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Surat-based J B Ecotex Limited has filed its Draft Red Herring Prospectus (DRHP) with capital markets regulator, Securities and Exchange Board of India (SEBI) for its Initial Public Offering (IPO).

The IPO, with a face value of Rs 5, is a fresh issue for up to Rs 400 crore and an offer-for-sale for up to 12,950,000 equity shares by promoters - Jitendrakumar Fulchand Arya, Ayodhyaprasad Jugalkishore Singhal, Rajesh Ramniwas Gupta, Vishal Kejriwal, Ramdas Laxminarayan Jindal, Himanshu Surendra Jariwala, Hemant Vimalkumar Dhandharia, Monika Rajesh Gupta and Sajjan Kumar Kejriwal.

The company, in consultation with the book-running lead managers, may consider a Pre-IPO Placement for up to Rs 80 crore, prior to filing of the Red Herring Prospectus with the RoC. If the pre-IPO placement is completed, the amount raised pursuant will be reduced from the Fresh Issue.

The proceeds from its fresh issuance worth Rs 320 crore will be utilised for repayment/ pre-payment, in full or in part, of all or certain outstanding borrowings availed by the company and its material subsidiary, and general corporate purposes.

The Offer is being made through the book-building process, wherein not more than 50% of the net offer is allocated to qualified institutional buyers, and not less than 15% and 35% of the net offer is assigned to non-institutional bidders and retail individual bidders respectively.

Incorporated in 2012, the company is the second-largest polyethylene terephthalate (PET) recycling company in India in terms of its installed capacity of 180,360 tonnes as of August 31, 2026 (Source - 1Lattice Report). It recycles PET bottles and other PET waste to manufacture recycled PET products. Its products are primarily used in textiles, food grade packaging and other packaging material.

It is the only company in India with mechanical and chemical PET waste recycling capabilities and is one of two companies in India with commercial-scale chemical recycling capabilities as of August 31, 2026 (Source - 1Lattice Report).

Product portfolio comprises:

* recycled polyester staple fibre (RPSF)

* food-grade recycled PET resins (Food Grade rPET Resins);

* recycled PET flakes (rPET Flakes); and

* chemically recycled resins (Chemically Recycled Resins), which includes chemically recycled PET resins (Chemically Recycled PET Resins) and chemically recycled premium PET resins (Chemically Recycled Premium PET Resins).

The company operates two manufacturing facilities in Dhamdod, Surat, namely, the JB Ecotex manufacturing facility, which comprises two separate units (JB Ecotex Manufacturing Facility) and the JB rPET manufacturing facility (JB rPET Manufacturing Facility, collectively with the JB Ecotex Manufacturing Facility, the Manufacturing Facilities), which are located adjacent to each other spanning a combined area of 1.79 million square feet with the largest PET recycling manufacturing capacity at a single location in India as of August 31, 2026 (Source - 1Lattice Report).

The company has demonstrated significant recycling capabilities, having recycled 31,244.83 million PET bottles between Fiscal 2016 and Fiscal 2026 (Source - 1Lattice Report). Further, it has  recycled over 3,528.44 million plastic bottles in Fiscal 2026, at an average of over 9.67 million bottles per day, which was among the highest in the PET recycling industry (Source - 1Lattice Report).

Its growth strategy extends beyond capacity expansion and focuses on building integrated PET recycling capabilities through continued investments in technology and product diversification, aligned with evolving customer requirements, regulatory developments and opportunities across the PET recycling value chain.

As of the date of this Draft Red Herring Prospectus, the company has filed an application for a patent in respect of its proprietary chemical recycling technology.

Further, pursuant to the Plastic Waste Management (Amendment) Rules, 2022, notified under the Plastic Waste Management Rules, 2016 vide Notification No. CG-DL-E-17022022-233568 dated February 16, 2022, the Government of India introduced phased mandatory obligations for the use of recycled plastic content in plastic packaging under the extended producer responsibility (EPR) framework, with mandatory recycled plastic content requirements for Category I plastic packaging (rigid packaging) of 30%, 40%, 50% and 60% for Fiscal 2026, Fiscal 2027, Fiscal 2028 and Fiscal 2029 onwards, respectively, and corresponding requirements for Category II and Category III plastic packaging (flexible packaging) of 10%, 10%, 20% and 20%, and 5%, 5%, 10% and 10%, respectively, for the same periods (Source -  1Lattice Report).

These regulatory measures are expected to support demand for high-quality Food Grade rPET Resins (Source - 1Lattice Report). Recognising this evolving regulatory landscape and the increasing domestic and global demand for sustainable packaging solutions, the commenced commercial production of Food Grade rPET Resins in August 2024 with an installed capacity of 21,600 tonnes. It expanded its manufacturing capacity by adding 34,560 tonnes, increasing its installed capacity for Food Grade rPET Resins to 56,160 tonnes as of August 31, 2026.

As of August 31, 2026, the company has an installed captive wind power capacity of 7.20 MW across three windmills, and captive solar capacity of 6.60 MW. Demonstrating its commitment to environment and sustainability, 63.52% of its total power consumption came from captive power generation and contracted renewable power sources in Fiscal 2026.

The company serves a diverse customer base across multiple end-use industries and geographies, with long-standing relationships with several of its key customers. As of March 31, 2026, the company served over 700 customers across India and 25 other countries. It has been recognised as a two-star export house by the Ministry of Commerce and Industry, Government of India.

Some of the company’s key customers include Varun Beverages Limited and Moon Beverages Limited, who are respectively bottlers for two of the largest beverage manufacturers globally (Source - 1Lattice Report). Additionally, its JB Ecotex Manufacturing Facility has also been approved by two of the largest global beverage manufacturers for the production of Food Grade rPET Resins (Source - 1Lattice Report).

Further, its business is supported by an extensive PET waste collection network across India, with a strong foothold in the western and southern India. The company has established a strong pan-India PET waste procurement network, supported by a diversified supplier base of over 520 suppliers in Fiscal 2026, comprising over 450 domestic suppliers and over 65 overseas suppliers.

Its sourcing footprint spans key collection and consumption markets across India and over 30 other countries, ensuring broad market access, reliable raw material availability and resilience against regional supply disruptions.

The company maintains a stringent control framework, from sourcing of materials through assessment of the finished goods produced, ensuring its products meet the customers’ expectations. Its manufacturing facilities hold the relevant certifications under IS 17263:2022, ISO 9001:2015, ISO 14001:2015 and ISO 15270:2008.

The company is also registered with the USFDA and licensed by FSSAI for its food grade rPET Resins, and its products are certified by Global Recycled Standard (GRS), OEKO-TEX Standard 100 and ISCC, supporting its focus on sustainability and traceability and facilitating the sale of its products to customers in international markets. In addition, it is registered with Sedex and Ocean Bound Plastic Certification, underscoring its focus on responsible sourcing, environmental conservation and ethical supply chains.

Its revenue from operations was Rs 827.6 crore during FY26 as compared to Rs 527.3 crore during FY24.

Its net profit was Rs 22.4 crore during FY26 as compared to Rs 21.1 crore during FY24. 

Motilal Oswal Investment Advisors Limited and JM Financial Limited are the book-running lead managers, and MUFG Intime India Private Limited is the registrar of the issue.

The equity shares are proposed to be listed on the National Stock Exchange of India Limited and BSE Limited.

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