Senco Gold IPO: Is it a shining investment opportunity?

Seeking a dazzling investment? Discover Senco Gold's IPO raising Rs 405 crore. Could it illuminate your portfolio's future? Read the article to know more.

Senco Gold IPO
  • IPO opens on July 4, 2023.
  • IPO raises INR 405 crores.
  • IPO price range 301 - 317 per share.
  • Tentative listing date: July 14.

Introducing Senco Gold, a renowned pan-India jewellery retail player with a rich legacy spanning over five decades. As the largest organised jewellery retail player in the eastern region of India, Senco Gold has established its presence with an impressive network of 136 showrooms across 96 cities and towns in 13 states. Now, Senco Gold is set to embark on a new chapter by floating an Initial Public Offering (IPO) to raise Rs 405 crore. This exciting development begs the question: Will investing in Senco Gold's IPO make your portfolio shine brighter? Let's delve into the details and explore the potential this opportunity holds for investors.

Senco Gold: When does the IPO open for the public?

The Initial Public Offering (IPO) will be available to the public from July 4th to July 6th, 2023.

How much does the company plan to raise through the IPO issue?

Senco Gold's IPO aims to raise INR 405 crores, with a fresh equity issue of Rs 270 crore and an offer for-sale (OFS) of Rs 135 crore by SAIF Partners. SAIF currently holds a 19.23% stake.

Did anchor investors participate in the issue?

Senco Gold allotted 38.32 lakh shares to 21 anchor investors at Rs 317 per unit, raising Rs 121 crore. Key participants included White Oak, Nippon MF, Bandhan MF, Jupiter asset management, and 3P India Equity Fund.

How does the company plan to utilise the funds raised?

Out of the fresh issue proceeds, INR 196 crores will be used for working capital and the rest for general corporate purposes.

Also Read: Is buying gold as investment a wise thought? Expert views on gold investments.

Senco Gold: What is the IPO price range and minimum investment amount?

The IPO is priced between INR 301 and INR 317 per share. Retail investors can apply for up to 13 lots, with a minimum investment of INR 14,899.

Senco Gold IPO: When is the tentative listing date?

The share allotment is expected to be finalised on July 11, with a tentative listing date of July 14 on the BSE and NSE.

Senco Gold: What has been the financial performance of the company?

The company's financial performance has been strong. In FY21, they made Rs 2,660 crore in revenue, which increased to Rs 4,077 crore in FY23. Their net profit also rose from Rs 61.5 crore to Rs 158.5 crore during this period.

Regarding their debt-to-equity ratio, it was 1.1x in FY21, 1.4x in FY22, and 1.5x in FY23. Their PAT margin was 3.9 per cent in FY23, 3.7 per cent in FY22, and 2.3 per cent in FY21.

Also ReadKolkata's Senco Gold Initiates Rs. 400 Crore IPO for Expansion and Business Growth

The future prospects for Senco Gold appear promising due to its strong financial performance and well-established presence in the market. The IPO's success can potentially fuel growth and expansion. However, the company should be mindful of managing debt-to-equity ratios and coping with market competition as possible challenges.




Disclaimer: This article is intended for general information purposes only and should not be construed as investment or tax advice.


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