Luxury Time IPO

About Luxury Time IPO

The IPO of Luxury Time Ltd is a combination of a fresh issue of shares and an offer for sale (OFS) component. Luxury Time Ltd is an SME IPO in the “BSE SME” segment. The fresh portion of the IPO entails the issue of 16,14,400 shares (16.144 lakh shares). The price band for the IPO will be in the range of ₹78-₹82 per share. The IPO will be open for subscription from Dec 04, 2025 to Dec 08, 2025. The minimum investment will be 2 lots of 3,200 shares, entailing an investment of ₹2,62,400.

The IPO opens on Dec 04, 2025 and closes on Dec 08, 2025. The allotment date is Dec 09, 2025 and the initiation of refunds will take place on Dec 10, 2025. The listing of shares on the stock exchanges will take place on Dec 11, 2025.

Luxury Time Ltd specializes in distribution, marketing and retailing of luxury watches in India, predominantly Swiss luxury watches. It also takes up after-sales service, which is a complex and high-tech area. The company also distributes tools pertaining to watch servicing in India. The company handles both; B2B watch distribution as well as direct to consumer (D2C) and ecommerce sales of high-end watches. Luxury Time Ltd has over 80 points of sale (POS) spread across India. While the POS does exist in major metros; it also has a substantial presence in smaller cities like Pune, Surat, Coimbatore, Chandigarh, Ludhiana, Lucknow etc. It is looking to tap into the fast-growing luxury market in the smaller towns, in line with the growing purchasing power in these areas.

Objectives of Luxury Time IPO

The IPO is a fresh offering of shares plus an OFS and will result in infusion of funds into the company to the extent of the Fresh IPO portion. The key objectives of the IPO are:

• Funding the capex of setting up 4 new retail stores in India
  
• Funding of working capital requirements of the business
  
• General Corporate Purposes
  

# - Anchor portion (if any) will be carved out of QIB allocation

Industry Outlook

There are 3 macro factors that are playing out in favour of the luxury watch market. Firstly, there is the rising purchasing power among Indians in metros and non-metros which is creating a demand for such luxury products. Secondly, there is greater inclination and willingness among the Indian population to spend on such luxury products and that market is growing rapidly as wealth grows. Thirdly, there is also a growing sentiment in favour of green products that are able to meet the luxury needs and also conserve the environment in the process.

The overall Indian watch market is valued at close to $3.9 billion, which translates into total rupee value of around ₹35,000 crore. This is just the current market size and it is growing rapidly. People in India are now more than willing to spend on making a style statement. With low inflation and higher disposable income, a lot of that is now translating into demand for luxury products like watches. Higher disposable income also means higher discretionary spending, higher aspiration to elevate lifestyles, and in the process enhancing demand for luxury products like high-end watches.

For the well-heeled in India; stocks, real estate and jewellery are the major items of investment. In the last few years, high-end watches are being seen as an extension of the jewellery demand in a more subtle form. According to a PIB report, nearly 18% of the households have reported more than 15% rise in income levels. For now, the high luxury duties continue to be a roadblock, but that could gradually change as India integrates into global trade.

Luxury Time Company Information

Luxury Time Ltd offers a de-risked business model comprising of B2B distribution, D2C distribution, Ecommerce sales, after sales service, branding concepts, and distribution of repair tools for such high-end watches. The company is already a major distributor of Swiss brands like TAG Heuer, Zenith, Bomberg etc. The company has built a long-standing relationship with the luxury product originators and image marketing is a key aspect of such relationships. Hence, they tend to be sticky and also tend to be more long-term in nature. The company was promoted by Ashok Goel and Pawan Chohan, who have a combined experience of nearly 3 decades in this business of luxury products marketing.

The company has a very low debt/equity ratio of just about 0.08X as of March 2025. This low debt has enabled the company to show RONW of 22.77% and ROCE of 29.78% for the full fiscal year FY25. The EBITDA margins and the PAT margins at above 10% and above 7% respectively are robust.

Strengths of Luxury Time Ltd

• The company has been an active participant in the luxury watch market in India since 2008 and has seen the evolution of luxury watches market in India in a big way.
• Its long-standing collaborations with global luxury brands has built a profitable relationship over time, and that has also stood the test of time.
• The business model of Luxury Time Ltd is de-risked, which ensures that its revenue flows remain stable even when there are demand cycles.
• It has used a mix of click and mortar distribution networks and has ensured that the focus is more on the brands and the capex is hived off to a third party.

Risk Factors of Luxury Time Ltd

• The company is dependent on a single Swiss Company. Any deterioration in this relationship may affect their operations.
• If they cannot expand their client base, their business, financial condition, cash flows and results of operations may be affected.
• The business is dependent on B2B watch distribution segment. Any adverse development in this segment could hurt the business.
• Negative cash flows in the future could hurt the business.
• Non-continuity of distribution rights for certain brands will hurt the business.

Anchor Investor Bidding Date

Dec 03, 2025

IPO Registrar, Book Running Lead Managers, and Market Maker

• IPO Registrar: MAS Services Ltd
• Book Running Lead Managers: GYR Capital Advisors Private Ltd
• Market Maker: Giriraj Stock Broking Private Ltd

Luxury Time Business Model

The business model of Luxury Time Ltd has two modules to it. At the first level, the model is a play on the fast-growing luxury watch demand market in India. At a second level, its business model is also de-risked as it is looking at multiple customer points and multiple revenue streams.

Luxury Time Growth Trajectory

Between FY23 and FY25, the EBTIDA is up more than 50%, even as revenues in the period have grown by just about 15%. EBITDA margins in this period have improved by 270 basis points to 10.22%, while the net profit margins have improved by 224 bps to 7.12% in this period. Its return on Networth and the return on capital employed have been stable above 22% and 29% respectively, except for a brief dip in FY24. Debt levels continue to be very low.

Luxury Time Market Position

As of March 31, 2025, Luxury Time Ltd has the advantage of a very diversified product mix and a growth model that is scalable without being to capital intensive.

How to Apply for the Luxury Time Ltd IPO?

To apply for this IPO:

• Log in to your Kotak Neo Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section.
• Specify IPO details: Enter the number of lots and the price you wish to apply for.
• Enter UPI ID: After entering your UPI ID, click submit. This will place your bid with the exchange.
• Mandate Notification: Your UPI app will receive a mandate notification to block funds.
• Approve Request: Your funds will be blocked once you approve the mandate request on your UPI.