- Price Band fixed at ₹397 to ₹417 per equity share of face value of Rs. 2 each
- Bid /Issue Closing Date – Tuesday, December 17, 2024
- On Thursday, December 12, there will be a one-day auction for anchor investors.
- Bids can be made for a minimum of 35 Equity Shares and in multiples of 35 Equity Shares thereafter
- A discount of ₹7 – ₹41.7 per Equity Share is being offered to Eligible Employees bidding in the Employee Reservation Portion
NE BUSINESS BUREAU
AHMEDABAD, DEC 10
Blackstone-backed The International Gemmological Institute (IGI) on Tuesday announced its initial public offering (IPO) of International Gemmological Institute will go live on Friday, December 13 and end on Tuesday, December 17. On Thursday, December 12, there will be a one-day auction for anchor investors.
The ₹4,225 crore book-built issue is a new ₹1,475 crore issuance and a ₹2,750 crore offer-for-sale (OFS) by BCP Asia II TopCo Pte Ltd, a subsidiary of Blackstone. Incidentally, this is the 10th IPO supported by Blackstone in the country.
Price Band of the issue is fixed at ₹397 to ₹417 per equity share.
The price band includes a discount of ₹39.7 – ₹41.7 per Equity Share is being offered to Eligible Employees bidding in the Employee Reservation Portion.. Bids can be made for a minimum of 35 Equity Shares and in multiples of 35 Equity Shares thereafter.
The Company proposes to utilize the Net Proceeds towards funding the following objects – Payment of the purchase consideration for the acquisition of IGI Belgium Group and IGI Netherlands Group from Promoter estimated to ₹ 1,300 crore; and the balance amount towards General corporate purpose.
Amit Dixit, Head of Private Equity Asia, Blackstone, said: “We are incredibly proud to support IGI on this next chapter of growth. This marks a continuation of our business builder efforts to strengthen IGI’s presence and operations by helping the company expand its reach and offerings and become a one-stop provider of certification. When we first invested in the company two years ago, we knew it had tremendous potential under Tehmasp’s stewardship with the right resources and access. We will continue to partner with the management team and remain heavily invested in IGI, cementing its market leading position.”
Tehmasp Printer, Managing Director and Chief Executive Officer, IGI said: “This is a tremendous milestone for IGI. From Inception, our vision is to grow this business into global leadership. We have been the first movers in India. We have demonstrated strong expertise & innovation in an industry with enormous potential for growth. We are here with the backing of Blackstone and excited to take the 50 year old global company public in India”
In January 2024, Tehmasp Printer was honored at the ‘Hall of Fame’ event by the Gem & Jewelry Export Promotion council, in recognition of his invaluable contribution to the loose stones and studded jewelry industry. In addition to his many achievements and accolades he was awarded the ‘Outstanding Zarathushti Professional of the Year – 2023’ by W.Z.C.C.
Mukesh Mehta, Senior Managing Director, Blackstone, said: “This is a remarkable achievement for IGI and couldn’t have come at a better time. In less than two years, we have helped solidify IGI’s position as a global leader in the certification of lab grown diamonds and an increasingly competitive player in other segments. We remain the largest shareholder at IGI and are thrilled to continue to partner with IGI in its next phase of growth.”
The company has set aside 10 per cent of the net offer for retail investors, 75 per cent for qualified institutional buyers (QIBs), and 15 per cent for non-institutional investors (NIIs).
IGI India is a dominant player in the gemological certification and accreditation industry, commanding nearly 50% of the country’s market share for diamond, studded jewellery, and coloured stone certifications. The company also offers a range of educational programs related to gemology. India’s position as the world’s largest diamond cutting and polishing hub, processing about 95% of the world’s polished diamonds by volume in 2023, underscores IGI’s significant market influence.
Financially, IGI India has shown strong growth, reporting a net profit of ₹324.7 crore for the year ending December 2023, marking a 34.3% increase from the previous year. The company’s revenue surged by 30% year-on-year to ₹638.5 crore, while EBITDA grew by 34.3% to ₹450.1 crore, with a margin expansion to 70.5%.
For the first quarter of 2024, IGI India reported a profit of ₹124.8 crore on revenues of ₹209.1 crore.
Blackstone will list IGI shares on BSE (Bombay Stock Exchange) and NSE (National Stock Exchange).
Axis Capital Limited, Kotak Mahindra Capital Company Limited, Morgan Stanley India Company Private Limited and SBI Capital Markets Limited are the Book Running Lead Managers to the offer.
