The bidding for PN Gadgil Jewellers' initial public offering (IPO) will begin on september 9 With a lot size of 31 equity shares and its multiples thereafter, the jewellery player will sell its shares for between Rs 456-480 per share. Subscriptions for the issue are open until Thursday, September 12.
IPO size
Through its initial public offering (IPO), PN Gadgil Jewellers hopes to raise a total of Rs 1,100 crore.This includes an offer-for-sale (OFS) of up to 52,08,333 equity shares valued at Rs 250 crore, made by its promoter, SVG Business Trust, and a new share sale of Rs 850 crore. On Monday, September 9, the issue's anchor book opens.
15 per cent of the shares are reserved for non-institutional investors, and 50 per cent of the net issue is reserved for eligible institutional bidders, according to PN Gadgil Jewellers. 35 per cent of the net offer will be set aside for retail investors.
Utilisation of net proceedings
The net proceeds from the offering will be used for general corporate purposes, repayment or prepayment, in full or in part, of certain borrowings that the company has taken out, and funding expenditures for the opening of 12 new stores in Maharashtra.
Total operational stores
According to the number of stores, PN Gadgil asserts that it is the second-biggest organised jewellery player in Maharashtra. In December, it had 33 stores, 32 of which were in Maharashtra and Goa. In the US, it only has one store.
Saurabh Vidyadhar Gadgil, Managing Director, P N Gadgil Jewellers Limited at the press conference in connection to P N Gadgil Jewellers Limited Initial Public Offering (IPO). | SAMEER
Ten of the company's 23 locations are franchisee stores, which are owned and run by franchisees; the other 23 are operated and managed by the company.
