PC Jeweller IPO to hit market on Dec 10, fixes price band at Rs 125-135

PC Jeweller will hit the capital market on December 10 with its initial public offer (IPO), to raise up to Rs 609 crore.

The company had in September 2011 filed the draft document with the Securities and Exchange Board of India (Sebi) for its IPO to raise funds for expansion and working capital requirement.

At present, the company has 30 showrooms across the country and has plans to open 20 new retail showrooms by utilising funds raised through IPO.

PC Jeweller has fixed the price band of IPO - comprising of over 4.51 crore equity shares - at Rs 125-135 per share having a face value of Rs 10 each. The public issue will close on December 12.

The offer would constitute 25.2 per cent of the post-issue paid-up equity share capital of the company. The company is offering a discount of Rs 5 to retail individuals.



At the upper band, PC Jeweller would raise a little over Rs 609 crore through the issue, while at lower band, the company would mop up Rs 564 crore.

The Delhi-based jeweller had posted a turnover of about Rs 3,000 crore in 2011-12.

The company has two jewellery manufacturing facilities in Uttarakhand that cater to domestic market and two facilities in Noida for exports market. It also exports gold and diamond jewellery on a wholesale basis to distributors in Dubai, Hong Kong and Singapore.

The shares are proposed to be listed on the National Stock Exchange and the Bombay Stock Exchange. The book running lead managers to the IPO are SBI Capital Markets and Kotak Mahindra Capital Company and the co-book running lead manager is IDBI Capital Market Services.

With inputs from PTI