PC Jeweller Nears Debt-Free Milestone As Promoter Infuses Fresh Capital; Shares Stay In Focus
PC Jeweller Share Price Today: PC Jeweller has moved a step ahead in its financial turnaround by announcing two key developments, which show that the company is moving closer to cleaning up its balance sheet. The jewellery retailer said it has paid back more than 96 per cent of its outstanding bank debt and also completed a fresh equity allotment to its promoter through conversion of warrants, strengthening its capital base. The stock stayed in the spotlight Friday on the announcements. At 11.52 am, shares of PC Jeweller were trading higher by 0.44% at Rs 9.16 on NSE.
The stock of PC Jeweller reached an intraday high at Rs 9.25 and a low at Rs 9.02. The market cap of PC Jeweller stands at Rs 8,890 crore. The company said it has completed repayment of another large chunk of its remaining bank borrowings in a filing with the exchange. With this latest payment, over 96% of the total debt owed to the consortium banks has now been repaid.
The company had earlier told investors that it had already paid the dues of five of its 14 consortium lenders. The latest update indicates the debt reduction exercise has reached the final stage. PC Jeweller said it expects to repay the balance of less than 4% of bank debt in the current quarter, after which it plans to be completely debt-free. A debt-free status could be a major boost to the balance sheet, reduce interest costs and provide more operational flexibility for a company that's been preoccupied with financial restructuring for the past few years.
In another filing, PC Jeweller said that its board has approved the allotment of 3.055 crore equity shares to the promoter and managing director, Balram Garg, on conversion of an equal number of fully convertible warrants. The conversion was made after the promoter paid the balance of Rs 41.24 crore, representing the balance of 75% of the warrant issue price of Rs 18 per warrant. The warrants were originally issued in September 2025 by way of a preferential issue. The company's paid up equity share capital increased from 971.05 crore shares to 974.10 crore shares following the allotment.
Post this allotment, the promoter's and the promoter group's shareholding rose marginally from 38.49% to 38.69%, with public shareholding also adjusted to 61.31%. Both the announcements together suggest that PC Jeweller is following a twin strategy of bringing down debt and, at the same time, strengthening the commitment of the promoters through fresh capital infusion. The warrant conversion results in a small increase in outstanding shares but the additional funds and quick repayment of debt could improve the company's financial position if it successfully achieves its stated goal of becoming debt-free this quarter. Investors will likely watch closely whether the company can complete the remaining debt repayment in the timeline it has laid out and how the stronger balance sheet translates into business performance in the coming quarters.
(Disclaimer: This article is for informational purposes only and should not be considered investment advice. The views, opinions, and recommendations expressed herein are those of the respective experts. Readers are advised to consult a qualified financial advisor before making any investment decisions.) Also Read: Bajaj Finance Hits Record High: Why Dalal Street Is Betting On More Than Just Strong Q1 Earnings Stay informed on all the latest news, breaking news updates, and check all the important headlines in India news, World News, Sports News and Entertainment News on NewsX. Follow Us on Facebook, Twitter.