Goenka Diamond and Jewels Ltd. IPO opens on March 23

Goenka Diamond and Jewels Limited is venturing into the capital market with an Initial Public Offer (IPO) of one crore equity shares of face value of Rs. 10 each. The price band for the issue has been fixed at Rs. 135 to Rs. 145 per share. The IPO is opening on March 23, 2010 and shares will be available for subscription until 26th March 2010.

The objects of this issue are to meet the expenses of establishing stores for G WILD Stores; meet the expenses of establishing stores for CERES Stores; meet working capital requirements for jewellery business; meet expenses of establishing a jewellery manufacturing facility in Mumbai; meet expenses of establishing a diamond processing facility in Mumbai and further invest in the equity capital of subsidiary. From the IPO, Goenka Diamond and Jewels Limited hopes to raise around 135 to 145 crores, out of which a portion of the amount would be utilised for these objects.

The equity shares of Goenka Diamonds and Jewels Limited are proposed to be listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). The book running lead manager to the issue is SBI Capital Markets Limited and Karvy Computershare Private Limited is the registrar for the issue. The company is in the business of cutting and polishing of diamonds as well as manufacturing and retailing of diamond jewellery under the CERES and G WILD brands.