<p>Bengaluru: Premium and luxury furniture maker Stanley Lifestyles is eying the month-long window between February 15-March 15 to float its initial public offering on Indian bourses, company promoter and chief executive Sunil Suresh told <em>DH</em> during an exclusive interaction on Wednesday. </p>.<p>The brand had filed its draft papers in September and received approval from market regulator Securities and Exchange Board of India earlier this month.</p>.<p>“The IPO primarily is to give an exit to our current investors, who only want to dilute 10 per cent,” Suresh said, adding that he doesn’t foresee any dramatic changes in the company’s financial metrics following the move.</p>.<p>However, transforming the company into a billion dollar enterprise by 2030 and making an international foray within the next 2 years are amongst some landmark pit stops on the company’s future roadmap. “We want to go all guns blazing as an Indiluxe brand (in the international market),” Suresh said.</p>.<p>Stanley, which is present across 24 cities through 63 stores currently, plans to expand to 100 stores pan India in the next two years. It is also eyeing a 50 per cent market share of the Indian premium and luxury furniture market in 5 years.</p>.<p>With the close linkage between the furniture industry and the real estate market, Suresh follows data from the Real Estate Regulatory Authority as the guiding principle for expansion. “It gives you a lot of understanding about where the growth is coming from. It is currently coming from places like Guwahati, Chandigarh and Goa,” he explained.</p>.<p>He also attested to a surge in demand for outdoor furniture, with an increasing fraction of Indian homebuyers prioritising open spaces following the Covid-19 pandemic.</p>.<p>Stanley Lifestyles receives 95 per cent of its revenue from the residential segment, while the remaining is drawn from categories like hotels, hospitals, airports, etc. About 30 per cent of its overall revenue comes from Bengaluru alone.</p>.<p>Elaborating on the top-3 challenges in the premium furniture market in India, Suresh listed competition from global brands, high power tariffs in Karnataka and unavailability of skilled talent.</p>.<p>“Right now there are not too many local brands that have come of scale with pan India presence in this segment,” he said.</p>.<p>The company incurs 60 per cent of its overall expenditure on raw material, 85 per cent of which is imported, around 10 per cent on payrolls and rentals each, and 5 per cent on power bills.</p>.<p>“Raw material overheads can slowly come down but India does not have the ecosystem. We’re not not growing forestry timber as of yet. Only rubberwood is available and that’s not good,” he underscored. The company is however working towards bringing its leather imports down to 40%, through an Italian collaboration in India.</p>
<p>Bengaluru: Premium and luxury furniture maker Stanley Lifestyles is eying the month-long window between February 15-March 15 to float its initial public offering on Indian bourses, company promoter and chief executive Sunil Suresh told <em>DH</em> during an exclusive interaction on Wednesday. </p>.<p>The brand had filed its draft papers in September and received approval from market regulator Securities and Exchange Board of India earlier this month.</p>.<p>“The IPO primarily is to give an exit to our current investors, who only want to dilute 10 per cent,” Suresh said, adding that he doesn’t foresee any dramatic changes in the company’s financial metrics following the move.</p>.<p>However, transforming the company into a billion dollar enterprise by 2030 and making an international foray within the next 2 years are amongst some landmark pit stops on the company’s future roadmap. “We want to go all guns blazing as an Indiluxe brand (in the international market),” Suresh said.</p>.<p>Stanley, which is present across 24 cities through 63 stores currently, plans to expand to 100 stores pan India in the next two years. It is also eyeing a 50 per cent market share of the Indian premium and luxury furniture market in 5 years.</p>.<p>With the close linkage between the furniture industry and the real estate market, Suresh follows data from the Real Estate Regulatory Authority as the guiding principle for expansion. “It gives you a lot of understanding about where the growth is coming from. It is currently coming from places like Guwahati, Chandigarh and Goa,” he explained.</p>.<p>He also attested to a surge in demand for outdoor furniture, with an increasing fraction of Indian homebuyers prioritising open spaces following the Covid-19 pandemic.</p>.<p>Stanley Lifestyles receives 95 per cent of its revenue from the residential segment, while the remaining is drawn from categories like hotels, hospitals, airports, etc. About 30 per cent of its overall revenue comes from Bengaluru alone.</p>.<p>Elaborating on the top-3 challenges in the premium furniture market in India, Suresh listed competition from global brands, high power tariffs in Karnataka and unavailability of skilled talent.</p>.<p>“Right now there are not too many local brands that have come of scale with pan India presence in this segment,” he said.</p>.<p>The company incurs 60 per cent of its overall expenditure on raw material, 85 per cent of which is imported, around 10 per cent on payrolls and rentals each, and 5 per cent on power bills.</p>.<p>“Raw material overheads can slowly come down but India does not have the ecosystem. We’re not not growing forestry timber as of yet. Only rubberwood is available and that’s not good,” he underscored. The company is however working towards bringing its leather imports down to 40%, through an Italian collaboration in India.</p>