Shringar House of Mangalsutra, a Mumbai-based jewellery company, has filed for an IPO with SEBI to raise ₹250 crore. The IPO includes a fresh issue of 2.43 crore equity shares, aimed at supporting working capital and corporate purposes.
Shringar House of Mangalsutra, a prominent designer and manufacturer of mangalsutras, has filed its Draft Red Herring Prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). The company aims to raise ₹250 crore from the public issue, which will include a fresh issue of 2.43 crore equity shares, with no offer-for-sale component.
About Shringar House of Mangalsutra
Founded in 2009 and based in Mumbai, Shringar House of Mangalsutra designs, manufactures, and markets a wide range of mangalsutras, which are adorned with various stones like American diamonds, cubic zirconia, pearls, mother of pearl, and semi-precious stones. The products are crafted in 18k and 22k gold.
The company holds about 6% of the organised mangalsutra market in India, serving corporate clients, wholesale jewellers, and retailers across 24 states and four union territories. Additionally, Shringar House of Mangalsutra has expanded its presence internationally, with clients in the UK, New Zealand, the UAE, the USA, and Fiji. Its high-profile corporate clients include industry giants such as Malabar Gold, Titan Company, Reliance Retail, and Joyalukkas.
Shringar House of Mangalsutra also offers job-work services to its corporate clients and processes significant amounts of bullion into mangalsutras. In FY24, the company processed 1,221.19 kg of bullion, generating ₹19.32 crore in revenue.
The company has more than 10,000 active SKUs across over 15 collections, including bridal, traditional, contemporary, and Indo-Western styles. Its flagship store is located on Mumbai’s Kalbadevi Road, and it also has a manufacturing facility in Lower Parel (West), Mumbai.
Details of the IPO
The ₹250 crore raised through the IPO will be used to meet the company’s working capital requirements and for general corporate purposes. The IPO will be made through the book-building process, with 50% of the net offer allocated to qualified institutional buyers (QIBs), 15% to non-institutional investors (NIIs), and 35% to retail individual bidders.
The subscription process for the IPO will offer a reservation for eligible employees, with a discount for those bidding in the employee reservation portion.
Financial Performance
In FY24, Shringar House of Mangalsutra’s revenue from operations increased by 16%, reaching ₹1,101.52 crore, up from ₹950.22 crore in the previous fiscal year. As of the six-month period ending September 30, 2024, the company reported revenue from operations of ₹687.13 crore, with a net profit of ₹33.03 crore.
Key IPO Timelines
- IPO Opening: February 6, 2025
- IPO Closing: February 10, 2025
- Allotment: February 11, 2025
- Listing on NSE and BSE: February 13, 2025
The company has appointed Choice Capital Advisors as the sole book-running lead manager and MUFG Intime India as the registrar for the issue.