FirstCry-Backed Swara Baby Products Gets Sebi Nod for Rs 1,000 Crore IPO

New Delhi: Swara Baby Products, a contract manufacturer of baby diapers, adult diapers and feminine hygiene products backed by FirstCry, received Sebi’s approval on Tuesday to proceed with its proposed Rs 1,000 crore Initial Public Offering (IPO), an update with the regulator showed.

The proposed IPO comprises a fresh issue of equity shares aggregating up to Rs 500 crore and an offer for sale (OFS) valued at Rs 500 crore by promoters, according to the draft red herring prospectus (DRHP).

The OFS includes the sale of shares worth up to Rs 300 crore by Brainbees Solutions Ltd and up to Rs 200 crore by Anadya Bon Merchari LLP.

The company filed its preliminary IPO papers on July 2 with the Securities and Exchange Board of India (Sebi) and obtained the regulator’s final observation on October 6.

The Sebi observations mark an important step in the IPO process, allowing companies to proceed with preparations for their public issues, subject to applicable regulatory requirements.

As per the draft papers, the company proposes to utilise the net proceeds from the fresh issue to set up a new manufacturing facility in Madhya Pradesh with an allocation of Rs 198.2 crore, repay or prepay borrowings amounting to Rs 100 crore, and invest Rs 27.5 crore in subsidiaries Solis Hygiene, Swara Hygiene and K.A. Enterprises Hygiene Pvt Ltd (KAEHPL) for repayment of their outstanding borrowing.

Additionally, funds will be used to pursue inorganic growth through acquisitions and for general corporate purposes.

Swara Baby may also undertake a pre-IPO placement of up to Rs 100 crore.

Founded in 2018, Swara Baby manufactures disposable hygiene products across baby care, adult incontinence and feminine hygiene segments. Its portfolio includes baby diapers, adult diapers, sanitary napkins and panty liners, primarily manufactured under contract for consumer brands.

The company supplies products to customers, including Brainbees Solutions, Piramal Pharma and Himalaya Wellness Company. It also markets its own brands, Cuddles and Shield, through online and modern retail channels. In December 2025, it acquired KA Enterprises Hygiene Pvt Ltd, a manufacturer of feminine hygiene products.

It operates four manufacturing facilities across Pithampur and Indore in Madhya Pradesh.

For FY26, the company reported revenue from operations of Rs 1,163.9 crore, compared with Rs 942.97 crore in FY25. Profit after tax stood at Rs 95.58 crore in FY26 against Rs 80.67 crore in the previous financial year.

JM Financial and Avendus Capital are the book-running lead managers to the issue.

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