Jaipur-based Motisons Jewellers raised Rs 33 cr in the pre-IPO roundMotisons Jewellers, a Jaipur-based retail Jeweller Company has successfully garnered Rs 33 crore in its pre-IPO funding round.
As per a media advertisement in Business Standard and Nafa Nuksan, on October 21, 2023, the company, in consultation with the lead bankers had undertaken the Pre-IPO Placement of 6 million shares at an issue price of Rs 55 per equity share (including premium of Rs 45 per equity share) for an amount aggregating to Rs 33 crore by way of a private placement, saw participation from individual and institutional investors, including Sunil Kothari & Sons, Manish Parakh, Isha Parakh, Manish Parakh HUF, Rajesh Kumar Kabra, and Jagdamba Coal House, Prabhudas Lilladhar Advisory Services Private Ltd, Readiprint International LLP and Rajan Propcon Private Ltd.
The pre-IPO placement was undertaken after the approval of the Board and Shareholders in their meeting held on September 02, 2023, and September 11, 2023, respectively.
The Company has allotted the Equity Shares in the Pre-IPO Placement under the resolution passed by the Board in its meeting held on October 19, 2023.
Motisons has filed its draft herring prospectus (DRHP) with the market regulator in March this year, to float its IPO. The issue with a face value of Rs 10 per equity is entirely a fresh issue of equity shares up to 33.47 million with no offer-for-sale (OFS) component.
As per the DRHP, the proceeds from the issue will be utilized to the extent of Rs. 58 crore for repayment of existing borrowings availed by the company from scheduled banks, Rs 71 crore for funding the working capital requirement of the Company and general corporate purposes.
Motisons Jewellers is managed by second-generation entrepreneurs, Sandeep Chhabra, Chairman & Whole Time Director, and Sanjay Chhabra, Managing Director, sons of the Late Moti Lal Chhabra, who have over two decades of years of expertise in the jewellery industry. It began operations in 1997 by opening a showroom in Johri Bazaar in Jaipur, Rajasthan, with approx. 304 sq. ft. in area and with growth in the business expanded it to 1355 sq. ft. by 2002. The flagship store ‘Motisons Tower’ is located at Tonk Road, Jaipur with an approx. 11,700 Sq Ft with 3 floors a floor each dedicated to silver, gold, and diamond jewellery respectively.
Its product portfolio comprises over 300,000+ jewellery designs that include traditional, contemporary and combination designs for special occasions such as weddings and festivals to daily wear jewellery for all ages, genders, and across various price points.
Currently, it has a 4-showroom network under the “Motisons” brand, located across the city of Jaipur, with the most recent outlet, opened in the year 2021, at Vaishali Nagar. Its manufacturing facilities are located at Sitapura Industrial area and Bapu Nagar, Jaipur.