Kabra Jewels IPO day 1: GMP, subscription status, price band, other details of NSE SME IPO

Kabra Jewels IPO: The initial public offering (IPO) of retail jewellery company Kabra Jewels opened for subscription today, i.e. Wednesday, January 15, and the ₹40 crore book-built issue will conclude on Friday, January 17. The IPO is witnessing decent subscription and current grey market trends indicate the stock could be listed at a premium of about 60 per cent.

Kabra Jewels IPO subscription status

By 10:40 AM on the first day of subscription, the issue had been subscribed 0.50 times, with the retail portion booked 0.78 times and the segment reserved for non-institutional investors (NIIs) subscribed 0.53 times. The segment reserved for qualified institutional buyers (QIBs) had not seen any subscriptions till then.

Kabra Jewels IPO details

1. Kabra Jewels IPO GMP: According to market sources, the latest grey market premium (GMP) of Kabra Jewels shares was ₹85. The latest GMP indicates the stock could be listed at a premium of over 66 per cent.

2. Kabra Jewels IPO date: The SME IPO opened for subscription on Wednesday, January 15, and will conclude on Friday, January 17.

3. Kabra Jewels IPO price: The price band of the NSE SME IPO has been fixed at ₹121 to ₹128 per equity share.

4. Kabra Jewels IPO book-running lead manager and registrar: Marwadi Chandarana Intermediaries Brokers Pvt. Ltd. is the book-running lead manager, while Cameo Corporate Services Limited is the registrar for the issue.

5. Kabra Jewels IPO size: The company intends to raise ₹40 crore from the issue, which is entirely a fresh issue of 31.25 lakh shares. It will use the net proceeds from the issue for the repayment of certain borrowings, to meet working capital requirements and funding capital expenditure requirements.

6. Kabra Jewels IPO lot size: Bidders can apply in lots, and one lot of the SME IPO comprises 1,000 company shares.

7. Kabra Jewels IPO reservation: Not less than 35 per cent of the net issue is reserved for retail investors, while not more than 50 per cent of the net issue is for QIBs. The remaining 15 per cent is reserved for NIIs.

8. Kabra Jewels IPO allotment date: The IPO is closing on Friday, January 17, so as per SEBI's listing rules, the company is required to finalise the share allotment by 6 PM on the next business day, which is Monday, January 20. Successful bidders can expect shares of the company in their demat accounts on Tuesday, January 21, and bidders who fail to get the allocation may get the refund on the same day.

9. Kabra Jewels IPO listing: As per SEBI's T+3 rule of IPO listing, the SME IPO is proposed for listing on the NSE SME on Wednesday, January 22.

10. Kabra Jewels IPO business overview: According to the company's Red Herring Prospectus (RHP), it operates in the retail jewellery sector, offering a diverse range of gold, diamond, and silver ornaments, gold and silver coins, utensils and other artefacts.

"Our company has six showrooms under the brand KK Jewels Bridal, KK Jewels Diamond, KK Jewels Silver, KK Jewels Gold, KK Jewels - Atarashi and KK Jewels - Silver Studio, three offices and one exhibition centre in Ahmedabad," the RHP mentions.

The company's revenue from operations for the financial year 2021-22 (FY22) stood at ₹112.08 crore, which rose to ₹122.27 crore in FY23 and ₹164 crore in FY24. For the period ended November 30, 2024, the company's revenue stood at ₹125.28 crore.

Profit after tax (PAT) for FY22, FY23 and FY24 came at ₹5.40 crore, ₹4.41 crore and ₹9.40 crore, respectively. For the period ended November 30, 2024, the company's PAT came at ₹8.81 crore.

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