Helmets fail to save Studds from lacklustre market debut

Helmet maker Studds Accessories listed its stock on India bourses at a discount wider than 3 per cent against the issue price of Rs 585 on Friday.

On the BSE, Studds stock began trading at Rs 570, 2.56 per cent below its issue price. At the NSE, the listing was at Rs 565, marking a 3.41 per cent discount.

In an Indian stock market criticised by market experts as an overvalued IPO platform, this outing by a known product brand comes as a shocker.

Studds is valued at a little over Rs 2,255 crore, with its Rs 455 crore IPO receiving more than 73 times subscription on the final day, led by institutional buyers.

Studds is well known among Indian two-wheeler riders. The company, founded in 1975, designs and manufactures helmets under the Studds (mass and mid-market) and SMK (premium) brands. 

Moreover, it has a sturdy line of motorcycle accessories, such as luggage, gloves, riding jackets, eyewear, and so on.

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