Advit Jewels Submits DRHP for Mainboard IPO; Fresh Issue of up to 1.38 Crore Shares for Working Capital and Repayment of Debts

Jaipur, 6 October 2025: Advit Jewels Limited has filed its Draft Red Herring Prospectus (DRHP) with SEBI for a 100% book-built mainboard IPO. The issue comprises a fresh issue of up to 1,38,00,000 equity shares, each with a face value of ₹10, with no offer-for-sale component.

The company plans to list its shares on both the NSE and BSE. Holani Consultants Pvt Ltd has been appointed as the Book Running Lead Manager (BRLM), while Bigshare Services Pvt Ltd will act as the registrar to the issue.

Advit Jewels Limited, based in Jaipur, is a fine jewellery manufacturer renowned for its handcrafted collections under the flagship brand Rambhajo. The company specialises in Kundan, Polki, diamond, and other studded jewellery, combining traditional craftsmanship with design-driven manufacturing. Primarily operating a B2B business model, Advit Jewels supplies leading national and regional retail chains, as well as family jewellers across India. The company is also expanding its B2C presence through a flagship store in Jaipur. All manufacturing is conducted in-house, leveraging skilled artisans to ensure quality and intricate detailing in every piece.

The company’s promoters are Nitin Gilara, Prateek Gilara, Vipul Gilara, and Krishna Vardhan Gilara.

Advit Jewels IPO Key Issue Details

According to the Draft Red Herring Prospectus (DRHP), Advit Jewels Limited intends to utilise the net proceeds from its 100% book-built fresh issue for incremental working capital requirements and for repayment or prepayment of a portion of certain outstanding borrowings. Details on the price band, issue dates, bid lot size, and valuation will be announced in due course.

Specifically, the company plans to allocate ₹6,500 lakh towards working capital and ₹6,500 lakh for repayment or prepayment of borrowings, with the remaining proceeds earmarked for general corporate purposes in line with regulatory guidelines. HDFC Bank and ICICI Bank are the company’s bankers, whose loans are partially proposed to be repaid from the IPO proceeds.

Advit Jewels IPO Financial Performance

Advit Jewels has shown robust financial performance in the last three financial years. The company clocked revenue from operations of ₹12,493.73 lakh in FY25, against ₹6,944.26 lakh in FY24 and ₹4,660.41 lakh in FY23. Profit after tax was ₹2,536.71 lakh in FY25, as against ₹1,471.04 lakh in FY24 and ₹1,038.98 lakh in FY23. EBITDA stood at ₹3,714.67 lakh in FY25 with a margin of 29.73%. Adjusted EPS was ₹7.92 in FY25.

Net worth also increased from ₹1,807.82 lakh in FY23 to ₹5,813.42 lakh in FY25, and aggregate borrowings increased to ₹7,479.84 lakh, which represents the expansion of operations of the company. FY23–FY25 has been marked by robust revenue CAGR and margin improvement, reflecting the operational leverage and effective cost controls.

Advit Jewels IPO Offer Structure and Allocation

The IPO consists entirely of a fresh issue, with the company’s pre-issue capital standing at 3,20,10,000 shares. Post-issue, allocation will follow SEBI’s ICDR guidelines — with up to 50% of shares reserved for Qualified Institutional Buyers (QIBs, including anchor investors), at least 15% for Non-Institutional Investors (NIIs), and a minimum of 35% for Retail Individual Investors (RIIs). There are no selling shareholders in the draft offer document.

Advit Jewels IPO Key Strengths

Advit Jewels’ strengths lie in its in-house and design-centric manufacturing facility, deep experience in conventional Kundan and Polki art, and domestic production capability with quality and cost control. The company has grown very fast in the last few years and continues to build a broader product portfolio and customer base. Opening a flagship store in Jaipur is further an addition to its objective of diversifying through B2B and B2C channels.

Advit Jewels IPO Risks and Considerations

The DRHP identifies various operational and financial risks, including customer concentration with the top 10 customers accounting for more than 50% of FY25 revenues and reliance on key suppliers for gold, Polki diamonds, and precious stones. The business is inventory-intensive by nature, necessitating greater working capital requirements. The company also experiences seasonality associated with wedding and festival demand cycles, dependence on skilled craftsmen (karigars), and concentration in operations in Jaipur. Previous delays in renewals of environmental compliance were also observed, highlighting the necessity for consistent regulatory compliance.

Advit Jewels IPO Next Steps

Advit Jewels’ IPO timeline — including the announcement of the price band, lot size, anchor investor allocation date, and subscription window — will be finalized after SEBI’s review of the DRHP. The company will proceed to file its Red Herring Prospectus (RHP) before launching the public issue, followed by a T+3 listing on the NSE and BSE mainboard.

At this level, implied market capitalization and valuation multiples are not calculated until the price band is released.

REF: https://nsearchives.nseindia.com/corporate/Registration_30092025193050_DRHP.pdf

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