Motisons Jewellers Limited is a Jewellery retail player with a history of more than 2 decades in the jewellery industry. It has experienced entrepreneurs as its Promoters with over 20 years of experience. Its jewelry business includes selling jewellery made of gold, diamond, kundan, and other jewellery products that include pearl, silver, platinum, precious, semi-precious stones, and other metals. Its other offerings include gold and silver coins, utensils, and other artifacts.
OBJECTS OF THE ISSUE
- Funding the working capital requirements of the Company.
- General corporate purposes.
Sandeep Chhabra
Promoter, Chairman and Whole Time Director of the Company. He has been associated with the company since 1997. He has more than two decades of experience in the business of manufacturing and retailing of jewellery. He mentors, guides and provides perspective to the Board and management of the Company for strategic planning and enriching the brand for long run.
Sanjay Chhabra
Promoter and Managing Director of the Company. He has been associated with the company since 1997. He has an experience of more than two decades in jewellery industry. Being a part of the top management, Mr. Sanjay Chhabra is responsible for devising long-term business plans, new business initiatives and achieving customer service excellence.
Laksh Chhabra
Joint Managing Director of the Company. He has joined the Company in 2022. He has entered into the business with innovation driven vision and is currently responsible for finance and accounting operations.
Kaustubh Chhabra
Chief Financial Officer of the Company. He holds bachelor’s degree in administration from Kalinga University, Raipur. He has the experience of 5 years. Prior to joining this Company, he has worked as Director of Finance in Khyati Gems DMCC, Dubai. He joined the Company in July 2022.
Naresh Kumar Sharma
Company Secretary and Compliance Officer of the Company. He joined the Company as the Company Secretary and Compliance Officer in September 2023. He has 18 years of experience in secretarial sector. He is responsible for undertaking various functions in the Company including ensuring conformity with the regulatory provisions applicable to the Company.
COMPANY PROFILE
- The Company started its jewellery business in 1997 with a single showroom in Jaipur, Rajasthan and since then, it expanded its network of showrooms and the product portfolio and currently operates 4 showrooms under the “Motisons” brand, located across the city of Jaipur, Rajasthan.
- In addition to selling products at showrooms, it also sells its products through online platform. The Company primarily source finished jewellery from third-party suppliers located across India. Additionally, to cater to the increasing demand in the market, it also engage artisans on job work basis and has its own manufacturing facilities located in Jaipur, Rajasthan.
- Its product profile includes traditional, contemporary, and combination designs across jewellery lines.
- It has a dedicated design team, focused on developing new products and designs that meet customers’
- requirements.
COMPETITIVE STRENGTHS
- Established brand name with heritage and a legacy of over two decades. Strategic location of showrooms.
- Diversified product portfolio.
- Established systems and procedures to mitigate risks and efficiencies in inventory management. Promoters with strong leadership and a demonstrated track record.
KEY CONCERNS
- The Company is heavily dependent on third parties for supplying its products. All its four showrooms are in one geography namely Jaipur, and Rajasthan.
- It operates in a highly competitive market. Its competitors include both organized pan-India
- Jewellers as well as unorganized local players.
- Any customer complaints or negative publicity or concerns about the purity and quality of its products may have an adverse effect on its business.
- Under-utilization of manufacturing capacity may have a negative impact on the future financial condition of the Company.
- Its income and sales are subject to seasonal fluctuations.
COMPARISON WITH LISTED INDUSTRY PEERS (AS ON 31ST MARCH 2023
FINANCIALS (RESTATED CONSOLIDATED)
OUTLOOK & VALUATION
Motisons Limited, a well-established brand exceeding 20 years in the jewelry industry with strategically located showrooms in Jaipur, Rajasthan, The company has a diversified product portfolio and has demonstrated a strong track record of growth.
Motison's commitment to retail network expansion and technology integration further strengthens its growth prospects. However, the highly competitive landscape and dependence on third-party suppliers present key challenges. Additionally, the company is susceptible to negative publicity and seasonal demand fluctuations.
Despite these considerations, the IPO's attractive valuation of 16x P/E offers a degree of risk mitigation. Considering Motisons' strong brand, proven track record, and growth plans, alongside
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