NAPS Global India is set to make its debut on the SME platform of BSE, offering investors a unique opportunity to tap into India’s growing textile and garment industry. With a focus on fabric imports and garment manufacturing, the company has demonstrated strong financial growth in recent years. As the Indian textile sector continues its upward trajectory, this IPO could provide an attractive investment avenue for those seeking exposure to a high-growth, high-margin business. In this article, the NAPS Global IPO review provides you with the company’s prospects, financials, and key investment considerations.
Table of Contents
#1 NAPS Global IPO Review: Business Overview
NAPS Global India is a Mumbai-based wholesale importer of textile products, primarily cotton and man-made fabrics. The company has established a robust supply chain with manufacturers in China and Hong Kong, catering to garment manufacturers across Maharashtra and beyond. With a decade-long presence in the industry, NAPS Global is transitioning from a fabric supplier to a vertically integrated player by entering the readymade garment sector. The company operates an asset-light business model, minimizing capital expenditure while maintaining operational efficiency.
#2 NAPS Global IPO Analysis: Products & Solutions Portfolio
NAPS Global primarily operates on a B2B model, supplying fabrics to garment manufacturers and their vendors. The company’s product offerings are categorized into:
- Fabrics: Linen Fabric, Knitted Jacquard, KS Velvet Fabric, TR Knitted Fabric, Scuba Suede, Cotton Print, TR Brush Product.
- Garments: Women’s casual shirts, floral print tops, toned jeans, and men’s jeans.
#3 NAPS Global IPO Review: Industry Overview
The Indian textile industry is projected to reach USD 209 billion by 2029, driven by strong domestic demand, increasing exports, and government initiatives. The demand for technical textiles is also on the rise, with a projected growth of 8% CAGR in industrial textiles. India’s apparel and fabric sectors are benefiting from rising disposable incomes and a shift towards organized retail. Man-made textiles contribute INR 1,859 crore (34%) to India’s textile imports, positioning NAPS Global favorably within a high-demand segment.
#4 NAPS Global IPO Analysis: Offer Details & Offer Structure
- Price Band: INR 90 per share
- IPO Open Date: 04 March 2025
- IPO Close Date: 06 March 2025
- IPO Listing Date: 11 March 2025
- Listing Exchange: BSE SME
- Fresh Issue: 13,20,000 shares
- Total Issue Size: INR 11.88 crore
- Market Maker Reservation: 72,000 shares (INR 0.65 crore)
- Retail Allocation: 50%
The IPO consists of a fresh issue of equity shares with no offer-for-sale component. Post-issue, the promoters’ holding will dilute from 52.97% to 37.19% for Pankaj Jain and 19.54% to 13.72% for Ronak Mistry, signaling their continued commitment to the company’s growth.
#5 NAPS Global IPO Review: Financial Highlights
As of December 2024, the top five customers contributed 50.84% of total revenue, reflecting a well-diversified client base. The company’s revenue from operations grew at an impressive CAGR of 88.30%, rising from INR 13.34 crore in FY 2022 to INR 47.31 crore in FY 2024. Alongside this, net worth surged from INR 0.83 crore (March 2022) to INR 3.81 crore (March 2024), indicating strong financial health. Profit after tax (PAT) expanded at a remarkable CAGR of 182.02%, reaching INR 1.45 crore in FY 2024, underscoring the company’s ability to reinvest earnings for growth while maintaining financial sustainability without excessive reliance on external funding.
| FY 2022 | FY 2023 | FY 2024 | 9M FY 2025 | |
| Revenue | 13.34 | 25.89 | 47.31 | 52.44 |
| Expenses | 13.23 | 25.57 | 46.08 | 50.85 |
| Net income | 0.18 | 0.27 | 1.45 | 1.53 |
| RONW (%) | 21.94 | 24.61 | 38.15 | 28.73 |
| EBITDA (%) | 3.01 | 2.09 | 3.99 | 4.02 |
| ROCE (%) | 30.35 | 42.62 | 47.47 | 38.42 |
| Debt/Equity | 0.27 | 0.11 | NA | 0.31 |
#6 NAPS Global IPO Analysis: Asset-Light Business Model
One of NAPS Global’s key advantages is its asset-light model, allowing it to optimize costs and maximize capital efficiency. Instead of investing in physical retail stores or large manufacturing facilities, the company operates via a centralized registered office in Mumbai and a warehouse in Bhiwandi, Thane. This strategic approach helps reduce overhead costs such as rent, maintenance, and administrative expenses, improving overall profitability.
#7 Strong Supplier Relationships Ensuring Competitive Advantage
The company has built long-term relationships with suppliers in China and Hong Kong, enabling efficient procurement at competitive prices. The company’s top 5 suppliers accounted for 90.22% of total purchases as of 31 December 2024, highlighting the strength of its supply chain. Additionally, purchases from its top 10 suppliers comprised 98.83% of total procurement, demonstrating a well-established and reliable vendor network.
#8 Comparison of Accounting Ratios: NAPS Global vs Industry Peers
| Company | PE ratio | EPS | RONW (%) | NAV | Revenue (INR Cr.) |
| NAPS Global | 12.93 | 6.96 | 38.15 | 12.24 | 47.31 |
| Alstone Textiles | 22.67 | 0.03 | 2.73 | 1.20 | 8.15 |
| Soma Textiles | 6.27 | 6.40 | 23.86 | 26.80 | 5.20 |
NAPS Global demonstrates a strong financial position compared to its industry peers, Alstone Textiles and Soma Textiles, across key accounting ratios. With a PE ratio of 12.93, it is positioned between Alstone Textiles (22.67) and Soma Textiles (6.27), indicating a balanced valuation. Additionally, NAPS Global boasts the highest Return on Net Worth (RONW) at 38.15%, significantly outperforming Soma Textiles (23.86%) and Alstone Textiles (2.73%), reflecting its strong profitability.
#9 NAPS Global IPO Analysis: Strengths
- Strong Industry Tailwinds: Growing demand for garments and technical textiles.
- Established Supply Chain: Long-term relationships with fabric suppliers in China and Hong Kong.
- Financial Growth: Strong revenue and profit growth with prudent capital utilization.
- Asset-Light Model: Low capital expenditure ensures a high return on investment.
- Expansion Plans: Entry into the garment manufacturing segment for higher margins.
#10 NAPS Global IPO Review: Risks and Threats
- Customer Concentration: Top 5 customers contribute 50.84% of revenue, posing a dependency risk.
- Raw Material Price Volatility: Fluctuations in fabric prices could impact margins.
- Competition: Established players with larger capital bases could exert pricing pressure.
- Regulatory Risks: Changes in import policies for textiles from China could impact sourcing.
Conclusion: Should You Invest in NAPS Global IPO?
NAPS Global presents a compelling investment case, with robust revenue growth, a high-margin asset-light model, and strong supplier relationships. Its leadership’s industry experience and financial prudence further add to its strengths. However, investors should weigh the risks associated with supply chain dependencies and market competition before making a decision. Given its rapid expansion and increasing profitability, the IPO could be an attractive opportunity for those looking to invest in India’s growing textile sector.
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