Stanley Lifestyles IPO shares make strong market debut; list at 35% premium

Shares of Stanley Lifestyles made a strong Dalal Street debut on Friday as the luxury furniture maker was listed at Rs 499 apiece, a premium of 35.23 per cent over its issue price of Rs 369 per share on BSE. Similarly, the stock was listed at Rs 494.95 per share on NSE, at a premium of 34.13 per cent over the given issue price.
 

However, the listing pop has been lesser-than-expectations. Ahead of its listing, shares of Stanley Lifestyles were commanding a grey market premium (GMP) of Rs170-175 apiece, suggesting a listing pop of around 45-48 per cent for the investors but the actual listing fell short of the expectations.
 

Stanley Lifestyles sold its shares in the fixed price band of Rs 351-369 apiece with a lot size of 40 shares. The Bengaluru-based premium furniture maker's IPO was open between June 21 and June 25. It raised a little more than Rs 537 crore via its primary offering, which included a fresh share sale of Rs 200 crore and an offer for sale of 91,33,454 shares.
 

The issue saw robust bidding, especially on the third and last day, which drove the overall subscription to 96.98 times. The quota for qualified institutional bidders (QIBs) was booked 222.10 times, while the quota for non-institutional investors was subscribed a whopping 119.52 times. The portion reserved for retail investors saw bidding for 19.21 times.
 

Stanley Lifestyles, founded in 2007, designs and manufactures super-premium, luxury and ultra-luxury furniture and sells it through its brand 'Stanley'. Its product range includes categories like seating; wooden cased products; kitchen and cabinet; beds and mattresses; and automotive products.
 

Brokerage firms are mostly positive on the issue, suggesting investors to subscribe to it. ICICI Securities, Axis Capital, JM Financial and SBI Capital Markets were the book running lead managers of the Stanley IPO, while Kfin Technologies served as the registrar for the issue.
 

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