PC Jeweller share price edges higher after silver, gold rates crash

PC Jeweller share price experienced a slight uptick in the early session on Sunday (February 1) before moving into red, influenced in part by significant drops in precious metal prices, especially silver. Following a period of considerable fluctuations in bullion markets—where gold and silver had reached high levels—recent corrections in these metals have alleviated cost pressures for jewellers. Experts indicate that jewellery stocks typically encounter challenges when gold and silver prices surge, as increased input costs can reduce consumer demand and squeeze profit margins. On the session held on Sunday (February 1), the MCX silver price for the March futures contract decreased by ₹7,099, or 2.43%, starting at ₹2,84,826 per kilogram compared to its previous closing price of ₹2,91,925. The MCX gold rate continued its downward trend, with the price of the yellow metal dropping by ₹13,711, or 9%, to reach ₹1,38,634 per 10 grams. Further, the company's Board of Directors, via a resolution circulated on January 31, 2026, sanctioned the issuance of 51,24,68,600 equity shares, each with a face value of Re 1, following the conversion of 5,12,46,860 fully convertible warrants. These shares have been issued to three beneficiaries from the Promoter Group, subsequent to the receipt of the full payment for the warrants. The conversion process has been executed after making adjustments to the number of shares, the paid-up value for each share, and the premium per share, in response to the subdivision of equity shares conducted by the company. This subdivision involved dividing one equity share with a face value of ₹10 into ten equity shares with a face value of Re 1 each, which became effective on December 16, 2024. The company received a total of ₹216,00,55,149 as the remaining payment, which represents 75% of the issue price per warrant, at a cost of ₹42.15 per warrant. This payment was processed in line with the conditions of the preferential issue and the execution of conversion rights by the warrant holders, in accordance with the provisions set forth in the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. The newly issued equity shares will hold the same rights as the existing equity shares of the company in all aspects, including dividend distributions and voting privileges. Following this issuance, the company's paid-up equity share capital will be increased correspondingly. (more to come)