Gitanjali Gems soars 6% as subsidiary files IPO papers

Shares of Gitanjali Gems soared around 6 per cent today after the company's arm Nakshatra World filed draft papers with Sebi for an initial public offering (IPO).
The scrip closed at Rs 67 on the BSE, up 5.76 per cent from previous close. During the intra-day trading session, the stock climbed 8.36 per cent to touch a high of Rs 68.65.
On the National Stock Exchange (NSE), Gitanjali Gems rose by 5.92 per cent to settle at Rs 67.10. It had touched a high of Rs 69.40 and a low of Rs 66.25.
In a filing to BSE on March 10, Gitanjali Gems said its arm Nakshatra World Ltd has filed draft papers with Sebi to float an initial public offer (IPO).

The announcement was made after the close of markets.
According to draft red herring prospectus (DRHP), the IPO comprises 1.8 crore equity shares of Nakshatra World, which offers jewellery under the brands Nakshatra, Gili, Asmi, Sangini, Diya, Parineeta and Rivaaz.
While the exact size of the IPO could not be ascertained, Gitanjali Gems had in December last year announced that Nakshatra would raise up to Rs 650 crore through an IPO.
Nakshatra will join other listed jewellery retailers such as PC Jeweller, Tribhovandas Bhimji Zaveri, Tara Jewels, Titan Company, Rajesh Exports and Shree Ganesh Jewellery House.