Kalyan Jewellers India’s Rs 1,175 crore preliminary public providing (IPO) will open for bidding on March 16. The IPO will shut on March 18. The firm has fastened the difficulty value at Rs 86-87 per share and plans to lift Rs 1,175 crore on the greater finish of the worth band.
The bidding for anchor traders will open on March 15.
The public problem, backed by Warburg Pincus, includes contemporary problem of Rs 800 crore and a suggestion on the market (OFS) amounting to Rs 375 crore. Investors can bid for at least 172 shares and in multiples of 172 shares thereafter. A complete of 35 per cent of the difficulty will likely be reserved for retail traders.
The firm will utilise the IPO proceeds to fund its working capital necessities and for common company functions.
Kalyan Jewellers was began by Kalyanaraman in Kerala in 1993. It counts Bollywood actors Amitabh Bachchan and Katrina Kaif amongst its model ambassadors. Post itemizing, Kalyan Jewellers will compete with a number of the largest jewelry names in India resembling Tata Group’s Titan, Tribhovandas Bhimji Zaveri and PC Jeweller.
Citigroup Global Markets, Axis Capital, ICICI Securities, SBI Capital Markets and BOB Capital Markets are the ebook operating lead managers to the difficulty.
Should you put money into the IPO of Kalyan Jewellers IPO?
“In terms of valuations, the pre-issue TTM EV/Sales works out to 1.4 (at the upper end of the issue price band), which is low compared to Titan Company (trading at 7.7x). However, Titan company has a better financial track record compared to Kalyan Jewellers. Going forward, we believe that Kalyan Jewellers would perform better on the back of a strong brand and number of stores in India and internationally,” Angel Broking mentioned in an IPO word to its shoppers.
“Thus, we advocate a ‘Subscribe’ score on the difficulty, Angel Broking added.