Alpine Texaworld IPO Day 3: Issue fully subscribed on last day. Check GMP, other details - apply or not?

Alpine Texaworld IPO gained momentum on the final day of bidding, with the issue achieving full subscription by 11:00 am on July 16 as investor interest picked up.

Alpine Texaworld IPO, which opened for subscription on 14 July, will close on Thursday, 16 July.

Alpine Texaworld IPO has been subscribed over 1.10 times on the last day of bidding, as of 12:25 PM.

The mainboard IPO has attracted bids for 1,32,23,040 shares against the 1,20,24,000 shares available, according to data from the Bombay Stock Exchange.

The subscription was largely supported by strong participation from Qualified Institutional Buyers (QIBs) and Retail Individual Investors (RIIs), with both categories fully subscribing to their allotted portions. Meanwhile, the quota reserved for Non-Institutional Investors (NIIs) was subscribed 80 percent.

Alpine Texworld IPO's grey market premium (GMP) has fallen to ₹3 per share, suggesting an estimated listing price of around ₹108. This implies a 2.86% premium over the IPO's upper price band of ₹115.

The GMP represents the difference between an IPO's issue price and its expected listing price in the unofficial grey market. However, investors should keep in mind that GMP is only an informal market indicator and should not be considered the sole factor when making an investment decision.

Swastika Investmart has assigned a 'Neutral' rating to the IPO, citing a balanced risk-reward profile. The brokerage said the company's strong FY26 performance was driven by the successful integration of its operations and investments in solar power, which helped it achieve a return on equity (RoE) of 33.85% and a return on capital employed (RoCE) of 17.56%.

It also highlighted that the company's profit after tax (PAT) margin improved sharply to 6.34% in FY26 from 3.63% in FY25. However, Swastika cautioned that sustaining these margins could be challenging due to intense competition in the textile industry. In addition, it noted that the IPO is priced at nearly 18.49 times its FY26 earnings, making the valuation appear somewhat expensive for a commoditised business.

The brokerage further pointed out that the company has a relatively high debt-to-equity ratio of 2.35 times. However, a significant portion of the IPO proceeds will be used to reduce debt, which should strengthen its balance sheet. Given the issue's modest size and the overall risk-reward equation, Swastika Investmart has retained its 'Neutral' recommendation on the IPO.

Alpine Texworld IPO opened for public subscription on Tuesday, July 14, and will close on Thursday, July 16. The company has fixed the price band at ₹100-105 per equity share. The issue opened alongside the SBI Funds Management IPO.

The IPO is a completely fresh issue of 1.20 crore equity shares, with no Offer for Sale (OFS), and aims to raise approximately ₹126 crore.

The basis of allotment is likely to be finalised on Friday, July 17. Successful applicants are expected to receive shares in their demat accounts on Monday, July 20, while refunds for unsuccessful bidders are also expected to be processed on the same day. The company's shares are tentatively scheduled to list on the BSE and NSE on July 21.

The company plans to utilise the net proceeds to establish a new weaving unit at its proposed Manufacturing Unit 3 in Ahmedabad, Gujarat, with the objective of expanding its grey fabric production capacity. Part of the funds will also be used for the prepayment or repayment of certain borrowings, while the balance will be allocated towards general corporate purposes.

Retail investors can apply for a minimum of 142 shares, requiring a minimum investment of ₹14,910 at the upper price band.