New Delhi [India], Sept. 14 (ANI-NewsVoir): Sagar Diamonds Limited, an ISO 9001:2015 certified Surat-based manufacturer and exporter of rough and polished diamonds procured from the trusted and certified suppliers and engaged in jewelry making and trading of diamonds, jewelry and precious stones is planning to enter the Capital Market with an IPO of 33,81,000 Equity Shares of Rs. 10.00 each at a price as decided by the issuer in consultation with the lead manager within the price band of Rs. 40.00 to Rs. 45.00 per share.
The issue opens on Thursday and closes on Monday. Gretex Corporate Services Private Limited is the sole lead manager to the issue and Bigshare Services Private Limited is the registrar to the issue. The proceeds of the issue will be utilized for working capital requirements, general corporate purposes and issue expenses.
The company is planning to import the raw diamond and convert into the polished diamond. The company exports to Hong Kong, Europe and so on.
The gems and jewellery sector plays a significant role in Indian economy. It is one of the fastest growing sectors. The government has recently undertaken various measures to promote investments and to upgrade technology and skills to promote ‘Brand India’ in the international market.
India’s gems and jewellery exports jumped by 8.95 per cent for financial year 2016-17 on recovery in demand from the United States (US), Hong Kong and the United Arab Emirates (UAE), the three destinations accounting for over 75 per cent of India’s overall shipment of precious ornaments by value.
India is the world’s largest cutting and polishing centre for diamonds, with the cutting and polishing industry being well supported by government policies. Moreover, India exports 95 per cent of the world’s diamonds, as per statistics from the Gems and Jewelry Export promotion Council (GJEPC). India’s gems and jewellery sector has been contributing in a big way to the country’s foreign exchange earnings (FEEs).
The Government of India has viewed the sector as a thrust area for export promotion. The improvement in availability along with the reintroduction of low cost gold metal loans and likely stabilisation of gold prices at lower levels is expected to drive volume growth for jewellers over short to medium term. The demand for jewellery is expected to be significantly supported by the recent positive developments in the industry which would benefit Sagar Daimonds substantially.
The promoter, Vaibhav Dipak Shah, was doing the business of manufacturing and trading of diamonds, gold, precious stones and so on in his proprietary firm M/s. Sagar Gems since 2010. The company has acquired the business of the firm in April 2017 in a view of corporatization of promoters’ business.
The revenue from operations of the firm has increased to Rs. 35,523.34Lakh in fiscal 2017 as compared to Rs. 6,860.14Lakh in fiscal 2016.
The revenue from operations of the company has increased to Rs. 999.89 Lakh in fiscal 2017 as compared to fiscal 2016 and further in the period ended 20 June, 2017, the revenue from operations increased to Rs.1,028.56 Lakh. (ANI)
This is published unedited from the ANI feed.