Varyaa Creations made a remarkable debut on the Bombay Stock Exchange SME platform, with its share price listing at a whopping 90% premium of ₹285 apiece, significantly higher than its issue price of ₹150. Despite the stellar debut, the company’s shares were subsequently locked in at the 5% lower circuit.
Specializing in jewelry trading with gold, silver, and other metals alongside precious and semi-precious stones, Varyaa Creations aimed to raise ₹20.10 crore through the issue of 13,40,000 equity shares. During the IPO period, the company highlighted a substantial revenue jump of 112.55% in FY24 and a 36.13% increase in profit after tax (PAT).
The IPO, which opened on April 22 and closed on April 25, saw strong subscription levels, with the retail portion oversubscribed by 6.09 times and the NII portion by 1.08 times. The company’s promoters, Sarika and Pooja Naheta, bring over 20 years of experience in the jewelry and stone industries.
Proceeds from the IPO will be utilized to finance the opening of a new showroom, cover associated capital expenditures, purchase inventory, and for general corporate purposes. The registrar for the IPO was Bigshare Services Pvt Ltd, and the book running lead manager was Inventure Merchant Banker Services Pvt Ltd, with Svcm Securities as the market maker.
According to LiveMint, Varyaa Creations’ rivals include Ashapuri Gold Ornament Ltd and PNGS Gargi Fashion Jewellery Ltd, with varying price-to-earnings ratios.
