Joyalukkas India IPO

Joyalukkas India is one of India’s top jewellery firms in terms of revenue In Fiscal 2021,(Source: Technopak Report). Their jewellery business comprises the sale of gold jewellery, studded jewellery, and other jewellery products containing diamonds, platinum, silver, and other precious gems. Joyalukkas India IPO will hit the stock market in August 2022.

About Joyalukkas

Alukkas Varghese Joy (Their Promoter and Managing Director) established the business with over 33 years of expertise in the jewellery industry. Joyalukkas india have a presence across India’s various regions, with a concentrate on the southern states.

They began operations in 2002 with a shop in Kottayam, Kerala, and have since grown their network to include showrooms in a variety of prominent locales.

As of January 31, 2022, they run 85 showrooms under the “Joyalukkas” name in 68 locations across India, with a total size of roughly 344,458 square feet.

Six of the 85 showrooms are large-format (with an area of 8,000 square feet or more), including the largest showroom in Chennai, Tamil Nadu, which is over 13,000 square feet.

Design

Their extensive collection of over 100,000 jewellery designs in a variety of pricing points appeals to clients in all market groups.

They believe that their large format showrooms provide a comfortable environment and customer service, which, when combined with the inventory and variety that their showrooms offer, improves their efficiency by requiring less managerial staff in proportion to the variety of jewellery products they offer, and allows them to attract and retain a growing customer base in India, which surpassed over 2.00 million customers as of January 31, 2022.

Traditional, contemporary, and combination designs are available in a variety of jewellery lines, uses, and price points. Each showroom’s gold, diamond, and other jewellery collection matches regional customer tastes and styles.

Footprints

Their primary strengths include their attention on design and innovation, as well as their ability to recognise consumer preferences and market trends, the complexity of their ideas, and the quality of their products.

Furthermore, they are able to offer a varied product selection due to their access to a variety of contract producers, most of whom are smaller, localised jewellery producers from different parts of India.

The “Joyalukkas” brand began in one city, Kottayam, and has grown to include 68 cities across India, including all of the major cities in South India, as well as metros & minor metros in other regions of the nation.

They have vast market reach, constant quality, unique & customised design, excellent service level, & advanced marketing approach.

Joyalukkas India IPO

Joyalukkas India Limited, headquartered in Kerala has submitted Draft Red Herring Prospectus(DRHP) to Securities and Exchange Board of India(SEBI) for initial public offering (IPO) of 2,300 Crore on 26 March 2022.

The offer includes a fresh issue of 2,300 Crore and there is not offer for sale (OFS) by the promoters mentioned in the DRHP. They are not looking for any Pre-IPO placement in this issue.

They are now waiting for approval from Securities and Exchange Board of India(SEBI) to float the initial public offering (IPO) in the market.

Financials Trends

Particulars	For the year/period ended ( in Cr.)
	30-Sep-21	31-Mar-21	31-Mar-20	31-Mar-19
Total Assets	5,370.05	4,796.47	4,444.39	3,840.18
Total Revenue	4,036.99	8,097.03	8,032.05	8,100.74
loss After Tax	268.95	471.75	40.71	116.14

Basic and Diluted Earnings Per Share

Financial Period	Basic EPS (in INR)	Diluted EPS (in INR)	Weight
Financial Year 2021	6.12	6.12	3
Financial Year 2020	0.53	0.53	2
Financial Year 2019	1.51	1.51	1
Weighted Average	3.49	3.49
30 Sep. 2021	3.49	3.49

Objects of the Issue

• Prepayment / repayment of all or a portion of the outstanding borrowings of the company to be availed on consolidated basis.
• To meet common corporate objectives.

Basis of the offer

They feel that the following qualitative factors and business strengths enable them to compete successfully in the industry, and that these factors and strengths will be used to calculate the Offer Price:

1. With a strong sales and marketing strategy, this is a well-established domestic brand.
2. India’s leading jewellery manufacturer, well positioned to profit from the industry’s expansion.
3. With a strong footing in South India, we have a presence all throughout India.
4. Product selection with a wide range of categories and pricing points.
5. Growth, profitability, and unit economics have all been strong in the past.
6. Experienced promoter and management team with a track record of success.

Joyalukkas India Peer Comparison

S. No.	Face Value	Company Name	PE
1	1	Titan Company  Limited	157.62
1	10	Kalyan Jewellers India Limited	41.80

1. The P/E Ratio was calculated by dividing the Diluted EPS given by the closing market price of equity shares on the BSE on March 31, 2021.
2. Consolidated financial statements from the relevant listed peer company’s annual report for the fiscal year ended March 31, 2021, as filed with the stock exchanges.

Joyalukkas India IPO Details

IPO Opening Date	August 2022
IPO Closing Date	August 2022
Issue Type	Book Building
Face Value	10 per share
IPO Price	0 to 0 per equity share
Market Lot	–
Min Amount	–
Listing At	BSE, NSE
Issue Size	–
Fresh Issue	2,300 Crore
Offer for Sale	–

Joyalukkas India IPO Date

Joyalukkas India Limited IPO opening date is August 2022, and the closing date is August 2022. The Joyalukkas India issue may list in August 2022.

