Jewellery maker and retailer Joyalukkas has withdrawn its Rs 2,300 crore ($277.95 million) initial public offering (IPO), a document on the market regulator’s website showed on Tuesday. The reason for the withdrawal of the share sale was not immediately clear, a Reuters report said.
The Kerala-based jeweller operates showrooms across nearly 68 cities and is one of the biggest jewellery retailers in India.
The company intended to use about Rs 1,400 crore ($169.16 million) from the IPO proceeds for repayment or pre-payment of debt, it said in its draft prospectus released in March last year.
The date for the IPO was set to be announced in early 2023.
The book running lead managers for Edelweiss Financial Services Ltd, Motilal Oswal Investment Advisors Ltd, Haitong Securities India, and SBI Capital Markets Ltd also did not immediately respond to a request for comment.
The firm had first announced plans to launch an IPO in 2018. It has peers such as Titan and Kalyan Jewellers listed on the BSE and NSE. Last year too, the company had filed a draft prospectus for the IPO but did not proceed with the formalities amid rising volatility in the stock market. Especially, shares of newly listed new-age companies such as Paytm, Nykaa, Zomato and Cartrade Tech caused heavy losses to investors.
Gold jewellery is a traditional investment in India, with the country being the second-largest market for gold in the world. The World Gold Council in January said that a rise in prices had led to a 3% fall in consumption of the yellow metal in India.
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