Belrise IPO Sees Blockbuster Response, Subscribed 41.3 Times On Final Day

Mumbai: The initial public offering (IPO) of Belrise Industries witnessed a stellar response from investors, with the issue being subscribed 41.30 times on the final day of bidding, led by strong institutional demand. The Rs 2,150-crore public issue received bids for 7.31 billion shares against the 1.77 billion shares on offer, as per NSE data.

The Qualified Institutional Buyers (QIBs) category was the highlight, getting subscribed a massive 108.35 times, reflecting heightened interest from large investors. Non-Institutional Investors (NIIs) followed with 38.33 times subscription, while the Retail Individual Investors (RIIs) segment attracted 4.27 times bids.

Ahead of the issue, Belrise Industries had raised Rs 645 crore from anchor investors on Tuesday. The IPO comprises entirely a fresh issue of equity shares with no Offer for Sale (OFS) component. The price band was set at Rs 85-90 per share.

According to the draft red herring prospectus (DRHP), the company plans to deploy Rs 1,618 crore from the proceeds to repay debt. As of December 2024, the company’s total borrowings stood at nearly Rs 2,600 crore, making debt reduction a key strategic priority.

Belrise Industries, a major player in the automotive components segment, manufactures a wide range of safety-critical and engineering systems for vehicles, including two-wheelers, three-wheelers, four-wheelers, commercial vehicles, and agri-vehicles. The company enjoys long-term partnerships with top-tier OEMs, including Bajaj Auto, Honda Motorcycle & Scooter India, Hero MotoCorp, Jaguar Land Rover, and Royal Enfield.

The IPO was managed by Axis Capital, HSBC Securities and Capital Markets (India) Pvt Ltd, Jefferies India, and SBI Capital Markets, who acted as the book running lead managers.