Pune-based PNGS Reva Diamond Jewellery Ltd will launch its initial public offering (IPO) on Tuesday to raise Rs 380 crore through the fresh issue of equity shares.
Price band of the issue, which will close on February 26, has been fixed at Rs 367-386 per share.
“We are raising funds to expand our business,” the company’s CEO Amit Modak told PTI.
He said the company plans to set up 15 new retail stores with an investment of Rs 286.5 crore.
Out of 15 new stores, around 60 per cent would be in Maharashtra.
“These 15 stores will be company-owned and company-operated,” Modak said.As per the objects of the IPO, another Rs 35.4 crore has been earmarked for marketing and promotional expenses related to the launch of these 15 new stores.
PNGS Reva Diamond Jewellery Ltd’s revenue from operations stood at Rs 156.7 crore during the first six months of this fiscal, with net profit at Rs 20.1 crore.
In the last fiscal, revenue from operations rose to Rs 258 crore from Rs 195.6 crore in the preceding year.
Its net profit increased to Rs 59.4 crore in the 2024-25 fiscal from Rs 42.4 crore in the preceding year.
The company has 34 stores across 25 cities in the states of Maharashtra, Gujarat and Karnataka.
Modak said the company focuses only on domestic sales and does not export diamond jewellery.
Promoters have an 87 per cent stake in the company. Post-IPO, their shareholding will come down to around 60 per cent.