Shankesh Jewellers Files IPO Papers: Fresh Issue of 3 Cr Shares, OFS of 1 Cr Shares

Mumbai | September 30, 2025 – Shankesh Jewellers Ltd has filed its draft red herring prospectus (DRHP) to enter the capital markets. The company intends to participate in the forthcoming IPO, which will comprise a Fresh Issue of equity shares amounting to up to ₹3 crore and an Offer for Sale (OFS) of up to ₹1 crore shares, each at a face value of ₹5 per share, on the main board. The shares will be traded on the NSE and BSE exchanges, with Aryaman Financial Services and Smart Horizon Capital Advisors serving as the book-running lead managers, and KFin Technologies as the registrar.

Company Operations

Shankesh Jewellers, headquartered in Mumbai’s Zaveri Bazaar, primarily markets handmade gold jewelry made from 22K and 18K gold. Shankesh’s products consist of bangles, bridal sets, chokers, jhumkas, necklaces, mangalsutras, and rings. Shankesh caters to leading national retail chains, such as Joyalukkas India, P. N. Gadgil & Sons, Kalyan Jewellers, and Aditya Birla Group’s Novel Jewels. The firm relies primarily on job workers and karigars to produce the jewellery, and they conduct thorough inspections to ensure quality.

Shankesh Jewellers IPO Offer Structure and Fund Utilization

The new Issue of shares is intended to raise funds for repayment and prepayment of borrowings in the amount of ₹1,580 million, providing working capital of ₹380 million and for general corporate actions, within the regulatory limit. The OFS portion will enable promoters Kantilal K. Jain and Manoj K. Jain to divest a portion of their stake.

Shankesh Jewellers IPO Financial Highlights

In Fiscal Year 2025, the company reported revenue from operations of ₹14,038.26 million and a Profit After Tax of ₹403.12 million. The net worth stood at ₹1,005.96 million as of March 31, 2025, and borrowings totalled ₹1,456.25 million.

Shankesh Jewellers IPO Promoter Holding

The promoters of the previous company are Kantilal Kheemraj Jain, Mahavir Kantilal Jain, and Manoj Kantilal Jain. As of March 31, 2023, the promotional holdings are 74.25 percent; the promotional group owned 21.23 percent before the pre-issue. The shareholding post-issue will be determined once the pricing and allotment are concluded.

Outlook

Shankesh Jewellers has an established client base, a streamlined asset structure for manufacturing, and is well-positioned for potential growth in India’s jewellery market. However, there are several key challenges to watch, including fluctuations in gold prices, high working capital requirements, and geographic concentration.

REF: https://nsearchives.nseindia.com/corporate/Registration_29092025153631_Shankesh_Jewellers_Limited_DRHP.pdf

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