The BlueStone Jewellery IPO opened on August 11, 2025, with high expectations from investors eyeing the jewellery retail sector. However, early subscription figures and grey market trends suggest that market sentiment is lukewarm.
Subscription Snapshot — Day 1
By the end of the first trading hours, the IPO had been subscribed just 4% overall.
- Retail investors: Approximately 18% of their allotted quota was booked.
- Non-institutional investors (NIIs): Just 1% subscription so far.
- Qualified Institutional Buyers (QIBs): Minimal participation early on, though institutional bids often surge towards the final day.
The offer comprises a ₹1,541 crore issue size, including both fresh shares and an offer for sale. The price band has been fixed at ₹492–₹517 per share.
Grey Market Premium (GMP) — Cautious Optimism
In the unofficial grey market, the IPO is commanding a ~₹9 premium over the upper price band, translating to an increase of about 1.74%.
- This modest GMP signals that listing gains, if any, could be limited.
- Earlier, the GMP hovered closer to the 2% mark, but fluctuations suggest a cautious speculative outlook.
Reasons Behind the Tepid Response
- Valuation Concerns
BlueStone’s valuation has sparked debate—especially given its widening FY25 net loss of around ₹222 crore despite strong revenue growth. - Competitive Industry
India’s jewellery sector is dominated by established giants like Titan’s Tanishq, PC Jeweller, and regional heavyweights, making market share expansion expensive. - Market Volatility
Broader market uncertainty and cautious retail investor behaviour have dampened immediate demand for new issues this week.
Analyst Take – Should You Apply?
- For Listing Gains: With GMP indicating just a small upside, aggressive short-term investors may find limited appeal.
- For Long-Term Investment: The company’s omni-channel strategy, strong branding, and store expansion plan could deliver growth if profitability improves.
- Risk Factors: Loss-making status, competition, and valuation premium over peers remain key risks.
Final Verdict
The first day of BlueStone Jewellery’s IPO paints a picture of cautious investor sentiment—not outright rejection, but far from euphoria. The subscription pace over the next two days, especially QIB participation, will be critical in signalling the market’s true confidence.
For now, investors should weigh the modest listing potential against the long-term brand growth story, and invest based on their risk appetite rather than hype. For more insights, GMP updates, and expert opinions on upcoming IPOs, visit IPOUpcoming.
Frequently Asked Questions (FAQs)
What is the current Grey Market Premium (GMP) for BlueStone IPO?
The GMP is hovering near ₹9, about 1.74% above the upper price band of ₹517, indicating limited potential listing gains.
Is the BlueStone IPO a good buy for listing gains?
With modest GMP and slow early subscription, short-term gains may be limited. Investors should assess long-term prospects before applying.
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