Belrise Industries’ ₹2,150 Crore IPO Opens for Subscription Today
The ₹2,150 crore initial public offering (IPO) of auto-components manufacturer Belrise Industries Ltd. opened for public subscription today, offering investors a fresh opportunity to tap into India’s growing automotive and EV ecosystem. The three-day issue will remain open till Friday, May 23.
The IPO consists entirely of a fresh issue of 23.89 crore equity shares, with no offer-for-sale component. The price band for the IPO has been fixed at ₹85–₹90 per share, and investors can bid in lots of 166 equity shares and multiples thereafter.
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Brokerage houses have shown optimism over the offering, citing Belrise Industries’ strong track record, consistent growth, and expanding presence in the premiumisation-driven two-wheeler (2W) and electric vehicle (EV) segments.
In a note to investors, ICICI Direct assigned a ‘Subscribe for the long term’ rating, highlighting the company’s healthy double-digit return ratios and strong margin profile. It added that Belrise has shown consistent growth in revenue and profitability in recent years and continues to expand its product portfolio across 2Ws, 4Ws, and commercial vehicles.
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“Belrise is focusing on increasing its content per vehicle, a strategy that is expected to boost profitability over time. The company’s plans for debt repayment from IPO proceeds are likely to support margin expansion, while its recent acquisition could further drive top-line growth,” the brokerage said.
At the upper end of the price band, Belrise Industries is valued at a price-to-earnings (P/E) multiple of 26x based on FY24 earnings, translating to a market capitalisation of ₹8,008.9 crore and a market cap-to-sales ratio of 1.07x.
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Industry watchers believe that with India’s auto sector witnessing strong recovery and a shift toward electric mobility, Belrise’s focus on innovation and content enhancement per vehicle positions it well for long-term growth.
Disclaimer: This post is for general informational purposes only. It does not constitute financial advice. Please consult a qualified professional before making financial decisions.
