International Gemmological Institute Limited is coming up with an IPO consisting of a fresh issue of shares worth INR 1,475.00 crores and an offer to sell existing shares worth INR 2,750.00 crores. The company aims to pay for the acquisition of IGI Belgium and the Netherlands and support general corporate purposes. 

International Gemmological Institute IPO – Important Dates 

International Gemmological Institute Limited IPO – Company Profile 

International Gemmological Institute India Limited certifies natural diamonds, lab-grown diamonds, jewellery, and coloured stones. It operates the IGI brand in India and Türkiye and offers educational programs. It is recognized as a leading global certifier. 

The Pre-Acquisition Group provides diamond and gemstone grading, jewellery assessment, and gemology education through IGI Schools. It supports certification demand by educating professionals and enthusiasts on diamond, jewellery, gemstone quality and industry standards. 

The Pre-Acquisition Group strengthens customer relationships through innovative services like in-factory labs. It operates 20 labs and nine schools and is supported by 843 employees, including experienced gemologists dedicated to research and education. 

International Gemmological Institute India Ltd IPO Fundamental Analysis 

International Gemmological Institute Limited’s financial analysis reveals a mixed performance. Revenue has grown steadily, profitability and EPS improved, but RoNW, liquidity, and inventory turnover ratio declined, indicating mixed financial performance amid business growth and expansion. 

• Revenue Trend: The revenue increased from ₹3,646.91 millions in December 2022 to ₹4,909.94 millions in December 2023. The revenue for the current year’s 9-month period ending September 2024 is INR 5,963.57 million. 
• Equity and Liabilities: Liabilities have shown a consistent increase over the periods, reflecting potential growth and expansion. 
• Profitability: The profit after tax (PAT) has significantly increased from ₹1,715.30 million in December 2022 to ₹3,260.60 million by September 2024. This improvement in profitability could be a source of confidence among investors. 
• Earnings per Share (EPS): The diluted EPS has risen from ₹4.32 in December 2022 to ₹8.22  by September2024, reflecting higher earnings per share for investors. 
• Return on Net Worth (RoNW): The RoNW has decreased from 83.13% to 56.59%, indicating a decrease in the company’s ability to generate returns on shareholder equity. 
• Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has decreased, indicating weakening liquidity and potential challenges in meeting short-term obligations. 
• Inventory Turnover Ratio: There’s a significant decrease in the Inventory Turnover   Ratio, which might suggest slower sales or inefficient inventory management. 

International Gemmological Institute IPO Financial Analysis 

International Gemmological Institute Limited IPO Peer Comparison 

There are no listed companies in India or internationally among IGI’s global peers. 

International Gemmological Institute India Ltd IPO Objective 

The main objective of International Gemmological Institute India Limited is to acquire IGI Belgium and Netherlands Groups from its Promoter. 

1. Payment of the purchase consideration for the acquisition of the IGI Belgium Group and IGI Netherlands Group (“Target Entities”) from their Promoter: The company intends to utilize INR 1,300 crores from Net Proceeds to acquire the IGI Belgium and IGI Netherlands Groups, consolidate global operations, enhance stakeholder value, and streamline cash flow from international businesses. 

2. General corporate purposes:  The company will deploy funds for general corporate purposes, including working capital, marketing, brand building, salaries, rent, administrative expenses, technology upgrades, maintenance, and routine business needs to support ongoing operations effectively. 

International Gemmological Institute IPO Risks And Challenges 

International Gemmological Institute Limited’s risk includes integration challenges post-acquisition, reliance on unaudited pro forma financial data that may mislead investors, and potential damage to reputation due to adverse publicity, legal claims, or misinformation. 

• The company plans to oversee the global IGI business after acquisitions. Still, it faces integration challenges, international operational risks, and limited indemnity under the Share Purchase Agreement, which could potentially affect anticipated benefits and business performance. 

• The Unaudited Pro Forma Financial Information relies on assumptions and estimates, which may mislead investors. If actual results differ, it could affect investor confidence, stock price, and the company’s ability to secure future opportunities. 

• Their brand and reputation are vital to their business. Adverse publicity, legal claims, or online misinformation regarding their certification services could damage their reputation, lead to customer and market share loss, and adversely affect their operations. 

International Gemmological Institute India Ltd IPO – Industry & Market Potential 

The global jewellery market, valued at INR 26,600 billion (USD 320 billion) in CY 2023, has grown at a 9% CAGR since 2020. Gold and diamond jewellery dominate, with projected growth of 3-6% CAGR until 2028. 

The Indian jewellery market, valued at INR 5,300 billion (USD 64 billion) in CY 2023, rebounded strongly, growing at a CAGR of 16%. The market is expected to maintain robust growth in the coming years, driven by increasing consumer demand. 

Gold jewellery, representing 82% of the Indian market in CY 2023, will continue to grow, while diamond-studded jewellery, contributing 15% in CY 2023, is projected to drive market expansion with a strong 20% CAGR through CY 2028. 

