Kenrik Industries IPO is set to launch on April 29, 2025, and will be open for public subscription until May 6, 2025. The IPO will list on the BSE SME platform, with the tentative listing date fixed as May 9, 2025. This IPO is drawing attention from retail and high net-worth individual (HNI) investors alike, especially those interested in the gold jewellery manufacturing sector.

IPO Structure and Price Details

The IPO is a fixed-price issue of ₹8.75 crores and consists entirely of a fresh issue of 34.98 lakh equity shares. Each share is priced at ₹25, with a face value of ₹10 per share.

Of the total issue:

• 1,80,000 shares are reserved for Market Maker Mnm Stock Broking Private Limited.

• The Net Issue to the public is 33.18 lakh shares, aggregating to ₹8.29 crores.

The IPO will constitute 27.99% of the post-issue equity share capital of the company.

Minimum Investment and Lot Size

The IPO requires a minimum application of 6000 shares for retail investors, amounting to ₹1,50,000. For HNI investors, the minimum investment is 12,000 shares, or 2 lots, totaling ₹3,00,000.

This large lot size makes the IPO suitable for serious retail participants or wealthier investors looking to capitalise on SME listing gains.

Key Dates to Note

• IPO Open Date: April 29, 2025

• IPO Close Date: May 6, 2025

• Allotment Finalisation: May 7, 2025

• Tentative Listing Date: May 9, 2025

Lead Manager and Registrar

The book-running lead manager for this IPO is Turnaround Corporate Advisors Private Limited, while the registrar is Skyline Financial Services Private Ltd.

Business Overview

Kenrik Industries, incorporated in 2017, is engaged in the manufacturing, wholesaling and supplying of plain and studded gold jewellery and ornaments. It focuses primarily on traditional Indian jewellery for a B2B business model and operates its manufacturing unit in Ahmedabad, Gujarat.

Their product range includes:

• Rings, necklaces, bangles, pendants, earrings, armlets, chains

• Watches, nose rings, bracelets, wedding ornaments

• Jewellery studded with diamond, ruby, cubic zirconia and other stones

Kenrik only deals in BIS Hallmark-certified jewellery, ensuring quality and compliance with Indian standards.

Their business model includes:

• Job work-based manufacturing

• Customised orders

• No fixed long-term raw material contracts, allowing sourcing flexibility

• An in-house sales team that does direct marketing and client outreach

• Digital presence through a website and mobile application

The company sources gold from multiple vendors to benefit from competitive pricing, given the volatility of gold prices.

Industry Overview

The Indian gems and jewellery industry contributes significantly to GDP (~7%) and employs around 5 million people. The sector is driven by export growth, policy reforms like 100% FDI, and bilateral agreements like CEPA with UAE, which offer duty-free access for Indian jewellers.

In FY21, the industry was valued at US$78.5 billion. Although FY2024 saw a dip in exports, the long-term outlook remains positive with increasing international demand and India’s skilled craftsmanship in jewellery manufacturing.

Financial Performance

Here is a summary of Kenrik Industries' financial performance (₹ in lakhs):

The company has shown steady growth in revenue and profit, with EPS nearly tripling in two years, reflecting strong operational performance.

Use of IPO Proceeds

The net proceeds from the IPO will be utilised for the following purposes:

The majority of the funds are allocated towards working capital, indicating the company’s focus on scaling operations and expanding its business footprint.

Promoter Holding

The promoters of the company currently hold nearly 100% of the pre-issue equity. After the issue, promoter shareholding will dilute to accommodate new public investors. Promoters include:

• Nitinkumar Dalpatbhai Shah – 50.87%

• Nihar Nitinbhai Shah – 32.85%

• Manisha Nitinkumar Shah – 10.81%

• Shah Nitin Dalpatlal (HUF) – 5.47%

The Upcoming IPOs in this week and coming weeks are Ather Energy, Iware Supplychain Services, Arunaya Organics,Kenrik Industries.

The Current active IPO are Tankup Engineers.

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