BlueStone Jewellery IPO Review

August 6, 2025 admin Leave a reply Post Comment

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 ₹820 crore in fresh capital, down from an initial ₹1,000 crore target. This adjustment may reflect an alignment with prevailing market sentiment or valuation discipline 

With a combined issue size of ₹1,540.65 crore (fresh issue ₹820 crore + OFS ₹720.65 crore), the company aims for a valuation near ₹7,800 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 14 

⚖️ Strengths and Risks

Strengths in the Offer:

• Omni‑channel prowess, digital‑first positioning, and nearly 7,400 design SKUs spanning 91 collections position BlueStone as a modern lifestyle jewellery brand 

• Strong investor backing, including Accel, Kalaari Capital, Iron Pillar, and Sunil Kant Munjal, enhances credibility and financial heft

Cautions to Consider:

• The company remains technically loss-making, with losses of ₹222 crore in FY 2025 despite revenue rising to ₹1,830 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 operations 

✅ Chanakya Verdict

• 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.

• Exercise caution: Stakeholders should watch closely for improved profitability and inventory management post-IPO before viewing this as a short-term play.

• Valuation matters: At ₹492–₹517 per share, investors must weigh the relatively high valuation given current earnings and peer multiples (e.g. Titan, Kalyan, Senco) 

📌 Snapshot Table

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

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BlueStone Jewellery IPO Review