Shringar House of Mangalsutra IPO

Company Overview:

Incorporated in January 2009, Shringar House of Mangalsutra Limited is engaged in the manufacture and design of Mangalsutras in India.

The company designs, manufactures, and markets a diverse collection of Mangalsutras embedded with American diamonds, cubic zirconia, pearls, and semi-precious stones, crafted in 18k and 22k gold. Its business model focuses primarily on B2B clients, serving:

1. Corporate clients

2. Wholesale jewellers

3. Retailers across India

The company has a presence in 24 states and 4 union territories domestically, and has expanded globally to the UK, New Zealand, UAE, USA, and Fiji between FY23–FY25.

Its reputed client list includes Malabar Gold Limited, Titan Company Limited, GRT Jewellers, Reliance Retail, Joyalukkas India, and Damas Jewellery (UAE), among others.

As of March 31, 2025, the company has served:

• 34 corporate clients

• 1,089 wholesalers

• 81 retailers

Objects of the Issue:

1. Capital Expenditure – ₹280 Cr

2. General Corporate Purposes – ₹100.23 Cr

3. Miscellaneous Expenses – ₹20.73 Cr

Shringar House of Mangalsutra IPO: Key Details

• IPO Dates: 10 to 12 Sept 2025

• Price Band: ₹155 to ₹165 per share

• Lot Size: 90 Shares

• Total Issue Size: 400.95 Cr

• Retail Quota: 35%

• GMP: 15% (only for information)

Allotment Link

Strengths:

• Strong client relationships – over 15 years of retention with marquee clients.

• Diverse customer base – strong B2B presence across India and expanding international footprint.

• Prestigious corporate clients – Titan, Malabar Gold, Reliance Retail, Joyalukkas, etc.

• Specialisation in Mangalsutras – niche, innovative, and customised product portfolio.

• Integrated manufacturing model – advanced technology combined with skilled Karigars.

• Consistent financial growth – rising revenues and margins over the last 3 years.

• Export opportunities – tapping high-demand NRI markets in the USA, UK, UAE, and Fiji.

• Scalability – strong processing capacity growth (870 kg to 1,320 kg in 3 years).

• Employment generation – growing workforce strength indicating expansion.

Risks / Weaknesses:

• Design protection risk – inability to safeguard unique Mangalsutra designs may affect revenues.

• High dependence on promoters – heavy promoter-driven operations may impact business continuity.

• Unregistered designs – risk of imitation and copying by third-party Karigars.

• No independent appraisal of net proceeds – utilisation of funds lacks external oversight.

• Client concentration risk – a limited number of large clients contribute significantly to revenue.

• Volatility in raw material prices – heavy reliance on bullion (gold) exposes margins to price fluctuations.

• Competition – presence of established jewellery brands and local players may impact market share.

• Scale limitations – though growing, the company still has limited brand visibility in the B2C segment

• Labour-intensive industry – dependence on skilled artisans (Karigars) creates operational risks.

DISCLAIMER: No financial information whatsoever published anywhere here should be construed as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matters published here are purely for educational and information purposes only and under no circumstances should be used for making investment decisions. Readers must consult a qualified financial advisor before making any actual investment decisions, based on the information published here. Any reader making decisions based on any information published here does so entirely at their own risk. Investors should bear in mind that any investment in the stock market is subject to unpredictable market-related risks. The author has no plans to invest in this offer and also the author does not recommend investing in any offer published on this website.