Mumbai: “Diamonds are Forever….And are Affordable” were the legendary words of a famous James Bond film, that were echoed here recently by Tehmasp Printer, Managing Director and Chief Executive Officer, International Gemmological Institute (India) Limited.
The occasion was the IGI announcing their Initial Public Offering (IPO) of equity shares priced at Rs 397 to Rs 417 per share – aggregating Rs 4,225 crores – opening on December 13 and closing on December 17, 2024.
The IPO total offer size comprises of: Fresh Issue (Rs 1,475 crore); and Offer for Sale (Rs 2,750 crore) by BCP Asia II TopCo Pte Ltd.
The Company proposes to utilize the Net Proceeds towards funding of: Payment of the purchase consideration for the acquisition of IGI Belgium Group and IGI Netherlands Group from the Promoter (estimated at Rs 1,300 crore), while the remaining amount will be used for General Corporate purposes.
Describing this IPO as a tremendous milestone for the global 50-year-old IGI going public, Tehmasp Printer of IGI said the Company’s vision is to grow this business into global leadership, while also being the “first movers” in India and demonstrating strong expertise & innovation in an industry having enormous potential for growth with the backing of Blackstone.
“Diamonds have become very affordable today and we are anticipating big business through our services in the Gems & Jewellery industry,” he said, adding that IGI also has a plethora of training courses in diamond certification for people, including housewives who want to do jewellery designing.
Noting that 9 out of 10 diamonds are being polished in India which is becoming a diamond-polishing hub, he said “One of our strategic pillars is growth in the USA and we are confident of getting more orders from there.”
He said that IGI is in the entire jewellery chain and also has 31 labs in its global footprint. “India has an affinity for jewellery and we expect to grow by 10% this year,” he added.
To a question about challenges facing IGI, he said the “biggest challenge” here is in “identifying +earth-grown+ and +lab-grown+ diamonds” even as the Industry keeps evolving.
In January 2024, Tehmasp Printer was honored at the “Hall of Fame” event by the Gem & Jewellery Export Promotion Council in recognition for his invaluable contribution to the loose stones and studded jewelry industry.
Mukesh Mehta, Senior Managing Director, Blackstone, said Blackstone has helped solidify IGI’s position as: global leader in the certification of lab-grown diamonds; and an increasingly competitive player in other segments.
Amit Dixit, Head of Private Equity Asia, Blackstone, said the IPO marked a continuation of its business builder efforts to strengthen IGI’s presence and operations by helping the company expand its reach and offerings in becoming a one-stop provider of certification.
Axis Capital Limited, Kotak Mahindra Capital Company Limited, Morgan Stanley India Company Private Limited and SBI Capital Markets Limited are the Book Running Lead Managers to the Offer.
