Lalithaa Jewellery IPO Day 1: Subscribed 0.69x so far
As of August 17, the IPO received bids for 4,35,54,032 shares against 6,27,61,403 shares on offer
On the inaugural day of its IPO, Chennai-based Lalithaa Jewellery Mart Limited saw a subscription of 0.69 times the shares offered across all categories. As of August 17, the issue attracted bids for 4,35,54,032 shares when there were 6,27,61,403 shares available. The IPO, priced at ₹190–201 per share, aimed to raise ₹1,700 crore, consisting of a fresh issue of ₹1,200 crore and an offer for sale of ₹500 crore.
Retail individual investors led the subscription, subscribing at 0.74x against shares on offer of 3,12,05,263, while the employee reserved portion was fully subscribed at 1.51 times. Qualified institutional buyers subscribed at 0.67x, and non-institutional investors at 0.61x. Prior to the public issue, anchor investors like ICICI Prudential Smallcap Fund, Goldman Sachs Bank Europe, and Bandhan Small Cap Fund were allocated shares worth ₹508 crore at ₹201 per share on August 14, indicating pre-IPO institutional interest.
The company plans to utilize ₹1,033 crore of IPO funds to expand by opening 10 new stores, primarily to boost its foothold in Tier II and III markets in southern India. SBI Securities, which rated the issue as Neutral, pointed out strong revenue and PAT growth for Lalithaa Jewellery in FY24–FY26. However, it cautioned that the company lacks a hedging policy, leaving it exposed to margin risks if gold prices remain stable or fall. The IPO has two more days for subscription closure, which concludes on August 19.
Written by urgent.news from Hindu BusinessLine's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
This story
This is one outlet's version. Read the fullest account.
- Lalithaa Jewellery’s 1,700-crore IPO opens today at ₹190-201 price band thehindubusinessline.com
