BlueStone Jewellery's IPO Off to a Strong Start

The initial public offering (IPO) of BlueStone Jewellery and Lifestyle Ltd has captured the market's attention, achieving a 39% subscription rate on its debut day. This contemporary jewellery brand, known for its flagship 'BlueStone' line, is making waves in the financial world.

Subscription Details and Investor Interest

According to NSE data, the IPO received bids for 63,89,570 shares against the 1,65,14,421 shares on offer. The demand was notably led by qualified institutional buyers (QIBs), who subscribed to 57% of their quota, while retail individual investors (RIIs) showed steady interest with a 38% subscription rate. Non-institutional investors, however, were more reserved, subscribing to only 4% of their portion.

IPO Highlights and Future Plans

Prior to the IPO's opening, BlueStone raised over Rs 693 crore from anchor investors. The public offer, priced between Rs 492 and Rs 517 per share, is set to close on August 13. The Rs 1,540.65 crore IPO includes a fresh issue of Rs 820 crore and an offer for sale (OFS) of 1,39,39,063 equity shares, amounting to Rs 720.65 crore at the upper price band.

Proceeds from the fresh issue are earmarked for working capital requirements and general corporate purposes. With 275 stores across 117 cities in 26 states and Union Territories, BlueStone is a significant player in India's jewellery retail sector. The company also operates three manufacturing units in Mumbai, Jaipur, and Surat.

Looking Ahead

The equity shares are expected to be listed on both the BSE and NSE, with Axis Capital, IIFL Capital Services, and Kotak Mahindra Capital Company serving as the book-running lead managers for the IPO.