Shringar House of Mangalsutra Ltd., a specialist in designing and manufacturing mangalsutras and related jewellery, is opening a mainboard IPO in September 2025. Here’s a concise, reader-friendly breakdown of the key dates, price band, lot size, business profile, recent financials, strengths, risks, and how to apply, so decisions are fast and informed.
Key IPO Details
- IPO dates: September 10–12, 2025 (Anchor: September 9)
- Price band: ₹155–₹165 per share; face value ₹10
- Issue size: ₹400.95 crore, 100% fresh issue of 2.43 crore shares; no OFS
- Lot size: 90 shares; minimum retail application amount ₹14,850 at lower band; up to 13 lots for retail
- Allocation: QIB up to 50%, NII 15%, Retail 35%
- Listing: BSE and NSE; tentative listing September 17, 2025
- Registrar and BRLM: MUFG Intime India (registrar); Choice Capital Advisors (lead manager)
What the Company Does
Founded in 2009, Shringar House of Mangalsutra focuses on mangalsutras crafted in 18k and 22k gold, using American diamonds, cubic zirconia, pearls, and semi‑precious stones for diverse B2B needs. The company works with a 12‑member design team and 182 in‑house karigars (as of Dec 31, 2024), supplying to corporate clients, wholesalers, and retailers in India and overseas. Notable clients include Malabar Gold, Titan, GRT Jewellers, Reliance Retail, Joyalukkas, and Damas (UAE).
Financial Snapshot
- Revenue: ₹950.22 crore (FY23) → ₹1,101.52 crore (FY24) → ₹1,429.82 crore (FY25)
- Net profit: ₹23.36 crore (FY23) → ₹31.11 crore (FY24) → ₹61.11 crore (FY25)
- Margin trend: Improving net margin from 2.46% to 4.27% as scale and mix support profitability
The top‑line and margin trajectory suggest expanding demand and operating leverage, though jewellery margins remain structurally thinner than many FMCG categories.
Use of Proceeds
The fresh issue proceeds are aimed at working capital, growth initiatives, and general corporate purposes per the RHP, with no promoter OFS. A full fresh issue typically strengthens the balance sheet and supports inventory‑intensive jewellery operations.
Competitive Strengths
- Category focus: Deep specialization in mangalsutras with a broad design repertoire and in‑house craftsmanship.
- Blue‑chip B2B relationships: Supplies to marquee national and international retailers, aiding volumes and visibility.
- Export footprint: Presence across the UK, New Zealand, UAE, USA, and Fiji diversifies demand beyond domestic cycles.
- Improving profitability: Rising revenue and expanding net margins across FY23–FY25.
Key Risks
- Working capital intensity: Jewellery manufacturing and B2B supply require high inventory levels and extended credit to partners.
- Gold price volatility: Fluctuations can impact pricing, demand, and inventory valuation; hedging and pricing discipline are critical.
- Client concentration: Dependence on large retail chains or wholesalers could pose revenue risk if orders slow.
- Compliance and hallmarking: Strict quality, hallmarking, and export norms—non‑compliance can disrupt operations.
Valuation Checks Before Applying
Compare with listed jewellery peers on:
- Revenue growth, EBITDA and net margin stability
- ROE/ROCE and cash conversion (inventory and receivable days)
- Working capital cycle vs peer averages
- Post‑issue valuation (P/E, EV/EBITDA) relative to growth and client quality
How to Apply
- Apply via ASBA (net banking) or UPI through broker apps during Sep 10–12; consider bidding at cut‑off if unsure.
- Minimum lot is 90 shares; retail can apply up to 13 lots; approve UPI mandates promptly.
- Allotment likely on Sep 15; refunds and demat credit on Sep 16; tentative listing on Sep 17. Track status on the registrar portal using PAN/Application/DP details.
Bottom Line
Shringar House of Mangalsutra brings a focused jewellery niche, marquee B2B clients, and improving profitability to public markets. The fully fresh issue supports working capital for scale. Investors should weigh category strengths and export reach against gold price exposure, working capital intensity, and client concentration risks, then size allocations according to risk appetite and time horizon.