PNGS Reva Diamond IPO: Brokerages split on prospects; should you apply?

PNGS Reva Diamond Jewellery has set the price band in the range of ₹367 to ₹386, with a lot size of 32 shares

PNGS Reva Diamond Jewellery IPO: PNGS Reva Diamond Jewellery, a retail-focused jewellery brand, is set to launch its initial public offering (IPO) on Tuesday, February 24, 2026. The company aims to raise ₹380 crore from its maiden public issue comprising an entire fresh issue of 9.8 million equity shares. 

 

The company has reserved at least 75 per cent of the issue for Qualified Institutional Buyers (QIBs), not more than 15 per cent for Non-Institutional Investors (NIIs), and not more than 10 per cent for retail investors.

PNGS Reva Diamond Jewellery IPO GMP

On Monday, February 23, the unlisted shares of PNGS Reva were trading at ₹398, up ₹12 or 3 per cent compared to the issue price of ₹386 per share, according to sources tracking unofficial markets.

 

Here's what the brokerages say

SBI Securities

According to the brokerage, the company is a structurally differentiated play on India's organised diamond jewellery retail segment. "Unlike gold-centric peers whose margins are constrained by commodity-linked revenues, Reva's 100 per cent diamond focus generates PAT margins of 23 per cent (FY25) - among the highest in Indian jewellery retail," it said. 

 

"However, PNGS Reva’s business model is highly dependent on its promoters, as 32 out of 34 stores are operated under the Shop-in-Shop (SIS) format. Any unfavourable modifications to the franchise or trademark agreements could significantly impact Reva’s customer footfall, sales, and overall operations," the brokerage said. 

 

At the upper price band of ₹386, the issue is valued at a P/E multiple of 20.6x, respectively, based on post-issue capital. The brokerage has maintained a 'Neutral' view on the IPO and intends to observe its performance post listing.

Arihant Capital

Analysts at Arihant Capital believe the company is well-positioned to capitalise on rising demand for organised, design-led diamond jewellery in India. Its diversified product portfolio aligned with evolving consumer preferences, coupled with premiumization through customised and bridal offerings, supports sustained margin strength and higher average order value.

 

"The planned expansion of 15 brand-exclusive stores is expected to enhance brand visibility, improve store economics, and drive operating leverage over the medium term. With a scalable sourcing model and established backend infrastructure, the company appears structurally positioned for steady revenue growth and strengthening market presence in its

core regions," the brokerage said in its note.

 

At the upper band of ₹386, the issue is valued at a P/E ratio of 20.6x, based on PAT of FY25 EPS of ₹18.8. Arihant Capital recommended a 'Subscribe for Long Term' rating for this issue.

Here are the key details of the PNGS Reva Diamond Jewellery IPO:

The three-day subscription window to bid for the PNGS Reva IPO will close on Thursday, February 26, 2026. The allotment of shares is expected to be finalised on Friday, February 27, 2026. The successful allottees will receive the company's shares in their respective demat accounts on Monday, March 2, 2026. 

 

Shares of PNGS Reva will make their debut on the exchanges, NSE and BSE, tentatively on Wednesday, March 4, 2026. 

 

The company has set the price band in the range of ₹367 to ₹386, with a lot size of 32 shares. A retail investor would require a minimum investment of ₹12,352 to bid for at least one lot and in multiples thereafter.

 

Bigshare Services is the registrar. Smart Horizon Capital Advisors is the sole book-running lead manager for the issue.

 

According to the red herring prospectus (RHP), the company plans to use ₹286.5 crore from the net fresh issue proceeds for setting up 15 new stores, and ₹35.5 crore for marketing and promotional expenses. The remaining funds will be used for general corporate purposes.

 

Disclaimer: The views or investment tips expressed by the brokerages in this article are their own and not those of the website or its management. Business Standard advises users to check with certified experts before taking any investment decisions.