30-Jun-2023
2 mins read
Senco Gold, a well-known jewellery retail chain, is set to launch its initial public offering (IPO) from July 4 through July 6. The price range for the IPO has been established between Rs 301 and Rs 317 per share.
On July 3, anchor investors will have the opportunity to subscribe. Following this, the allotment basis will be settled on July 11, and the shares will be transferred to the demat accounts of those allotted on July 13. The listing of Senco Gold shares on BSE and NSE is anticipated for July 14.
With a total value of Rs 405 crore, the IPO of Senco Gold includes new shares amounting to Rs 270 crore and an Offer for Sale (OFS) comprising shares worth Rs 135 crore. The OFS is presented by the promoter, SAIF Partners India IV Ltd, which currently holds a 19.23% stake in the business.
The IPO lot size for Senco Gold is 47 shares, and retail investors have the option to apply for a maximum of 13 lots. Retail investors need a minimum investment of Rs 14,899.
The capital raised from the IPO will be directed towards fulfilling working capital needs and other corporate expenditures. The IPO is managed by IIFL Securities, Ambit Pvt Ltd, and SBI Capital Markets Ltd, with Kfin Technologies functioning as the IPO registrar.
The public issue has set aside half of the shares for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and the rest, 35%, is reserved for retail investors.
In terms of financial performance, Senco Gold posted a net profit of Rs 158.48 crore in FY23, which is a notable increase from Rs 129.10 crore recorded in the previous year. The company’s revenue for the year was Rs 4,077.40 crore, an increase from Rs 3,534.64 crore the year prior.
Senco Gold Limited IPO Product Portfolio
Established in 1994, Senco Gold Limited is a prominent jewellery retailer operating across India. The company sells its products under the brand “Senco Gold & Diamonds”.
Senco Gold’s product range predominantly includes gold and diamond jewellery, and they also offer jewellery made from silver, platinum, precious and semi-precious stones, as well as other metals. Their lineup includes costume jewellery, gold and silver coins, and silver utensils.
The company boasts a diverse catalogue with over 108,000 designs for gold jewellery and over 46,000 for diamond jewellery. Most of these designs are handcrafted and typically created in-house, in partnership with over 170 skilled artisans from Kolkata and various parts of the country. As of March 31, 2023, Senco Gold has a dedicated team of 20 designers. In addition to handmade pieces, the company produces machine-made lightweight gold and diamond jewellery and sources some pieces from third-party vendors.
The company’s Everlite, Gossip, and Aham collection brands aim to target India’s younger, more ‘upwardly mobile’ demographic by focusing on jewellery with a smaller average ticket size. Furthermore, Senco Gold’s D’Signia Showrooms and Vivaha collection are designed to cater to customers seeking premium, heavier designer jewellery or a high-end retail shopping experience.
For Fiscal Year 2023, the average ticket size at their standard showrooms was around Rs 48,000.00, while it was about Rs 51,000.00 at D’Signia Showrooms and approximately Rs 29,000.00 at Everlite Showrooms.
Senco Gold operates a large network of over 136 showrooms, totalling around 409,882 sq. ft. This includes 70 company-owned showrooms and 61 franchised outlets spread across 99 cities and towns in 13 states across India.
The Objectives of Senco Gold Limited IPO
Senco Gold Limited plans to use the net earnings from the issue for specific purposes. Primarily, they aim to fund the company’s working capital needs. Additionally, they will allocate a portion of the proceeds for various general corporate endeavours.
