IPO Overview
Incorporated in 2005, Shankesh Jewellers Limited is a Mumbai-based handcrafted gold jewellery company manufacturing customised 22-karat and 18-karat gold jewellery. Its portfolio includes bangles, bridal jewellery, chokers, jhumkas, necklaces, mangalsutras, and rings across antique, semi-antique, temple, Calcutta, Gheru-polish, yellow-gold, rose-gold, and rhodium-finished categories. The company operates an asset-light B2B model, leveraging local skilled karigars and jobworkers while managing design, raw material sourcing, and quality assurance in-house. Its client network includes major Indian jewellery houses such as Joyalukkas India, P.N. Gadgil & Sons, Kalyan Jewellers India, Novel Jewels (Aditya Birla Group), and Manoj Vaibhav Gems ‘N’ Jewellers.
The company is now entering the capital markets with a mainboard IPO on BSE and NSE. The total issue size is ₹367 crore, comprising a fresh issue of 2,94,82,000 shares aggregating up to ₹274 crore, and an offer for sale of 1,00,00,000 shares aggregating up to ₹93 crore. The IPO opens on 18 August 2026 and closes on 20 August 2026, with listing expected on 25 August 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – Mainboard |
| Listing Exchange | BSE & NSE |
| Anchor Investor Date | 17 August 2026 |
| IPO Open Date | 18 August 2026 |
| IPO Close Date | 20 August 2026 |
| Allotment Date | 21 August 2026 (Expected) |
| Refund Initiation | 24 August 2026 |
| Credit to Demat | 24 August 2026 |
| Listing Date | 25 August 2026 (Tentative) |
| Price Band | ₹88 – ₹93 per share |
| Face Value | ₹5 per share |
| Lot Size | 160 shares |
| Minimum Investment (Retail) | ₹14,880 (1 lot = 160 shares) |
| Issue Size | ₹367.18 crore |
| Fresh Issue | 2,94,82,000 shares (₹274.18 crore) |
| Offer For Sale (OFS) | 1,00,00,000 shares (₹93 crore) |
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII/HNI) | ~15% |
| Retail Individual Investors (RII) | ~35% |
OFS / Selling Shareholders
The OFS comprises up to 48,00,000 equity shares offered by Kantilal Kheemraj Jain and up to 52,00,000 equity shares offered by Manoj Kantilal Jain — collectively referred to as the Promoter Selling Shareholders.
Objects of the Issue (Fund Utilization)
The company plans to use the fresh issue proceeds for the following purposes:
- Repayment / prepayment of certain existing borrowings — ₹158 crore (approx.)
- Funding working capital requirements
- General corporate purposes
The proposed repayment of ₹158 crore of borrowings should further reduce finance costs and strengthen the balance sheet going forward.
Lead Managers & Registrar
- Book Running Lead Managers: Aryaman Financial Services Limited and Smart Horizon Capital Advisors Private Limited
- Registrar to the Issue: Kfin Technologies Ltd.
Promoters & Management
The promoters of Shankesh Jewellers Ltd. are Kantilal Kheemraj Jain, Mahavir Kantilal Jain, and Manoj Kantilal Jain. The promoters hold a 95.48% stake in the company, but after the IPO, the promoter shareholding will be diluted to 69.53%.
Company Details
Shankesh Jewellers is a Mumbai-based B2B jewellery company engaged in the design, sourcing, customisation, and supply of hand-crafted gold jewellery. With a legacy of over three decades dating back to 1992, the company operates an asset-light business model and does not undertake manufacturing in-house. Instead, it works with a network of skilled karigars through jobworkers, while retaining control over design, material sourcing, quality checks, finishing, and delivery. In Fiscal 2026, the company was associated with 72 jobworkers, including 66 who had formal agreements with the company.
Sectors Served:
- B2B Corporate Jewellery Retail (Pan-India)
- Customised Job Work (client provides bullion + design specs)
Key Products:
- 22-karat & 18-karat handcrafted gold jewellery
- Bangles, Bridal Jewellery, Chokers, Jhumkas, Necklace Sets
- Mangalsutras, Rings, Jewellery Sets
- Antique, Semi-Antique, Temple, Calcutta, Gheru Polish, Rose Gold, Rhodium categories
Key Capabilities:
- Asset-light production model leveraging specialized local artisan networks (karigars) with diverse product portfolio spanning 22k and 18k handcrafted gold designs and custom job work services.
- In-house: design, inventory management, sourcing, quality assurance, finishing & delivery
Geographic Presence:
Maharashtra was the largest market, contributing 25.46% of FY2026 revenue, followed by Bihar at 17.07%, Uttar Pradesh at 10.71%, and Tamil Nadu at 9.36%.
Registered Office: Office No. 12, 3rd Floor, 101 Mumbadevi Diamond Premises, Zaveri Bazar, Mumbai – 400002
Financial Snapshot
| Period | Total Income (₹ Cr) | PAT (₹ Cr) | EBITDA (₹ Cr) |
| FY24 | ₹1,061.91 | ₹12.82 | ₹28.60 |
| FY25 | ₹1,403.94 | ₹40.31 | ₹65.35 |
| FY26 | ₹1,630.93 | ₹106.68 | ₹157.90 |
Key Financial Metrics
- Revenue grew 16% from FY25 to FY26, while PAT surged 165.39% — from ₹40.31 crore to ₹106.68 crore — with a PAT margin of 6.54% in FY26.
- ROE of 50.94% and ROCE of 41.57% in FY26, indicating strong capital efficiency. EBITDA margin expanded from 4.65% to 9.68%. Debt-to-equity improved from 1.44 to 0.80.
- PAT margins across years: 17.56% (FY23) → 16.92% (FY24) → 8.97% (FY25) → 16.65% (9M-FY26).
- Post-issue P/E: ~12.81x (based on FY26 earnings at ₹93 upper band)
Company Strengths
- Deep relationships with premier national corporate jewellery chains including Joyalukkas, Kalyan Jewellers, P.N. Gadgil, and Novel Jewels (Aditya Birla Group).
- Asset-light business model — no in-house manufacturing, minimal capex, scalable via karigar network
- Net profit surged 165% to ₹106.68 crore in FY26, with ROE reaching 50.94% and ROCE at 41.57%.
- Broad product portfolio across multiple jewellery styles, finishes, and karats catering to diverse customer needs
- Pan-India B2B distribution network with 418 active customers in FY26 across both corporate and non-corporate retailers
- Post-IPO debt repayment of ₹158 crore will significantly reduce finance costs and further strengthen the balance sheet.
Key Risks & Challenges
- PAT margins have been volatile across years — dropping sharply from 16.92% in FY24 to just 8.97% in FY25, before rebounding in FY26 — making it difficult to confirm whether FY26 earnings reflect a stable new baseline or a cyclical rebound.
- Customer concentration risk: the company serves a relatively small base of 418 corporate clients and depends on a few key relationships for a significant share of revenue.
- No in-house manufacturing — complete dependence on external jobworkers and karigars creates supply-side vulnerability and quality control risk.
- Gold price sensitivity: As a jewellery business, margins are directly exposed to bullion price volatility, which can compress profitability quickly in adverse cycles.
- Overall borrowings stood at ₹242.57 crore as of December 31, 2025 — elevated debt levels remain a concern until IPO-funded repayment is completed.
- No directly comparable listed peer exists for valuation reference, making it harder to independently verify whether the ₹93 price band is fairly or aggressively set.
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
