• AJC Jewel IPO opens on June 23 with a fresh issue of 16.20 lakh shares worth ₹15.39 crore.

• IPO price band fixed at ₹90–₹95 per share; retail lot size is 1,200 shares requiring ₹1.14 lakh.

• IPO subscribed only 0.01x as of 11 AM on Day 1; tentative listing on BSE SME is July 01, 2025.

Long-Form Article:

AJC Jewel Manufacturers Limited, a gold jewellery manufacturer, has launched its IPO on June 23, 2025, aiming to raise ₹15.39 crores through a fresh issue of 16.20 lakh equity shares. The company is primarily engaged in manufacturing plain gold, studded, and named jewellery in both 22K and 18K formats, catering to dealers, retailers, and corporate clients.

About the Company:

Founded and led by Mr. Ashraf P, who has over 13 years of experience in the jewellery industry, AJC Jewel Manufacturers converts raw gold bullion into finished, customized jewellery. The company focuses solely on wholesale volumes, supplying to jewellery showrooms, local jewellery stores, and corporates. Their focus on design, speed, and volume-based production makes them competitive in the B2B segment of India's growing gold market.

IPO Timeline:

IPO Details:

GMP and Expected Listing:

• Grey Market Premium (GMP): ₹0 (No premium)

• Expected Listing Price: ₹95

• Estimated Listing Gain: Nil

⚠️ Note: GMP is speculative, unofficial, and unregulated. It does not guarantee listing performance.

Subscription Status (as of 11:00 AM, June 23, 2025):

• Total Subscription: 0.01x

  • Retail Portion: 0.01x

  • HNI Portion: 0.00x

  • QIB Portion: 0.00x

The IPO witnessed muted response in early hours, raising concerns about overall demand.

Anchor Investor Participation:

• Amount Raised: ₹4.29 Crores

• Anchor Price: ₹95

• Total Shares Allotted: 4,52,400 shares

Anchor investor interest has been moderate, covering about 28% of the total issue size.

Financial Performance Snapshot (₹ in Lakhs):

The company has posted consistent revenue growth, with increasing operating and net profits over the past three years. However, margins remain thin — typical for the jewellery sector.

Key Valuation Metrics:

While the post-issue valuation seems slightly stretched, the high ROE and consistent profitability partially justify the pricing.

Use of IPO Proceeds:

Funds will be used for:

• Working capital requirements

• Business expansion and marketing

• Upgrading production facility

• General corporate purposes

Strengths:

• Promoter with 13+ years of experience

• Growing revenues and profits

• Strong relationships with dealers and corporates

• Positive industry tailwinds in gold demand

Risks & Concerns:

• Low early subscription (only 0.01x)

• Jewellery sector is highly competitive with thin margins

• Entirely SME-based demand with low institutional backing

• Valuation looks aggressive for current size

Final Verdict:

AJC Jewel Manufacturers operates in a stable yet low-margin industry with moderate fundamentals and limited GMP momentum. Though the financial track record is decent, the tepid Day 1 subscription and no listing premium raise caution for short-term investors.

???? Recommendation:
❌ Avoid for listing gain
✔️ Consider for long-term only if you have high-risk tolerance and believe in the promoter's execution capabilities

Disclaimer

This article is for educational and informational purposes only. It does not constitute investment advice. IPO investments are subject to market risks, and the Grey Market Premium is not officially regulated. Investors are advised to consult a SEBI-registered financial advisor before investing.

The Upcoming IPOs in this week and coming weeks are Supertech EV, Valencia India, Neetu Yoshi, Abram Food, PRO FX Tech, Suntech Infra Solutions, Shri Hare-Krishna Sponge Iron, Icon Facilitators, Ace Alpha Tech, Globe Civil Projects, Sambhav Steel Tubes, Ellenbarrie Indutrial Gases, Kalpataru, HDB Financials, AJC Jewel.

The Current active IPO are  Aakaar Medical Technologies, Safe Enterprises Retail Fixtures, Mayasheel Ventures.

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX.

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst.