Advit Jewels IPO: Issue received solid response on Day 01, booked 11.3 times; GMP signals bumper listing

Advit Jewels IPO in focus: The initial public offering (IPO) of Advit Jewels witnessed strong demand from both retail and non-institutional investors on its opening day of bidding on June 23.

The IPO, which will remain open for subscription until June 25, received bids for 9.45 crore shares against the 83.79 lakh shares on offer, resulting in an overall subscription of 11.28 times by the end of Day 1, according to exchange data.

Among the investor categories, the retail portion attracted the highest interest, getting subscribed 27 times, followed by the non-institutional investors (NII) segment at 24 times. The qualified institutional buyers (QIB) portion was also fully subscribed.

The ₹165.16-crore IPO, valued at the upper end of the price band, is entirely a fresh issue comprising 1.20 crore equity shares.

The company plans to utilise ₹65 crore from the proceeds towards working capital requirements, another ₹65 crore for repayment of outstanding borrowings, and the remaining amount for general corporate purposes.

The price band for the IPO has been fixed at ₹130-138 per share, with a lot size of 100 shares. For retail investors, the minimum investment amount stands at ₹13,800 at the upper end of the price band.

As of today, the grey market premium (GMP) for Advit Jewels stood at ₹64 per share, indicating the stock could list above its issue price. Based on the prevailing GMP and the upper price band, the estimated listing price works out to around ₹202 per share, implying a premium of nearly 47%.

The GMP reflects the difference between an IPO's issue price and its expected listing price in the unofficial market. However, investors should note that GMP is only an early indicator and should not be considered the sole basis for an investment decision.

Based in Jaipur, Rajasthan, Advit Jewels manufactures and sells traditional and contemporary handcrafted jewellery, specialising in kundan, diamond, polki, and studded jewellery under its flagship brand, Rambhajo. Its product portfolio includes necklaces, earrings, rings, bangles, and customised jewellery pieces.

The company primarily operates under a B2B model, catering to dealers, showrooms, and jewellery retailers. It also serves B2C customers through exclusive made-to-order jewellery offerings. Advit Jewels operates a manufacturing facility in Jaipur with a built-up area of 6,450 sq. ft., located on leased premises and fully maintained by the company.

On the financial front, the company has delivered steady growth over the last three financial years ended March 31, 2025. Profit after tax (PAT) rose to ₹25 crore in FY25 from ₹14.7 crore in FY24 and ₹10.38 crore in FY23.

Revenue growth has also remained strong, with revenue increasing to ₹125 crore in FY25 from ₹69 crore in FY24 and ₹47 crore in FY23.

The company's listed peers include Bluestone Jewellery and Lifestyle, RBZ Jewellers, and Radhika Jeweltech.

Disclaimer: We advise investors to check with certified experts before making any investment decisions.

Ksheera Sagar has been working as a Market Research Analyst at LiveMint for the past four years, covering stocks, commodities, and broader financial markets. In this role, he closely tracks daily market movements, corporate earnings, sector trends, and macroeconomic developments. <br><br> He has over a decade of experience in the financial services industry and has previously worked with multiple organisations, including global investment bank J.P. Morgan, bringing strong research experience into the newsroom. <br><br> During his career, he has gained extensive exposure to equity research, market analysis, and financial data interpretation, strengthening his expertise across asset classes and market cycles. <br><br> He is known for his data-driven analysis and crisp, listicle-style market stories that break down complex financial developments across key markets for a wide audience. His strong research skills enable him to write detailed and insightful stories on stocks and sectors, focusing on the underlying factors driving market movements. <br><br> His work combines quantitative insights with clear storytelling, presenting financial developments in a clear and structured manner. Moreover, he enjoys writing multibagger and listicle-style copies. Outside of work, Ksheera enjoys playing the piano and exploring new places. He has a keen interest in travel, music, and continuously learning about global markets and economic trends.