BlueStone Jewellery IPO subscribed 40% on Day 2; GMP at 2%. Check key details

BlueStone Jewellery and Lifestyle’s Rs 1,541 crore IPO has been subscribed 40% on Day 2 so far. In the grey market, the response has been tepid, with the IPO trading at a slight premium of just 1.9% over the issue price of Rs 517 per share. Among investor categories, Qualified Institutional Buyers (QIBs) have shown comparatively stronger interest, subscribing to 57% of their allotted quota. The IPO will remain open for three days and is scheduled to close on August 13.

BlueStone Jewellery IPO GMP Today:

The latest Grey Market Premium (GMP) for BlueStone Jewellery’s IPO is in the range of Rs 9–10 over the issue price of Rs 517 per share. This suggests a potential listing price of around Rs 527, indicating an estimated gain of approximately 1.9% per share.


However, it's important to note that the GMP reflects market sentiment and demand in the unofficial, off-market space where shares are traded prior to listing. While it can provide an indication of investor interest, it is neither official nor regulated and should not be relied upon as a definitive predictor of the actual listing price.

BlueStone Jewellery IPO Subscription Status:

BlueStone Jewellery's IPO, the overall subscription stands at 40%, indicating a moderate response from investors so far, on BSE, as of 10:15 AM on Day 2

Retail Individual Investors (RIIs) have subscribed to 46% of the 30.60 lakh shares allocated to them. This shows a cautious but noticeable interest from small investors, reflecting a measured level of confidence in the offering.

In contrast, the Non-Institutional Investor (NII) segment — comprising high-net-worth individuals and corporate investors — has seen only 4% subscription of the 45.90 lakh shares reserved for them. This points to a slow pickup in demand from larger investors at this stage.

Meanwhile, the Qualified Institutional Buyers (QIB) category, which includes mutual funds, insurance companies, and other institutional players, has subscribed to 57% of the 88.62 lakh shares allotted to them, indicating relatively stronger interest from institutional investors.

BlueStone Jewellery IPO – Key Highlights

BlueStone Jewellery has announced its initial public offering (IPO) with a price band set between Rs 492 and Rs 517 per share. At the upper end of this range, the company is expected to achieve a valuation of approximately Rs 7,823 crore.

Ahead of the IPO launch, BlueStone successfully raised Rs 693 crore from anchor investors. These institutional investors are allotted shares before the IPO opens to the general public, and their early participation is typically seen as a sign of market confidence, often helping to boost interest among other investor categories.

The company is looking to raise up to Rs 1,541 crore through the IPO. This includes a fresh issue of equity shares worth Rs 820 crore and an offer for sale (OFS) of up to 1.39 crore shares by existing shareholders. Prominent investors participating in the OFS include Accel India III (Mauritius), Saama Capital II, Kalaari Capital Partners, Iron Pillar funds, and Sunil Kant Munjal of Hero Enterprise.

Investors can bid for a minimum of 29 shares and in multiples thereafter. The issue will be allocated with 75% reserved for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 10% for Retail Investors. BlueStone’s shares are set to be listed on both the BSE and NSE, with the listing date scheduled for August 19.

Founded in Bengaluru, BlueStone is a digital-first, omni-channel jewellery retailer offering a broad range of diamond, gold, platinum, and studded jewellery. As of March 2025, the company operated 275 stores across 117 cities, alongside a robust online presence featuring more than 7,400 unique designs. Notably, over 75% of its jewellery is produced in-house at its manufacturing facilities located in Mumbai, Jaipur, and Surat.

BlueStone Jewellery Financials

The company has reported strong top-line growth, with operating revenue increasing at a compound annual growth rate (CAGR) of nearly 52%, rising from Rs 771 crore in FY23 to Rs 1,770 crore in FY25. However, it posted a net loss of Rs 222 crore in FY25, a significant increase from a Rs 14 crore loss in FY24, largely due to expanded spending on marketing and store expansion. On the positive side, gross margins improved to 37.94% in FY25, up from 31.87% in FY23.

The proceeds from the fresh issue will primarily be used to meet working capital requirements, amounting to Rs 750 crore, with the remainder allocated to general corporate purposes.

Axis Capital, IIFL Capital Services, and Kotak Mahindra Capital are serving as the book-running lead managers for the IPO, while Kfin Technologies has been appointed as the registrar.

SBI Securities Recommendation: SUBSCRIBE for the Long Term

BlueStone has established itself as a prominent omni-channel jewellery retailer in India, holding a significant 28–32% share in the omnichannel casual jewellery market. Its emphasis on design innovation and high product quality has supported robust gross margins. Importantly, the company's repeat revenue ratio increased to 44.6% in FY25 from 34.7% in FY23, reflecting rising customer loyalty and satisfaction.

At the upper price band of Rs 517 per share, BlueStone is valued at 4.5x EV/Sales, which represents a premium compared to its listed peers. However, the company’s aggressive store expansion over the past two years, combined with its strong track record of consistent revenue growth, positions it well to benefit from the rapidly expanding, high-margin lightweight jewellery segment.

As recently opened stores mature and align with the system-wide average in sales, profitability is likely to strengthen. In light of these factors, we recommend investors SUBSCRIBE to the IPO at the cut-off price, with a long-term investment perspective.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)