PC Jeweller shares hit new high after clearing all debt

How much of the debt did it pay bacl?

It cleared over 98% of its total bank debt, which is more than it owed under its 2024 settlement with a 14-bank consortium. Official filings as of September 22, 2026, confirm it settled with 12 of those 14 banks before the deadline. The rest, under 2%, remains outstanding, and complete debt-free status is targeted by the end of September 2026.

Why did paying back loans make PC Jeweller shares jump 5%?

PC Jeweller was in deep financial distress, with defaulted loans and insolvency proceedings. Better credit terms also let it borrow to expand stores. Clearing over 98% of its debt removed that existential risk, showing investors a stronger balance sheet and lower borrowing costs, and the market rewarded the turnaround.

Why did the banks push so hard to recover the money?

PC Jeweller's accounts were classified as non-performing assets (loans that are not being repaid) as early as April 2019, and by June 2021 all its bank borrowings were NPA. Banks filed recovery suits, issued loan recall notices, and SBI even sought insolvency proceedings. They were protecting depositor money, and a stressed ₹4,100-crore loan book threatened their own balance sheets. Our read: the settlement was the banks cutting their losses, not a vote of confidence.

What happens to the company now that it is debt-free?

With no finance costs, operating margins expand and the credit profile upgrades, lowering future borrowing costs. But the company still has ₹512 crore in export receivables (money owed by foreign buyers) outstanding for over nine months, with approvals pending for ₹183 crore of discounts. The watch point: whether those receivables get repatriated, since unresolved export dues could recreate the liquidity strain that started this crisis.

How is the stock viewed by investors now?

Investors now treat PC Jeweller as a company that has shed its existential risk. Just two years ago, State Bank of India was seeking insolvency proceedings against it. After clearing over 98% of its bank debt from a stressed loan book of roughly ₹4,100 crore, the lender-led threats have receded, and investors are rewarding the turnaround by pushing shares up 64% in 2026.