Divine Hira Jewellers
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 17 Mar 2025 – 19 Mar 2025
- Listing date
- 24 Mar 2025
- Face value
- ₹10 per share
- Issue price
- ₹90 per share
- Lot size
- 1,600 shares
- Issue type
- Fixed Price issue
- Listing at
- NSE
- Total issue size
- ₹31.84 Cr
- Promoter holding
- 99.74% → 72.70% pre-issue → post-issue
- ISIN
- INE0NA501011
- Registrar
- Bigshare Services Pvt.Ltd.
- Lead managers
- Horizon Management Pvt.Ltd.
- Registered office
- 74/A, 1st Floor, Office No.2, Opp.Hotel Bhagat Tarachand, Zaveri Bazar, Maharashtra
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 0 | — | — |
| Market maker | 1,77,600 | — | — |
Application size
Minimum 1,600 shares per lot, in multiples, at ₹90
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,44,000 |
| S-HNI (min) | 2 | 3,200 | ₹2,88,000 |
| S-HNI (max) | 6 | 9,600 | ₹8,64,000 |
| B-HNI (min) | 7 | 11,200 | ₹10,08,000 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|
Key performance indicators
- Return on net worth
- 16.36%
- ROCE
- 13.54%
- Debt / equity
- 1.90
- PAT margin
- 0.81%
- NAV per share
- ₹10.31
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Divine Hira Jewellers
Divine Hira Jewellers Limited, incorporated on July 19, 2022, acquired the entire business of Hira Traders (a proprietorship firm established in 1997) effective September 30, 2022. The company is engaged in the business of designing and marketing gold jewelleries, primarily dealing in 22 Karat gold jewellery with a wide variety of designs tailored to regional preferences. The company procures gold from bullion dealers and importers, outsources manufacturing to job workers and artisans, and sells through wholesale channels to wholesalers, showrooms and retailers. The product range includes machine-made, handmade and plain gold jewellery such as necklaces, mangalsutras, chains, malas, rings, pendants, bracelets, bangles, kadas, coins and wedding jewelleries. Revenue comes from wholesale gold jewellery sales.
Company Analysis
from RHPDivine Hira Jewellers Limited designs and markets 22 Karat and handcrafted gold jewellery for wholesale distribution across domestic markets in Maharashtra, Karnataka, Gujarat and Chhattisgarh.
Divine Hira Jewellers Limited, incorporated on July 19, 2022, acquired the entire business of Hira Traders (a proprietorship firm established in 1997) effective September 30, 2022. The company is engaged in the business of designing and marketing gold jewelleries, primarily dealing in 22 Karat gold jewellery with a wide variety of designs tailored to regional preferences. The company procures gold from bullion dealers and importers, outsources manufacturing to job workers and artisans, and sells through wholesale channels to wholesalers, showrooms and retailers. The product range includes machine-made, handmade and plain gold jewellery such as necklaces, mangalsutras, chains, malas, rings, pendants, bracelets, bangles, kadas, coins and wedding jewelleries. Revenue comes from wholesale gold jewellery sales.
Objects of the Issue
- Prepayment or repayment of all or a portion of certain loans availed by our Company ₹300.00 lakhs p.19
- Funding of working capital requirements of our Company ₹1,900.00 lakhs p.19
- General corporate purposes ₹619.09 lakhs p.19
- Prepayment or repayment of certain loans availed by our Company ₹300.00 lakhs p.76
- Funding of working capital requirements of our Company ₹1,900.00 lakhs p.76
- General corporate purposes ₹619.09 lakhs p.76
- Augment fund based capacities in order to scale up business operations and working capital p.122
- General corporate purposes ₹3,183.84 lakhs p.235
Issue Structure
- Total Issue
- 35,37,600 Equity Shares of face value of ₹10 each aggregating to ₹3,183.84 lakhs
- Fresh Issue
- 35,37,600 Equity Shares of face value of ₹10 each at ₹90 per share aggregating to ₹3,183.84 lakhs
- Offer for Sale
- Nil
- Price Band
- ₹90 per Equity Share (fixed price)
- Lot Size
- 1,600 Equity Shares and in multiples of 1,600 thereafter; subject to a minimum allotment of 1,600 Equity Shares
- Face Value
- ₹10 per Equity Share
Business Model
The company designs gold jewellery and procures raw materials (primarily 24 karat gold bullion, silver, alloys and coloured stones) from bullion dealers and importers. It outsources the manufacturing and job work to various artisans and job workers without formal written agreements. It then sells the finished jewellery in bulk quantities to wholesalers, showrooms and retailers on a purchase order basis without long-term contracts.
