Advit Jewels IPO Surge on Day One: NII Quota Books Near 5X, Grey Market Signals Massive Listing Gains

Advit Jewels IPO Surge on Day One: NII Quota Books Near 5X, Grey Market Signals Massive Listing Gains​

The Initial Public Offering (IPO) of Advit Jewels, valued at Rs 165.16 crore, generated immediate and robust demand upon its launch on June 23, 2026. The IPO saw a significant oversubscription within hours of opening for business.

According to BSE data, the overall subscription stood at 2.58 times, reflecting strong investor interest across different segments. This appeal was particularly pronounced among non-institutional investors (NIIs).

Subscriber Numbers and Market Demand Dynamics​

The NII portion of the IPO demonstrated overwhelming strength, attracting bids for 87.31 lakh shares against the 17.96 lakh shares allocated to the category, resulting in a subscription multiple of 4.86 times. Retail investors also showed solid participation, with their segment subscribed at 3.08 times, having received bids for 1.29 crore shares compared to the 41.90 lakh shares reserved.

In contrast, Qualified Institutional Buyers (QIBs) were notably less active in the early stages of bidding, receiving bids for 8,800 shares against a reservation of 23.92 lakh shares. The company’s IPO is structured as a fresh issue of 1.20 crore equity shares and includes no offer-for-sale component (OFS).

Grey Market Premium and Listing Expectations​

The high level of subscription has been matched by strong market enthusiasm in the grey market. Market participants report that Advit Jewels is commanding a grey market premium (GMP) of Rs 65 per share. This GMP represents approximately 47.1% above the upper end of the price band.

Tracking sites suggest that the stock could potentially list around Rs 203 per share, significantly higher than the issue price of Rs 138. If current grey market trends continue, this projection suggests potential listing gains close to 47%. The IPO price band was set at Rs 130-138 per share.

Financial Health Drives Expert Confidence​

Analysts from SBI Securities have recommended subscribing to the IPO, citing Advit Jewels’ traditional handcrafted jewellery portfolio and its relatively higher operating margins compared to peers in the B2B sector. While the company operates with a longer working capital cycle due to inventory needs, it generated positive cash flow from operations in 9MFY26.

The brokerage highlighted that Advit Jewels plans to fully retire its outstanding debt using the IPO proceeds, which is scheduled for completion by 9MFY26. SBI Securities noted exceptional financial growth rates across the board over FY23-FY25, with revenue growing at a CAGR of 63.7%, EBITDA at 70.5%, and profit after tax at 56.3%.

Growth Prospects Back Premium Valuation​

Anand Rathi also maintained a positive outlook on the IPO, assigning a "Subscribe for Long Term" rating. The brokerage credited Advit Jewels' strong footprint in premium handcrafted jewellery categories including Polki, Kundan, Jadau, and Meenakari.

Despite noting that the company is aggressively priced at 25.1 times FY25 earnings and 19.7 times annualised FY26 earnings at the upper price band, Anand Rathi believes the long-term investment potential is supported by the company's growth trajectory and a favourable industry outlook. The IPO window remains open until June 25, 2026, with allotment expected by June 29.