Bluestone’s board gives go-ahead for IPO proposal (#1684643)

Jewellery business Bluestone’s board of directors has given the go ahead for its initial public offering proposal after its chief executive Gaurav Singh Kushwaha increased his stake in the company.

“With most of the process done, filing of draft IPO papers is imminent,” an anonymous source close to the development told ET Tech. “The company is looking to divest an around 15% stake through the IPO.”
 
The business has yet to finalise the pricing of its IPO and its valuation could be influenced by the conditions of the market at the time of the IPO’s launch. ET Tech’s sources mentioned that the business could be seeking a valuation of between Rs 12,000 crore and Rs 13,000 crore.
 
The business’ chief executive and co-founder Gaurav Singh Kushwaha has purchased shares in Bluestone worth Rs 75 crore in order to satisfy the minimum promoter requirement for the IPO, the Economic Times reported. Following the acquisition, Kushwaha now owns between 17% and 18% of the company.
 
Each share was priced at Rs 578 a piece and the transaction was carried out in line with the regulations of the Securities and Exchange board of India. The executive also stated that if the IPO price ends up being higher than the allocation price he paid, he will pay the difference.
 
Bluestone was established in 2011 by Gaurav Singh Kushwaha and Vidya Nataraj. The business retails its selection of 100% Bureau of Indian Standards hallmarked jewellery from over 200 brick-and-mortar outlets and its direct to customer e-commerce store, according to its Facebook page.