Borana Weaves Ltd IPO

Our Company was originally incorporated as `Borana Weaves Private Limited' as a private limited company under the Companies Act,2013 pursuant to a certificate of incorporation dated October 28, 2020 issued by the Registrar of Companies, Central Registration Centre.Subsequently, our Company was converted from a private limited company to a public limited company, pursuant to resolution passed byour Board of Directors in their meeting held on July 18, 2024 and a special resolution passed by our Shareholders in the Extra-OrdinaryGeneral meeting held on July 20, 2024 and the name of our Company was changed to `Borana Weaves Limited' and a fresh certificate ofincorporation dated September 24, 2024 was issued by the Registrar of Companies, Central Processing Centre.

India's textile industry, a key player in the global market, saw its textile exports reach over USD 44 billion in FY 2022,representing about 15% of the country's total export earnings and 4.6% of global textile trade. The sector's exports areled by ready-made garments, cotton textiles, and increasingly by man-made fibers. Major markets include the UnitedStates, the European Union, Bangladesh, the UK, and the UAE. Growth is driven by rising global demand, supportivegovernment initiatives like the Production Linked Incentive (PLI) scheme, and India's diverse product range. (Source:D&B Report) For further details in relation to the industry in which our Company operates, see Industry Overview on page140.The synthetic fabric industry in India has demonstrated significant variability in production over the past few years,reflecting the sector's adaptability to changing market conditions. As a pivotal segment of the textile industry, syntheticfabric plays an essential role in meeting diverse consumer demands and contributing to economic growth. The industry'sperformance is indicative of broader market trends, technological advancements, and shifts in consumer preferences. In the fiscal year 2018-19, production was robust at 95,897 thousand metric tons. However, this was followed by a slightdecline in 2019-20 to 92,452 thousand metric tons. The downturn continued into 2020-21, with production dropping to83,296 thousand metric tons, a trend attributed to the global disruptions caused by the COVID-19 pandemic. Despitethese challenges, the industry showed resilience, with a Compound Annual Growth Rate (CAGR) of approximately5.19% over the period from 2018-19 to 2023-24, reflecting a steady recovery and growth trajectory.

Our Company is a textile manufacturer based in Surat, specializing in the production of unbleached synthetic grey fabric.This fabric serves as a fundamental material for further processing, such as dyeing and printing, in various industries,including fashion, traditional textiles, technical textiles, home d'cor, and interior design. The versatility of grey fabricallows it to complement a wide range of unbleached fabrics across different styles, making it a valuable resource in thetextile supply chain. (Source: D&B Report). In addition to grey fabric, our Company also manufactures polyester texturedyarn (PTY Yarn), which is produced by heating polyester oriented yarn (POY Yarn), our raw material used in theproduction of grey fabric.