Business Segments
SWOT Analysis
- • Diverse product portfolio with ability to create localized designs(p.18)
- • Long operating history and established relationships with suppliers and job workers(p.25)
- • In-house design capability with skilled craftsman network(p.18)
- • Strong focus on purity and quality commitment(p.18)
- • Experienced management with deep industry tenure(p.111)
- • Ability to design localized product mixes for regional preferences(p.110)
- • Extensive in-house design capability and diverse product portfolio(p.110)
- • Quality control and BIS hallmarking across product range(p.112)
- • Strategic focus on high-margin gold jewellery products(p.111)
- • Strong recent financial performance and improving margins(p.111)
- • Experienced promoters with 30+ years in jewelry business(p.119)
- • Wide product portfolio differentiating from local jewelers(p.119)
- • Strong understanding of customer preferences and market dynamics(p.120)
- • Stringent quality control and BIS hallmarking certification(p.119)
- • Unique identification system for traceability and authenticity(p.120)
- • Experienced jobworker network with skilled craftsmen(p.121)
- • In-house design innovation capability(p.121)
- • Established presence in Zaveri Bazar, a prime bullion and jewelry market(p.193)
- • Experienced management with significant industry tenure(p.193)
- • In-house design capability with flexibility for regional customization(p.192)
- • Improving profitability margins year-on-year(p.191)
- • Strong return on equity trajectory(p.191)
- • Heavy dependence on limited number of customers for revenue(p.25)
- • No long-term supply agreements with raw material suppliers(p.25)
- • Lack of written contractual arrangements with job workers(p.27)
- • Failure to obtain timely trade licenses from municipal authorities(p.26)
- • Designs not registered under Designs Act, leaving them vulnerable to duplication(p.27)
- • Heavy concentration of revenue in Maharashtra (100%)(p.28)
- • Significant portion of current assets tied up in inventory and trade receivables(p.29)
- • Logo and trademark not yet registered(p.35)
- • History of negative cash flows(p.34)
- • High short-term borrowings relative to equity(p.47)
- • Heavy dependence on few large customers creating concentration risk(p.90)
- • No in-house manufacturing facility, dependent on outsourced artisans(p.110)
- • Recently incorporated company with limited operating history(p.110)
- • Very low profit margins despite revenue growth(p.112)
- • Limited geographical area of operations(p.124)
- • No owned manufacturing facilities, dependent on outsourced jobworkers(p.119)
- • High concentration of revenue from top 10 customers(p.123)
- • High concentration with top 10 suppliers(p.123)
- • Small employee base of only 9 persons(p.126)
- • Heavy revenue concentration among few customers(p.193)
- • Dependence on small number of suppliers without long-term agreements(p.193)
- • High leverage relative to equity base(p.208)
- • Outstanding tax litigation involving promoter(p.211)
- • Disputed trade receivables with extended aging(p.182)
- • Expansion into international markets, particularly Dubai(p.35)
- • Growth driven by organized retail development and brand expansion(p.18)
- • Relaxation of gold import restrictions(p.18)
- • Expected industry growth to US$100 billion by 2027(p.18)
- • Recent introduction of antique gold jewelry offerings(p.18)
- • Direct gold import capability under development(p.18)
- • Significant growth potential in antique gold jewellery segment(p.77)
- • Export opportunities through international exhibitions and client relationships(p.80)
- • Expansion into new geographic markets within India(p.80)
- • Growing organized retail sector in gems and jewellery(p.109)
