Stanley Lifestyles IPO fully subscribed on Day 1: Check price band and other key details

Stanley Lifestyles IPO was fully subscribed on the first day of IPO opening. The mainboard public issue was booked 1.04 times with bids for 1.06 crore shares against 1.02 crore shares on offer for public investors, the NSE data until 4:00 pm showed.

The Non-Institutional Investors (NIIs) placed bids for 30.5 lakh shares against the 22.24 lakh shares set aside for the category, leading to a subscription of 1.37 times.

Retail investors applied for over 75 lakh shares compared 51.91 lakh shares reserved for the category. The issue was booked 1.4 times in the category.

The Qualified Institutional Buyers (QIB) placed bids for only 26,160 shares, compared to the 28.25 lakh shares reserved for the category.

If you are looking forward to participating in Stanley Lifestyles IPO subscription, here are the key factors to know before bidding.

Stanley Lifestyles IPO: Price band, offer size, lot size and minimum investment

The price band for Stanley Lifestyles IPO has been set at ₹351– ₹369 per share. The furniture maker’s IPO is a book-built issue comprising a fresh issue of shares aimed at raising ₹200 crore and an offer for sale component consisting of 91 lakh shares. The value of the public issue is ₹537.02 crore. The minimum lot size for which retail investors can apply is 1 lot consisting of 40 shares aggregating to an investment of ₹14,760.

To know more and apply for Stanley Lifestyles IPO, CLICK HERE

Stanley Lifestyles IPO dates

Investors can place bids for Stanley Lifestyles IPO from Friday, June 21, until the bidding window closes on Tuesday, June 25. The share allotment of the public issue is likely to be finalised by Wednesday, June 26. Subsequently, refunds will be issued for unsuccessful bidders, and shares will be credited to the Demat accounts of successful bidders on Thursday, June 26. The tentative listing date for Stanley Lifestyles shares is Friday, June 28. The furniture maker’s shares will be listed on the NSE and BSE.

Stanley Lifestyles IPO: Key Financials

In the nine months of FY24, ending December 31, 2023, Stanley Lifestyles' revenue stood at ₹322.29 crore. The company posted a Profit After Tax (PAT) of ₹18.7 crore. The company's net worth was ₹237.21 crore in the same period.

The furniture manufacturer posted a growth of 43% in its revenue for the financial year ended March 31, 2023, as its revenue surged to ₹425.62 crore against ₹297.76 crore in the preceding fiscal year. Stanley reported a PAT of ₹34.98 crore compared to ₹23.22 crore in FY22, recording a growth of nearly 51%. The company’s net worth for FY23 witnessed a growth of 8% to ₹216.5 crore compared to ₹199.76 crore on a year-on-year basis.

Stanley Lifestyles IPO: Strengths and Risk

Stanley Lifestyles is among the few home-grown luxury brands in the furniture industry and is the largest in terms of stores. The company is also the fastest growing in its segment on the basis of revenue growth. The company has a pan-India presence and has three types of stores, namely: Stanley Level Next, Stanley Boutique, and Sofas & More by Stanley. The company has developed 88 new products in FY23 and 71 new products in Q3FY24. The company reported a growth in its Earnings Before Interest, Taxes, Depreciation, and Amortisation margin (EBITDA) as it has achieved a margin ranging from 15% up to 20% in the time period between FY21 and Q3FY24.

The furniture maker faces a few risks in its operations as the business is mostly dependent on the sale of sofas and recliners. Sofa and recliner sales made up nearly 55% of the total revenue from operations in Q3FY24. The company’s Company-Owned and Company-Operated (COCO) stores are operated by its subsidiaries and other third party partners as of Q3FY24.

The company’s expansion plan includes tapping markets in the Middle East and Southeast Asia, but it faces risks associated with expansion into new regions, such as a lack of cultural familiarity, local laws, regulations, and economic conditions, as well as a lack of brand recognition and reputation.

About Stanley Lifestyles IPO

Stanley Lifestyles Limited manufactures super-premium, luxury, and ultra-luxury furniture. The company’s offerings can be broadly classified into seating, cased goods, kitchens and cabinets, mattresses and beds, and automotive. As of December 31, 2023, the company had 778 employees.

The money raised via the public issue will be used by Stanley Lifestyles to open new stores under the formats of Stanley Level Next, Stanley Boutique, and Sofas and More by Stanley. It will also be used to open anchor stores and renovate existing stores. A portion of the proceeds will also be used to purchase new machinery and equipment.

To know more about IPOs listing, schedule and upcoming IPOs, click here