Kalyan Jewellers is looking to file papers for an Initial Public Offering (IPO) next month, according to a Mint report citing sources.
The Kerala-based company is considering raising around Rs 2,500 crore from the issue, a source told Mint.
“The IPO is a mix of primary fundraise that the company will use to fund expansion of its domestic and new overseas markets and a secondary share sale, primarily by private equity investor Warburg Pincus, which will be selling part of its stake in the company”, the source added.
Private equity firm Warburg Pincus invested Rs 500 crore in Kalyan Jewellers last year, according to the report.
Kalyan Jewellers declined to comment on the IPO, the report said.
Axis Capital, UBS and ICICI Securities will manage the initial share sale, according to the report.
The proposed IPO comes at a time when the jewellery industry is facing negative sentiment following the alleged fraud worth Rs 11,400 crore by jeweller Nirav Modi and Gitanjali Gems from Punjab National Bank (PNB).
Media reports say Joyalukkas is also considering an IPO