Priority Jewels IPO Day 2: GMP points to 23% listing gains. Is it time to subscribe?

The Priority Jewels IPO enters Day 2 of bidding today, with the three-day offer set to close on September 1. The issue received strong demand on Day 1, while its grey market performance has added to investor interest. The IPO is currently commanding a grey market premium (GMP) of 23%, signalling the possibility of a healthy listing gain if the trend holds.

The issue was subscribed 1.93 times on the opening day, with bids received for 61.80 lakh shares against 32.05 lakh shares on offer. Retail investors led the demand, with their portion subscribed 3.07 times.

The Rs 91.05-crore IPO comprises an entirely fresh issue of 46 lakh shares, with the price band fixed at Rs 190-200 per share. The lot size is 75 shares, requiring a minimum investment of Rs 15,000 for retail investors at the upper end of the price band.


The IPO opened for subscription on August 28, 2026, and bidding will close on September 1. Allotment is expected to be finalised on September 2, while the shares are likely to debut on the NSE and BSE on September 4, 2026.

Mefcom Capital Markets Ltd. is the book-running lead manager, while MUFG Intime India Pvt. Ltd. is the registrar.

Ahead of the IPO, Priority Jewels raised Rs 27.45 crore from anchor investors by allotting 13.72 lakh shares at Rs 200 apiece.

Priority Jewels IPO Subscription Status

On Day 1, the Priority Jewels IPO was subscribed 1.93 times against the total offer of 32.05 lakh shares.

• Retail Individual Investors (RIIs): The retail portion was subscribed 3.07 times against 16.01 lakh shares on offer.
• Non-Institutional Investors (NIIs): The NII portion was subscribed 1.24 times against 6.86 lakh shares on offer.
• Qualified Institutional Buyers (QIBs): The QIB portion was subscribed 44% against 9.15 lakh shares reserved for the category.

Priority Jewels IPO GMP Today

The Priority Jewels IPO is commanding a GMP of Rs 45 per share, or 23%, over the upper price band of Rs 200. At the current GMP, the IPO is estimated to list at around Rs 245 per share.

The grey market premium is an unofficial indicator of market sentiment and potential listing performance. It is not regulated by stock exchanges and may fluctuate before listing. Investors should not rely solely on GMP when making investment decisions.

IPO Objects of the Issue

Priority Jewels plans to use around Rs 75 crore of the IPO proceeds to repay or pre-pay, fully or partly, certain borrowings. The remaining proceeds will be used for general corporate purposes.

Financial Performance

Priority Jewels reported a 24% increase in total income to Rs 539.03 crore in FY26 from Rs 435.87 crore in FY25. Profit after tax (PAT) rose 68% to Rs 17.65 crore from Rs 10.51 crore a year earlier.

About Priority Jewels

Incorporated in 2007, Priority Jewels designs, manufactures and sells diamond-studded gold and platinum jewellery, including rings, earrings, pendants, neckwear, bracelets and occasion jewellery.

The company supplies independent jewellers and jewellery chains in India and overseas, including CaratLane Trading, Kalyan Jewellers, Reliance Retail, Malabar Gold & Diamonds, Tribhovandas Bhimji Zaveri and Senco Gold.

As of June 30, 2026, Priority Jewels had served more than 200 customers, including 125 independent jewellers and 53 jewellery chains. It has a presence across 21 states and three union territories and exports to 13 countries, including the US, UAE, Hong Kong and Norway. The company operates two manufacturing facilities in Mumbai spanning 19,008.79 sq. ft.

Should You Subscribe?

According to Anand Rathi, Priority Jewels specialises in lightweight, affordable diamond-studded gold and platinum jewellery, with a business model focused largely on backend manufacturing for leading jewellery retailers, similar to Sky Gold.

Its long-standing relationships with major customers such as CaratLane, Kalyan Jewellers, Reliance Retail and Malabar Gold & Diamonds provide a strong base for growth, while expansion into adjacent segments could broaden its product portfolio.

At the upper end of the price band, the IPO is valued at 20.5x FY26 P/E and 13.9x EV/EBITDA, implying a post-issue market capitalisation of Rs 3,600 million. Anand Rathi considers the issue fully priced at the current valuation.

Key risks include fluctuations in gold prices, changing consumer preferences and intense competition in jewellery manufacturing. Capacity expansion, balance-sheet deleveraging and diversification into silver, lab-grown diamond and high-end jewellery could provide additional growth opportunities.

Given its established customer base and positioning in the affordable and designer jewellery segment, Anand Rathi has assigned a “Subscribe for Long Term” rating to the issue.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)