International Gemmological Institute India Ltd IPO – Type of Offer 

International Gemmological Institute Limited plans a fresh issue of shares, seeking INR 1,475 crores to pay for IGI Belgium and Netherlands acquisition and support general corporate purposes. Additionally, the company proposes an offer to sell existing shares worth INR 2,750 crores. 

1. Fresh Issue: The company will issue new shares to raise capital, aiming to collect INR 1,475 crores. The company intends to utilise the proceeds from the fresh issue to pay for the IGI Belgium and Netherlands acquisition and support general corporate purposes.
2. Offer for sale: International Gemmological Institute Limited is offering to sell existing shares worth INR 2,750 crores. The following are the details of the existing shareholder, who is also the promoter selling the shares:

International Gemmological Institute IPO Offer Size 

The offer size of International Gemmological Institute India Limited is INR 4,225 crores, consisting of a fresh issue of shares worth INR 1,475.00 crores and an offer to sell existing shares worth INR 2,750.00 crores. The company aims to pay for the acquisition of IGI Belgium and the Netherlands and support general corporate purposes. 

International Gemmological Institute India Ltd IPO Allotment Structure 

International Gemmological Institute Limited’s allocation will be as follows: 75% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 10% for Retail Individual Investors (RII) according to SEBI regulations. 

● Qualified Institutional Buyers (QIB): As per SEBI regulations, 75% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.

● Non-Institutional Investors (NII): 15% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.

● Retail Individual Investors (RII): The remaining 10% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs. 

How to apply for the International Gemmological Institute IPO?

To apply for the International Gemmological Institute Limited IPO through Alice Blue, follow these steps:

Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.

1. Check for IPO Details: Once your account is active, you can check for the International Gemmological Institute Limited IPO details in the IPO section of the Alice Blue platform.
2. Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
3. Submit the Application: Confirm all your details and submit your application.

 You can apply for the International Gemmological Institute Limited IPO at Alice Blue in just a few clicks!

Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.

Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.

How do you check the International Gemmological Institute IPO Allotment Status?

Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:

1. Log in to your Alice Blue Account: You can do this through the Alice Blue website or the trading app.
2. Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
3. Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
4. Select the International Gemmological Institute Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the International Gemmological Institute Limited IPO.
5. Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.

 If you face any issues, we request you to reach out to our customer support team at Alice Blue for detailed assistance. 

 Apart from Alice Blue, there are other ways to check the allotment status of the International Gemmological Institute Limited IPO:

● Registrar’s Website: Visit the website of KFin Technologies Limited, the registrar of the International Gemmological Institute Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status. 

● BSE NSE: You can also check the allotment status on the official websites of the Bombay Stock Exchange (BSE) National Stock Exchange (NSE). You would need your application number and PAN to check the status. 

Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.

International Gemmological Institute Ltd IPO Offer Registrar

The registrar for the International Gemmological Institute Limited IPO is KFin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.

Contact information for the registrar: 

KFin Technologies Limited Selenium,

Tower-B, Plot No. 31 and 32 Financial

District Nanakramguda, Serilingampally

Hyderabad 500 032 Telangana, India

Tel: +91 40 6716 2222

E-mail: [email protected]

Website: www.kfintech.com 

International Gemmological Institute (India) Limited IPO – FAQs 

1. What is the allotment date of the International Gemmological Institute IPO? 

The allotment date of the International Gemmological Institute is December 18, 2024. 

2. What is the price band of the International Gemmological Institute IPO? 

The price band of the issue is INR 397-417 per share. 

3. What is the size of the International Gemmological Institute IPO? 

The offer size of International Gemmological Institute India Limited is INR 4,225 crores, consisting of a fresh issue of shares worth INR 1,475.00 crores and an offer to sell existing shares worth INR 2,750.00 crores. The company aims to pay for the acquisition of IGI Belgium and the Netherlands and support general corporate purposes. 

4. What is the listing date of the International Gemmological Institute IPO? 

The listing date of the International Gemmological Institute is December 20, 2024. 

5. Where is the International Gemmological Institute IPO Getting Listed? 

International Gemmological Institute is getting listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). 

6. What are the open and close dates of the IGI IPO? 

The open and close dates of the IGI are December 13, 2024, and December 17, 2024, respectively. 

7. How to apply for the International Gemmological Institute India Ltd IPO in Alice Blue? 

To apply for the International Gemmological Institute Limited IPO via Alice Blue, open a Demat and trading account, check IPO details, place your bid within the price band, submit your application, and later check the allotment status. Allotment depends on demand. 

8. Who are the Book Runners for the International Gemmological Institute IPO? 

The Book Runners for the International Gemmological Institute are Axis Capital Limited, Kotak Mahindra Capital Company Limited, Morgan Stanley India Company Private Limited and SBI Capital Markets Limited.