M K Sons Fine Jewels IPO Reaches 3.50 Times Subscription on Day 3

MUMBAI — The initial public offering (IPO) of M K Sons Fine Jewels has been subscribed 3.50 times so far on the third day of bidding. The company has fixed its price band at ₹153 to ₹162 per share for the public offering.

The public issue comprises a fresh issue of up to 1.36 crore equity shares alongside an offer for sale (OFS) of up to 34 lakh equity shares by promoter Ramchand Murlidhar Raimalani. At the upper end of the established price band, the total value of the IPO stands at ₹275.4 crore.

Ahead of the public subscription, M K Sons Fine Jewels raised ₹82.62 crore from anchor investors. The company allotted 51 lakh equity shares to nine institutional investors at the price of ₹162 apiece.

The participants in the anchor round included Goldman Sachs Bank Europe SE, Venus Investment VCC, Advent Global Fund PCC, Khandelwal Finance, Tiger Strategies Fund-I, Arnesta Global Opportunities Fund PCC, Zeal Global Opportunities Fund, Compact Structure Fund, and Nexus Global Opportunities Fund. Notably, the anchor book saw no allocation directed toward domestic mutual funds, life insurance companies, or pension funds.

According to the company's public disclosures, the proceeds generated from the fresh issue portion of the IPO are earmarked for specific business objectives. These include setting up a new retail showroom in Maharashtra and expanding an existing showroom in Gujarat. Additionally, the company intends to utilize a portion of the capital to repay or prepay certain existing borrowings, with the remaining funds allocated toward general corporate purposes.

"The response to the M K Sons Fine Jewels IPO indicates steady investor interest, particularly from international anchor funds. However, the absence of domestic institutional participation like mutual funds and insurance companies highlights a distinct funding preference in this book build. For the company, successfully deploying the raised capital into expanding its retail footprint in Maharashtra and Gujarat, alongside debt reduction, will be crucial for long-term value creation." — Dr. Shishir Gupta, Founder & CEO, StartupLanes