Borana Weaves Makes Stock Market Debut Today: Starts Strong with 12.5% Gain

Borana Weaves Limited, a textile company based in Surat, listed its shares on the stock market today (May 27). The company’s shares started trading at ₹243, which is around 12.5% higher than the IPO price of ₹216. This is a strong start and a good sign for those who got shares during the IPO.

What Is Borana Weaves?

Borana Weaves is a relatively new company in the textile business, started in 2020. They mainly produce fabrics and polyester yarn — the stuff used to make clothes and other textile products. Their factories are in Surat, Gujarat, and they use modern machines to make their products.

In the last financial year, the company earned around ₹199 crore in revenue and made a profit of ₹23.5 crore. That’s a solid performance for a company that’s only a few years old.

IPO Was in High Demand

The IPO (Initial Public Offering), which opened last week from May 20 to May 22, received a lot of attention. In fact, it was oversubscribed by almost 149 times! That means way more people wanted to buy shares than the number of shares available.

Here’s how different types of investors reacted:

• Big financial institutions (QIBs): Booked 87 times more shares than available

• Wealthy investors (NIIs): Oversubscribed by 237 times

• Regular people like you and me (Retail Investors): Oversubscribed by 200 times

Clearly, everyone was excited.

What About GMP?

Before the shares actually started trading, there was a buzz in the grey market — that’s an unofficial market where people guess how a new IPO might perform. The “Grey Market Premium” (or GMP) for Borana Weaves was around ₹28, suggesting a good listing. That prediction turned out to be quite accurate, with shares listing at ₹243.

What Will They Do with the IPO Money?

The company raised around ₹145 crore through this IPO. Here’s where they plan to use the money:

• Set up a new factory in Surat to expand their business

• Meet day-to-day financial needs as they grow

• Cover general business expenses

This means they’re planning ahead and using the money to build and grow.

What This Means for You

If you had applied for the IPO and received shares, you’re probably happy with the strong listing. Even if you didn’t invest, this story is an example of how a small, young company with a solid business can create big excitement in the stock market.

In Simple Words

• Borana Weaves is now officially listed on the stock exchange.

• It listed at ₹243 — 12.5% higher than its offer price.

• The IPO was super popular, with big demand from all types of investors.

• The company plans to use the raised money to grow its business in Surat.

• The positive start shows good confidence in the company’s future.