Shringhar house of mangalsutra ltd-ipo

About Shringar House of Mangalsutra Limited – Mainboard IPO

Shringar House of Mangalsutra Limited is a specialised designer and manufacturer of mangalsutras based in Mumbai, Maharashtra, engaged in the design, manufacturing, and marketing of an extensive range of mangalsutras incorporating American diamonds, cubic zirconia, pearls, mother of pearl, and other semi-precious stones in 18K and 22K gold. Established in 2009, the company serves B2B clients including corporate buyers, wholesalers, and retailers across 24 states, 4 union territories, and international markets such as the UK, USA, UAE, New Zealand, and Fiji.

READ DRHP HERE:SEBI|DRHP|SHRINGHAR HOUSE OF MAGALSUTRA|

IPO Details

Key Points Information
IPO Price Band ₹155 – ₹165 per share
Minimum Lot Size 90 shares (about ₹14,850 at highest price)
Issue Size ₹400.95 crore (100% fresh issue of 2.43 crore shares)
Face Value ₹10 per share
Stock Exchanges BSE and NSE (Mainboard IPO)
Registrar MUFG Intime India Private Limited CLICK HERE
Book-running Managers Choice Capital Advisors Private Limited
Offer Structure QIB – up to 50%, Retail – at least 35%, NII – at least 15%

IPO Timeline (Important Dates)

Event Date
IPO Opens 10th September 2025
IPO Closes 12th September 2025
Allotment Date 15th September 2025
Refunds/Unsuccessful Bids 16th September 2025
Shares in Demat Account 16th September 2025
Listing Date 17th September 2025

What Is the Money Used For?

The funds raised will be used mainly for:

  • Funding working capital requirements (approximately ₹280 crore)
  • General corporate purposes

Key Financials (as per RHP and Public Prospectus)

Financial Metric FY23 (₹ Cr) FY24 (₹ Cr) FY25 (₹ Cr)
Revenue from Operations 950.20 1,101.50 1,429.80
EBITDA (Profit from Operations) 38.80 50.70 92.60
EBITDA Margin 4.09% 4.61% 6.48%
Profit After Tax (PAT) 23.30 31.10 61.10
PAT Margin 2.47% 2.82% 4.27%
ROCE 19.46% 21.52% 32.43%
Debt to Equity Ratio 0.88 0.80 0.61

Explanation of Financial Terms

  • Revenue: Total sales made from business
  • EBITDA: Profits before interest, taxes, depreciation, and amortisation
  • PAT: Final profit after all expenses
  • Margins: Profitability ratios as a percentage of revenue
  • ROCE: How well the company uses its capital
  • Debt to Equity: Leverage ratio indicating reliance on debt

Analysis

  • Revenue grew steadily from ₹950 crore in FY23 to ₹1,429.8 crore in FY25, a 50.4% increase over two years.
  • EBITDA more than doubled from ₹38.8 crore to ₹92.6 crore, improving margins from 4.09% to 6.48%.
  • PAT nearly tripled from ₹23.3 crore to ₹61.1 crore, with PAT margin rising from 2.47% to 4.27%.
  • Strong ROCE of 32.43% in FY25 reflects efficient use of capital.

Why Some Investors Like This Mainboard IPO

  • Leading specialised mangalsutra manufacturer with ~6% share of organized market in CY23.
  • Integrated business model with advanced design and manufacturing capabilities.
  • Pan-India presence and growing international sales.
  • Strong profitability and cash flows generating healthy margins.
  • Mainboard IPO status for enhanced liquidity and access.

Points That Need Caution

  • Geographic concentration: ~50% of revenue from Maharashtra, exposing to regional risks.
  • High working capital intensity with large funds allocated to working capital needs.
  • Single-product focus on mangalsutras limits diversification.
  • Dependence on skilled artisans (karigars) and potential labour risks.
  • Seasonality in jewellery sales tied to wedding and festive seasons.

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