Kenrik Industries, a renowned name in the manufacturing, wholesaling, and supplying of plain and studded gold jewellery, has announced its IPO to raise ₹ 8.74 Crores. The IPO offers 34.98 Lakh fresh issue shares at a fixed price of ₹ 25 per equity share. The subscription period for the IPO begins on April 29, 2025, and closes on May 06, 2025, with an expected allotment date of May 07, 2025, and a listing on the BSE SME on May 09, 2025.

Kenrik Industries is deeply involved in the traditional Indian jewellery sector, providing a wide range of handmade gold jewellery studded with precious and semi-precious stones, such as diamonds, rubies, and cubic zirconia. Their product portfolio includes rings, earrings, bracelets, necklaces, bangles, luxury watches, and wedding jewellery, catering to a diverse market that values both craftsmanship and luxury.

The IPO comes with a market capitalisation of ₹ 31.24 Crores at the issue price of ₹ 25 per share. Retail investors can bid for a minimum of ₹ 1,50,000 for 6,000 shares, while high-net-worth individuals (HNIs) can invest a minimum of ₹ 3,00,000 for 12,000 shares. The IPO is managed by TURNAROUND CORPORATE ADVISORS PRIVATE LIMITED as the lead manager, with SKYLINE FINANCIAL SERVICES PRIVATE LIMITED acting as the registrar and MNM Stock Broking Private Limited as the market maker.

IPO Subscription and GMP

As of May 06, 2025, the subscription status shows that Kenrik Industries' IPO has been subscribed 0.80 times on its last day of the subscription period. The Grey Market Premium (GMP) for the IPO is currently ₹ 0, indicating no expected gains from the grey market.

IPO Financials

Kenrik Industries has shown consistent revenue growth over the past few years. For the fiscal year ending October 31, 2024, the company reported revenue from operations of ₹ 4,218.58 Lakh, with an EBITDA of ₹ 105.47 Lakh and a profit after tax (PAT) of ₹ 78.19 Lakh. The company's financial performance indicates a stable upward trajectory, with a pre-issue EPS of ₹ 1.21 and a post-issue EPS of ₹ 0.87 for FY24.

Key Metrics

• Pre-issue P/E Ratio: 20.66x

• Post-issue P/E Ratio: 28.81x

• Industry P/E Ratio: 24x

• ROCE (FY24): 10.85%

• ROE (FY24): 9.01%

• RoNW (FY24): 8.62%

• Annualised EPS: ₹ 2.55

• PE Ratio: 9.78x

Investment Recommendation

While the company’s financials show steady growth, the pre-issue and post-issue P/E ratios indicate that the IPO is fully priced in relation to industry averages. The current Grey Market Premium (GMP) of ₹ 0 suggests that there may be limited listing gains. Given the valuation and financial performance, we recommend that investors approach the Kenrik Industries IPO with caution, as it may not offer significant short-term listing gains or long-term investment potential.

How to Check IPO Allotment Status

The IPO allotment for Kenrik Industries will be finalized on May 07, 2025, and investors can check their allotment status online through the registrar’s website. Here’s how you can check:

1. Visit the IPO allotment status page.

2. Select Kenrik Industries IPO from the list of IPOs.

3. Enter your application number, PAN, or DP Client ID.

4. Submit the details to check your allotment status.

In conclusion, while Kenrik Industries has a strong presence in the traditional jewellery market, its IPO does not show immediate promise in terms of listing gains, and it is best suited for cautious investors.

The Upcoming IPOs in this week and coming weeks are Virtual Galaxy Infotech,Wagons Learning.

The Current active IPO are Srigee DLM, Manoj Jewellers, Kenrik Industries.

The Closed IPOs are  Arunaya Organic.

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