Kabra Jewels Ltd., a prominent player in the gems and jewelry sector, is set to launch its Initial Public Offering (IPO) to raise ₹40 crore.

Company Overview

Established in 2010, Kabra Jewels Ltd. specializes in offering a diverse range of gold, diamond, and silver ornaments. The company operates multiple showrooms across Ahmedabad and Gandhidham, catering to a wide customer base with handcrafted jewelry designed by an in-house team in collaboration with skilled local craftsmen.

IPO Timeline

• Issue Opens: January 15, 2025
• Issue Closes: January 17, 2025
• Allotment Finalization: January 20, 2025
• Refund Initiation: January 21, 2025
• Shares Credited to Demat Accounts: January 21, 2025
• Listing Date: January 22, 2025

Price Band and Lot Size

• Price Band: ₹121 to ₹128 per share
• Lot Size: 1,000 shares per lot
• Minimum Investment: ₹1,28,000 (at the upper end of the price band

Financials

For the fiscal year ending March 2024, Kabra Jewels reported a revenue of ₹164.24 crore, an increase from ₹122.34 crore in the previous year. The company’s Profit After Tax (PAT) rose to ₹9.40 crore from ₹4.41 crore in FY23, indicating significant growth.

Strengths

• Diverse Product Portfolio: Offers a wide range of handcrafted jewelry, including gold, diamond, and silver ornaments.
• Established Brand Presence: With over a decade in the industry, Kabra Jewels has built a strong brand reputation in Gujarat.
• In-House Design Team: Maintains a dedicated design team focused on developing new products and designs to meet customer requirements.

Risks

• Market Competition: Faces competition from other players in the gems and jewelry industry.
• Regulatory Compliance: Must adhere to stringent regulations related to the sourcing and sale of precious metals and stones.
• Dependence on Consumer Preferences: Relies on consumer demand for jewelry, which can be influenced by economic conditions and changing fashion trends.

IPO Anchor Investors Details

Details regarding anchor investors have not been disclosed as of now.

IPO Promoter Holding

The promoters of the company are Mr. Kailash Kabra and Mrs. Jyothi Kailash Kabra.

IPO Grey Market Premium (GMP)

As of now, the Grey Market Premium for Kabra Jewels’ IPO is approximately ₹20, indicating a potential listing gain.

Final Thoughts

Kabra Jewels Ltd.’s upcoming IPO offers an opportunity for investors interested in the gems and jewelry sector. With a strong financial performance and a comprehensive product portfolio, the company is well-positioned for future growth. However, potential investors should consider the inherent risks and conduct thorough due diligence before making investment decisions.