IPO Alert: Advit Jewels Submits DRHP With SEBI to Raise Funds

Advit Jewels Ltd, a Jaipur-based jewellery company, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The company is planning a mainboard initial public offering (IPO) comprising a fresh issue of 1.38 crore equity shares with a face value of ₹10 each. There is no offer-for-sale (OFS) component in the issue.

Pre-IPO Placement and Structure

As per the news reports, the company may consider a pre-IPO placement of up to 18,32,000 shares in consultation with the book-running lead manager. If the placement goes through, the size of the fresh issue will be reduced accordingly. 

The public issue will be conducted through the book-building process, with up to 50% reserved for Qualified Institutional Buyers (QIBs), at least 15% for Non-Institutional Investors (NIIs), and 35% for Retail Individual Investors (RIIs).

Use of Proceeds

Advit Jewels has stated that ₹65 crore from the IPO proceeds will be used for incremental working capital, while another ₹65 crore will go towards repayment or pre-payment of borrowings from scheduled commercial banks. 

The rest will be applied to general corporate purposes. HDFC Bank and ICICI Bank are among the lenders whose loans are expected to be repaid partly from the funds raised.

Listing and Managers

The equity shares are proposed to be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). Holani Consultants Pvt Ltd has been appointed as the book-running lead manager, while Bigshare Services Pvt Ltd will act as the registrar to the issue.

Advit Jewels Financials

For FY25, the company reported revenue of ₹124.9 crore and a net profit of ₹25.36 crore. In FY24, revenue stood at ₹69.4 crore with a net profit of ₹14.71 crore, while in FY23, revenue was ₹46.6 crore and net profit was ₹10.39 crore. EBITDA in FY25 was ₹37.14 crore with a margin of 29.73%.

Advit Jewels Background

Incorporated in 2019, Advit Jewels manufactures handcrafted fine jewellery under its brand name Rambhajo. The product range includes necklaces, rings, earrings, bangles and customised pieces in gold, diamonds, coloured stones, Kundan and Polki. The company operates mainly on a B2B model, supplying national and regional retailers and family jewellers, and has also expanded to a flagship store in Jaipur.

Read More: Upcoming IPOs This Week (Oct 6–10): Tata Capital & More Open for Bidding! 

Conclusion

Advit Jewels’ IPO plans are focused on raising fresh funds for working capital, debt repayment, and business needs, with shares to be listed on NSE and BSE.

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