The IPO, with a face value of Rs 5, is mix of a fresh issue of up to Rs 1200 crore and an offer-for-sale up to Rs 500 crore by M. Kiran Kumar Jain.
FinTech BizNews Service
Mumbai, June 10, 2025: Chennai-based Jewellery Player Lalithaa Jewellery Mart, operating under the brand name “Lalithaa”, offering a diverse range of gold jewellery, silver jewellery, and diamond jewellery across styles, designed to cater to regional preferences of the southern Indian jewellery markets, has filed its Draft Red Herring Prospectus (DRHP) with capital markets regulator, Securities and Exchange Board of India (SEBI) to raise Rs 1,700 crore through Initial Public Offering (IPO).
The IPO, with a face value of Rs 5, is mix of a fresh issue of up to Rs 1200 crore and an offer-for-sale up to Rs 500 crore by M. Kiran Kumar Jain. It includes a reservation for a subscription by eligible employees and a discount is being offered to eligible employees bidding in the employee reservation portion. The company, in consultation with the book-running lead managers, may consider a pre-IPO placement. If such placement is completed, the fresh issue size will be reduced. The pre-IPO placement if undertaken shall not exceed 20% of the size of the fresh issue.
The proceeds from the fresh issue to the extent of Rs 1014.50 crore for funding of capital expenditure for setting up new stores in India; and general corporate purposes. The Offer is being made through the book-building process, wherein not more than 50% of the net offer is allocated to qualified institutional buyers, and not less than 15% and 35% of the net offer is assigned to non-institutional and retail individual bidders respectively.
Lalithaa Jewellery Mart opened its first store in 1985 in T.Nagar locality of Chennai which is a hub for a silk and jewellery retail outlets. (Source: CRISIL Report) It primarily sells gold jewellery and other offerings include silverware and diamond jewellery. It serves the southern Indian market with stores operational in Tier I, II and III cities with authenticated BIS-hallmarked jewellery through its 56 stores, out of which 22 in Andhra Pradesh, 20 are in Tamil Nadu, seven in Karnataka, six in Telangana and one in the Union Territory of Puducherry, spread across a total operational area of 6,09,408 sq. ft., as of December 31, 2024, with 47 stores with an aggregate area of each store more than 5,000 sq. ft.
It had the highest operating revenue per store amongst the key organised jewellery players in India between Fiscals 2022 to 2024 and the nine-month period ended December 31, 2024, according to a CRISIL report mentioned in the DRHP. The Company is also the second fastest growing regional jewellery player amongst key organised jewellery players in India basis operating revenue growth between Fiscals 2022 to 2024. The Company reported operating revenue CAGR of 43.62% between Fiscals 2022 and 2024. (Source: CRISIL Report). The Company also offers jewellery schemes such as ‘Dhana Vandhanam’ and ‘Free-yo-Flexi’ that attracts customers on a repeated basis. As of December 31, 2024, 420,261 customers are enrolled and are active in its schemes.
