Jewellery retailer Bluestone files DRHP for IPO

Bengaluru-based jewellery retailer Bluestone has filed a draft red herring prospectus (DRHP) with the capital markets regulator Securities and Exchange Board of India (Sebi) for its initial public offering (IPO), through which it is looking to raise Rs 1,000 crore in fresh capital.

The IPO also includes an offer-for-sale (OFS) component through which investors such as Accel, Saama Capital, Kalaari Capital, and Hero Group’s Sunil Kant Munjal are looking to divest a total of 24 million shares.

ET was the first to report on December 6 about Bluestone’s board approving the company’s plan to go public and raise Rs 1,000 crore through the process.


The company, which reported a 64% jump in its operating revenue for FY24, said it is planning to deploy the proceeds from its IPO towards working capital requirements.

Bluestone reported revenue of Rs 1, 266 crore in FY24, while its net loss narrowed by around 15% to Rs 142.2 crore. As per its DRHP, the company reported operating revenue of Rs 348 crore in the April-June period, and a net loss of Rs 59 crore.

ET had reported earlier that Bluestone may target a valuation of Rs 12,000-13,000 crore for its IPO but this is yet to be finalised.

Selling investors

Accel and Saama Capital are among Bluestone’s earliest backers. They had invested in the company’s first institutional funding round in 2012.

As of date, while Accel holds around 15% stake in Bluestone, Saama Capital holds close to 3% stake.

Through the IPO, Saama Capital and Kalaari Capital are fully exiting their holdings in Bluestone.

Growth stage investor Iron Pillar Fund is selling about a third of its holding, while Munjal is divesting almost half of his holding in the jewellery retailer.

Other significant investors in Bluestone, which backed the firm in its later stages include Prosus, Peak XV Partners, and family offices of Zerodha cofounder Nikhil Kamath and Manipal group founder Ranjan Pai.

Founder investment

Prior to the DRHP being filed, the company’s founder and chief executive Gaurav Singh Kushwaha bought shares worth Rs 75 crore in Bluestone “for the purposes of satisfying the minimum promoter contribution requirement” for the IPO.

Kushwaha has been allotted the shares at Rs 578 apiece. According to a regulatory filing, if the IPO price is higher than the allocation price, he will pay the difference. Kushwaha now owns 17-18% of the firm.

ET reported in August that the company closed a Rs 900 crore funding round at a $970 million (about Rs 8,200 crore at the current exchange rate) valuation.