Studds Accessories IPO opens today: Analysts split on prospects; should you subscribe?

The maiden public issue of Studds Accessories Ltd., a Haryana-based manufacturer of two-wheeler helmets and motorcycle accessories, opens for subscription today (October 30) and will remain open until November 3.

Ahead of the issue launch, Studds Accessories raised nearly ₹137 crore from anchor investors, including HDFC Mutual Fund, Nippon India MF, Kedaara Capital Public Markets Fund I, Carnelian India Amritkaal Fund, and PineBridge India Equity, among others.

Brokerage views

SBI Securities has recommended investors to subscribe to the issue at the upper price band, citing the company's market leadership and integrated manufacturing setup, from design to final product. Studds held a domestic market share of 27.3% in volume terms and 25.5% in value terms as of FY24.

The brokerage said that Studds has healthy return ratios, a robust balance sheet, and has been funding its growth largely through internal accruals.

It added that the expected upcycle in the domestic two-wheeler industry post-GST rationalisation, coupled with rising safety awareness and regulatory push, act as tailwinds for the company's products.

"At the upper price band of ₹585, the company is valued at 33x P/E and 4x P/S on FY25 estimates," said ICICI Direct, which has not assigned a rating to the issue.

The brokerage added that, anchored by its dominant position as the largest two-wheeler helmet manufacturer in India and globally, extensive product innovation, and strong financial performance, Studds is well placed to sustain its growth trajectory and create long-term shareholder value.

Studds IPO details

The price band for the IPO has been fixed between ₹557 and ₹585 per share, valuing the company at around ₹2,300 crore at the upper end of the range.

Investors can bid for a minimum of one lot of 25 shares (₹14,625 at the upper end) and in multiples thereafter.

The entire issue is an offer for sale (OFS) of 77.86 lakh shares by promoters and other selling shareholders, meaning the company will not receive any proceeds from the issue.

Of the total offer, 50% is reserved for qualified institutional buyers (QIBs), 15% for non-institutional investors, and 35% for retail investors.

Promoters, including Madhu Bhushan Khurana, Sidhartha Bhushan Khurana, and Shilpa Arora, currently hold 78.78% of the company, while the public owns the remaining 21.22%.

Company overview

Studds operates three manufacturing facilities with an annual production capacity of 9.04 million units. It sells helmets under its flagship brands Studds and SMK and offers a range of motorcycle accessories such as luggage, gloves, helmet locks, rain suits, riding jackets, and eyewear under the Studds brand.

A pan-India player with a growing international footprint, Studds exports to over 70 countries. It also manufactures helmets for international brands such as Jay Squared LLC (sold under the Daytona brand in the US) and O’Neal, catering to markets across Europe, the US, and Australia.

Financials

The company reported a 21.7% year-on-year rise in profit to ₹69.6 crore in FY25, compared to ₹57.2 crore in the previous fiscal. Revenue grew 10% to ₹584 crore from ₹529 crore. In the June 2025 quarter, Studds posted a profit of ₹20 crore on revenue of ₹149 crore.

IIFL Capital Services and ICICI Securities are the merchant bankers to the issue.

The basis of allotment is expected to be finalised on November 4, with tentative listing on the BSE and NSE on November 7.