Studds Accessories, Faridabad-based helmets manufacturers has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI) on March 26, 2025 to launch its Initial Public Offering (IPO). IIFL Capital, ICICI Securities and MUFG Intime India are the book running lead managers for the Studds Accessories IPO.
According to the DRHP, the IPO will only include an offer for sale (OFS) component of up to 7,760,120 equity shares with a face value of Rs 5. The IPO will not include any issuance of fresh equity shares. The offer only consists of shares to be sold by existing shareholders i.e., promoters and other investors.
It’s the second time that Studds has filed for an IPO. The company had planned its IPO first time in 2018 to raise Rs 98 crore and had even got the SEBI approval. However, the company had withdrew its IPO application citing that it was ‘seeking a higher valuation that what it was getting’. The 2018 issue had comprised of OFS as well as fresh equity shares issuance.
But notably, Studds’ 2025 IPO is purely an offer for sale issue and there will no fresh funds infusion into the company, indicating that the company is not raising capital for expansion or capital expenditure and the promoters may be looking to monetize their existing holdings.
The list promoters selling shareholders include Madhu Bhushan Khurana who will offload 38,00,000 equity shares, Sidhartha Bhushan Khurana selling 8,00,000 shares, and the promoter group Chand Khurana selling up to 2,100,000 equity shares of face value of Rs 5. The list of other selling shareholders include Sanjay Leekha, Charu Leeksha, Nosha Leekha, Nain Tra Mehta, Sunil Kumar Rastogi, Ajay Kumar Sakhuja and SE Shoes Private Limited, as per the DRHP.
According to the company’s financial reports, Studds posted a revenue from operations of Rs 285 crore in six months ended September 2024 and a net profit of Rs 33 crore during the same duration.
Incorporated in 1983, Studds is a key player in India in two-wheeler helmets manufacturing and two-wheeler accessories such as gloves, locks, eye wear and jackets etc. The company’s main competitors are Vega, Steelbird and Aerostar. The company was largest two-wheeler helmets player in India in terms of revenue in FY23 and world’s largest helmet player by volume of helmets sold in FY24, as per Studds official website.
The company has a strong retail network with over 6,000 dealers and distributors in India and has a helmets manufacturing capacity of over 90 lakhs units per year. Studds helmets and accessories are sold pan-India and exported worldwide. Studds also sells helmets under brand ‘SMK” and manufactures helmets for ‘Daytona’ brand under ownership of Jay Squared LLC in US.
Studds IPO proceedings are well on the way now with DRHP filed but it will likely make its debut on the bourses during second or third quarter of FY26.
Visit the SEBI website to read more and view the official DRHP.