powerful beginning At a 98% premium to the IPO price, Motisons Jewelers lists

 powerful beginning At a 98% premium to the IPO price, Motisons Jewelers lists

powerful beginning At a 98% premium to the IPO price, Motisons Jewelers lists

During December 18–20, the Rs 151 crore public offering was purchased 159.61 times, demonstrating the high level of engagement from investors across all categories.

Retail investors purchased 122.28 times, high net worth people purchased 233.91 times, while eligible institutional purchasers purchased 157.40 times the limit.

On December 26, Motisons Jewelers' shares made their sensational debut by listing at a 98% premium over the issue price. Against the IPO price of Rs 55, the shares began trading at Rs 109.

During December 18–20, the Rs 151 crore public offering was purchased 159.61 times, demonstrating the high level of engagement from investors across all categories. Retail investors purchased 122.28 times, high net worth people purchased 233.91 times, while eligible institutional purchasers purchased 157.40 times the limit.

In addition to using the net proceeds from the new issuance for general corporate purposes, the business will utilize them to pay down its debt (Rs 58 crore) and working capital needs (Rs 71 crore). As of June of FY24, their total debt was Rs 166 crore.

The Chhabra family, who run the jewelry store, has seen significant sales increase over the last three years, and in the previous two years, net profit has doubled.

In the fiscal year that concluded in March of FY2013, net profit rose by 50.5% to Rs 22.2 crore, while sales climbed by 16.5% to Rs 366.2 crore. EBITDA increased by 26.9% YoY to Rs 49 crore, while margin increased by 109 basis points to 13.37%.

But there are dangers as well that you can't overlook. Its proprietors, Sanjay and Sandeep Chhabra, are under investigation for allegedly participating in IPL cricket match betting, and they are also under investigation by SEBI. RHP claims that since the promoter group firm was allegedly involved in non-genuine trade, an inquiry was opened against it.

Furthermore, the company's four showrooms are situated in Jaipur, so any unfavorable development there might negatively impact earnings.