Avax Apparels and Ornaments Limited, established in 2005, operates in the wholesale trading of knitted cloth and the online retail of silver ornaments. The company is set to launch its Initial Public Offering (IPO) on the BSE SME platform, aiming to raise ₹1.92 crore through a fixed-price issue.

Company Overview

Avax Apparels and Ornaments Limited focuses on two primary business segments:

• Wholesale Trading of Knitted Cloth: The company sources knitted fabrics directly from manufacturers and supplies them to readymade garment producers, primarily in Punjab.
• Online Retail of Silver Ornaments: Operating under the brand name “Blushine,” the company offers a diverse range of silver jewelry, including rings, bangles, chains, and more, catering to customers across major Indian cities.

IPO Timeline

• IPO Opening Date: January 7, 2025
• IPO Closing Date: January 9, 2025
• Basis of Allotment: January 10, 2025
• Initiation of Refunds: January 13, 2025
• Credit of Shares to Demat Accounts: January 13, 2025
• Listing Date: January 14, 2025

Price Band and Lot Size

• Issue Price: ₹70 per share
• Lot Size: 2,000 shares
• Minimum Investment: ₹1,40,000 for retail investors
• Minimum Investment for HNIs: 4,000 shares amounting to ₹2,80,000

Financials

Strengths

• Diversified Business Model: Engages in both wholesale fabric trading and online jewelry retailing.
• Established Brand Presence: Operates the “Blushine” brand in the online silver jewelry market.
• Strategic Sourcing: Direct procurement from manufacturers enhances supply chain efficiency.

Risks

• Market Competition: Faces competition from both organized and unorganized players in the apparel and jewelry sectors.
• Regulatory Changes: Subject to government policies affecting the textile and jewelry industries.
• Online Retail Challenges: Relies on digital platforms for jewelry sales, which may be affected by changing consumer preferences and technological advancements.

IPO Anchor Investors Details

As of now, there is no information available regarding anchor investors for this IPO.

IPO Promoter Holding

The promoters of the company are Mr. Harinderpal Singh Sodhi and Mr. Harish Kumar. The pre-issue shareholding of the promoters is 57.00%, which will reduce to 41.97% post-issue.

IPO Grey Market Premium (GMP)

As of the latest available information, there is no reported Grey Market Premium for Avax Apparels and Ornaments Limited’s IPO.

Final Thoughts

Avax Apparels and Ornaments Limited’s IPO offers investors an opportunity to invest in a company with a diversified business model and a growing presence in both the textile and jewelry sectors. Potential investors should carefully assess the company’s financial performance, market position, and associated risks before making investment decisions.