Two companies from different sectors have moved a step closer to entering the public markets after the Securities and Exchange Board of India approved their proposed initial public offerings.
Jewellery manufacturer Nityas Gems and Jewellery Ltd and technology solutions provider Intellius Recode Ltd have received the regulator's observations on their draft offer documents, allowing them to proceed with their public issues. Both companies had filed their draft red herring prospectuses with SEBI in March.
SEBI Gives Go Ahead For IPO Launches
SEBI issued its observations on Nityas Gems and Jewellery's draft papers on July 23, while Intellius Recode received the regulator's clearance on July 24.
Under SEBI's IPO framework, the issuance of observations indicates that a company has received regulatory approval to launch its public issue, subject to compliance with applicable requirements. Companies can typically launch their IPOs within one year of receiving the observations.
Nityas Gems Plans Entirely Fresh Issue
Surat-based Nityas Gems and Jewellery, which manufactures diamond-studded gold jewellery, plans to launch an IPO comprising an entirely fresh issue of up to 1.44 crore equity shares.
According to its draft papers, the company intends to utilise Rs 70 crore from the net proceeds to meet its working capital requirements, while the remaining funds will be used for general corporate purposes.
The IPO does not include any offer-for-sale (OFS) component, meaning the entire proceeds will flow to the company.
Intellius Recode To Raise Rs 117 Crore
Chennai-headquartered Intellius Recode plans to raise Rs 117 crore through a fresh issue of equity shares. The public issue will also include an offer-for-sale of up to 12.9 lakh equity shares by promoter ReCode Solutions Inc.
The company develops technology consulting and digital automation solutions, including proprietary Agentic AI-powered digital workers designed to help enterprises automate business processes.
As per the draft documents, Intellius Recode will use Rs 43.1 crore from the fresh issue to develop its digital workers and Rs 38.4 crore to pay subcontracting fees related to their development. The remaining proceeds will be allocated for general corporate purposes.
Merchant Bankers Appointed
Choice Capital Advisors has been appointed as the merchant banker for the Nityas Gems and Jewellery IPO, while Inga Ventures will serve as the book-running lead manager for the Intellius Recode public issue.
The approvals add to a growing pipeline of companies preparing to tap the primary market as IPO activity remains robust across sectors, with businesses ranging from manufacturing to technology seeking to raise capital for expansion and growth initiatives.
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