Financial Performance of Senco Gold Limited (In Crore)
| Period Ended | Total Assets | Total Revenue | Profit After Tax | Net Worth | Reserves and Surplus | Total Borrowing |
| 31-Mar-21 | 1,559.30 | 2,674.92 | 61.48 | 602.51 | 536.53 | 532.44 |
| 31-Mar-22 | 2,100.19 | 3,547.41 | 129.10 | 725.77 | 659.46 | 862.97 |
| 31-Mar-23 | 2,905.32 | 4,108.54 | 158.48 | 944.97 | 876.27 | 1,177.17 |
Important Details of Senco Gold Limited IPO
| IPO Date | July 4, 2023 to July 6, 2023 |
| Listing Date | 14 July 2023 |
| Face Value | Rs 10 per share |
| Price | Rs 301 to Rs 317 per share |
| Lot Size | 47 Shares |
| Total Issue Size | [.] shares (Aggregating up to Rs 405.00 Cr) |
| Fresh Issue | [.] shares (Aggregating up to Rs 270.00 Cr) |
| Offer for Sale | [.] shares of Rs 10 (Aggregating up to Rs 135.00 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre issue | 69,145,806 |
Important Dates for Senco Gold Limited IPO
| Event | Tentative Date |
| Opening Date | Tuesday, 4 July 2023 |
| Closing Date | Thursday, 6 July 2023 |
| Basis of Allotment | Tuesday, 11 July 2023 |
| Initiation of Refunds | Wednesday, 12 July 2023 |
| Credit of Shares to Demat | Thursday, 13 July 2023 |
| Listing Date | Friday, 14 July 2023 |
| Cut-off time for UPI mandate confirmation | 5 PM on Jul 6, 2023 |
Promoters of Senco Gold Limited IPO
The initial public offering of Senco Gold Limited is spearheaded by Suvankar Sen, Jai Hanuman Shri Siddhivinayak Trust, and Om Gaan Ganpataye Bajrangbali Trust, who are recognised as the promoters of the company. Prior to the IPO, the promoters held a stake of 76.92% in the company. However, this stake is projected to decrease to 68.48% after the IPO has been concluded.
Lead Managers of Senco Gold Limited IPO
⦁ Iifl Securities Ltd
⦁ Ambit Private Limited
⦁ Sbi Capital Markets Limited
How to Apply
Wait for the public issue to open for subscription, then click on this link to apply for the Senco Gold Limited IPO with Bigul https://ipo.bonanzaonline.com/.
How to Check Allotment Status
The registrar for Senco Gold Limited IPO is KFin Technologies Limited. To check your allotment status, please click on this link https://karisma.kfintech.com/
FAQs
1. When will the Senco Gold Limited IPO open for subscription?
The Senco Gold Limited IPO will be open for subscription from July 4, 2023, to July 6, 2023.
2. What is the price band for Senco Gold Limited IPO?
The price band for Senco Gold Limited IPO has been set at Rs 301 to Rs 317 per share.
3. What is the lot size for the Senco Gold Limited IPO?
The lot size for the Senco Gold Limited IPO is 47 shares.
4. When will the shares be listed on the exchange?
The Senco Gold Limited IPO shares are expected to be listed on BSE and NSE on July 14, 2023.
5. Who are the lead managers of the Senco Gold Limited IPO?
The lead managers to the Senco Gold Limited IPO are IIFL Securities Ltd, Ambit Private Limited, and SBI Capital Markets Limited.
6. How can I apply for the Senco Gold Limited IPO?
You can apply for the Senco Gold Limited IPO by using the direct link to apply at https://ipo.bonanzaonline.com/ once the IPO opens for a subscription.
7. How can I check the allotment status of my Senco Gold Limited IPO application?
You can check your allotment status by visiting the registrar’s website (KFin Technologies Limited) at https://karisma.kfintech.com/ once the allotment is done.
8. Who are the promoters of Senco Gold Limited?
The IPO of Senco Gold Limited is being promoted by Suvankar Sen, Jai Hanuman Shri Siddhivinayak Trust, and Om Gaan Ganpataye Bajrangbali Trust.
9. How much stake do the promoters hold pre and post-IPO?
Prior to the IPO, the promoters held a stake of 76.92% in Senco Gold Limited. This stake is expected to reduce to 68.48% after the IPO.