Shree Ganesh Jewellery wants to launch an IPO

Shree Ganesh Jewellery House, a leading Indian exporter of handcrafted gold jewellery, is launching an initial public offer (IPO), issuing 142,69,831 equity shares with face value of Rs 10 each, reports say. Also, as per reports the price band is expected to be in the range between Rs 260 and Rs 275 per share, culminating into Rs 375 crore at the higher end and Rs 360 crore at the lower end, for the company.

The company will be investing its IPO funds towards its expansion plans in manufacturing and retail. Around Rs 150 crore will be utilised in expanding capacity of its jewellery manufacturing units at Mandal Pada and Domjur, and in setting up another manufacturing unit at Manikanchan SEZ, in Kolkata. The company is headquartered in Kolkata.

A two-tonne capacity gold refinery unit will be set up for recycling gold jewellery at an investment of Rs 5 crore, and plans are afloat to increase the present 10 retail outlets to 40, within two years. The retail outlets will also accept old jewellery of any make for recycling.

Credit Suisse had invested $20 million in the company in March 2008, for around 11 per cent equity stake, and will now offload part of its holding for Rs 60 crore.

Shree Ganesh Jewellery holds a number of brands in its product portfolio, meeting jewellery needs across consumer segments.