Shanti Gold Filed DRHP with SEBI to Raise Funds Via IPO

Shanti Gold International Limited, a Mumbai-based gold jewellery manufacturer has filed its Draft Red Herring Prospectus (DRHP) with the capital market regulator, the Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO). The company specialises in the gold jewellery industry and aims to leverage this offering for its expansion and working capital requirements.

The company has appointed Choice Capital Advisors Private Limited as the lead manager while Bigshare Services Private Limited as the registrar to the issue. Post IPO process, Shanti Gold shares will be listed on BSE and NSE.

Shanti Gold IPO Details

Shanti Gold IPO is entirely a fresh issue of 1,80,96,000 equity shares with a face value of ₹10. This upcoming IPO will be conducted through the book-building process, with the net issue allocation as follows:

• 50% of the issue will be reserved for Qualified Institutional Buyers (QIBs) on a proportionate basis
• 15% will be allocated to non-institutional bidders
• 35% will be reserved for retail individual bidders

Use of IPO Proceed

The company proposes to use the net proceeds for the following objects:

• Funding of capital expenditure requirements towards setting up the proposed Jaipur Facility
• Funding working capital requirements.
• Repayment and/or pre-payment, in full or part, of certain borrowings availed by the company
• General corporate purposes.

About Shanti Gold International Limited

Incorporated in 2013, Shanti Gold International Limited is one of the leading manufacturers of high-quality 22kt CZ casting gold jewellery, in terms of installed production capacity. The company specialises in the design and production of all types of gold jewellery. The company operates a fully integrated in-house manufacturing setup, which enables the business to exercise control over the quality of products and meet the standards expected by its customers

The company has shown steady growth in its financial performance:

• Revenue from Operations: Increased by 4.71% from ₹679.40 crore in FY 2023 to ₹711.43 crore in FY 2024, and ₹505.90 crore for the 6 months ending September 30, 2024.
• Profit After Tax (PAT): Increased by 35.57% from ₹19.81 crore in FY 2023 to ₹26.87 crore in FY 2024, and ₹18.25 crore for the six months ending September 30, 2024.

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