- • Projected industry growth to $100 billion by 2027(p.109)
- • Favorable government policies supporting sector growth(p.109)
- • Export opportunities, particularly to Dubai and Gulf countries(p.122)
- • Increase customer base through expansion(p.124)
- • Growing market for customized jewelry and innovative designs(p.124)
- • Expansion of antique gold jewelry segment(p.122)
- • Increase physical presence through sales offices in various Indian regions(p.122)
- • Leverage working capital to exploit market opportunities(p.122)
- • Direct gold import capability to reduce procurement costs(p.192)
- • Expansion into antique and historical jewelry segments(p.192)
- • Growing market reach across diverse customer segments(p.192)
- • Broad product range addressing multiple occasions and demographics(p.192)
- • Volatility in gold prices affecting raw material costs and customer demand(p.27)
- • Risk of supply disruptions from limited number of suppliers(p.25)
- • Intense competition in organized and unorganized jewelry sectors(p.28)
- • Seasonal fluctuations in demand affecting profitability(p.26)
- • Regulatory changes and licensing requirements(p.33)
- • Rapid changes in fashion trends and consumer preferences(p.35)
- • Changes in India's economic liberalization policies(p.44)
- • Dependence on Indian economic conditions and consumer spending(p.43)
- • Natural disasters and calamities affecting Indian economy(p.44)
- • Volatile gold and precious metal prices affecting profitability(p.80)
- • Gems and jewellery export sector experienced significant contraction(p.104)
- • Weak demand in key international markets due to geopolitical tensions(p.105)
- • Intense competition from established brands and organized retailers(p.109)
- • Working capital intensive business model requiring significant upfront investments(p.79)
- • Dependence on skilled artisans and craftspeople across multiple locations(p.110)
- • Competition from both organized and unorganized sectors(p.125)
- • Fluctuation in raw material prices(p.124)
- • Constant changes in consumer preferences(p.124)
- • Working capital intensive business with no advance customer payments(p.122)
- • Dependence on a few major customers for bulk of revenue(p.123)
- • Regulatory and licensing dependencies for business continuity(p.193)
- • Volatility and availability of raw material (gold bullion)(p.193)
- • Seasonal revenue fluctuations creating income unpredictability(p.193)
- • Intense competition from organized and unorganized players(p.202)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Hirachand P Gulecha (HUF) | Promoter | 37,05,000 shares (38.96%) | 37,05,000 shares (28.40%) |
| Niraj Hirachand Gulecha | Promoter | 28,28,150 shares (29.74%) | 28,28,150 shares (21.68%) |
| Hirachand Pukhraj Gulecha | Promoter | 12,84,400 shares (13.51%) | 12,84,400 shares (9.84%) |
| Khushbu Niraj Gulecha | Promoter | 9,75,650 shares (10.26%) | 9,75,650 shares (7.48%) |
| Hirachand P Gulecha (HUF) | Promoter | 38.96% | 28.40% |
| Niraj Hirachand Gulecha | Promoter | 29.74% | 21.68% |
| Hirachand Pukhraj Gulecha | Promoter | 13.51% | 9.84% |
| Khushbu Niraj Gulecha | Promoter | 10.26% | 7.48% |
| Meena Hirachand Gulecha | Promoter Group | 6.75% | 4.92% |
| Ankita Hirachand Gulecha | Promoter Group | 0.26% | 0.19% |
| Harsha Rahul Kothari | Promoter Group | 0.26% | 0.19% |
| Hirachand Pukhraj Gulecha | Promoter | 13.51% | 9.84% |
| Niraj Hirachand Gulecha | Promoter | 29.74% | 21.68% |
| Khushbu Niraj Gulecha | Promoter | 10.26% | 7.48% |
| Hirachand P Gulecha (HUF) | Promoter Group | 38.96% | 28.40% |
| Hirachand Pukhraj Gulecha | Promoter | — | — |
| Niraj Hirachand Gulecha | Promoter | — | — |
Leadership
Auto-extracted from the company's RHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official RHP before relying on it.