Shanti Gold Glitters Early with ₹1.08 Billion Anchor Book Ahead of IPO

Shanti Gold International has opened its ₹360 crore initial public offering with robust anchor book allotment of ₹1.08 billion, reflecting robust institutional demand in spite of muted grey market sentiment. The IPO will be available for public subscription on July 25 and will close on July 29.

Key points:

The anchor round is before the public issue and is marquee investor-backed, signaling confidence in the growth trajectory and financials of the company Shanti Gold.

The IPO price band has been set at ₹189 to ₹199 a share with a fresh issue of 1.81 crore equity shares. No offer-for-sale component.

The company will likely list on NSE and BSE and will list on August 1.

Strategic use of proceeds:

₹46.3 crore will be utilized in setting up a new factory in Jaipur to increase production and design development.

The balance of ₹200 crore is kept as working capital to support expanding operations and demand from customers.

₹17 crore towards repayment of loan and the balance for general corporate purposes.

Company profile:

Shanti Gold International is experienced in CZ-embellished casting gold jewelry, creating more than 400 new items every month.

It serves big clients such as Joyalukkas, Lalitha Jewellery, and Alukkas Enterprises.

FY25 financials show a 56 percent year-over-year revenue growth to ₹1,112.47 crore and a 108 percent rise in profit after tax to ₹55.84 crore.

Sources: Reuters, Economic Times, Moneycontrol, Shanti Gold IPO Prospectus.