IGI Prepares for $499 Million IPO on Indian Stock Exchanges

The International Gemological Institute (IGI) has announced an initial public offering (IPO) valued at $499 million (Rs 4,225 crore). The IPO will open for subscription from 13 to 17 December, with shares scheduled to list on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) on 20 December.

Background on IGI and the IPO

The IPO comes following Blackstone Group’s acquisition of IGI for $570 million in May 2023 from Fosun International and former IGI CEO Roland Lorie. The offering values IGI at approximately $3.5 billion.

Overview of IGI’s Operations

Founded in Antwerp in 1975 by Marcel Lorie, IGI is the world’s second-largest diamond grading institution. It operates 29 laboratories and 18 gemmology schools globally, with a significant share of its business based in India. 

IGI holds approximately a third of the global diamond grading market and reported profits of $38.32 million in 2023, compared to $28.52 million in 2022.

Revenue Sources and Industry Trends

Lab-grown diamonds contribute over 50% of IGI’s revenue, highlighting the growing demand for these stones within the industry.

Blackstone, the world’s largest alternative asset manager, aims to capitalise on India’s active IPO market with this offering. The firm’s ownership is expected to support IGI’s growth and operational expansion.