[Update] BlueStone IPO Subscribed 39% On Day 1

Update | August 11, 18:30 

Omnichannel jewellery brand BlueStone’s IPO was subscribed 39% at the end of first day of bidding, with qualified institutional buyers (QIBs) leading the pack. The QIBs placed bids for 50.8 Lakh shares against 88.6 Lakh shares reserved for them, translating to 57% subscription.

Retail investors bid for 11.48 Lakh shares against a total offering of 30.6 Lakh shares, leading to a 38% subscription. 

However, non-institutional investors showed weak interest in the public issue on Day 1. They placed bids for only 1.6 Lakh shares against 45.9 Lakh shares on offer. 

Original | August 11, 13:43 

The IPO of D2C jewellery major Bluestone got off to a slow start, with the issue subscribed 5% till 13:36 on the first day of the bidding.

According to the BSE data, the IPO received bids for 8.8 Lakh shares against 1.6 Cr shares on offer.

Retail investors bid for 7.8 Lakh shares against 30.6 Lakh shares on offer, translating to 26% subscription.

Non-institutional investors bid for 91K shares against 45.9 Lakh shares on offer. 

BlueStone is planning to raise INR 820 Cr via fresh issue. It has set a price range of INR 492 to INR 517 for its upcoming IPO.

BlueStone’s IPO At A Glance

The D2C jewellery brand has cut back on its overall public issue. The startup reduced its fresh issue size from INR 1,000 Cr and has also brought down its offer for sale component to 1.4 Cr shares from 2.4 Cr shares. 

Existing investors Accel, Hero Enterprise chairman Sunil Kant Munjal and Kalaari Capital will offload their shares in the public issue.

The proceeds from the IPO will be deployed to meet its working capital requirements to finance its inventory, which includes metals like bullion, diamond and gemstones, in its physical stores, warehouses, logistics hubs and raw material for its factories.

Prior to the opening of its IPO window, BlueStone raised INR 693 Cr in its anchor round from the likes of Societe Generale, Goldman Sachs and Nippon India, among others. 

BlueStone’s loss bumped 56% to INR 221.8 Cr in FY25 from INR 142.2 Cr in the previous fiscal year. Its operating revenue soared 40% to INR 1,770 Cr in FY25 from INR 1,265.8 Cr in the previous fiscal year. 

BlueStone, founded by Gaurav Singh Kushwaha and Vidya Nataraj in 2011, offers diamond, gold, platinum and studded jewellery through its online platform and from its stores. It initially started as an ecommerce platform and later expanded into offline stores. It currently has a network of 200 company-owned stores with 75 franchise outlets. 

India’s jewellery market, valued at $85.5 Bn, is experiencing a boom in online sales, leading to a lot of investor interest in startups operating in the segment.

Earlier this year, GIVA bagged INR 450 Cr in a funding round led by Creaegis, while lab-grown diamond startup Jewelbox raised $3.2 Mn in its Pre-Series A funding round led by V3 Ventures.