Belrise Industries IPO: A Deep Dive into India’s Automotive Giant
FINANCE
The Indian automotive sector has been a cornerstone of the country’s manufacturing prowess, and Belrise Industries Limited (formerly Badve Engineering) has emerged as a key player in this space. With its recent Initial Public Offering (IPO) that hit the market from May 21 to May 23, 2025, and listed on BSE and NSE on May 28, 2025, Belrise has garnered significant attention from investors. This blog dives into the details of the Belrise Industries IPO, its significance, and whether it’s a worthy addition to your investment portfolio.
About Belrise Industries
Founded in 1988 by Shrikant Shankar Badve, Belrise Industries is a leading Tier-1 automotive OEM headquartered in Aurangabad, Maharashtra. The company specializes in manufacturing critical components for two-wheelers, four-wheelers, commercial vehicles, and even white goods like home appliances. Its product portfolio includes:
Sheet metal and casting parts
Polymer components
Suspension and exhaust systems
Mirror systems
E-mobility components
Safety helmets
With 15 manufacturing facilities across nine cities in India and exports to markets like the US, UK, Japan, and China, Belrise serves 27 global OEMs, including Bajaj, Honda, Hero, Tata Motors, and Jaguar Land Rover. Holding a 24% market share in India’s two-wheeler metal components segment (FY24), Belrise is a dominant force in the industry.
The company rebranded from Badve Engineering to Belrise Industries in January 2023, signaling its focus on sustainability, innovation, and e-mobility. Recent moves, like its $2.5 billion battery-swapping infrastructure partnership with Gogoro and the acquisition of H-One India in April 2025, underscore its forward-thinking approach.
IPO Details
The Belrise Industries IPO was a ₹2,150 crore fresh issue of 23.89 crore equity shares, with no offer-for-sale component. Here’s a snapshot of the key details:
Price Band: ₹85–₹90 per share
Lot Size: 166 shares (minimum retail investment of ₹14,110–₹14,940)
Issue Period: May 21–23, 2025
Listing Date: May 28, 2025 (BSE and NSE)
Allotment Date: May 26, 2025
Refund Initiation: May 27, 2025
Book Running Lead Managers: JM Financial, Axis Capital, Intensive Fiscal Services, Nuvama Wealth Management
Registrar: Link Intime India Private Limited
The IPO was fully subscribed, reflecting strong investor confidence. The proceeds are earmarked for:
Repaying or prepaying borrowings of subsidiaries.
General corporate purposes.
Financial Performance
Belrise Industries has shown robust financial growth, making it an attractive proposition for investors. In FY24, the company reported:
Revenue: ₹7,557 crore
Profit After Tax (PAT): ₹310.9 crore
EBITDA Growth: 9.62% year-over-year
Book Net Worth Growth: 15.34% year-over-year
The company’s 16.4% CAGR from FY20 to FY24 outpaces the ACMA (Auto Component Manufacturers of India) index’s 12% growth, highlighting its operational efficiency. Post-IPO, Belrise’s market capitalization stood at approximately ₹8,009 crore, with a PE ratio of 22.7x (FY24 earnings) and 24.5x (FY25 TTM), notably lower than peers like Bharat Forge (60x).
Why Invest in Belrise Industries IPO?
Strengths
Market Leadership: With a 24% share in two-wheeler metal components, Belrise is a go-to supplier for major OEMs.
Diversified Portfolio: From automotive to white goods and e-mobility, the company’s offerings span multiple high-growth sectors.
Global Reach: Exports to key markets and partnerships with global giants like Jaguar Land Rover enhance its credibility.
Sustainability Focus: Investments in e-mobility and battery-swapping infrastructure align with India’s green energy push.
Strong Growth: A 16.4% CAGR and consistent financial performance signal stability and scalability.
Competitive Valuation: A PE ratio of 22.7x–24.5x is attractive compared to industry peers.
Risks
Debt Levels: The company’s subsidiaries carry significant borrowings, though IPO proceeds aim to address this.
Cyclical Industry: The automotive sector is sensitive to economic cycles, which could impact demand.
Competition: Peers like Bharat Forge and Endurance Technologies pose challenges in a competitive market.
How to Check Allotment Status
Investors can verify their allotment status using:
Link Intime India: Visit https://linkintime.co.in and enter your application number, DP ID, or PAN.
BSE/NSE Platforms: Use the respective websites with your application details.
Refunds for unallotted applications were processed on May 27, 2025, and shares were credited to demat accounts by May 28, 2025.
Should You Invest?
The Belrise Industries IPO is a compelling opportunity for investors seeking exposure to India’s automotive and e-mobility sectors. Its strong OEM relationships, diversified revenue streams, and competitive valuation make it a solid long-term bet. The company’s alignment with initiatives like “Make in India” and its leadership in sustainable technologies further bolster its appeal.
However, investors should weigh the risks, particularly the company’s debt and the cyclical nature of the automotive industry. Those with a medium-to-long-term horizon and a appetite for growth in India’s manufacturing sector may find Belrise a worthy addition to their portfolio.
Final Thoughts
Belrise Industries is more than just an automotive component manufacturer—it’s a symbol of India’s manufacturing ambitions. With its IPO, the company has opened its doors to public investors, offering a chance to ride the wave of India’s automotive and green energy revolution. For detailed insights, check the prospectus on SEBI’s website (https://www.sebi.gov.in)