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16 Apr, 2025
The Upcoming IPO of Divine Hira Jewellers Limited
The Indian jewellery sector, a cornerstone of the nation’s cultural and economic fabric, is set to witness a significant event with the Initial Public Offering (IPO) of Divine Hira Jewellers. Renowned for its craftsmanship, customer-centric approach specializing in designing and marketing 22-karat gold jewelry, offering diverse designs tailored to regional preferences, the company aims to leverage the IPO to accelerate growth and strengthen its market position. This blog explores every facet of the IPO, including the company’s services, achievements, financial metrics, and regulatory filings, to provide investors with a holistic perspective.
Company Overview: Blending Tradition with Modernity
History and Legacy
Founded in 1997 as “Hira Traders” and then, in 2022 incorporated as “Divine Hira Jewellers” has evolved from a family-run enterprise into a pan-India brand. With a legacy rooted in ethical practices and artistic excellence, the company has become synonymous with trust, particularly in bridal and festive jewellery segments.
Services Offered
Divine Hira Jewellers caters to diverse consumer needs through:
The company’s focus on purity (e.g., BIS hallmarking) and innovation in design has solidified its reputation.
- Gold Jewellery: Traditional and contemporary designs for weddings and festivals.
- Diamond and Platinum Collections: Modern, lightweight pieces for everyday wear.
- Customization Services: Bespoke designs tailored to individual preferences.
- Online Retail: A seamless e-commerce platform offering virtual try-ons and doorstep delivery.
WHAT IS GMP?
GMP (Grey Market Premium) is the difference between the IPO price and the grey market price. It is the premium amount paid for the traded IPO shares. It plays an important role in IPOs as it reflects how the IPO would react on the listing day.
A grey market is a place where shares/stocks are traded before being listed officially on the stock exchange.
The Upcoming IPO of Divine Hira Jewellers Limited
| GMP Date | IPO Price | GMP | Last Updated |
|---|---|---|---|
| - | - | - | - |
**The GMP prices displayed here are solely for informational purposes related to the grey market news. India IPO does not engage in or facilitate grey market trading, nor are these rates (sub2) indicative of any trading activity. We also do not recommend or endorse participation in the grey market.**
The Upcoming IPO of Divine Hira Jewellers Limited Details
| Detail | Description |
|---|---|
| IPO Date | March 17, 2025 to March 19, 2025 |
| Listing Date | 24 Mar 2025 |
| Face Value | ₹10 per share |
| Issue Price | ₹90 per share |
| Lot Size | 1,600 Shares |
| Total Issue Size | 35,37,600 shares(aggregating up to ₹31.84 Cr) |
| Fresh Issue | 35,37,600 shares(aggregating up to ₹31.84 Cr) |
| Issue Type | Fixed Price Issue IPO |
| Listing At | NSE SME |
| Shareholding pre issue | 95,09,500 shares |
| Shareholding post issue | 1,30,47,100 shares |
The Upcoming IPO of Divine Hira Jewellers Limited Timeline
| Detail | Description |
|---|---|
| IPO Open Date | Mon, Mar 17, 2025 |
| IPO Close Date | Wed, Mar 19, 2025 |
| Basis of Allotment | Thu, Mar 20, 2025 |
| Initiation of Refunds | Fri, Mar 21, 2025 |
| Credit of Shares to Demat | Fri, Mar 21, 2025 |
| Listing Date | Mon, Mar 24, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on March 19, 2025 |
The Upcoming IPO of Divine Hira Jewellers Limited Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| - | - | - | - |
The Upcoming IPO of Divine Hira Jewellers Limited Promoter Holding
| Share Holding Pre Issue | Share Holding Post Issue |
|---|---|
| - | - |
Competitive Strength:
- -
The Upcoming IPO of Divine Hira Jewellers Limited Financial Information
| Period Ended | Assets | Revenue | Profit After Tax | Net Worth | Total Borrowing | |||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 30 Sep 2024 | 28.54 | 136.03 | 2.5 | 12.3 | 12.93 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2024 | 28.97 | 183.41 | 1.48 | 9.8 | 18.61 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2023 | 23.26 | 246.45 | 0.91 | 8.32 | 14.05 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2022 | 19.78 | 142.4 | 0.28 | 3 | 16.54 | |||||||||||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||||||||||||
Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 16.36% |
| ROCE | 13.54% |
| RoNW | 16.36% |
| Debt/Equity | 1.90 |
| PAT Margin (%) | 0.81 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | ||
| P/E (x) |
Objectives of the IPO
- Accelerate Pan-India Retail Expansion: Establish a stronger presence in underserved Tier 2/3 markets to tap into rising disposable incomes and aspirational demand.
- Strengthen Financial Flexibility: Reduce reliance on debt and improve the debt-to-equity ratio for sustainable growth.
- Enhance Technological Capabilities: Invest in AI-driven inventory systems, VR-based customer experiences, and omni-channel integration to boost operational efficiency.
- Scale Manufacturing Capacity: Modernize workshops to meet growing demand for customized and lightweight jewellery designs.
- Boost Brand Visibility: Allocate funds to national marketing campaigns and collaborations to position Divine Hira as a premium, contemporary brand.
- Improve Liquidity: Ensure seamless inventory management and cater to seasonal demand spikes through optimized working capital.
Conclusion: A Calculated Bet on Tradition and Growth
Divine Hira Jewellers’ IPO offers a chance to invest in a brand blending heritage with modernity. While the premium valuation and market risks warrant caution, the company’s robust KPIs and expansion strategy position it for long-term success. Investors should weigh these factors against their risk appetite and consult financial advisors before participating.
RHP:
DRHP:
Frequently asked Questions (FAQs )
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What is the Divine Hira Jewellers IPO?
The Divine Hira Jewellers IPO is an initial public offering in which the company is issuing 35,37,600 fresh shares to raise ₹31.84 crore for business expansion, financial flexibility, and brand growth.
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When will the IPO open and close?
The IPO will open on March 17, 2025, and close on March 19, 2025.
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What is the listing date for Divine Hira Jewellers?
The tentative listing date is March 24, 2025, on NSE SME.
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What is the issue price of the IPO?
The issue price is fixed at ₹90 per share
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What is the lot size for the IPO?
Investors must bid for a minimum of 1,600 shares per lot.
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How will the IPO proceeds be used?
The funds will be utilized for retail expansion, technological advancements, manufacturing capacity upgrades, brand marketing, and working capital management.
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What are the competitive strengths of Divine Hira Jewellers?
The company has a strong brand reputation, in-house craftsmanship, omni-channel strategy, a loyal customer base, and a solid supply chain.
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What are the financials of Divine Hira Jewellers?
As of September 30, 2024, the company reported a revenue of ₹136.03 crore and a net profit of ₹2.5 crore.
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What are the key risks associated with the IPO?
Risks include reliance on key customers and suppliers, gold price fluctuations, seasonal demand variations, competitive pressures, and regulatory dependencies.
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How has Divine Hira Jewellers performed financially in recent years?
The revenue declined from ₹246.45 crore in FY23 to ₹183.41 crore in FY24, but the first half of FY25 shows a potential rebound with ₹136.03 crore in revenue.
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What is the company's return on equity (ROE) and return on capital employed (ROCE)?
The ROE is 16.36%, and the ROCE is 13.54%, indicating efficient capital utilization.
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What makes Divine Hira Jewellers a strong investment opportunity?
Its expansion plans, digital transformation, brand equity, customer loyalty, and steady financials make it a promising investment.
