Belrise Industries IPO invites bids: GMP up 17%; should you subscribe?

Belrise Industries IPO opens for public subscription today; check price, lot size, GMP, review, allotment date, listing date, and more

Belrise Industries IPO: The initial public offering (IPO) of the automotive component manufacturing company, Belrise Industries, opens for public subscription today, Wednesday, May 21, 2025. At the upper end, the company seeks to raise ₹2,150 crore from the public offering.

 

Ahead of the opening of the public offering, Belrise Industries has already raised ₹645 crore from anchor investors in a bidding that concluded on Tuesday, May 20.

As the public offering opens for subscription, here are the key details of the Belrise Industries IPO:

Belrise Industries IPO structure

Belrise Industries IPO is a book-built issue comprising an entirely fresh issue of 238.9 million equity shares, aggregating up to ₹2,150 crore. The public offering does not have any offer-for-sale (OFS) component.

 

 

The company has reserved not more than 50 per cent of the net offer for qualified institutional buyers, not less than 35 per cent for retail investors, and not less than 15 per cent for non-institutional investors.

Belrise Industries IPO lot size, price band

Belrise Industries IPO is available at a price band of ₹85–90 per share, with a lot size of 166 shares. Accordingly, investors can bid for a minimum of 166 shares of Belrise Industries and in multiples thereof.

 

The minimum amount required by a retail investor to bid for the Belrise Industries IPO is ₹14,940. A retail investor can bid for a maximum of 13 lots or 2,158 shares, amounting to ₹1,94,220. 

Belrise Industries IPO grey market premium (GMP)

The unlisted shares of Belrise Industries were commanding a decent premium in the grey market ahead of the opening of the public issue. Sources tracking unofficial market activities revealed that Belrise Industries shares were seen trading at around ₹105 per share, reflecting a grey market premium (GMP) of ₹15 or 16.67 per cent over the upper end of the issue price.

Belrise Industries IPO allotment date, listing date

The three-day subscription window to bid for Belrise Industries will conclude on Friday, May 23, 2025. Following the closure of the subscription window, the basis of allotment of Belrise Industries shares is likely to take place on Monday, May 26, 2025, with the shares being credited to demat accounts on Tuesday, May 27, 2025.

 

Shares of Belrise Industries are scheduled to make their D-street debut on Wednesday, May 28, 2025, by listing on the BSE and NSE.

Belrise Industries IPO objective

Belrise Industries, in its Red Herring Prospectus (RHP), has stated that it will utilise the net proceeds from the issue towards funding the repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by the company, as well as for general corporate purposes.

Belrise Industries IPO registrar, lead managers

MUFG InTime India (formerly Link InTime India) serves as the registrar for the public offering. The book-running lead managers for the public offering include Axis Capital, HSBC Securities and Capital Markets (India), Jefferies India, and SBI Capital Markets.

Should you subscribe to the Belrise Industries IPO?

Choice Broking – Subscribe

Brokerage firm Choice Broking has recommended that investors subscribe to the Belrise Industries IPO. At the higher price band, BIL is demanding a TTM P/E multiple of 29.5x and EV/Sales of 1.1x, which, the brokerage believes, is at a discount to the peer average.

 

"While the company has demonstrated growth in both revenue and net profit, its margins have come under pressure. To address this, BIL is focused on increasing its content per vehicle, which is expected to enhance profitability. Additionally, the planned debt repayment is likely to contribute further to margin improvement. The company's recent acquisition is expected to enhance its product offerings and drive sales growth, contributing positively to its overall business performance. Thus, we recommend a 'Subscribe' rating for the issue," said the brokerage in its report.

ICICI Securities – Subscribe

Analysts at ICICI Securities have assigned a ‘Subscribe’ rating to the Belrise Industries IPO. Belrise, they said, has grown healthily in double digits in the past and, with the introduction of new products, aims for a similar growth trajectory going forward. With bulk of its exposure to the 2W space, near-term prospects at Belrise also look promising, coupled with its premiumisation-led content/vehicle increase.

 

"With ₹1,618 crore debt repayment on the anvil from IPO proceeds, resulting in imminent annual interest cost savings of ₹150 crore & consequent profit after tax (PAT) gain of ₹110 crore, coupled with organic growth prospects, Belrise is well poised to clock ₹500 crore of PAT in FY27E, which makes it a lucrative offering at 16x P/E on FY27E vs. 20x PE commanded by domestic ancillary players. Healthy double-digit return ratios and margin profiles also provide a good margin of safety to our investment thesis," wrote the analysts in a research note.

Anand Rathi Research Team – Subscribe for long-term

Brokerage firm Anand Rathi’s research team has recommended investors subscribe to the Belrise Industries IPO for the long-term perspective, citing that the issue is fairly priced. "At the upper band, the company is valued at 26x its FY24 EPS. Following the issuance of equity shares, the company's market capitalisation stands at ₹80,089 million, with a market cap-to-sales ratio of 1.07 based on its FY24 earnings. The company is focusing on increasing its content per vehicle, along with focusing on EVs, 4-wheelers, and commercial vehicles," said the brokerage in its report.

About Belrise Industries

Belrise Industries is an automotive component manufacturing company based in India, offering a diverse range of safety-critical systems and other engineering solutions for two-wheelers, three-wheelers, four-wheelers, commercial vehicles, and agri-vehicles. Their product portfolio includes metal chassis systems, polymer components, suspension systems, body-in-white components, and exhaust systems, among others. The company’s products are largely agnostic to vehicle powertrain types, reflecting its ability to cater to both electric vehicles and internal combustion engine vehicles, thus positioning itself favorably to adapt to the growing electric vehicle market.