Sonaselection IndiaIPO Review — Financials, Valuation & Peers
A data-only look at the Sonaselection India IPO: restated financials, valuation ratios, the RHP peer group and third-party analyst views. ipostation does not rate IPOs — nothing here is a recommendation.
Financials (₹ Cr)
| Period Ended | Revenue | PAT | EBITDA | Net Worth | Total Assets | Borrowings | EPS (₹) |
|---|---|---|---|---|---|---|---|
| FY 2024 | 121.31 | 13.1 | 28.49 | 38.88 | 203.5 | 144.6 | — |
| FY 2025 | 316.47 | 18.56 | 58.12 | 70.07 | 374.77 | 207.4 | — |
| FY 2026 | 517.6 | 34.02 | 84.77 | 104.16 | 474.99 | 258.24 | 8 |
Restated figures from the offer document. Amounts in ₹ crore; EPS in ₹ per share. FY = the 12 months ended 31 March.
KPIs & Valuation
- P/E (pre-issue)
- 12.38x
- P/E (post-issue)
- 16.53x
- RoNW
- 39.05%
- RoE
- 39.05%
- RoCE
- 19.69%
- Debt / Equity
- 2.48
- EPS (pre-issue)
- ₹8
- EPS (post-issue)
- ₹5.99
- EBITDA Margin
- 16.4%
- PAT Margin
- 6.58%
- P/BV
- 4x
- NAV / share
- ₹24.78
- Market Cap
- ₹562.6 Cr
As of 31 Mar 2026 (latest reported period in the offer document). Market cap is computed on a post-issue basis at the upper price band.
Peer Comparison
| Company | EPS (₹) | NAV (₹) | P/E | RoNW | Statements |
|---|---|---|---|---|---|
| Sonaselection India | 8.09 | 24.78 | — | 39.05% | Consolidated |
| Nitin Spinners Limited | 31.58 | 261.6 | 18.22x | 12.77% | Consolidated |
| Sangam (india) Limited | 16.44 | 211.85 | 37.29x | 8.02% | Consolidated |
| Vishal Fabrics Limited | 1.52 | 26.12 | 12.23x | 6.33% | Consolidated |
Peer group as disclosed in the offer document, figures as of 31 Mar 2026. The issuer’s P/E is computed at the upper price band.
Promoters & Shareholding
Promoters: <p>Harshil Nuwal, Subhash Chandra Nuwal, Uma Nuwal, Deepank Bhandari, Sona Polyspin Pvt.Ltd.</p>
- Holding (pre-issue)
- 86.21%
- Holding (post-issue)
- 64.52%
- Dilution
- 21.69%
Broker Recommendations
| Reviewer | Verdict |
|---|---|
| Capital Market | Avoid |
Third-party analyst views on the Sonaselection India IPO, aggregated for reference. ipostation does not rate IPOs — nothing here is investment advice.
Analysis in brief
Anchor book
The anchor round of the Sonaselection India IPO drew 3 institutional investors committing a combined ₹42.47 crore. Anchor investors are institutions allotted shares at the issue price a day before bidding opens, in exchange for a mandatory post-listing lock-in — their names and cheque sizes are disclosed, which is why the anchor book is read as an institutional signal. The largest allocations went to ASTORNE CAPITAL VCC-ARVEN (₹22.73 crore), INDIA MAX INVESTMENT FUND LTD. (₹9.87 crore) and LORDS MULTIGROWTH FUND (₹9.87 crore). Investor categories represented include Other. The lock-in on half the anchor shares ends on 21 Oct 2026, with the remainder locked until 20 Dec 2026.
Analyst view tally
For the Sonaselection India IPO, we track the published view of 1 reviewer, Capital Market among them. Of the 1 with a stated verdict, 1 says "Avoid". These are the views of the named reviewers, reproduced as published — they are not ipostation's recommendation, and this page does not rate the issue.
Margin and return profile
Away from the price multiples, the offer document also discloses the shape of the underlying business. Sonaselection India operates at an EBITDA margin of 16.4% and a net (PAT) margin of 6.58% — the share of revenue retained at the operating and the net level respectively. Capital efficiency reads at a return on capital employed (RoCE) of 19.69% and a return on equity (RoE) of 39.05%. At the upper band, the post-issue market capitalisation works out to about ₹562.6 crore. These are offer-document figures for the latest reported period (as of 31 Mar 2026); they describe the business as disclosed, not how the stock will trade.
Objects of the issue
Per the offer document, the company intends to deploy the net proceeds primarily toward repayment and/or pre-payment, in full or part, of certain borrowings (₹80 crore), alongside funding of capital expenditure towards purchase of plant and machineries at the existing manufacturing facility situated at 18th k m stone, chittorgarh road, hamirgarh, bhilwara- 311025 rajasthan, india (₹50.61 crore). In all, 3 objects are disclosed.
Financials
In FY2026, Sonaselection India reported revenue of ₹517.6 crore and a net profit of ₹34.02 crore. Revenue grew from ₹121.31 crore in FY2024 to ₹517.6 crore in FY2026 (+327.0%). Net worth stood at ₹104.16 crore at the end of FY2026. At the upper band, that puts the issue at roughly 12.4× FY2026 earnings (P/E), a figure worth comparing against listed peers in the sector.
Valuation
At the upper band, the issue is priced at 16.53× post-issue earnings and 4× book value, against a return on net worth of 39.05% and a debt-to-equity ratio of 2.48. These ratios come from the offer document and are for comparison, not a recommendation.
Peer comparison
The offer document names listed peers including Nitin Spinners Limited and Sangam (india) Limited, with a median peer P/E of about 18.2×. The issue's own post-issue P/E works out to 16.53×.
Promoters
The promoters of the company are <p>Harshil Nuwal, Subhash Chandra Nuwal, Uma Nuwal, Deepank Bhandari, Sona Polyspin Pvt.Ltd.</p>. Promoter holding stands at 86.21% before the issue and comes down to 64.52% after listing.
Frequently asked questions
- What is the reservation split in the Sonaselection India IPO?
- Of the total shares offered, retail investors get 35%, QIBs 20% (plus 30% anchor), non-institutional investors 15%.
- Who are the promoters of Sonaselection India and what is their holding?
- The promoters are <p>Harshil Nuwal, Subhash Chandra Nuwal, Uma Nuwal, Deepank Bhandari, Sona Polyspin Pvt.Ltd.</p>. Promoter holding is 86.21% before the issue and 64.52% after listing.
- What is the P/E ratio of the Sonaselection India IPO?
- At the upper price band, the Sonaselection India IPO is valued at 12.38× pre-issue earnings and 16.53× post-issue earnings, based on the financials disclosed in the offer document.
- What are the objects of the Sonaselection India IPO?
- The net proceeds go primarily toward repayment and/or pre-payment, in full or part, of certain borrowings, among 3 disclosed objects.