Bluestone Secures ₹830 Crore Pre-IPO Funding from Peak XV and Steadview

Bengaluru/Mumbai: Jewellery retailer Bluestone is negotiating a ₹830 crore (about $100 million) investment from Peak XV Partners, Steadview Capital, and Think Investments, according to sources.

Investment Details

This pre-IPO (initial public offering) round includes both the sale of shares by early investors and fresh capital injection. The investment is expected to value Bluestone at around ₹7,500 crore (approximately $900 million) before the new money is added. Peak XV is reportedly investing ₹415 crore ($50 million).

Context

Peak XV is showing interest in leading this investment, reflecting a broader trend of venture funds looking to support domestic brands and offline retailers. Bluestone’s upcoming round aims to raise $100 million, which could push it into the unicorn club (companies valued at $1 billion or more) before its public listing later this year.

Transaction Mix

The deal involves both primary transactions (new shares being issued) and secondary transactions (existing shares being sold). Some family offices, using special purpose vehicles, may also participate in this round, which is expected to close soon. Accel and Kalaari Capital, early investors in Bluestone, currently own over 30% of the company. Other investors like Iron Pillar, Saama Capital, RB Investments, IvyCap, and InfoEdge Ventures collectively hold another 20%. Founders Gaurav Singh Kushwaha and Ganesh Krishnan own nearly 14%.

Company Valuation

This new investment values Bluestone at more than double its valuation in September 2023, when it raised money from notable investors like Manipal Group’s Ranjan Pai, Zomato’s Deepinder Goyal, and Zerodha’s Nikhil Kamath, valuing it then at $450 million.

No Comments Yet

Steadview, Think Investments, and Bluestone’s CEO Kushwaha did not respond to inquiries. Peak XV, formerly Sequoia Capital India, declined to comment.

VC Trend

This investment highlights a growing trend where tech-focused venture funds are investing in retail companies with new-age brands that are competing against established players. Steadview’s portfolio in India includes companies like Ola, Lenskart, and Urban Company, while Think Investments, led by Shashin Shah, has backed firms such as Swiggy, Dream11, and Star Health Insurance.