Ethnic wear company Riyaasat Lifestyle will launch its initial public offer at a price of ₹102-108 per share on June 18 to raise around ₹30.77 crore. According to the company statement, the IPO will open for public subscription on June 18 and close on June 22, 2026, on the BSE SME platform. The company will issue 28,48,800 equity shares of face value ₹10 each through the book-built issue process at the price band of ₹102 to ₹108 per share. Based on the upper end of the price band, a retail investor will need a minimum investment of ₹2,59,200 to apply for one lot. The grey market premium (GMP) for the issue stood at zero ahead of the opening, indicating that unofficial market activity is pricing the stock in line with the upper end of its issue band, with no listing pop currently being anticipated by grey market participants.
Ahmedabad-based Riyaasat Lifestyle is engaged in the sale of ethnic wear for men and women, having launched its first EBO in Ahmedabad on October 23, 2021. The company currently operates 6 EBOs across Gujarat and Maharashtra, with store sizes ranging from 1,790 to 9,419 square feet. These stores reflect the company's brand ethos and offer a premium retail experience. The company plans to establish 4 new stores in Mumbai, Surat, Hyderabad, and Bengaluru, as reported by the company. The company sources products from premium weavers across 6 states and carries out finishing at its Mumbai-based workshop, preparing and supplying garments according to customer demand and preferences. As of January 2026, the company employed around 177 people.
For the period ended January 31, 2026, in Financial Year 2026, the company earned operating revenue of ₹27.87 crore and profit after tax of ₹4.29 crore. According to the company statement, the company achieved a profit after tax margin of approximately 15.40 percent for the period ended January 31, 2026. The IPO is entirely a fresh issue of 0.28 crore equity shares, with the book running lead manager being Mark Corporate Advisors Pvt Ltd and registrar Skyline Financial Service. The company offers products across more than 10 categories of ethnic wear and sells through its website www.riyaasat.in and online marketplaces including Pernia's Pop-up. Financially, the company has shown steady growth with revenue rising from ₹20.94 crore in FY23 to ₹25.19 crore in FY25, while profit after tax grew from ₹1.32 crore to ₹4.87 crore over the same period. For the ten months ended January 2026, the company reported total income of ₹28.13 crore.
The ₹30.77 crore issue is entirely a fresh issue of 28,48,800 shares, with no offer-for-sale component, meaning all proceeds will go to the company rather than existing shareholders. Of this, 27,02,400 shares are on offer to the public after excluding 1,46,400 shares reserved on a firm basis for market maker Nikunj Stock Brokers. Within the net public offer, retail investors have been allocated 59.24% of the shares, non-institutional investors 35.70%, and qualified institutional buyers the remaining 5.06%. The lot size has been fixed at 1,200 shares, requiring retail investors to commit a minimum of 2,400 shares, or ₹2,59,200, at the upper end of the price band. For high-net-worth individual investors, the minimum application size has been set at 3 lots, or 3,600 shares, amounting to roughly ₹3,88,800.
The company plans to use the IPO proceeds primarily for capital expenditure towards setting up four new stores, estimated at ₹12.47 crore, along with working capital requirements of ₹9.50 crore and the remainder for general corporate purposes. Allotment is expected on June 23 with listing on the BSE SME platform slated for June 25. A flat GMP at the open of a book-built SME issue typically points to a cautious or wait-and-watch sentiment among retail investors, rather than the strong pre-listing demand often seen in heavily subscribed small-cap offers. The company sells ethnic wear for men and women, including kurtas, pyjamas, sherwanis, jodhpuris, lehengas and gowns, and also sells through its own website and online marketplaces including Pernia's Pop-up Shop.
