Belrise Industries IPO to Open on May 21st

Mumbai, May 16, 2025 — Belrise Industries Limited’s IPO will open for subscription on May 21st. It will close on May 23, 2025. Its equity shares will be listed on the BSE and NSE. The listing is tentatively scheduled for May 28, 2025, subject to successful allotment and regulatory approvals.

The offering marks a significant milestone for Belrise Industries, aimed at strengthening its balance sheet and supporting its future growth trajectory across domestic and international markets.

Price Band and Investor Lot Details

The company has fixed a price band of ₹85 to ₹90 per equity share for the IPO. At the upper price band, the minimum investment required by retail investors will be ₹14,940 for one lot consisting of 166 shares. This affordable entry point is expected to attract strong interest from retail participants.

For non-institutional investors (NII), the lot size increases substantially. A small NII must bid for a minimum of 14 lots, amounting to 2,324 shares or around ₹2.09 lakh at the upper band. A large NII is required to bid for 67 lots, equivalent to 11,122 shares, translating into an investment of approximately ₹10 lakh.

IPO Timeline and Important Dates

The IPO will be open for subscription from Tuesday, May 21, to Thursday, May 23, 2025. The basis of allotment will be finalised on May 26, followed by the initiation of refunds and the crediting of equity shares into demat accounts on May 27. The company aims for a smooth listing on both stock exchanges on May 28, 2025.

Promoters and Shareholding Structure

Belrise Industries is promoted by the Badve family, with Shrikant Shankar Badve, Supriya Shrikant Badve, and Sumedh Shrikant Badve as the key promoters. Currently, the promoters jointly hold 99.81% of the equity share capital.

Post-IPO, the promoter holding will be significantly diluted, paving the way for increased institutional participation, enhanced corporate governance, and higher public shareholding, which in turn will improve stock liquidity and market visibility.

Business Overview and Industry Standing

Founded in 1988, Belrise Industries has grown into a diversified automotive systems manufacturer with a strong reputation for quality, innovation, and timely delivery. The company specialises in a wide array of components, including:

• Sheet metal components
• Castings and suspensions
• Polymer products
• Mirror systems

Its customer base includes 27 leading Original Equipment Manufacturers (OEMs) such as Bajaj Auto, Hero MotoCorp, Honda, TVS, Tata Motors, Mahindra & Mahindra, and international players like Jaguar Land Rover.

With 15 advanced manufacturing facilities spread across nine cities in eight Indian states, the company is well-positioned to meet the rising demand for precision automotive parts both in India and abroad.

Utilisation of IPO Proceeds

The net proceeds from the IPO will primarily be used to strengthen the company’s financial position. Out of the ₹2,150 crore being raised:

• ₹1,618.13 crore will be allocated for the repayment or prepayment of existing borrowings, significantly reducing the debt burden and improving cash flows.
• The remaining funds will be deployed towards general corporate purposes, including working capital, capital expenditure, and strategic initiatives.

Financial Performance and Key Metrics

Belrise Industries has shown steady growth in its asset base, reaching ₹6,588 crore as of December 2024, up from ₹6,042 crore in March 2024. While revenue decreased to ₹6,065 crore for the nine months ending December 2024 from ₹7,556 crore the previous year, the company maintained a stable profit after tax of ₹245 crore during this period. Net worth increased to ₹2,578 crore, supported by growing reserves.

The company’s borrowings rose slightly to ₹2,600 crore, with a debt-to-equity ratio near 1, indicating a balanced financial structure. Key performance metrics show a return on capital employed of 14.83%, a return on net worth of 13.33%, and a profit margin of 4.36%.

At the upper end of the price band, the IPO values the company at a market capitalisation of ₹8,008.91 crore, with a Price-to-Earnings (P/E) ratio of 24.47x and Price-to-Book (P/B) ratio of 2.50x, which positions it competitively within its peer group in the automotive sector.

Lead Managers and Registrar of the Issue

The IPO is being managed by a consortium of investment banks. The lead managers for the issue include Axis Capital Limited, HSBC Securities and Capital Markets (India) Private Limited, Jefferies India Private Limited, and SBI Capital Markets Limited.

Link Intime India Private Limited has been appointed as the Registrar to the Issue, ensuring efficient processing and investor support throughout the IPO cycle.

For more comprehensive details, investors are requested to refer to the Belrise Industries IPO Red Herring Prospectus (RHP), filed with SEBI, which contains all the relevant information about the offering.

Disclaimer: This content is only for informational purpose. It does not make any recommendation to act or invest. Please read the offer documents carefully before investing. Investments are subject to market risks and other risks. There is no guarantee of the actual returns that will be given.