Upcoming IPO: International Gemmological Institute IPO Opens on December 13; Check the Price Band, GMP, Other Details

The upcoming International Gemmological Institute IPO has generated a buzz in the Indian stock market. With an issue size of ₹4,225 crore and a mix of fresh shares and offer-for-sale (OFS), this IPO promises to attract both retail and institutional investors. Scheduled to open on December 13, 2024, the IPO carries a price band of ₹397-₹417. Let’s dive into the details to help you make informed investment decisions.

What is the International Gemmological Institute IPO?

The International Gemmological Institute IPO marks a significant milestone for the global jewelry certifier. It combines a fresh issue worth ₹1,475 crore and an OFS valued at ₹2,750 crore by its promoter, BCP Asia II TopCo Pte. Ltd. This IPO aims to strengthen the company’s presence and fund strategic acquisitions.

Key Dates for the International Gemmological Institute IPO

What is the Price Band and Lot Size?

The price band for the International Gemmological Institute IPO is set between ₹397 and ₹417 per share. Investors can bid in lots of 35 shares, requiring a minimum investment of ₹14,595.

Objectives of the IPO

Strategic Acquisitions

A portion of the proceeds will be utilized to acquire 100% of the share capital of IGI Belgium Group and IGI Netherlands Group from the promoter.

General Corporate Purposes

The remaining funds will be allocated for operational improvements and expansion plans to enhance global reach.

Who Can Invest in the IPO?

The International Gemmological Institute IPO has a reserved allocation:

• 75% for Qualified Institutional Buyers (QIBs)
• 15% for Non-Institutional Investors (NIIs)
• 10% for Retail Investors

GMP and Expected Listing Price

The grey market premium (GMP) is currently pegged at ₹111. With the upper price band set at ₹417, the stock is anticipated to list at approximately ₹528, offering a 27% premium on listing day.

How to Apply for the International Gemmological Institute IPO?

To apply for the IPO:

1. Open a demat and trading account with a registered broker.

2. Visit the broker’s platform or the ASBA-enabled portal of your bank.

3. Select the International Gemmological Institute IPO and enter the bid details.

4. Submit the application and block funds in your account.

Company Overview: International Gemmological Institute

Founded in Antwerp, Belgium, the International Gemmological Institute (IGI) is a global leader in gem certification and education. With a strong presence across continents, IGI plays a crucial role in maintaining transparency in the diamond and gemstone markets.

Strengths of the Company

• Global Recognition: Trusted brand in over 20 countries.
• Expertise in Gem Certification: Advanced technology and skilled professionals.
• Expanding Market Share: Growing presence in Asia and the Middle East.

Potential Risks

1. Market Volatility: Unpredictable market conditions may affect share performance.

2. Competitive Landscape: Intense competition in the gem certification industry.

3. Currency Fluctuations: Revenue exposure to multiple currencies.

Investor Sentiment and Market Outlook

Investors are optimistic, given the strong GMP and the company’s solid reputation. Analysts suggest this IPO could yield significant returns, especially for long-term investors.

FAQs About the International Gemmological Institute IPO

1. What is the International Gemmological Institute IPO?

It is a public issue of ₹4,225 crore, combining fresh shares and an OFS by the company’s promoter.

2. What are the IPO dates?

The IPO opens on December 13, 2024, and closes on December 17, 2024.

3. How is the price band determined?

The price band is ₹397-₹417 per share, reflecting market conditions and company valuation.

4. How can retail investors participate?

Retail investors can apply through their broker or bank’s ASBA facility in lots of 35 shares.

5. What is the expected listing price?

Based on the GMP, the stock is expected to list at ₹528, offering a 27% premium.

6. Where will the shares be listed?

The shares will be listed on NSE and BSE.

Conclusion

The International Gemmological Institute IPO presents a lucrative opportunity for investors. With a strong GMP, robust business model, and strategic plans for expansion, this IPO is set to shine in the Indian stock market. Whether you’re a seasoned investor or a beginner, this guide provides all the insights you need to make a well-informed decision.