Retaggio Industries IPO: Issue dates, price, and lot size

Jewellery manufacturer Retaggio Industries Limited is set to make its market debut with an initial public offering (IPO), valued at ₹15.50 crores, an entirely fresh issue of 61.98 lakh shares. The subscription window opens on March 27, 2025, and draws to a close on April 2, 2025. Investors can track this company’s market journey as it prepares for its listing on the BSE SME platform, scheduled for Monday, April 7, 2025.

Retaggio Industries Limited presents a public offering, with equity shares of ₹10 face value being offered with a face value of ₹10 per share and a lot size of 6,000 shares. Interested retail investors can participate with a minimum investment of ₹1,50,000 to buy 1 lot, while High Net-worth Individuals (HNI) are invited to participate with a minimum subscription of ₹3,00,000 (2 lots). The company has planned a swift post-subscription timeline, with share allotment notifications slated for April 3, 2025, followed by its debut on the BSE SME platform on April 7, 2025. As this biofuel producer embarks on its public market journey, investors stand at the cusp of an emerging opportunity in India's jewellery sector.

Retaggio Industries IPO details

Retaggio Industries Limited IPO is a fundraise worth ₹15.50 crores comprising purely of a fresh issue with 61,98,000 shares reserved for the market maker Gretex Share Broking Private Limited.50% of the net issue has been reserved for retail investors while the remaining 50% will be available to other investors. The IPO will be available for subscription from March 27, 2025, to April 2, 2025, providing an opportunity for investors looking to gain a stake in the jewellery segment.

Retaggio Industries IPO timeline

The Retaggio Industries Limited IPO opens for subscription on March 27, 2025, and closes on April 2, 2025, with allotment scheduled for April 3, 2025.

Retaggio Industries IPO review

Founded in 2022, Retaggio Industries Limited specializes in manufacturing a wide range of jewellery, including necklaces, bracelets, earrings, and other decorative pieces. With a strong presence in the B2B sector, the company is known for its high-end, heritage jewellery, distinguished by exceptional craftsmanship and unique designs.

The company's origins trace back to 2012 when it operated as M/s Vaibhav Gems. In 2022, under the leadership of Mr. Savinay Lodha, the business was expanded and formally established as Retaggio Industries Limited through the acquisition of M/s Vaibhav Gems via a Business Transfer Agreement.

The net proceeds from the Retaggio Industries IPO will be utilized for key financial objectives, including the repayment or prepayment of certain debt facilities, meeting the company's working capital requirements, and supporting general corporate purposes.

Retaggio Industries IPO financials

As of July 31, 2024, the key performance indicators reflect the company's financial health with a Return on Equity of 40.36%, Return on Capital Employed (ROCE) at 23.05% and a Debt-to-Equity ratio of 0.71. The Return on Net-Worth (RoNW) stands at 20.24%, and the PAT Margin was 13.40%. The Price to Book Value was 0.63. The company’s market capitalisation is ₹38.92 crore.

Amount in ₹ crores 

The pre-IPO EPS is at ₹3.30 while the post-IPO EPS will be ₹1.99. Similarly, the pre-IPO Price to Earnings ratio is 7.58 and will become 12.59 post-IPO.

Retaggio Industries IPO strengths

Retaggio Industries Ltd is led by an experienced promoter and management team with a strong track record in the jewellery industry. The company places a high emphasis on quality control, ensuring that its products meet industry standards and customer expectations. One of its key strengths is the ability to offer customization based on customer preferences, facilitated by its in-house design team. This allows the company to develop unique jewellery pieces tailored to market demands, strengthening its competitive edge.

Additionally, the company has established a pan-India customer base, catering to a wide range of clients in the B2B sector. A dedicated team continuously analyzes market trends and studies customer preferences, enabling the company to expand its product offerings. By maintaining a diverse product portfolio, Retaggio Industries Ltd can tap into new growth opportunities, enhancing its market presence and positioning itself as a preferred choice for high-end, heritage jewellery.

Retaggio Industries IPO weaknesses

Retaggio Industries Ltd operates in a capital-intensive industry, and any shortage of cash flow could impact its ability to meet debt obligations and working capital requirements. The company also depends on securing various regulatory approvals, licenses, and permits, and any delays or failures in obtaining them could negatively affect its business operations. Additionally, the demand for jewellery is highly influenced by changing consumer preferences and fashion trends. A shift in market demand away from the company's product offerings could significantly impact its sales and profitability.

The company faces risks associated with the availability and pricing of key raw materials such as gold, silver, diamonds, and other precious stones. Fluctuations in their prices or supply shortages could have an adverse effect on financial performance. Moreover, the company does not register its jewellery designs under the Designs Act, 2000, which means competitors could replicate its designs, potentially affecting its revenue. Retaggio Industries Ltd also has a limited operating history since it was formed through the acquisition of M/s Vaibhav Gems, making it difficult for investors to evaluate its long-term prospects. Additionally, its business relies on purchase orders rather than long-term contracts, which adds an element of unpredictability to its revenue streams. Seasonal fluctuations further pose a challenge, as weaker sales during peak seasons could have a disproportionate impact on the company’s overall financial health.

Should you invest in the Retaggio Industries IPO?

Investing early in Retaggio Industries Limited’s IPO offers an opportunity to be part of its growth journey in the jewellery manufacturing sector. However, potential investors should thoroughly evaluate key factors such as the company's financial health, operational track record, industry trends, and long-term strategy. It is essential to align the investment with personal financial goals and risk tolerance. Reviewing the offer document and seeking professional advice can help in making an informed decision before participating in this IPO.

FAQs

What is the Retaggio Industries Limited IPO?

The Retaggio Industries Limited IPO is an BSE SME offering consisting of 61.98 lakh equity shares with a face value of ₹10, aiming to raise ₹15.50 crore. The fixed price has been set ₹25 per share, with a minimum order quantity of 6,000 shares. This IPO will be open for subscription from March 27, 2025, to April 2, 2025. Gretex Corporate Services Limited is the book-running lead manager, Bigshare Services Pvt Ltd is the registrar while Gretex Share Broking Private Limited is the market maker.

When will the Retaggio Industries IPO open?

The Retaggio Industries Limited IPO will open for subscription on March 27, 2025, and will close on April 2, 2025.

When is the Retaggio Industries IPO listing date?

The tentative listing date for the Retaggio Industries Limited IPO is Monday, April 7, 2025.