Shanti Gold International IPO: This IPO opened with a price band of Rs 189 to Rs 199, the company has branches in many big cities:

News Topical, Digital Desk : Shanti Gold International IPO: The initial public offer (IPO) of Mumbai-based gold jewellery manufacturer Shanti Gold International has opened for subscription today on July 25 and will run till July 29. Ahead of the IPO launch, the company has raised Rs 108.03 crore through the anchor book on July 24.

The anchor book included 15 major investors including Societe Generale, Wealthwave Capital Fund, Vijit Growth Fund, Founders Collective Fund, Smart Horizon Opportunity Fund, Swayum India Alpha Fund and Sunrise Investment Opportunity Fund. According to brokerage firm Anand Rathi, the company's P/E ratio for FY25 is 25.7 times and the market cap of the company after the IPO will be around Rs 1434.7 crore.

Highlights about the company Shanti has strong association with leading gold jewellery brands such as Jyoalukkas, Lalitha Jewellery, and Alukkas Enterprises. The company operates in 15 states and 1 union territory of India, and has branches in major cities like Mumbai, Bengaluru, Chennai, Hyderabad. The company manufactures 22 carat CZ casting gold jewellery and has a production capacity of 2700 kg per annum.

IPO details

Price Band: ₹189 to ₹199 per share.
Minimum investment: 75 shares (around ₹14,175).
Total Shares: 1.81 crore new shares, total fresh issue of ₹360.11 crore.
There is no Offer for Sale (OFS).
Use of IPO proceeds
₹46.3 crore for new factory in Jaipur.
₹200 crores for working capital.
₹17 crores to repay the loan.
The remaining amount is for general corporate expenses.

Business results

The company's revenue in FY25 was ₹1,106.41 crore, up 55.52% from ₹711.43 crore in FY24. Net profit stood at ₹56 crore, double the ₹27 crore of the previous year.

Management and listing

Book Running Lead Manager: Choice Capital Advisors.
Registrar: BigShare Services.
Allotment of IPO will be done on 30th July.
The company's shares will be listed on BSE and NSE on August 1.

What to invest in?

Shanti Gold International IPO seems to be priced well. Given the company's strong brand association and growing earnings, this could be a good long-term opportunity for investors. For investors who want to see stable growth in the gold jewellery sector, it is recommended to "Subscribe - Long Term".