About Shanti Gold International
- Founded: 2003, Mumbai
- Operations: Manufactures 22‑kt Cubic Zirconia (CZ) casting gold jewellery
- Business Model: B2B—supplies major jewellery retail chains like Joyalukkas, Lalithaa Jewellery, Alukkas, across ~15 Indian states and 1 UT The Economic Times
- Manufacturing Facility: 13,448.86 sq. ft. in Andheri East, Mumbai, with annual capacity of ~2,700 kg
- Design Team: ~80 CAD designers producing 400+ unique designs monthly
Financial Performance (Shanti Gold International) (FY23–FY25)
| Metric | FY23 (₹ Cr) | FY24 (₹ Cr) | FY25 (₹ Cr) | Growth (YoY FY24–25) |
|---|---|---|---|---|
| Revenue | 682.28 | 715.04 | 1,112.47 | +55.5 % |
| EBITDA | 45.57 | 53.45 | 97.71 | +83 % |
| EBITDA Margin | 6.68 % | 7.47 % | 8.83 % | – |
| Net Profit After Tax | 19.82 | 26.87 | 55.84 | +107.8 % |
| PAT Margin | 2.90 % | 3.76 % | 5.05 % | – |
| Return on Equity (RONW) | – | – | 44.85 % | – |
| Return on Capital Employed | – | – | 25.70 % | – |
| Total Borrowings | 165.34 | 210.68 | 233.00 | – |
IPO Issue Details- Shanti Gold International IPO
| Component | Details |
|---|---|
| Issue Size | Fresh issue of 1.81 crore shares (~₹360.11 Cr) |
| Price Band | ₹189 – ₹199 per share |
| Lot Size | 75 shares (Retail min. ~₹14,925) |
| Allocation Quotas | QIB: 50 %, Retail: 35 %, NII: 15 % |
| Anchor Investors | ₹108 Cr allocated at ₹199/share (~54.28 lakh shares) mint |
| Utilization of Proceeds | Jaipur facility ₹46 Cr, working capital ₹200 Cr, debt ₹17 Cr, rest general purposes |
| Registrar | Bigshare Services Pvt Ltd |
| Book‑Running Lead Manager | Choice Capital Advisors Pvt Ltd |
| Listing Date (Tentative) | August 1, 2025 on BSE & NSE |
GMP (Grey Market Premium) Shanti Gold International
- As of July 22–25, 2025, the IPO GMP was pegged at ₹25-₹39 per share, indicating potential listing gains of ~13-20 % on the upper price band. Track GMP
- Grey market trading offers speculative sentiment; it’s unregulated and not guaranteed.
“GMP is speculative and not always accurate. A high GMP suggests strong demand, but focus on fundamentals.”
(25-7-2025 1.30PM IST) Track GMPSubscription Status (Live Tracking) – Shanti Gold IPO
- On July 25, 2025 by 11:45 AM IST, the IPO was 43 % subscribed, largely driven by retail demand; institutional interest was comparatively subdued
- With subscription closing on July 29, updates via exchange portals, brokers, and media should be followed for real‑time figures.
Final Thoughts & Recommendation
- Strengths:
- Impressive revenue and profit growth (CAGR ~28 % revenue; ~68 % PAT)
- High profitability metrics: RONW ~45 %, ROCE ~25.7 %; improving margins
- Fully integrated manufacturing model with strong CAD-led design capability
- Established B2B clients across regions
- Risks:
- Highly working‑capital intensive operation with historical negative cash flow
- Geographical concentration (70 %+ revenue from Southern India)
- Sensitivity to gold and CZ pricing, competition, regulatory changes
- Valuation:
- At ₹199/share, post‑IPO EPS ~₹7.75 → P/E ≈ 25.7×, considered fair relative to listed peers
- GMP Indicator:
- Positive GMP (~₹20–39) suggests listing enthusiasm—implying a possible listing pop of ~10–20 %—but not a guarantee
Suggested Action for Shanti Gold International IPO:
- For retail investors seeking potential listing gains at reasonable valuation and comfortable with moderate risk, applying at cut-off price with 1–2 lots may be considered.
- For long-term investors, strong fundamentals and business model suggest acceptable holding potential.
- However, if you are risk-averse, or skeptical about regional concentration or cash flow profile, you may choose to wait until post-listing performance becomes clearer.
Disclaimer
This blog on eduworldnews post is for educational and informational purposes only. It should not be construed as investment advice. Readers are strongly advised to consult with certified financial advisors before making any investment decisions.