Balu Forge Industries shares hit 10% upper circuit in trade; here's why

Balu Forge Industries shares hit 10 per cent upper circuit on the BSE at ₹391.65 per share. The stock was in demand after the company announced its formal induction into the Nato supply chain for critical defence components.

 

At 12:10 PM, Balu Forge’s shares were trading 10 per cent higher at ₹391.65. In comparison, the BSE Sensex slipped 0.26 per cent to 82,129.68. 

 

The move grants the company the mandate to manufacture and supply high-specification artillery shell bodies and complex forged components to Nato member states.

 

“Our selection as a Nato partner is driven by our industry-leading forging technology, which allows us to produce components with exceptional precision. Utilising advanced closed-die forging processes and our technical edge ensures that our artillery shells and components maintain a level of reliability that is imperative for modern defence systems,” the company said in its press release. 

 

According to the filing, this onboarding marks a pivotal expansion of global footprint and a

diversification of high-margin revenue streams for the company. Membership in the Nato supply base provides a long-term platform for growth, positioning Balu Forge Industries at the centre of the alliance’s industrial revitalisation efforts. 

 

“We are honoured to contribute our technical prowess to the collective security of the alliance while delivering sustainable, long-term value to our shareholders through this prestigious partnership,” the company said. 

 

Balu Forge Industries Limited, founded by Mr. Prehlad Singh Chandock, is a leading Indian precision engineering company delivering forged and machined components across multiple global industries. The company offers a comprehensive product portfolio ranging from 1 kg to 1,500 kg and up to 3 meters in length, supporting diverse applications in automotive, industrial vehicles, earthmoving equipment, wind energy, aerospace, defence, oil and gas, railways, marine, and agriculture. Its operations include fully integrated forging and machining capabilities, with advanced manufacturing facilities in Belgaum, Karnataka, spread over a 46+ acre campus.

Equipped with high-capacity hydraulic hammers and forging presses, and supported by a dedicated in-house tool room, metallurgical labs, and CNC machining units, Balu Forge ensures consistent precision and quality.