New Delhi, August 19, 2025 – BlueStone Jewellery & Lifestyle Limited made a muted debut in the stock market today, with its shares listing at a discount to the issue price despite a strong response from Qualified Institutional Buyers (QIBs).
On the National Stock Exchange (NSE), BlueStone shares opened at ₹510, down 1.35% from the IPO issue price of ₹517. Similarly, on the Bombay Stock Exchange (BSE), the shares listed at ₹508.80, marking a 1.59% decline.
This listing comes as a surprise for many market watchers, as the grey market premium (GMP) and analyst expectations had hinted at a modest premium listing.
Key Takeaways for Investors
- BlueStone IPO listed at a discount of 1.35% (NSE) and 1.59% (BSE).
- Despite strong QIB demand, retail and NII participation was lukewarm.
- The company showed robust revenue growth (40% YoY) but reported higher losses.
- Long-term growth potential exists, but profitability remains a challenge.
IPO Subscription Details
The ₹1,540.65 crore BlueStone IPO witnessed a fair response during its subscription period from August 11 to August 13, 2025.
- Overall Subscription: 2.72 times
- QIBs (Qualified Institutional Buyers): 4.25 times
- Retail Investors: 1.38 times
- Non-Institutional Investors (NIIs): 0.57 times
The strong demand from institutional investors indicated confidence in the company’s long-term growth, but the lukewarm listing shows caution among retail and non-institutional players.
IPO Structure and Fund Utilization
The BlueStone IPO comprised:
- Fresh Issue: 1.59 crore shares worth ₹820 crore
- Offer for Sale (OFS): 1.39 crore shares worth ₹720.65 crore
For retail investors, the minimum lot size was 29 shares, requiring an investment of ₹14,993. The company raised ₹693.29 crore from anchor investors on August 8, ahead of the IPO opening.
The funds will primarily be used for:
- Meeting working capital requirements
- General corporate purposes
Axis Capital acted as the book-running lead manager, while Kfin Technologies was the registrar to the issue.
Company Overview: BlueStone Jewellery & Lifestyle
Founded as a premium jewellery brand, BlueStone Jewellery & Lifestyle operates across India with a strong retail presence of 275 stores.
The company’s product range includes:
- Diamond, gold, platinum, and studded jewellery
- Rings, earrings, necklaces, pendants, solitaires, bangles, bracelets, and chains
BlueStone faces competition from CaratLane, Kalyan Jewellers, Senco Gold, Titan (Tanishq), PC Jeweller, and Thangamayil Jewellery, making the market highly competitive.
Financial Performance
As per the company’s RHP (Red Herring Prospectus):
- Revenue (FY25): ₹1,830.04 crore (up 40% from ₹1,303.49 crore in FY24)
- Net Loss (FY25): ₹221.84 crore (widened from ₹142.24 crore in FY24)
- EBITDA (FY25): ₹73.16 crore (up 38% from ₹53.05 crore in FY24)
While the revenue growth is impressive, the widening net loss raises concerns about profitability. The company will need to balance expansion with cost efficiency to turn profitable in the coming years.
Market Outlook
The negative listing of BlueStone Jewellery shares indicates that investors are cautious about the company’s profitability outlook, even though its revenue trajectory remains strong.
Market analysts suggest that long-term investors may consider holding the stock, as the jewellery sector continues to see growing demand in India. However, the widening losses and competitive landscape could weigh on near-term performance.
BlueStone Jewellery’s IPO debut may have disappointed investors hoping for listing gains, but its expansion strategy, strong brand recall, and rising jewellery demand in India could support the company in the long run. Investors are advised to track its financial performance closely before making fresh entries.