- Price Band fixed at ₹456 per equity share to ₹480 per Equity Share of face value of ₹10 each
- Anchor Investor bidding date : Monday, September 09, 2024
- Bid/ Offer closing date : Thursday, September 12, 2024
- Bids can be made for a minimum of 31 Equity Shares and in multiples of 31 Equity Shares thereafter
NE BUSINESS BUREAU
AHMEDABAD, SEPT 6
Maharashtra-based jewellery retail chain P N Gadgil Jewellers Ltd on Friday fixed a price band of ₹456-480 per share for its ₹1,100-crore initial share sale and proceeds will be used for expansion plans and pare debt.
The Initial Public Offering (IPO) will open for public subscription on September 10 and conclude on September 12 and the bidding for anchor investors will open for a day on September 9, the company announced.
The company’s IPO is a combination of a fresh issue of equity shares worth up to ₹850 crore and an offer for sale (OFS) of equity shares to the tune of ₹250 crore by promoter SVG Business Trust.
At present, SVG Business Trust holds a 99.9 per cent stake in P N Gadgil Jewellers.
Brokerage houses have pegged the company’s market capitalisation at over Rs 6,500 crore post-issue.
Of the fresh issue proceeds, around ₹393 crore will be utilised for the funding of expenditure towards setting up 12 new stores in Maharashtra, ₹300 crore for payment of debt, besides a portion will be used for general corporate purposes.
P N Gadgil Jewellers IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors.
The company’s products are primarily sold under its flagship brand, ‘PNG’, and through multiple channels, including 39 retail stores (as on July 31, 2024) and various online marketplaces, including websites.
The company has eight sub-brands—Saptam, Swarajya, Rings of Love, The Golden Katha of Craftmanship, Flip, Litestyle, Pratha, and Yoddha—offering gold jewellery collections for different occasions; two sub-brands—Eiina and PNG Solitaire—offering diamond jewellery collections; and two sub-brands—Men of Platinum and Evergreen Love—offering platinum jewellery collections.
In the fiscal year 2023, the revenue reached ₹4,507.5 crore, marking a 76.4% growth compared to the previous year. As for the six-month period ending in September FY24, the net profit was ₹43.75 crore, achieved on a revenue of ₹2,627.8 crore.
The Equity Shares being offered pursuant to the Red Herring Prospectus are proposed to be listed on BSE and NSE.
Motilal Oswal Investment Advisors Ltd, Nuvama Wealth Management Ltd and BOB Capital Markets Ltd are book-running lead managers to the issue.
