Bluestone Jewellery and Lifestyle opened its initial public offering on August 11, 2025, with a price band between ₹492 and ₹517 per share. The IPO aims to raise about ₹1,540 crore, combining a fresh issue worth ₹820 crore and an offer for sale of approximately ₹720 crore. Early investors Accel India and Saama Capital plan to sell substantial stakes, securing multi-bagger returns from their early bets on the omnichannel jewellery retailer.
Accel India’s Winning Move
Accel India III (Mauritius) Ltd entered Bluestone at a weighted average price of ₹63.68 per share. The firm now plans to sell about 26.03 lakh shares in the offer for sale. At the lower IPO price of ₹492, Accel will receive roughly ₹128 crore. At the upper band of ₹517, the proceeds rise to about ₹134.6 crore. This transaction delivers Accel a return multiple of around seven to eight times the original investment, underscoring the impact of entering at the right valuation.
Saama Capital’s Tenfold Return
Saama Capital II Ltd bought 41 lakh Bluestone shares at a weighted average price of ₹48.70 per share. Selling these in the IPO at the set price range will generate between ₹201.8 crore and ₹212 crore. This outcome represents close to a 10x return on its investment, making Saama one of the most successful early backers in this public offering.
Comparing the Numbers
| Investor | Shares Sold (Lakh) | Entry Price (₹) | Expected Proceeds (₹ crore) | Return Multiple |
|---|---|---|---|---|
| Accel India | 26.03 | 63.68 | 128–134.6 | ~7x–8x |
| Saama Capital | 41.00 | 48.70 | 201.8–212 | ~10x |
Both funds entered early, acquired at low prices, and now sell at valuations that produce exceptional returns.
Other Early Investors Benefit Too
Accel and Saama lead the pack, but other early investors also see strong returns. Kalaari Capital expects returns between eight and 8.7 times. Iron Pillar Funds will generate between 5.3x and 6.3x returns. Individual investors such as Sunil Kant Munjal and his associates anticipate around 1.9x returns. While these figures are impressive, Accel and Saama’s early, large-scale positions give them the edge in total gains.
Bluestone’s Journey to the Market
Founded in Bengaluru, Bluestone built its brand as an omnichannel jewellery retailer, blending online presence with offline stores. As of March 2025, it operates over 225 outlets across 117 cities, with manufacturing units in Mumbai, Jaipur, and Surat. The company grew its revenue from ₹771 crore in FY23 to ₹1,770 crore in FY25, reflecting a compound annual growth rate of around 52%.
However, the expansion also increased expenses. The net loss widened from ₹14 crore in FY23 to ₹222 crore in FY25. Bluestone invested heavily in store openings, marketing campaigns, and supply chain enhancements. Management views these costs as long-term growth enablers, aiming to strengthen brand recall and expand market share in India’s competitive jewellery sector.
IPO Structure and Key Dates
The IPO’s fresh issue will raise ₹820 crore for business expansion, debt repayment, and corporate purposes. The offer for sale of around ₹720 crore will allow existing shareholders to partially exit or book profits. Institutional anchor investors already committed ₹693 crore ahead of the IPO launch. The subscription window closes on August 13, 2025, with the listing scheduled for August 19 on both the BSE and NSE.
Market Context and Investor Sentiment
The IPO launched in a mixed market environment. While Indian equities have shown resilience, investors remain selective toward loss-making companies. Bluestone’s grey market premium hovered around 2% on the first day of the issue, and the IPO subscription reached only 4% at that stage. Analysts attribute this cautious sentiment to the company’s current loss-making status and high competition from established jewellery brands.
Why Accel and Saama’s Strategy Worked
- Early Entry at Low Valuations
Both funds invested in Bluestone when its valuation was modest, allowing for high upside potential when the brand scaled. - Significant Stake Size
Accel sold over 26 lakh shares, while Saama sold 41 lakh shares, ensuring meaningful cash returns at IPO pricing. - Long-Term Holding Period
They held their investments through the company’s growth phases, absorbing early risks and reaping rewards during the public exit. - Alignment with Growth Story
Both firms backed Bluestone’s omnichannel approach, which blended online and offline strategies to reach a wider customer base.
Risks and Challenges Ahead
While early investors enjoy windfall gains, public market participants must weigh certain risks:
- Bluestone remains unprofitable, and losses have grown over the last three years.
- Jewellery retail faces heavy competition from Titan, Tanishq, Malabar Gold, and other strong players.
- Market sentiment toward loss-making IPOs remains cautious, which may limit listing-day enthusiasm.
For Bluestone, sustaining growth while moving toward profitability will determine its long-term success in the public market.
Strategic Outlook for Bluestone
The company plans to use IPO proceeds to:
- Expand store count in untapped markets.
- Enhance manufacturing capacity and supply chain capabilities.
- Invest in technology to improve online shopping experiences.
- Reduce debt to strengthen the balance sheet.
Management believes that a strong omnichannel presence, combined with brand visibility, will enable Bluestone to compete effectively in India’s growing jewellery market.
Conclusion
Accel India and Saama Capital executed textbook venture capital strategies—investing early, holding through the growth journey, and exiting during a strong public offering. Accel expects seven to eight times its investment, while Saama aims for nearly 10x returns. These outcomes highlight the value of patience, strategic entry pricing, and alignment with a company’s long-term vision.
Bluestone now faces the challenge of delivering on growth promises and moving into profitability. For early investors, the IPO serves as a high-profile win. For new shareholders, it marks the beginning of a new chapter where execution will matter more than valuation multiples.
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