Advit Jewels IPO: Everything a Beginner Needs to Know About This Mainboard IPO

Reviewed by Kanishk Dev Bangia, NISM Series XV Certified Research Analyst

Last Updated: June 2026 | Reg. No: NISM-202300182946

Introduction: When a Jaipur Jeweller Rings the IPO Bell

Have you ever walked past a jewellery store and wondered how such businesses fund their expansion? As companies grow, there comes a point where traditional funding sources like bank loans may not be sufficient. That is when many businesses turn to the stock market and invite the public to participate in their growth journey through an Initial Public Offering (IPO).

On June 23, 2026, Advit Jewels Limited, a Jaipur-based jewellery manufacturer, opens its IPO for public subscription. The company, known for selling handcrafted Kundan, Polki, diamond, and studded jewellery under the heritage brand Rambhajo, aims to raise ₹165.16 crore through this public issue.

Whether you are considering applying for the IPO or simply want to understand how India's primary market works, this guide explains everything in simple, beginner-friendly language.

What Is the Advit Jewels IPO?

An Initial Public Offering (IPO) is the process through which a privately owned company offers its shares to the public for the first time.

By doing so, the company raises capital from investors, and investors become partial owners of the business through share ownership.

Advit Jewels Limited was incorporated in 2019 and is headquartered in Jaipur, Rajasthan. The company manufactures fine handcrafted jewellery, specializing in:

· Kundan jewellery

· Polki jewellery

· Diamond jewellery

· Studded jewellery

Its products are sold under the Rambhajo brand, a heritage name with roots dating back to 1921.

The business operates through both:

Business-to-Business (B2B):

Supplying jewellery to retailers, dealers, and showrooms.

Business-to-Consumer (B2C):

Serving customers through bespoke and custom-made jewellery orders.

The company is launching a Mainboard IPO, meaning it will be listed on India's primary stock exchanges: BSE and NSE.

Understanding the Fresh Issue Structure

One of the most important aspects of this IPO is that it is a 100% Fresh Issue. This means the company is issuing entirely new shares to investors.

There is no Offer for Sale (OFS) component. In an OFS, existing shareholders sell part of their holdings and receive the proceeds.

In a fresh issue:

· New shares are created

· The company receives the money

· Existing shareholders do not sell their shares

As a result, every rupee raised through this IPO goes directly to Advit Jewels for business purposes.

Advit Jewels IPO: Key Details at a Glance

How Does the IPO Process Work?

If you are applying for an IPO for the first time, here is how the process works.

Step 1: Price Band Announcement

Companies generally do not offer shares at one fixed price. Instead, they announce a price band. For Advit Jewels, the price band is: ₹130 to ₹138 per share Investors can place bids within this range. Most retail investors typically bid at the upper price band to maximize allotment eligibility.

Step 2: IPO Application

The IPO remains open between June 23 and June 25, 2026.

Applications can be submitted through:

· ASBA via net banking

· Broker platforms

· UPI-based IPO applications

The minimum application size is one lot consisting of 100 shares. At ₹138 per share, the minimum investment works out to: 100 × ₹138 = ₹13,800

Step 3: Share Allotment

Once the subscription period ends, allotment takes place. If the IPO receives more applications than available shares, allotment occurs through a lottery process in the retail category. The expected allotment date is June 29, 2026.

Step 4: Shares Credited to Demat

Investors who receive allotment will see shares credited to their demat accounts on June 30, 2026. Those who do not receive allotment will have their blocked funds released.

Step 5: Listing on the Stock Exchange

The shares are expected to list on BSE and NSE on July 1, 2026. Once listed, investors can buy or sell shares through the secondary market.

Simple Example

Suppose Rahul applies for one lot.

· Lot Size: 100 shares

· Bid Price: ₹138

Application Amount: ₹13,800

The amount remains blocked in his account through ASBA.

Possible outcomes:

If allotted: Shares are credited to his demat account.

If not allotted: The blocked amount is released.

Once the stock lists, the market determines the trading price.

Investor Categories and Reservation

The issue is divided among different investor groups.

Retail Individual Investors (RII)

Retail investors applying for up to ₹2 lakh fall under this category.

Allocation Reserved: 35% of the issue

Investment limits:

· Minimum: 1 lot (₹13,800)

· Maximum: 14 lots (₹1,93,200)

Non-Institutional Investors (NII/HNI)

Allocation Reserved: 15% of the issue

These investors apply for amounts exceeding ₹2 lakh.

