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DRChoksey Report
Advit Jewels Ltd. launched its initial public offering (IPO) on June 23 and the offer closes for subscription on June 25. The Jaipur-based luxury jewellery manufacturer and retailer operating under the heritage Rambhajo's brand has fixed the band in the range of Rs 130 and Rs 138 per share.
The Advit Jewels IPO is a book build issue of Rs 165.16 crore. It comprises a fresh issue of 1.2 crore shares.
Holani Consultants Ltd. is the book-running lead manager while the Bigshare Services Ltd. is the registrar of the issue. Investors can place bids starting from a minimum of 100 shares and in multiples thereafter.
Bluestone Jewellery and Lifestyle, RBZ Jewellers Ltd., Radhika Jeweltech Ltd. are the other listed peers in the sector.
The shares will be listed on both the National Stock Exchange and the BSE on 01, July.
Outlook
Advit Jewels enters the public market riding a compelling top-line trajectory – revenue has compounded at ~64% CAGR from FY23 to FY25, PAT margins have been healthy at 20%+, and return ratios (RoNW at 43.64%) are among the strongest in the jewellery cohort.
The Rambhajo brand carries a century of heritage in Kundan and Polki craftsmanship, and the shift toward organized retail in India's ~$90 billion jewellery market provides a structural tailwind. That said, the near-term picture requires scrutiny. This is a very young company (incorporated 2019) with a limited operating track record, operating from a single 6,450 sq. ft. facility with just 111 employees.
Borrowings surged from Rs 5.84 crore (FY23) to Rs 74.80 crore (FY25), and operating cash flow turned negative in FY25 as working capital consumed cash.
The 9MFY26 earnings look unusually strong relative to FY25, raising questions about sustainability.
What we see is a well-positioned artisan brand in a structurally growing market, but one whose ability to scale beyond its current B2B-heavy model remains unproven.
Investors should subscribe with caution – the story has promise, but the execution track record is too short for a high-conviction call.
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ALSO READ: Advit Jewels IPO Opens Today For Subscription — 10 Key Things to Know Before You Apply
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