PNG Reva Diamonds, the modern diamond jewellery brand born out of the legacy rich P.N. Gadgil & Sons, has filed its Draft Red Herring Prospectus (DRHP) with SEBI for an IPO of up to INR 450 crore. The public issue will be entirely a fresh issue with no offer for sale component. Smart Horizon Capital Advisors (formerly Shreni Capital) is acting as the lead manager to the issue, while Bigshare Services has been appointed as the registrar.
This is a big step in the transformation of a heritage brand into a focused modern retail jewellery player with strategic plans to capitalise on India’s growing demand for branded and affordable luxury jewellery.
PNG Reva Diamonds IPO: Details
PNG Reva Diamonds IPO proceeds will be mainly used to fund the company’s retail expansion. As per the DRHP, the net proceeds will be utilised for:
- INR 286.56 crore for setting up 15 brand exclusive “Reva” stores by FY 2028
- INR 35.40 crore for marketing and promotional activities to increase brand visibility
- Balance for general corporate purposes
This expansion strategy is to move from shop-in-shop model to independent brand exclusive formats under company control.
Promoters & Shareholding
The company is promoted by P.N. Gadgil & Sons and Govind Vishwanath Gadgil and Renu Govind Gadgil who together hold 83.04% of the pre-issue equity. The broader promoter group holds an additional 4.41%. Govind Gadgil, a veteran of the Indian jewellery industry with over 45 years of experience, is the Chairperson and Non-Executive Director of the company.
The Reva Brand Story
PNG Reva was born out of a slump sale on 31 January 2025 through a business transfer agreement with P.N. Gadgil & Sons. This strategic move allowed the new entity to inherit the legacy, assets and brand DNA of the promoter while being an independent diamond focussed business.
The “Reva” brand is a contemporary, design led jewellery label offering customisable diamond and gemstone jewellery. It aims to blend heritage craftsmanship with modern design, a proposition that resonates well with urban and millennial consumers.
As of 31 March 2025 PNG Reva had 33 Stores across 25 cities in Maharashtra, Gujarat and Karnataka. The Stores operate on FOCO (Franchise Owned, Company Operated) and FOFO (Franchise Owned, Franchise Operated) model, leveraging the infrastructure and billing system of the promoter group while having a distinct identity.
Financial Performance: Solid Growth with High Margins
PNG Reva has posted impressive revenue growth, reflecting its strong market traction:
| Metric | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
| Revenue | 198.85 | 195.63 | 258.18 |
| EBITDA | 68.73 | 56.14 | 79.61 |
| EBITDA Margin (%) | 34.56% | 28.70% | 30.83% |
| PAT | 5.18 | 42.41 | 59.47 |
| Net Profit Margin (%) | 26.02% | 21.68% | 23.04% |
Key financial highlights include:
- EPS (FY2025, adjusted): INR 35.21 per share
- ROE (FY2025): 34.08%
- Debt-to-Equity Ratio (FY2025): 0.37
- Current Ratio: Improved from 0.84 in FY2024 to 1.79 in FY2025
The company has incurred minimal marketing spends, allocating just 0.55% of revenue in FY2025 towards advertising, signaling high brand recognition and organic demand.
Retail Strategy: Asset Light, High Touch Model
PNG Reva’s growth is based on an asset light shop in shop model leveraging the vast retail footprint of P.N. Gadgil & Sons. This model has enabled rapid scaling without significant capex and also has access to high footfall locations.
Going forward the company’s shift to exclusive company owned stores is a strategy shift towards brand control and customer experience. Each new store will strengthen brand presence in high growth Tier 1 and 2 cities.
Design and Sourcing: Customization Meets Craftsmanship
PNG Reva offers jewellery across various price points starting from INR 20,000 and going into premium bridal and occasion led categories. Their 13 collections include in-house designs and collaborative work with third party manufacturers and karigars.
The sourcing is lean, finished goods focussed rather than raw materials. All diamonds are BIS hallmarked and certified by IGI or GIA, so trust and quality is ensured.
Governance and Operations
The management is led by Amit Yeshwant Modak, CEO and Whole-Time Director who has 25 years of experience. With a lean team of 59 permanent employees and a centralised ERP backed inventory system, PNG Reva has real time visibility on supply chain and operations. All stores and inventory are covered under Jeweller’s Block Insurance and third party transit insurance, so risk management is robust.
Outlook
Indian jewellery market is a USD 100+ billion (~INR 8.64 lakh crore) market and branded, lightweight jewellery is the way to go. PNG Reva with high margins, legacy backed trust, customization capabilities and asset light retail model has a big runway to scale.
If execution matches vision, the INR 450 crore IPO could be a new chapter for Reva, from a family legacy to a public market growth brand. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.