Indian jewellery major Kalyan Jewellers India on March 11 fixed the price band at Rs 86-87 per share for its initial public offering (IPO).
The public issue will open for bidding from March 16-18. The anchor book, if any, will open for subscription for a day on March 15.
The company plans to raise Rs 1,175 crore through the offer which comprises a fresh issue of Rs 800 crore and an offer for sale of Rs 375 crore. The offer for sale consists of a sale of Rs 125 crore worth of shares by promoter TS Kalyanaraman and Rs 250 crore by investor Highdell Investment.
Kalyan Jewellers has reserved Rs 2 crore worth of shares for its employees. The company will utilise fresh issue proceeds for its working capital requirements.
Investors can bid for a minimum of 172 equity shares and in multiples of 172 equity shares thereafter. The minimum lot size value at the higher price band amounts to Rs 14,964 crore.
Kalyan Jewellers was established by founder TS Kalyanaraman, who has over 45 years of retail experience, of which over 25 years is in the jewellery industry.
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The company started the jewellery business in 1993 with a single showroom in Thrissur, Kerala, and thereafter expanded to become a pan-India jewellery brand, with 107 showrooms located across 21 states and union territories. It also has an international presence with 30 showrooms located in the Middle East, as of December 2020.
“We intend to continue to open additional showrooms as we expect a significant opportunity for further penetration in our existing markets as well as in new markets, primarily in India,” said the company which also sells jewellery through its online platform at candere.com.
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As of March 9 this year, promoter and promoter group held approximately 67.99 percent equity of pre-offer issued paid-up capital.
Axis Capital, Citigroup Global Markets India, ICICI Securities, SBI Capital Markets and BOB Capital Markets are acting as book running lead managers to the issue.
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