Belrise Industries Gets SEBI Approval for ₹2,150 Crore IPO

Belrise Industries Ltd. has received approval from the Securities and Exchange Board of India (SEBI) to proceed with its Initial Public Offering (IPO). The company had submitted its draft red herring prospectus (DRHP) on November 19, 2024, and SEBI granted approval on March 4, 2025.

IPO Structure 

The IPO consists of a fresh issue of equity shares worth ₹2,150 crore. There is no offer-for-sale (OFS) component, meaning all proceeds will go to the company.

Belrise plans to use the funds to repay or prepay outstanding borrowings, with ₹1,618.1 crore allocated for debt reduction. The remaining funds will be used for general corporate purposes. As of September 30, 2024, the company had total borrowings of ₹2,588 crore.

The company may also consider raising up to ₹430 crore in a pre-IPO round, which would reduce the fresh issue size accordingly.

IPO Allocation and Lead Managers

The IPO will be allocated as follows:

• 50% to Qualified Institutional Buyers (QIBs), with 60% of this reserved for anchor investors.
• 15% to Non-Institutional Investors (NIIs).
• 35% to Retail Investors.

The issue is being managed by Axis Capital Ltd., HSBC Securities and Capital Markets (India) Pvt. Ltd., Jefferies India Pvt. Ltd., and SBI Capital Markets Ltd. Link Intime India Pvt. Ltd. is the registrar.

Listing and Pricing

After the IPO, Belrise Industries will be listed on NSE and BSE. The price band will be determined in consultation with the book-running lead managers.

Background and Operations

Belrise Industries, established in 1988, manufactures automotive components for two-wheelers, three-wheelers, passenger vehicles, and commercial vehicles. The company produces metal chassis systems, polymer components, suspension systems, body-in-white components, and exhaust systems.

For FY24, the company reported revenue of ₹7,484.2 crore. It operates over 15 manufacturing facilities across seven states in India and has a workforce of more than 15,000 employees. The company also exports to Austria, Slovakia, the UK, Japan, and Thailand.

Conclusion

The approval from SEBI marks a step in Belrise Industries’ public listing process. The company will now proceed with determining the price band and launch timeline in coordination with its lead managers.

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