Pune-Based Automotive Component Company Opens ₹2,150 Crore IPO
Belrise Industries Ltd, previously Badve Engineering, has floated its Initial Public Offering (IPO) today, May 21, 2025. The firm intends to collect ₹2,150 crore through a 100% new issue of shares. The IPO will be open for subscription till May 23, 2025.
IPO Snapshot – Price Band, Lot Size, Listing Date IPO Price Band: ₹85 – ₹90 per share
- IPO Price Band: ₹85 – ₹90 per share
- Lot Size: 166 shares per lot
- Minimum Investment: ₹14,110 (₹85) to ₹14,940 (₹90)
- Issue Closes On: May 23, 2025
- Expected Listing: May 28, 2025, on NSE & BSE
- Registrar: Link Intime India
- Lead Bookrunners: Axis Capital, Jefferies, SBI Capital Markets, HSBC Securities
Grey Market Premium (GMP) Up by 11%
As of Day 1, Belrise Industries IPO GMP is at around ₹10/share, suggesting a listing price close to ₹100 — an 11.1% premium to the top end of the price band.
The IPO recorded 0.18x total subscription by midday, with retail segment at 0.21x and NII portion at 0.35x.
About Belrise Industries
Established in 1988 with a base in Pune, Belrise Industries is a seasoned automobile component manufacturer. Its offerings comprise:
- Suspension and chassis systems
- Vehicle parts made of polymers
- Exhaust systems
- Body-in-white assemblies
Major OEMs in the two-wheeler, commercial vehicle, and agri-vehicle space are served by the company.
Uses of IPO Funds
Based on the prospectus, the IPO funds will be utilized for:
- Repayment/prepayment of debt of the company
- Meeting general corporate costs
Key Risk Factors to Monitor
Investors need to watch out for a few warning signs
- High geographical concentration: Close to half of its plants are located in Maharashtra
- Dependence on revenue from top 10 customers
- rofitability can be volatile with risks related to capacity utilization
Analyst Take – Subscribe or Skip?
Brokerage houses are upbeat:
• Anand Rathi advises subscribing for the long term, on account of EV-readiness and a diversified auto portfolio
• Choice Broking points to upbeat valuations and scalability of the business model
Final Word
The Belrise Industries IPO looks good for investors looking for exposure to the auto ancillary space, particularly with increasing demand for EVs and mobility transitions. However, investors will need to balance the decent GMP, subscription patterns so far, and risk disclosures prior to doing something.
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