Shringar House of Mangalsutra Ltd, a Mumbai-based premium jewellery brand, is set to launch its Initial Public Offering (IPO) on Wednesday, September 10, 2025. The IPO, which aims to raise Rs 400.95 crore through a fresh issue of 2.43 crore equity shares, has generated notable investor interest ahead of its opening, with a grey market premium (GMP) of approximately Rs 25—translating to a 13 to 15 percent listing gain over the upper price band.
The issue will remain open for subscription until Friday, September 12, and is expected to list on both BSE and NSE on September 17. With strong fundamentals, a niche market position, and a growing export footprint, the IPO presents a compelling opportunity for investors seeking exposure to India’s organized jewellery segment.
Key Highlights From The IPO Launch
- IPO opens on September 10 and closes on September 12
- Price band fixed at Rs 155 to Rs 165 per share
- Entirely a fresh issue of 2.43 crore equity shares; no offer-for-sale component
- Minimum lot size is 90 shares, requiring Rs 14,850 investment at the upper band
- GMP stands at Rs 25, indicating an estimated listing price of Rs 190
Company Overview And Market Position
Shringar House of Mangalsutra Ltd was incorporated in 2009 and specializes in designing, manufacturing, and marketing mangalsutras crafted in 18k and 22k gold, often studded with American diamonds, pearls, and semi-precious stones. The company holds an estimated 6 percent share in India’s organized mangalsutra market and operates across 24 states and 4 union territories.
- Strong B2B presence with corporate clients, wholesalers, and retailers
- Export markets include USA, UK, UAE, New Zealand, and Fiji
- FY25 revenue rose 29.8 percent year-on-year to Rs 1,429.8 crore
- EBITDA margins and net profit have shown consistent improvement
Use Of Proceeds And Strategic Intent
The company plans to utilize Rs 280 crore from the IPO proceeds to meet working capital requirements, with the remaining funds earmarked for general corporate purposes. This capital infusion is expected to support inventory expansion, supply chain optimization, and deeper market penetration.
- Working capital will support procurement of raw materials and finished goods
- Funds will also be used to enhance warehousing and logistics capabilities
- Expansion into Tier 2 and Tier 3 cities is part of the post-IPO roadmap
- Brand-building initiatives and digital marketing will be scaled up
Investor Sentiment And Subscription Outlook
The IPO has attracted attention due to its niche positioning and strong GMP, which signals healthy demand in the unofficial market. Retail investors are expected to dominate early subscriptions, while institutional interest may pick up closer to the closing date.
- GMP of Rs 25 suggests a 13 to 15 percent premium over issue price
- Subscription momentum may be influenced by broader market conditions and peer IPO performance
- Analysts expect oversubscription in the retail category, driven by low entry barrier and festive season tailwinds
Risks And Considerations
While the company has demonstrated strong growth and profitability, investors should consider sector-specific risks such as gold price volatility, regulatory changes, and competition from unorganized players. Additionally, the IPO’s valuation and post-listing performance will depend on execution of its expansion strategy.
- Jewellery sector is sensitive to macroeconomic shifts and consumer sentiment
- Export dependency may expose the company to currency and geopolitical risks
- Inventory-heavy business model requires efficient working capital management
Conclusion: A Glittering Opportunity With Measured Upside
Shringar House of Mangalsutra’s IPO offers investors a chance to participate in a fast-growing segment of India’s jewellery market, backed by strong financials and brand equity. The 13 percent GMP and robust demand indicators suggest a promising listing, though long-term returns will hinge on execution and market dynamics. For investors with moderate risk appetite and interest in consumer discretionary plays, this IPO merits consideration.
Sources: Livemint, Groww, Chittorgarh IPO Dashboard
