge, the company’s focus on niche, value-added yarns gives a margin cushion compared to conventional textile players.

A Gujarat-based specialist in technical textiles, Ashutosh Fibre focuses on DREF and Ring Spinning technologies. The company produces high-performance synthetic yarns for safety and industrial sectors. With a 21 per cent profit growth in FY25, it is now expanding its Petlad facility to boost global exports and domestic market share.