Back-to-Back listing wins: PN Gadgil Jewellers joins Bajaj Housing Finance with 73 per cent premium!
PN Gadgil Jewellers made a stunning debut on the stock exchange with its IPO listing at a remarkable 73.7 per cent premium on the BSE.
PN Gadgil Jewellers made a stunning debut on the stock exchange with its IPO listing at a remarkable 73.7% premium on the BSE. With its roots in Maharashtra, this well-established jeweller garnered immense attention during its three-day bidding period, from September 10 to September 12, 2024.
IPO Overview: Strong Demand from Investors
The PN Gadgil Jewellers IPO, priced between ₹456 and ₹480 per share, witnessed an overwhelming response from investors. The offering included a fresh issuance of shares worth ₹850 crore and an offer for sale (OFS) from promoter SVG Business Trust for ₹250 crore.
In total, the IPO saw bids for over 100 crore shares against the 1.68 crore shares on offer, resulting in an extraordinary overall subscription of 59.41 times.
Institutional Investors Lead the Charge
The demand was especially robust among institutional investors. The portion of the IPO reserved for qualified institutional buyers (QIBs) was oversubscribed by 136.85 times. Non-institutional investors (NIIs) were not far behind, with their portion being subscribed 56.08 times. Retail investors also showed strong interest, subscribing to 16.58 times their reserved shares.
Fund Utilization: Expansion and Debt Repayment
PN Gadgil Jewellers plans to strategically utilize the funds raised from the IPO to fuel its growth. Of the ₹850 crore raised through the fresh issue, ₹393 crore is allocated for the expansion of new stores in Maharashtra. Additionally, ₹300 crore will go towards reducing the company’s existing debt, while a portion will be set aside for general corporate purposes.
A Closer Look at PN Gadgil Jewellers
Founded in Maharashtra, PN Gadgil Jewellers has made a name for itself with a diverse portfolio of precious metal and jewellery products. Their range includes gold, platinum, silver, and diamond jewellery, offering something for every price range and customer preference.
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The company's products are primarily sold under its flagship brand 'PNG', along with various sub-brands. As of July 31, 2024, the jeweller operates 39 retail stores and also sells through multiple online marketplaces, catering to a wider audience.
Conclusion
PN Gadgil Jewellers’ IPO success reflects strong investor confidence and the company’s growth potential in the jewellery market.