Vaibhav Gems N Jewellers get SEBI’s approval to float IPO

Regional jewellery brand Vaibhav Gems N’ Jewellers have received capital markets regulator Sebi’s go-ahead to raise funds through initial public offerings (IPOs). The company filed its preliminary IPO papers with the capital markets regulator between August and September and obtained their observation letters during November 28-December 2, an update with the Securities and Exchange Board of India (SEBI) showed on Tuesday. In Sebi’s parlance, its observations imply its go-ahead to float initial share sales.

The public issue of Vaibhav Gems N’ Jewellers comprises a fresh issue of equity shares aggregating up to Rs 210 crore and OFS of 43 lakh equity shares by promoter entity Grandhi Bharata Mallika Ratna Kumari (HUF), according to the draft red herring prospectus (DRHP).

Proceeds of the fresh issue will be utilised to finance the establishment of eight new showrooms, costing Rs 12 crore, and the purchase of inventory worth Rs 160 crore over FY23 and FY24, besides general corporate purposes.

Visakhapatnam-headquartered Vaibhav Jewellers offers a wide range of products in gold, diamonds, gems, platinum and silver jewellery or articles. Its sub-brand Visesha caters to a premium segment of gold and diamond jewellery.

Courtesy: Economic Times