Jaipur-based handcrafted jewellery brand Advit Jewels has seen a solid start to its public issue, with investor demand kicking in strongly right from Day 1. Within the initial hours of bidding, the IPO was subscribed 2.3 times against the total offer of 83.79 lakh shares, while the retail segment led the charge with 2.76x subscription, highlighting healthy participation from individual investors.Market excitement is also reflected in the grey market, where the IPO is commanding a grey market premium (GMP) of around 47%. This suggests a potential listing price of nearly Rs 202 per share, compared to the upper price band of Rs 138, indicating upbeat sentiment and strong listing expectations.The Rs 165.16 crore issue is entirely a fresh equity offering of 1.20 crore shares, with no offer-for-sale component, meaning all proceeds will go directly to the company. The price band has been fixed at Rs 130–Rs 138 per share, and retail investors can apply for a minimum lot of 100 shares, requiring an investment of Rs 13,800 at the upper band.The subscription window remains open until June 25, 2026, with allotment expected by June 29. If all goes as scheduled, the company is set to make its stock market debut on the NSE and BSE on July 1, 2026, marking its entry into the listed space amid strong early investor enthusiasm.Advit Jewels IPO subscription status – Day 1By 11 AM on Day 1, the Advit Jewels IPO had already been oversubscribed 2.3 times, reflecting strong early investor participation against the total offer of 83.79 lakh shares.The Retail Individual Investors (RIIs) segment showed healthy demand, subscribing 2.76 times for the allotted 41.90 lakh shares.Momentum was even stronger among Non-Institutional Investors (NIIs), which subscribed 3.17 times to their quota of 17.96 lakh shares.However, the Qualified Institutional Buyers (QIBs) segment had not yet seen any bids for its 23.92 lakh shares at that stage.How Advit Jewels Plans to Deploy IPO ProceedsAdvit Jewels plans to use the IPO proceeds primarily to strengthen its financial position and support future growth initiatives. A major portion of Rs 65 crore will be allocated toward incremental working capital requirements, enabling the company to sustain day-to-day operations and fuel business expansion.Another Rs 65 crore is earmarked for repayment or prepayment of existing borrowings, which is expected to lower debt levels and improve the company’s balance sheet strength.The balance funds will be directed toward general corporate purposes, giving the company additional flexibility to pursue strategic and operational priorities. Overall, the planned debt reduction is expected to enhance profitability and improve financial agility in the coming years.A Jaipur-Based Heritage Jewellery BrandHeadquartered in Jaipur, Rajasthan, a major hub for India’s gemstone and jewellery industry, Advit Jewels operates under the Rambhajo brand, specializing in handcrafted fine jewellery.Its offerings span traditional and contemporary designs, including Kundan, Polki, diamond-studded, and gemstone jewellery. By blending traditional craftsmanship with modern design sensibilities, the company has built a niche in culturally rooted yet evolving jewellery preferences.The product portfolio includes necklaces, earrings, rings, bangles, and bespoke pieces, crafted in 14-carat and 18-carat gold. While the company primarily follows a B2B model, supplying wholesalers, retailers, and showrooms, it also caters to select B2C customers through customized, made-to-order jewellery.A key differentiator is its focus on personalized jewellery solutions, tailored to customer tastes, cultural needs, and emerging market trends.Advit Jewels operates a fully integrated manufacturing facility in Jaipur, spread across 6,450 sq. ft., equipped with modern technologies such as 3D printers, casting systems, and polishing machines.The entire production process, from gold processing and stone setting to polishing and quality inspection, is handled in-house. Skilled artisans form a significant part of the workforce, and each piece undergoes multiple quality checks before reaching the market.Financial Performance SnapshotAdvit Jewels has demonstrated strong growth momentum in recent years, supported by steady expansion in both revenue and profitability. For the nine-month period ended December 31, 2025, the company reported revenue from operations of Rs 123.79 crore, reflecting healthy business traction across its jewellery offerings. During the same period, it posted a net profit of Rs 25.44 crore, indicating improved earnings performance alongside its expanding operational scale.Broker ViewBrokerage SBI Securities has assigned a “Subscribe” rating to the IPO, noting that the issue is valued at a P/E of 18.6x (annualized 9MFY26 earnings at the upper price band). While slightly above some peers, the premium is considered justified due to the company’s strong growth trajectory and superior profitability.SBI Securities highlighted the company’s stronger operating margins compared to many B2B jewellery players, along with improving financial discipline. Despite a relatively heavy working capital cycle due to high inventory requirements, the company has been generating positive operating cash flows and gradually reducing debt through internal accruals.The brokerage further noted that IPO-driven debt repayment could meaningfully enhance future earnings and return ratios.Research firm Equivision also issued a “Subscribe” rating, citing robust revenue growth, improving profitability, and a solid position in the organized jewellery market. It emphasized expanding product lines, rising demand, and growing visibility through jewellery exhibitions as key positives.However, it also flagged key risks such as dependence on gold and gemstone price volatility, customer concentration, and operational reliance on Jaipur-based manufacturing.(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)