Lalithaa Jewellery IPO: Dates, Price, GMP & ₹1700 Cr Raise
By ThePip Desk
Lalithaa Jewellery IPO opens Aug 17-19, aiming to raise ₹1700 Cr. GMP suggests a 14.68% listing gain. Explore key dates, financials, and price band.
Lalithaa Jewellery Mart’s IPO is currently seeing a Grey Market Premium (GMP) of +29.5, hinting at an estimated listing price of ₹230.5 per share. This suggests a potential 14.68% pop above the upper IPO price band of ₹201, according to market observers.
Key IPO Details
- Subscription Window: August 17 to August 19
- Price Band: ₹190 to ₹201 per share
- Total Raise Target: ₹1,700 crore
- Anchor Investor Raise: ₹508 crore, secured from investors like Goldman Sachs and ICICI Prudential Mutual Fund.
- Shares Allotted to Anchors: 2.53 crore equity shares at ₹201 each.
The company specializes in gold, silver, and diamond jewelry, operating 61 stores primarily across southern India. Notably, 45 of these stores are in Tier II and Tier III cities, which contributed over 60% of the company’s revenue in FY26.
Financial Snapshot
- FY26 Profit: ₹1,009.8 crore (177% year-on-year increase)
- FY26 Revenue: ₹25,023.9 crore (48.1% year-on-year increase)
- FY25 Profit: ₹364.7 crore (1.4% increase)
- FY25 Revenue: ₹16,897.3 crore (0.65% increase)
The IPO structure reserves up to 50% for qualified institutional buyers (QIBs), at least 15% for non-institutional investors (NIIs), and a minimum of 35% for retail investors. Allotment is expected on August 20, with listing on BSE and NSE slated for August 24.
Analyst Outlook
SMIFS recommended subscribing for long-term investment, citing strong store productivity and presence in smaller cities. They anticipate sustained growth from store expansion and increased contributions from studded jewelry.
Swastika Investmart noted the company is valued at a 75% discount on a P/E basis compared to national players. However, they highlighted concerns including negative operating cash flow in FY26 due to expansion-related inventory needs and a ₹1,066 crore GST dispute. Swastika Investmart advised applying with moderate conviction for both listing gains and long-term investment, contingent on investor comfort with these risks.
The IPO consists of a ₹1,200 crore fresh issue and a ₹500 crore Offer For Sale (OFS) by promoter Kiran Kumar Jain. Proceeds from the fresh issue, up to ₹1,033.2 crore, are earmarked for establishing 10 new stores across southern India.