IPO Opening Date	August 2022
IPO Closing Date	August 2022
Basis of Allotment Date	August 2022
Initiation of Refunds	August 2022
Credit of Shares to Demat Account	August 2022
IPO Listing Date	August 2022

Basis of Allotment

Type	% of Offer	Basis of Allotment
Qualified Institutional Buyer	50	Roughly  equivalent
Non Institutional Investor	15	Roughly  equivalent
Retail	35	Minimum 1 lot based on availability

Joyalukkas India Limited IPO Status

Allotment of equity stocks subject to the Fresh Issue and transfer of the Promoter Selling Shareholders’ OFS Stocks to the winning Bidders subject to the Offer for Sale. Nevertheless, the status of the allotment has yet to be revealed.

Here, you can find the Allotment Status of Joyalukkas India IPO.

Joyalukkas India IPO GMP

Joyalukkas India Limited IPO Grey Market Premium is 0. You can check out GMP of Other IPOs on below Links:

Date	GMP (in Rs)	Subject to Sauda	Kostak (in Rs)
August 2022
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Check Out the GMP of all Other IPOs

IPO Grey Market Premium

Joyalukkas India Limited IPO Review

Joyalukkas India Limited IPO review will depend on the price band which will be announced after SEBI approval. Whenever it will be announced we will update you regarding review of Joyalukkas India IPO is good or bad.

Joyalukkas India Limited IPO Risk

• The impact of the ongoing new coronavirus (“COVID-19”) pandemic on their business, financial status, and operations has been substantial.
• It’s possible that they won’t be able to keep the “Joyalukkas” brand alive and well. Any change in the public’s opinion of their brand could have a negative influence on their business.
• Their inability to effectively anticipate client demand and maintain an adequate quantity of inventory in their showrooms may have a negative influence on their operations.
• Their Company has been the subject of investigations by the Directorate of Enforcement, which has issued summonses to their Promoter, certain members of the Promoter Group & some of their employees, directing them to provide information about themselves, their Organization, and certain Promoter Group entities.

Other Threats

1. In respect to certain unsecured loans acquired by their Company from their Promoter, there have been certain violations of the FEMA requirements. In response to these violations, they have submitted a compounding application with the RBI, which is now pending.
2. The Income Tax Department conducted search and seizure operations at the Company’s corporate headquarters and showrooms, as well as the Promoter’s and employees’ residences.
3. The majority of their showrooms are in southern India. Any negative development in such a location could have a negative impact on their business, prospects, financial situation, and operating results.
4. For the development and production of all of their items, they rely on third parties.
5. The prominence of their showrooms determines their capacity to attract clients.

Marketing and Awards

They believe that by focusing on quality, customer service, design range, customer-oriented policies, and loyalty programmes, as well as celebrity endorsements, targeted marketing, and frameworks with local craftsmen to address regional preferences, they have developed strong brand recognition and customer loyalty.

Kajol, a well-known actress, is currently serving as their celebrity brand ambassador.Customer surveys are commonly used to uncover and evaluate client interests and patterns.

They have garnered numerous awards for their brand, including being named a “Superbrand” by the Superbrand Council in 2015 and the National Retail Chain of the Year award by the Gem and Jewellery Trade Council of India at the 7th GJTCI Excellence Awards in 2019.

Joyalukkas India Limited IPO Brokerage views

once the dates will be announced we will update the views of different brokerage firms regarding this IPO. Here is the views of different stock brokers regarding this Joyalukkas India IPO:

• Yes Securities : Not Updated
• Choice Brokering: Not Updated
• Axis Securities: Not Updated
• IIFL Securities: Not Updated
• Trade swift: Not Updated
• Anand Rathi : Not Updated
• ICICI Securities: Not Updated

Joyalukkas India Limited IPO Subscription Status

Date	Day	QIB	NII	Retail	Employees	Total Subscription
August 2022	1
August 2022	2
August 2022	3

Joyalukkas India Management

Through various entities in the promoter group, their promoter also runs a gold jewellery industry on a global scale. Their Promoter’s ties with their suppliers, customers, and other industry participants have been critical in putting their growth objectives into action.

Their Promoter is still actively involved in their operations and offers his insight and guidance to their firm, which they believe has been crucial in sustaining their operations.

Their management team, which comprises individuals with considerable experience in the retail and jewellery industries, and also finance and marketing, has assisted scale their activities over the years.

Their large format showrooms contribute to their revenue from operations and EBITDA margin by allowing for higher unit economics.

Promoters

• Alukkas Varghese Joy

Promoter’s Holding

Pre Issue Share Holding	99.98%
Post Issue Share Holding

Joyalukkas India Limited Prospectus