Belrise Industries IPO: Price band set at ₹85-90 per share; issue opens on May 21

Belrise Industries IPO price band has been fixed in the range of ₹85 to ₹90 per equity share of the face value of ₹5. Belrise Industries IPO date of subscription is scheduled for Wednesday, May 21 and will close on Friday, May 23. The allocation to anchor investors for the Belrise Industries IPO is scheduled to take place on Tuesday, May 20.

The floor price is 17 times the face value of the equity shares and the cap price is 18 times the face value of the equity shares. The price to earnings ratio based on diluted EPS for fiscal 2024 at the lower end of the price band is 17.78 times and at the upper end of the price band is 18.83 times. The Belrise Industries IPO lot size is 166 equity shares and in multiples of 166 equity shares thereafter.

Belrise Industries IPO has reserved not more than 50% of the shares in the public issue for qualified institutional buyers (QIB), not less than 15% for non-institutional Institutional Investors (NII), and not less than 35% of the offer is reserved for retail investors.

Tentatively, Belrise Industries IPO basis of allotment of shares will be finalised on Monday, May 26 and the company will initiate refunds on Tuesday, May 27 while the shares will be credited to the demat account of allottees on the same day following refund. Belrise Industries share price is likely to be listed on BSE and NSE on Wednesday, May 28.

Belrise Industries Limited produces automotive sheet metal and casting parts, polymer components, as well as suspension and mirror systems tailored for two-wheel, three-wheel, and four-wheel passenger and commercial vehicles.

The company functions as an automotive component manufacturer in India, providing a wide array of safety-critical systems.

Belrise Industries is an Indian manufacturing firm that delivers a variety of safety-critical systems and other engineering solutions for two-wheelers, three-wheelers, four-wheelers, commercial vehicles, and agricultural vehicles.

The products offered by the company encompass metal chassis systems, polymer components, suspension systems, body-in-white components, and exhaust systems.

Among the company's clientele are major brands such as Bajaj, Honda, Hero, Jaguar Land Rover, Royal Enfield, VE Commercial Vehicles, Tata Motors, and Mahindra.

As of June 30, 2024, the company serves a total of 27 OEMs worldwide. The company has set up 15 manufacturing plants across nine cities in eight states as of June 30, 2024.

As per the red herring prospectus (RHP), the company's listed peers are Bharat Forge Ltd (with a P/E of 58.94), Uno Minda Ltd (with a P/E of 62.19), Motherson Sumi Wiring India Ltd (with a P/E of 39.42), JBM Auto Ltd (with a P/E of 45.52), Endurance Technologies Ltd (with a P/E of 44.76), and Minda Corporation Ltd (with a P/E of 51.32).

Belrise Industries IPO details

Belrise Industries is launching an IPO valued at ₹2,150 crore, consisting of 23,88,88,888 equity shares. The proceeds from the Belrise Industries IPO are intended to be used for purposes such as repaying or pre-paying loans, as well as for general corporate needs.

The book running lead managers for the Belrise Industries IPO include Axis Capital Limited, HSBC Securities & Capital Markets Pvt Ltd, Jefferies India Private Limited, and SBI Capital Markets Limited, with Link Intime India Private Ltd serving as the registrar for the offering.

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