August 11, 2025
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BlueStone Jewellery IPO Review by Paresh Gordhandas, CA & Research Analyst at
ChanakyaNiPothi.com, A legacy of 31 Years. India`s The Oldest Investment & IPO website.
🔍 BlueStone IPO: Strategic Overview
Auspicious Offer, Yet Toned Down
BlueStone Jewellery & Lifestyle Limited has prudently trimmed its IPO, now seeking â‚ą820 crore in fresh capital, down from an initial â‚ą1,000 crore target. This adjustment may reflect an alignment with prevailing market sentiment or valuation disciplineÂ
With a combined issue size of Rs1,540.65 crore (fresh issue Rs820 crore + OFS Rs720.65 crore), the company aims for a valuation near Rs7,800 crore—a notch below its last private funding round valuation of ₹8,100 crore
The subscription window runs August 11–13, 2025, with listing anticipated on August 19 after allotment on August 14Â
⚖️ Strengths and Risks
Strengths in the Offer:
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Omni‑channel prowess, digital‑first positioning, and nearly 7,400 design SKUs spanning 91 collections position BlueStone as a modern lifestyle jewellery brandÂ
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Strong investor backing, including Accel, Kalaari Capital, Iron Pillar, and Sunil Kant Munjal, enhances credibility and financial heft
Cautions to Consider:
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The company remains technically loss-making, with losses of â‚ą222 crore in FY 2025 despite revenue rising to â‚ą1,830 crore. Margins remain subdued (EBITDA ~4.13%, PAT margin negative) High inventory-days and slower turnover suggest slower demand fulfilment or liquidity drag—a structural concern in retail-like operationsÂ
âś… Chanakya Verdict
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Subscribe for long term: If one trusts BlueStone’s digital-led distribution model and design leadership, modest losses today may reflect investment for scale tomorrow.
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Exercise caution: Stakeholders should watch closely for improved profitability and inventory management post-IPO before viewing this as a short-term play.
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Valuation matters: At Rs492–Rs517 per share, investors must weigh the relatively high valuation given current earnings and peer multiples (e.g. Titan, Kalyan, Senco) May Avoid
đź“Ś Snapshot Table
| Feature | Insight |
|---|---|
| Offer Size | Rs1,540.65 cr (fresh Rs820 cr + OFS Rs720.65 cr) |
| Price Band | Rs492 – Rs517 per share |
| Timeline | Aug 11–13 subscription; listing on Aug 19 |
| Revenue (FY 25) | Rs1,830 cr; Net loss ₹222 cr |
| Strength | Omni‑channel reach, 7,400+ SKUs, marquee investors |
| Risk | Loss-making, high inventory, valuation premium |
In true Chanakya tradition: “One should judge not by promise, but by proof.” BlueStone rises with promise—but only time, and improved financials, will offer proof.
Review by Paresh Gordhandas CA and Research Analyst, INH00000750
+ from fundamental angle: Must Apply
+ from grey market angle: Apply
