Strong Start! Deepa Jewellers shares list at 25% premium over IPO price
Deepa Jewellers made an impressive debut on Dalal Street, launching with a 25% premium after its shares were priced at Rs 177 each. The public offering attracted overwhelming interest, evident by a staggering 42.61 times subscription. With plans t...
By Ritesh Presswala, ETMarkets.com | Updated:
ETMarkets.com
Deepa Jewellers made an impressive debut on Dalal Street.
In a strong debut on Dalal Street, shares of Deepa Jewellers listed at 25% premium over IPO price on Tusday. The stock opened at Rs 221.05 on the BSE and Rs 221 on the NSE.
The Rs 459.72 crore IPO was priced at Rs 177 per share and comprised a combination of a fresh issue and an offer for sale (OFS). The fresh issue raised Rs 250 crore, while the OFS component amounted to Rs 209.72 crore, involving the sale of 1.18 crore shares.
The public issue was open for subscription from September 1 to September 3, 2026, and received an overall subscription of 42.61 times. The retail investor portion was subscribed 18.55 times, while the non-institutional investor (NII) category was subscribed 105.96 times. Qualified institutional buyers (QIBs) bid for 37.01 times the shares reserved for them.
In terms of valuation, Deepa Jewellers’ price-to-earnings (P/E) ratio, based on diluted FY26 earnings, stands at 13.15 times at the lower end of the price band and 13.85 times at the upper end.
The valuation is considerably lower than the FY26 industry peer average P/E of 23.92 times, suggesting the company’s IPO is priced at a discount to comparable listed peers.
Emkay Global Financial Services Ltd. is the book-running lead manager for the issue, while Bigshare Services Pvt. Ltd. is serving as the registrar.
The Grey Market Premium (GMP) is an unofficial measure of market sentiment and is neither regulated nor guaranteed. GMP levels can change quickly depending on market conditions, investor sentiment and demand for the issue. As a result, the actual listing price may vary significantly from the level indicated by the current GMP.
The balance proceeds will be utilised for general corporate purposes, providing the Company with enhanced financial flexibility to pursue its strategic initiatives and meet its business requirements.
Profitability improved at a considerably faster pace, with PAT rising 158% to Rs 104.79 crore from Rs 40.58 crore in FY25. The sharp increase in earnings underscores the Company’s improved profitability and stronger financial performance in FY26.
The Company places emphasis on product purity, transparent pricing and customer trust, supported by its network of physical stores and distribution channels. As of July 31, 2026, its customer network spanned 13 states and 1 Union Territory and comprised 373 customers, including 47 jewellery retail chains and 326 standalone stores.
Deepa Jewellers offers 16 product categories across 110 SKUs. It also leverages its mobile application, Deepa Jewellers Limited, to showcase its jewellery collections and strengthen customer engagement and market reach.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
The Rs 459.72 crore IPO was priced at Rs 177 per share and comprised a combination of a fresh issue and an offer for sale (OFS). The fresh issue raised Rs 250 crore, while the OFS component amounted to Rs 209.72 crore, involving the sale of 1.18 crore shares.
The public issue was open for subscription from September 1 to September 3, 2026, and received an overall subscription of 42.61 times. The retail investor portion was subscribed 18.55 times, while the non-institutional investor (NII) category was subscribed 105.96 times. Qualified institutional buyers (QIBs) bid for 37.01 times the shares reserved for them.
In terms of valuation, Deepa Jewellers’ price-to-earnings (P/E) ratio, based on diluted FY26 earnings, stands at 13.15 times at the lower end of the price band and 13.85 times at the upper end.
The valuation is considerably lower than the FY26 industry peer average P/E of 23.92 times, suggesting the company’s IPO is priced at a discount to comparable listed peers.
Emkay Global Financial Services Ltd. is the book-running lead manager for the issue, while Bigshare Services Pvt. Ltd. is serving as the registrar.
ADVERTISEMENT
Deepa Jewellers IPO GMP Today
The Deepa Jewellers IPO is currently commanding a grey market premium (GMP) of Rs 25 per share, indicating a 14% premium over the IPO’s upper price band of Rs 177 per share. At the prevailing GMP, the estimated listing price is around Rs 202 per share.The Grey Market Premium (GMP) is an unofficial measure of market sentiment and is neither regulated nor guaranteed. GMP levels can change quickly depending on market conditions, investor sentiment and demand for the issue. As a result, the actual listing price may vary significantly from the level indicated by the current GMP.
IPO Objects of the Issue
The Company proposes to utilise the Net Proceeds primarily to strengthen its working capital position. Of the total proceeds, Rs 215 crore is proposed to be allocated towards the procurement, maintenance and expansion of inventory, supporting the Company’s long-term growth and operational requirements.The balance proceeds will be utilised for general corporate purposes, providing the Company with enhanced financial flexibility to pursue its strategic initiatives and meet its business requirements.
ADVERTISEMENT
Financial Performance
Deepa Jewellers Ltd. reported a strong financial performance in FY26, with total income increasing 38% to Rs 1,927.73 crore from Rs 1,400.10 crore in FY25. The growth reflects a significant expansion in the Company’s overall business during the year.Profitability improved at a considerably faster pace, with PAT rising 158% to Rs 104.79 crore from Rs 40.58 crore in FY25. The sharp increase in earnings underscores the Company’s improved profitability and stronger financial performance in FY26.
ADVERTISEMENT
About Deepa Jewellers
Established in 2016, Deepa Jewellers Ltd. operates across the retail and wholesale jewellery segments, offering a wide range of gold and diamond jewellery in both traditional and contemporary designs. Its product portfolio includes bangles, necklaces, earrings, rings, waist belts, armlets, kadas and other customised ornaments.The Company places emphasis on product purity, transparent pricing and customer trust, supported by its network of physical stores and distribution channels. As of July 31, 2026, its customer network spanned 13 states and 1 Union Territory and comprised 373 customers, including 47 jewellery retail chains and 326 standalone stores.
Deepa Jewellers offers 16 product categories across 110 SKUs. It also leverages its mobile application, Deepa Jewellers Limited, to showcase its jewellery collections and strengthen customer engagement and market reach.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
Too busy to trade in stocks? Invest in Mutual Funds with ET Money!
Bookmark or read stories offline -
Download ET Markets APP
Download ET Markets APP
ADVERTISEMENT
