Studds Accessories IPO receives SEBI nod with only OFS component

The initial share sale is an offer for sale (OFS) of 7,786,120 shares. There is no fresh issue component, according to the draft red herring prospectus (DRHP).

Under the OFS, Madhu Bhushan Khurana, Chand Khurana, Sidhartha Bhushan Khurana, Sanjay Leekha, Charu Leekha, Nisha Leekha, Sunil Kumar Rastogi, Nain Tara Mehta, Ajay Kumar Sakhuja and SE Shoes Private Limited will offload shares.

The firm, as per its DRHP, expects to "achieve the benefits of listing the equity shares on the stock exchanges... Further, our company expects that listing of the equity shares will enhance our visibility and brand image and provide liquidity and a public market for the equity shares in India."

ICICI Securities and IIFL Capital Services are the issue's lead managers, while MUFG Intime India is the registrar.

The company has reserved 50% of the offer for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs) and 35% for Retail Individual Investors (RIIs).

About Studds Accessories

Studds Accessories is the largest two-wheeler helmet player in India, as per the revenue in the financial year 2022-23, and was also the world's largest two-wheeler maker by volume in the calendar year 2024, according to a CARE report.

It sold around 7.10 million helmets in FY24. Its brands – Studds and SMK – have been marketed and sold in more than 70 countries as of December 2024.

Apart from designing and manufacturing helmets, it also makes accessories like gloves, two-wheeler luggage, rain suits, helmet lock devices, eyewear and riding jackets.

It also makes helmets for Jay Squared LLC to sell with 'Daytona' branding in the USA and for O’Neal under their branding to serve markets in Europe, Australia, and the USA.

Studds had initially filed preliminary papers with the markets regulator in August 2018. While it received SEBI's nod in December 2018, the firm did not proceed with the public offer at that time.