Ratan Tata-backed online jewellery retailer BlueStone has onboarded a new investor Iron Pillar Fund I and has raised R35.51 crore by allotting preference shares.
Ratan Tata-backed online jewellery retailer BlueStone has onboarded a new investor Iron Pillar Fund I and has raised Rs 35.51 crore by allotting preference shares. The company has allotted 4,26,572 Compulsorily Convertible Preference Shares with a face value of Rs 10 each at a premium of Rs 814.05 per share to Iron Pillar Fund I, according to a filing with the Registrar of Companies.
BlueStone has also allotted 100 equity shares with a face value of Rs 1 each at a premium of Rs 823.05 per share to Iron Pillar Fund I for an aggregate subscription amount of Rs 82,405.
Confirming the development, a top executive of BlueStone said the new investment from Iron Pillar is part of the Rs 200 crore funds it raised from a series of investors in July this year. These funds are being used to fuel its expansion plans and brand building exercises.
“We got Series D funds from a clutch of investors including our existing investors in July this year. This funding round was led by Iron Pillar Fund I, who came in as a new investor and IIFL Holdings. With this funding round, valuation of our company went up close to Rs 700 crore,” Gaurav Kushwaha, co-founder and chief executive of Bluestone told FE.
BlueStone, owned by Bluestone Jewellery and Lifestyle, was founded in 2011 by Gaurav Singh Kushwaha and Vidya Nataraj.
Other investors who also contributed to fresh funds were Accel Partners, RB Investments, IvyCap Ventures and Kalaari Capital Partners Opportunity Fund LLC. Bluestone has allotted 1,61,686 Series D Compulsorily Convertible Preference Shares with a face value of Rs 10 each to Kalaari Capital Partners Opportunity Fund for an aggregate amount of Rs 13.32 crore.
Iron Pillar Fund I, managed by Mauritius-based Iron Pillar Capital Management Limited, is investing in mid-stage technology companies in India. It was founded by Anand Prasanna, who previously worked with Morgan Creek, a global investment management firm, where he helped manage its Asia portfolio out of Shanghai.
Earlier in February this year, Iron Pillar participated in a $200 million funding round in Snapdeal.
BlueStone is currently growing its sales aggressively. Following its brand campaign ‘Choose Your Twinkle’ during the Diwali festive season earlier this year, it is now gearing up to launch a new 360 degree promotion campaign for the upcoming new year and Valentines Day in February. “We have recently onboarded new set of external designers who are working with our internal team to introduce new designs for the Valentines Day. We will have around 300 new designs every month,” Kushwaha said.