Divine Hira Jewellers has officially launched its Initial Public Offering (IPO), inviting investors to subscribe from March 17 to March 19, 2023. With a fixed price of ₹90 per equity share, this offering presents a compelling opportunity for those looking to invest in a company that specializes in premium 22 Karat gold jewelry. Investors can bid for a minimum of 1,600 shares, with additional bids permitted in multiples of this amount.
Company Overview
Founded in July 2022, Divine Hira Jewellers Limited is dedicated to designing and marketing exquisite gold jewelry. The company caters to a diverse clientele that includes wholesalers, showrooms, and retailers, providing an extensive range of products that blend traditional artistry with modern aesthetics.
Key Products Offered:
- Necklaces
- Mangalsutras
- Chains
- Malas
- Rings
- Pendants
- Bracelets
- Bangles
- Kadas
- Coins
- Wedding jewelry
Divine Hira Jewellers prides itself on localized designs, ensuring that each piece resonates with regional tastes and preferences. Based in Mumbai, Maharashtra, the company operates primarily as a wholesaler of gold jewelry, silver items, bullions, and coins.
IPO Subscription Status
As of the third day of the IPO, Divine Hira Jewellers has achieved a remarkable 3.93 times subscription rate. The retail segment saw an impressive 6.62 times oversubscription, while the Non-Institutional Investors (NII) portion was subscribed 1.2 times.
- Total shares offered: 33,60,001
- Shares bid: 1,31,96,800
- Day 1 subscription: 69%
- Day 2 subscription: 1.88 times
IPO Financials
The IPO comprises a fresh issue of 35,37,600 equity shares, amounting to approximately ₹31.84 crore. Notably, there is no offer for sale (OFS) component included in this issue. The company plans to utilize the proceeds for various purposes, including:
- Repayment of specific loans
- Financing working capital needs
- General corporate expenses
Horizon Management Private Limited is the lead manager, while Bigshare Services Pvt Ltd serves as the registrar for this IPO. Giriraj Stock Broking Private Limited is designated as the market maker.
Grey Market Premium Insights
Currently, Divine Hira Jewellers’ shares are trading at a grey market premium (GMP) of ₹7, indicating a positive market sentiment. This suggests that potential investors are willing to pay more than the issue price. Based on the upper end of the IPO price band, the anticipated listing price is projected at ₹97 per share, representing a 7.78% increase over the IPO price.
GMP Trend:
- Minimum GMP: ₹0.00
- Maximum GMP: ₹32.00
Experts suggest that the current GMP reflects a slight downward trend, yet it still showcases investor confidence.
Conclusion
For those looking to invest in the jewelry sector, the Divine Hira Jewellers IPO offers an exciting chance to acquire shares in a rapidly growing company. With its unique blend of traditional craftsmanship and modern design, Divine Hira Jewellers is poised for success in the competitive market of gold jewelry.
Stay tuned for updates on IPO performance and future offerings in the market!
