The robust debut highlights strong market confidence in the company. The IPO, which closed on September 12, 2024, saw overwhelming investor interest, with subscriptions exceeding 59.41 times on the final day of bidding. This reflects the market's optimistic outlook on PN Gadgil Jewellers' growth prospects.
PN Gadgil Jewellers Ltd on Tuesday (September 17) had an outstanding debut on the stock market. The company's shares listed at Rs 830 on the National Stock Exchange (NSE), representing a significant 72.91% premium over the issue price of Rs 480 per share. On the Bombay Stock Exchange (BSE), the shares opened at Rs 834, marking a 73.75% premium.
The robust debut highlights strong market confidence in the company. The IPO, which closed on September 12, 2024, saw overwhelming investor interest, with subscriptions exceeding 59.41 times on the final day of bidding. This reflects the market's optimistic outlook on PN Gadgil Jewellers' growth prospects.
PN Gadgil Jewellers IPO debuts today: GMP signals strong listing on BSE, NSE
PN Gadgil Jewellers' Rs 1,100 crore IPO included a fresh issue of equity shares worth up to Rs 850 crore and an offer for sale (OFS) of shares worth Rs 250 crore by SVG Business Trust, the company's promoter. The IPO also attracted substantial backing from institutional investors, with Rs 330 crore raised from anchor investors.
The company plans to use the IPO funds to bolster its expansion and financial health:
Retail expansion: Rs 393 crore will be allocated to establish 12 new retail stores in Maharashtra, strengthening the company's presence in its home state.
Debt repayment: Rs 300 crore will be directed towards reducing existing debt, enhancing the company's balance sheet and financial stability.
General corporate purposes: The remaining funds will be used for operational needs and growth initiatives.
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Founded in Maharashtra, PN Gadgil Jewellers has built a strong reputation in the jewellery retail sector. With a product range that includes gold, silver, platinum, and diamonds, the company caters to diverse customer preferences. Its flagship brand 'PNG' and several sub-brands have made it a household name in the region.
As of July 31, 2024, the company operates 39 retail stores across key cities in Maharashtra and has a growing online presence. The IPO success and strong market debut highlight investor confidence in PN Gadgil Jewellers' ability to expand and thrive in India's competitive jewellery market.