PC Jeweller shares tank nearly 6%; all you need to know

The fundraising was a part of the jewellery firm’s broader strategy to become debt-free by the end of the current fiscal year.

Last seen, the stock was trading at ₹17.78 apiece on the National Stock Exchange, falling 5.07%. It had touched an intraday low of ₹17.65 per share on Friday.

On Thursday, the company had said its board approved the issuing and allotting of up to 9.72 crore fully convertible warrants convertible into an equivalent number of fully paid-up equity shares of the company to the promoter Balram Garg at an issue price of ₹18 per warrant. Garg will invest up to ₹175 crore in the company.

The board also approved issuing and allotting up to 18.05 crore shares to the person belonging to the 'Non-Promoter, Public Category,' by way of preferential allotment on a private placement basis, at ₹18 per share, for an amount aggregating up to ₹325 crore. The company will seek approval from shareholders through a postal ballot.

PC Jeweller has expressed confidence in its plan to become debt-free in the current fiscal year. The company reduced its bank loans by over half to ₹1,775 crore in the previous fiscal year.

In September last year, PC Jeweller executed a settlement agreement with a consortium of 14 banks led by SBI to clear its outstanding loan, which was nearly ₹4,100 crore as of March 31, 2024.

On the back of this loan settlement, the company posted a consolidated net profit of ₹577.70 crore in the fiscal year that ended on March 31, 2025. In fiscal year 2023-24, the company posted a net loss of ₹629.36 crore.

Further, PC Jeweller’s total income in FY25 climbed to ₹2,371.87 crore from ₹669.87 crore in FY24. PC Jeweller has 52 showrooms, out of which 49 are company-owned.

Earlier this month, on July 4, the company reported revenue growth of nearly 80% during the first quarter of the current fiscal year (April-June), driven by strong demand despite volatile, soaring gold prices. The company said that it will become debt-free this fiscal year.

"For achieving its target, the company has further reduced its outstanding debts towards its bankers by another approximately 7.50% during the June quarter," the company said.