Vaibhav Jewellers files IPO papers with SEBI

Vaibhav Gems N' Jewellers Ltd has filed draft red herring prospectus (DRHP) with capital markets regulator Securities and Exchange Board of India (Sebi) to raise funds through an initial public offering (IPO).

The initial share sale will comprise of fresh issue of equity shares aggregating up to ₹210 crore and an Offer-for-Sale (OFS) of 43 lakh equity shares by promoter entity Grandhi Bharata Mallika Ratna Kumari (HUF). The company may consider a further issue of equity shares aggregating up to ₹40 crore. 

The company said that the proceeds of the fresh issue will be utilized to finance the establishment of eight new showrooms costing ₹12 crore and the purchase of inventory worth ₹160 crore over FY23 and FY24, besides general corporate purposes.

Founded in 1994, Visakhapatnam-headquartered Vaibhav Jewellers offers a wide range of products in gold, diamonds, gems, platinum and silver jewellery or articles. Its sub-brand Visesha caters to a premium segment of gold and diamond jewellery.

Bajaj Capital Ltd and Elara Capital (India) Pvt Ltd are the book running lead managers to the offer. The equity shares of the company will be listed on leading stock exchanges BSE and NSE.