New Delhi, Nov 19 (UNI) Renaissance Jewellery Ltd said its initial public offering of 5.32 million equity shares on a price band of Rs 125-150 per share constituting 29 per cent of the post-issue paid-up share capital is open for subscription today.
The proceeds of the issue, amounting to about Rs 80 crore at the top end of the price band, would be used to fund the capacity expansion of its jewellery unit in Bhavnagar, Gujarat and invest in its US subsidiary, Renaissance Jewelry New York Inc.
The subsidiary would cater to independent, mid-range retailers in the US.
Renaissance, which makes and sells studded gold, platinum and silver jewellery, is mainly focused on the US which accounts for over 95 per cent of its revenue.
It also has 26 retail stores in India and plans to open 200 more, said company Managing Director Sumit Shah.
In FY07, the company reported a net profit of Rs 25.4 crores.
Edelweiss Capital is the sole lead manager to the issue.