💼 Objectives of the Issue Funds from the IPO will primarily be used to acquire IGI Belgium and IGI Netherlands and for general corporate purposes. Acquisition of IGI Belgium and IGI Netherlands, and general corporate purposes 2/13 🧵

📊 Key Business Highlights 1. Market Leadership: IGI holds a 50% market share in India for diamond and jewelry certifications, making it a dominant player. 2. Global Presence: IGI is one of the largest independent certification providers globally with a 33% market share.

3. Niche Service Provider: IGI is one of three global companies offering diamond grading, colored stone evaluation, & jewelry assessments. 4. Serving 5 Indian lab-grown diamond growers with 100 Cr. revenue in FY23 and 9 top jewelry chains in India in FY24 3/13🧵

📈 Company Overview IGI India, part of the International Gemmological Institute group, is a leading provider of certification and accreditation services for natural and laboratory-grown diamonds, studded jewelry, and colored stones.

Since its inception in 1999, IGI has built a reputation for quality and accuracy, establishing strong customer relationships across the diamond and jewelry certification market. It operates 19 laboratories in India and one in Türkiye. 4/13 🧵

🔍 Shareholding Pre- and Post-Issue - Pre-Issue Promoter Holding: 100% - Post-Issue Promoter Holding: 76.55% 5/13 🧵

🤝 Institutional Demand - Anchor Book: The IPO has secured significant institutional interest, including allocations from top investors: - Govt. of Singapore: 12% - Abu Dhabi Investment Authority: 5% - Government Pension Fund of Norway: 5% - Nomura: 5% 6/13 🧵

💸 Valuation Metrics - Price-to-Earnings (P/E) Ratio: - FY25: 82.9 - FY24: 110.9 - Price-to-Book (P/B) Ratio: - Pre-IPO: 25.71 - Post-IPO: 8.51 - EPS: ₹6.84 (average over the last three years) - RoNW: 78.40% (average over the last three years) 7/13 🧵

📉 Financial Overview - CY21: Revenue: ₹374.29 Cr, Net Profit: ₹171.53 Cr - CY22: Revenue: ₹499.33 Cr, Net Profit: ₹241.76 Cr - CY23: Revenue: ₹648.66 Cr, Net Profit: ₹324.74 Cr - 9M CY24: Revenue: ₹619.49 Cr, Net Profit: ₹326.06 Cr 8/13 🧵

🔍 Key Ratios and Metrics - PAT Margin: - CY21: 47.03% - CY22: 49.24% - CY23: 50.86% - 9M CY24: 54.68% - RoCE: - CY21: 86.79% - CY22: 87.09% - CY23: 80.96% - 9M CY24: 62.19% 9/13 🧵

🧐 Strengths of IGI 1. Dominant Market Position: IGI holds the largest market share in India for diamond certification and a 33% global market share. 2. Global Expansion: The company is expanding into international markets, boosting its long-term growth potential.

3. Education: IGI has an established gemology education program that supports the certification business. 10/13 🧵

📊 Industry Outlook The certification services market, especially for diamonds and gemstones, is dominated by a few key players. IGI's established position in India, where 95% of the world's diamonds are cut & polished, positions it well to cap on global market trends. 11/13🧵

🚨 Investment Considerations : IGI holds a dominant 50% market share in India & 33% globally, making it a leader in diamond certification. With just 3 companies globally offering such services, IGI’s position resembles a monopoly, ensuring strong long-term growth.

While IGI’s IPO valuation is high, its market dominance and growth potential in the diamond sector may justify the price. Risks include revenue concentration & potential inefficiencies from international expansion, but strong client relationships offer stability. 12/13🧵

📌 Bottom Line I’m applying for the IGI IPO as it is a monopoly in the gem & jewelry certification market, with strong growth potential, especially in India’s diamond sector. Despite high valuation and client concentration risks, it offers long-term growth. #IGIIPO #IGI 13/13🧵