Qualified Institutional Buyers (QIB)

Allocation Reserved: 50% of the issue

This category includes:

· Mutual Funds

· Insurance Companies

· Foreign Institutional Investors

· Banks

How Will Advit Jewels Use the IPO Proceeds?

Understanding how a company plans to use IPO funds is important. According to the Red Herring Prospectus, the proceeds are expected to be utilized as follows:

Working Capital Requirements

₹65 crore. This will help fund inventory purchases, operational requirements, and business expansion.

Debt Repayment

₹65 crore. The company plans to repay or reduce existing borrowings.

General Corporate Purposes

Remaining funds will be used for broader business needs. Since the IPO is entirely a fresh issue, all proceeds go directly to the company.

Why This IPO Is Worth Understanding

1. A Look Into India's Jewellery Industry

India is one of the world's largest jewellery markets. Studying a jewellery company provides insight into:

· Consumer demand

· Manufacturing operations

· Precious metal pricing

· Retail distribution

2. Understanding Mainboard IPOs

Mainboard IPOs follow stricter eligibility requirements than SME IPOs. Learning how they work helps investors understand the broader primary market ecosystem.

3. Learning About Fresh Issues

This IPO demonstrates how companies raise capital for growth rather than providing an exit route to existing shareholders. Understanding the difference between fresh issues and OFS structures is an important investing skill.

4. Revenue Growth Analysis

The company's reported revenue increased from:

· FY23: ₹46.60 crore

· FY25: ₹124.94 crore

Understanding revenue growth trends is a useful part of evaluating any business.

Important Things Investors Should Know

ASBA Protects Investors

ASBA ensures your money remains in your account until allotment. Funds are blocked, not debited.

UPI Applications Are Simple

Investors can apply directly through broker apps using UPI. The process works similarly to ASBA.

Grey Market Premium Is Unofficial

Grey Market Premium (GMP) often attracts attention.

However:

· It is unregulated

· It changes daily

· It does not guarantee listing gains

Investors should not rely solely on GMP.

A Demat Account Is Mandatory

Without a demat account, you cannot apply for an IPO.

Check Allotment Status

Investors can check allotment status after June 29 through:

· Registrar website

· BSE IPO portal

· NSE IPO portal

Promoter Shareholding

Promoters currently own approximately 94.59% of the company. After the IPO, promoter ownership is expected to reduce to approximately 69.88%.

Common Myths vs Reality

Myth: IPOs Always Deliver Listing Gains

Reality: IPOs can list above, below, or near their issue price.

Myth: GMP Accurately Predicts Listing Price

Reality: GMP is unofficial and speculative.

Myth: IPOs Are Only for Wealthy Investors

Reality: Retail investors can apply with ₹13,800.

Myth: Fresh Issues Are Always Better Than OFS Issues

Reality: Fresh issues support business growth but also result in share dilution.

Myth: Oversubscription Means No Chance of Allotment

Reality: Retail allotments are often determined through a lottery system.

Frequently Asked Questions (FAQs)

Q1. What is a Mainboard IPO?

A Mainboard IPO is an IPO that lists on the primary exchanges—BSE and NSE. Companies must satisfy stricter financial and regulatory criteria compared to SME listings.

Q2. What is Rambhajo?

Rambhajo is the heritage jewellery brand under which Advit Jewels sells its products. The brand traces its origins back to 1921.

Q3. How can I check allotment status?

You can check allotment status through:

· Bigshare Services

· BSE IPO Portal

· NSE IPO Portal

using your PAN, application number, or demat details.

Q4. What is ASBA?

ASBA stands for Application Supported by Blocked Amount.

Instead of transferring money immediately, the application amount is blocked in your bank account until allotment.

Q5. Is Advit Jewels a new company?

The company was incorporated in 2019, but the Rambhajo brand has heritage roots dating back more than a century.

Q6. Can I sell the shares on listing day?

Yes, Once listed on July 1, 2026, shares can be bought or sold like any other listed stock.

Disclaimer

This is written for educational and informational purposes only. Nothing here constitutes investment advice or a recommendation to buy or sell securities. All data is sourced from publicly available information. Investments in securities markets are subject to market risks — please read all offer documents carefully before investing.