Stanley Lifestyles Limited IPO Subscribed 0.49x on Day 1

The ultra-luxury furniture maker Stanley Lifestyles Limited’s IPO opened for subscription on June 21, 2024 and will close on June 25, 2024. Stanley Lifestyles IPO is a book-built issue of ₹537.02 crore. The issue is a combination of a fresh issue of 0.54 crore shares aggregating to ₹200.00 crore and an offer for sale of 0.91 crore shares aggregating to ₹337.02 crore.

Stanley Lifestyles Limited has appointed Axis Capital Limited, ICICI Securities Limited, Jm Financial Limited and SBI Capital Markets Limited as the book-running lead managers, while Kfin Technologies Limited is the registrar for the issue.

The company would use the net proceeds towards the funding of the following objects:

• Expenditure for opening new stores under the formats of “Stanley Level Next”, “Stanley Boutique”, and “Sofas & More by Stanley.
• Expenditure for opening anchor stores.
• Expenditure for the renovation of existing stores under the formats of “Stanley Level Next”, “Stanley Boutique”, and “Sofas & More by Stanley”.
• Funding the capital expenditure requirements for purchasing new machinery and equipment by the company and Material Subsidiary, SOSL
• General corporate purposes.

Day Wise Subscription

On the first day of subscription, June 21, 2024, the IPO was subscribed to 0.49x. QIBs subscribed 0.01x, NIIs subscribed 0.59x, and retail investors subscribed 0.71x.

Grey Market Premium

Stanley Lifestyles Limited IPO’s last GMP was ₹165. With a price band of ₹369, the estimated listing price of the Stanley Lifestyles IPO is ₹534 (cap price + today’s GMP). The expected percentage gain/loss per share is 40.00%.

About Stanley Lifestyles Limited

Founded in 2007, Stanley Lifestyles Limited designs and manufactures super-premium, luxury and ultra-luxury furniture and sells it through its brand “Stanley”. As of December 31, 2023, the company operated 38 “company-owned and company-operated” or “COCO” stores, all located in the major metropolitan cities of Bengaluru, Chennai, New Delhi, Mumbai, and Hyderabad, and 24 “franchisee-owned and franchisee-operated” or “FOFO” stores in 21 cities across 11 Indian states and Union Territories.

The company’s product development department is spread over approximately 15,000 square feet in its manufacturing city in Bengaluru, Karnataka, and as of December 31, 2023, the company had 778 employees.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.