TheNFAPost Podcast

Thiruvananthapuram, NFAPost: Kalyan Jewellers India Limited (“Kalyan Jewellers” or “Company”), one of the largest jewellery companies in India based on revenue as of March 31, 2020, according to the Industry Report on Indian Jewellery Retail dated August 21, 2020 issued by Technopak Advisors Private Limited, has filed a draft red herring prospectus (“DRHP”) with the Securities and Exchange Board of India (“SEBI”) for its proposed initial public offering (“IPO”).

Kalyan Jewellers was established by its founder and one of the Promoters T S Kalyanaraman, who has over 45 years of retail experience, of which over 25 years is in the jewellery industry. The Company started its jewellery business in 1993 with a single showroom in Thrissur, Kerala.

Kalyan Jewellers is a pan-India jewellery company, with 107 showrooms located across 21 states and union territories in India, and also has an international presence with 30 showrooms located in the Middle East as of June 30, 2020. All of its showrooms are operated and managed by the Company.

IPO initiative

In Fiscal 2020, revenue from operations of Kalyan Jewellers stood at Rs. 101,009.18 million, of which 78.19% was from India and 21.81% was from the Middle East. Kalyan Jewellers also sells jewellery through its online platform at www.candere.com.

The Initial Public Offering comprises of equity shares of face value of Rs. 10 each (“Equity Shares”) of Kalyan Jewellers aggregating up to Rs. 17,500 million, comprising a fresh issue aggregating up to Rs. 10,000 million (“Fresh Issue”) and an offer for sale aggregating up to Rs. 7,500 million, comprising up to Rs. 2,500 million by T.S. Kalyanaraman (“Promoter Selling Shareholder”) and up to Rs. 5,000 million by Highdell Investment Ltd (“Investor Selling Shareholder” and together with the promoter selling shareholder, the “Selling Shareholders” and such offer, the “Offer For Sale” and together with the Fresh Issue, the “Offer”). The Offer includes a reservation aggregating up to Rs. 20 million, for subscription by eligible employees.

The Global Co-ordinators and Book Running Lead Managers (“GCBRLMs”) to the IPO are Axis Capital Limited, Citigroup Global Markets India Private Limited, ICICI Securities Limited and SBI Capital Markets Limited. The Book Running Lead Manager (“BRLM”) to the IPO is BOB Capital Markets Limited. The equity shares are proposed to be listed on BSE and NSE.

Regulatory requirement

KALYAN JEWELLERS INDIA LIMITED is proposing, subject to, applicable statutory and regulatory requirements, receipt of requisite approvals, market conditions and other considerations, to undertake an initial public offering of its Equity Shares and has filed the DRHP with SEBI on August 24, 2020 in relation to the Offer. 

Pursuant to Regulation 26(1) of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, the DRHP filed with SEBI shall be made public, for comments, if any, for a period of at least 21 days from the date of the DRHP filing, by hosting it on the websites of SEBI, BSE and NSE at www.sebi.gov.inwww.bseindia.com and www.nseindia.com, respectively, and is available on the websites of the GCBRLMs at www.axiscapital.co.in, www.online.citibank.co.in/rhtm/citigroupglobalscreen1.htm,  www.icicisecurities.com and www.sbicaps.com, respectively, and the website of the BRLM at www.bobcaps.in, respectively.

Potential investors should note that investment in equity and equity-related securities involves a high degree of risk and investors should not invest any funds in the Offer unless they can afford to take the risk of losing their entire investment. Investors are advised to read the risk factors carefully before taking an investment decision in the Offer.

Investment decision

For taking an investment decision, investors must rely on their own examination of the Company and the Offer including the risks involved. The Equity Shares have neither been recommended or approved by SEBI and nor does SEBI guarantee the accuracy or adequacy of the contents of the DRHP. Specific attention of investors is invited to the section “Risk Factors” on page 25 of the DRHP.

This announcement is not an offer of securities for sale in the United States or elsewhere. This announcement has been prepared for publication in India only and is not for publication or distribution, directly or indirectly, in or into the United States.

The securities described in this announcement have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”) and may not be offered or sold within the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act and applicable state securities laws. No public offering of securities in the United States is contemplated.

Previous articleCEAT Associates With Jawa Motorcycles For Launch Of Perak
Next articleFortinet Commended By Frost & Sullivan for Achieving Highest Growth Rate

LEAVE A REPLY

Please enter your comment!
Please enter your name here