Unitec Fibres Limited

Unitec Fibres Limited is an established, ISO 9001:2015 and ISO 14001:2015 certified manufacturer of Recycled Polyester Staple Fibre (RPSF). Incorporated in 2005, the company operates a sustainable B2B manufacturing model centered on converting post-consumer plastic waste—specifically Polyethylene Terephthalate (PET) bottles, PET flakes, PET chips, and pre-consumer textile waste—into high-grade recycled synthetic fibers. Its core value proposition lies in replacing virgin petroleum-based polyester with eco-friendly recycled fibers, helping corporate clients lower their carbon footprint, conserve natural resources, and meet regulatory Extended Producer Responsibility (EPR) mandates. The company generates revenue through direct sales of RPSF to industrial end-users, export shipments, the sale of manufacturing by-products (lumps, wiry, chips, popcorn), and the monetization of Extended Producer Responsibility (EPR) certificates.

The company caters primarily to business-to-business (B2B) institutional buyers, spinners, non-woven fabric manufacturers, and industrial converters across India and international markets. Its key end-user industry segments include Home Furnishing (sofas, curtains, carpets; 46.47% of FY26 revenue), Automobiles (car carpets, trunk liners, roof liners; 36.14% of FY26 revenue), Non-Woven Fabrics (10.25% of FY26 revenue), and Textiles (5.04% of FY26 revenue). Geographically, domestic sales across India accounted for 89.98% of FY26 revenue from operations (₹201.78 Cr), with key domestic customer concentrations in Gujarat (20.38%), Maharashtra (15.68%), Tamil Nadu (13.82%), and Haryana (9.64%). International exports to countries such as Bangladesh, France, the United Kingdom, and Germany contributed 9.16% of FY26 revenue (₹20.55 Cr).

As of the prospectus date, the company operates two integrated manufacturing units (Unit 1 and Unit 2) situated on long-term MIDC leasehold land in Tarapur Industrial Area, Palghar, Thane district, Maharashtra. These units possess a combined installed production capacity of up to 27,984 Metric Tonnes Per Annum (MTPA) for RPSF.

Unit 1 (E-56 & E-57): Maintains an installed capacity of 12,198 MTPA, recording actual production of 10,516.66 MT (86.22% capacity utilization) in FY26, 11,057.90 MT (90.65%) in FY25, and 11,014.17 MT (90.29%) in FY24.

Unit 2 (Plot N-29): Maintains an installed capacity of 15,786 MTPA, recording actual production of 14,909.11 MT (94.45% capacity utilization) in FY26, 14,401.37 MT (91.23%) in FY25, and 14,822.06 MT (93.89%) in FY24.

Across both units, aggregate capacity utilization stood at 90.85% in FY26, 90.98% in FY25, and 92.32% in FY24. To support future volume expansion, the company has acquired 47,494 square meters of land in Valsad, Gujarat, to construct an additional production facility designated as Unit 3.

R&D capabilities and operational highlights focus on technical fiber engineering, color matching, and environmental certification rather than pure academic research. The company manufactures RPSF across a wide denier spectrum ranging from 0.9 to 20 denier in both solid and hollow configurations, cut lengths from 32 mm to 102 mm, and diverse finishes including siliconized, non-siliconized, optical white, and dope-dyed black. In-house masterbatch blending eliminates the need for post-production chemical dyeing, saving substantial water and thermal energy. Its manufacturing quality is validated by international accreditations, including ISO 9001:2015, ISO 14001:2015, Oeko-Tex Standard 100 certification from Hohenstein Laboratories (Germany), and Global Recycled Standard (GRS v4.0) scope certification from Taiwan IDFL Laboratory.

Operational highlights show strong raw material processing capabilities, utilizing over ₹149.05 Cr worth of PET flakes, PET chips, wire, and polyester waste in FY26. The company operates a B2B sales model supported by 171 permanent employees. As of September 10, 2026, the company held a confirmed unexecuted order book of ₹19.03 Cr across domestic and overseas clients. Furthermore, during FY26, the company generated ₹1.20 Cr in EPR credit income by monetizing plastic waste recycling credits with obligated brand owners under Indian Plastic Waste Management Rules.

Based on its historical financial data, Unitec Fibres Limited posted total income and net profits of ₹204.99 Cr / ₹7.42 Cr in FY24, ₹227.13 Cr / ₹8.22 Cr in FY25, and ₹224.86 Cr / ₹7.60 Cr in FY26. The company has shown steady top-line expansion, with revenue from operations growing at a CAGR of 4.81% over the FY24–FY26 period, while total borrowings expanded from ₹15.72 Cr in FY24 to ₹77.19 Cr in FY26 (with ₹31.00 Cr allocated from Fresh Issue proceeds toward bank loan repayment). It boasts an average EPS of ₹7.40 and an average RoNW of 14.07% for the last three fiscals. Based on the pre-issue book value, the issue is priced at a Pre-Issue P/BV of 1.42 against a NAV of ₹61.89 (as of March 31, 2026). Factoring in the fresh issue proceeds, the Post-Issue P/BV stands at 1.28. Attributing the latest earnings to the expanded post-issue equity base, the asking price translates to a Post-Issue P/E of approximately 17.10x (FY24), 15.44x (FY25), and 16.70x (FY26). According to the RHP, comparison between listed peers is shown in above table.

On the Book Running Lead Manager (BRLM) front, the issue is managed by Smart Horizon Capital Advisors Private Limited, which has handled 29 public issues to date. Out of its last 10 managed IPOs, two listed below the issue price, while the remaining eight listed at or above it. As of September 19, 2026, two of these recent issues are currently trading below their issue price, while the remaining eight are trading at or above it.

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• 3 Ms. Devina Virander Behl
• 4 Mr. Rajiv Behl
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