(L-R): Mr. Eashwar Iyer, Chief Financial Officer, International Gemmological Institute (India) Limited; Mr. Tehmasp Nariman Printer, Managing Director and Chief Executive Officer, International Gemmological Institute (India) Limited; and Prateek Roongta, Managing Director, Blackstone at the IPO Press Conference |
Blackstone- backed diamond grading firm International Gemmological Institute (India) Ltd on Monday fixed a price band of Rs 397-417 per share for its Rs 4,225-crore initial public offering (IPO), which will open for subscription on December 13.
The initial share-sale will conclude on December 17 and the bidding for anchor investors will open for a day on December 12, the company announced.
The IPO is a combination of a fresh issue of equity shares worth Rs 1,475 crore and an Offer for sale (OFS) valued Rs 2,750 crore by promoter BCP Asia II TopCo Pte Ltd, an affiliate of Blackstone.
The company proposes to utilize the proceeds from the fresh issue for the acquisition of IGI Belgium Group and IGI Netherlands Group from promoter; and general corporate purposes.
At the upper end of the price band, the company’s market capitalisation has been pegged at over Rs 18,000 crore. International Gemmological Institute (India) Ltd provides services related to the certification and accreditation of natural diamonds, laboratory-grown diamonds, studded jewellery and coloured stones.
IGI is the world’s second-largest independent certification and accreditation services provider based on revenue for CY2023 among global peers for diamonds, studded jewellery and coloured stones certifications, with a global market share of approximately 33 per cent, according to a Redseer report.
Amit Dixit, Head of Private Equity Asia, Blackstone, said they are proud to support IGI’s growth and expansion as a leading certification provider.
“When we first invested in the company two years ago, we knew it had tremendous potential under Tehmasp’s stewardship with the right resources and access. We will continue to partner with the management team and remain heavily invested in IGI, cementing its market leading position,” he added.
The company said that 75 per cent of the issue size has been reserved for qualified institutional buyers (QIBs), 15 per cent for non-institutional investors and the remaining 10 per cent for retail investors.
Investors can place bids starting with a minimum of 35 shares and in multiples of 35 thereafter. Axis Capital, Kotak Mahindra Capital Company, Morgan Stanley India Company and SBI Capital Markets are the book running lead managers to the issue. The equity shares of the company are expected to be listed on the BSE and NSE on December 20.
