Kalyan Jewellers IPO: Here is what experts have to say about subscription

The Kalyan Jewellers IPO has been opened for subscription on Tuesday, 16 March.

The size of the IPO is Rs 1,175 crore which includes Rs 800 crore worth of fresh issue and Rs 375 crore of offer for sale. The price band of Kalyan Jewellers IPO has been fixed at Rs 86-87 per share while the lot size is 172 shares. An investor can purchase a maximum of 13 lots which means they can invest Rs 1,94,532. The issue will close on Thursday, 18 March.

An article in Moneycontrol quotes Geojit Financial Services as saying that the price of Kalyan Jewellers IPO is on the higher side at the upper price band of Rs 87. However, they added that the company is available at one year forward estimated P/E of 25x (on FY23 basis). The services assigned a 'subscribe' rating on a long-term basis for the IPO given several factors including the pan-India presence of Kalyan Jewellers, gold demand in India and the forecast of improvement in profitability.

Angel Broking has also recommended a subscribe rating on Kalyan Jewellers IPO. Amarjeet Maurya of Angel Broking has been quoted as saying by Economic Times that they believe that Kalyan Jewellers would perform better in the future based on the number of stores in India and abroad and its brand value.

Another financial service that recommended investors to subscribe to Kalyan Jewellers IPO is Marwadi Shares and Finance. As per them, the company has a pan India-presence and offers a range of products to a diverse set of customers.

The report also mentions that the brokerage feels Kalyan Jewellers IPO is reasonably priced, adding that the future prospects of Kalyan Jewellers are positive.