Stellar Listing: Stanley Lifestyles Lists at 35% Premium at Rs 499 per share on NSE!

Stanley Lifestyles Limited specializes in creating super-premium, luxury, and ultra-luxury furniture under the brand “Stanley, debuted on the Indian stock market today.

The stock of Stanley Lifestyles settled at Rs 499 per share on the BSE, representing an impressive 35.23% premium over the final issue price of Rs 369 per share. Additionally, on the NSE, the company’s shares opened at Rs 494.95 per share, indicating a gain of 34.13%. The market capitalization on the BSE stands at around Rs 2907.88 crore.

IPO Proceeds

The company intends to allocate the net proceeds towards several key objectives. This includes funding the opening of new stores under formats like “Stanley Level Next,” “Stanley Boutique,” and “Sofas & More by Stanley.” Additionally, funds will be allocated for establishing anchor stores and renovating existing stores under these same formats. Another priority is to finance the capital expenditures required for purchasing new machinery and equipment for both the company and its material subsidiary, SOSL. Lastly, the proceeds will support general corporate purposes aimed at enhancing overall operational efficiency and growth initiatives.

Business Overview

Incorporated in 2007, Stanley Lifestyles Limited specializes in creating super-premium, luxury, and ultra-luxury furniture under the brand “Stanley”. Their product line includes seating like sofas, recliners, and dining chairs; cased goods such as coffee tables and consoles; versatile kitchens and cabinets; and mattresses, bed frames, and accessories. They also offer customizable shoes and leather seat covers for cars, complemented by imported lighting and switches, and locally sourced carpets sold under private labels.

Subscription details

As of June 25, 2024, the IPO was subscribed 97.16 times. The public issue saw a subscription rate of 19.08 times in the retail category, 215.62 times in the QIB category, and 121.42 times in the NII category.

The IPO price band was Rs 351 and Rs 369, with a face value of Rs 2 per share and a lot size of 40 shares. The total size of the company’s IPO was Rs 537.02 crore, and the final share issue price was fixed at Rs 369 each.

Conclusion 

The crucial question that arises in everyone’s mind is whether to hold onto the shares or book profits. Investors who applied for listing gains only have already earned 38% on the listing day itself and can choose to book the profit generated or watch for at least the first 15 minutes and then set a stop-loss at the day’s low price. On the other hand, investors with a higher risk appetite may opt to hold the shares for the medium to long term, which could prove to be beneficial.

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.