Belrise Industries IPO Day 2 update: Subscription rises 1.2x, GMP up 19%

Business Standard

22-05-2025

Belrise Industries IPO subscription status: The initial public offering (IPO) of Belrise Industries, which opened for public subscription on Wednesday, May 21, has received a muted response from investors. The NSE data suggests that the ₹144.89 crore offering of Belrise Industries received bids for 22,47,22,998 shares, against 17,70,58,824 shares on offer, resulting in a subscription of 1.27 times 11:45 AM on Thursday, May 22.
The public offering has received the highest bid from the Non-Institutional Investors, who have oversubscribed the category reserved for them by 3.34 times. Meanwhile, retail investors have subscribed the category reserved for them by 86 per cent, and Qualified Institutional Buyers (QIBs) by 44 per cent.
Belrise Industries IPO details
The public offering is a book-built issue, which comprises an entirely fresh issue of equity shares, without any offer-for-sale (OFS) component. Belrise Industries IPO is available at a price band of ₹85–90 per share, with a lot size of 166 shares. Thus, investors can bid for a minimum of 166 shares of Belrise Industries IPO and in multiples thereof.
To bid for one lot or 166 shares of Belrise Industries IPO, a retail investor would require a minimum of ₹14,940, taking the upper end of the IPO price into consideration. 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 on the second day of the subscription period. Sources tracking unofficial market activities revealed that Belrise Industries shares were seen trading at around ₹107 per share, reflecting a grey market premium (GMP) of ₹17 or 18.89 per cent over the upper end of the issue price.
Belrise Industries IPO review
Analysts at Geojit have recommended investors to subscribe to Belrise Industries IPO from a long-term perspective. At the upper price band of ₹90, BIL is available at a P/E ratio of 25.8x (FY24 EPS), which, analysts said, appears to be reasonably priced compared to its long-term profitability and PAT margin expansion owing to improvement in financial metrics. "Given its dominant market share, diversified product portfolio, strong presence in EV & IC engine segments, capacity expansions, optimized inventory management and favourable industry outlook, we recommend a 'Subscribe' rating on a long-term basis," wrote the analysts in a research note.
Besides this, Belrise Industries has also received favourable reviews from other brokerages including Choice Broking (Subscribe), ICICI Securities (Subscribe), and Anand Rathi Research Team (Subscribe for long-term). READ MORE.
Belrise Industries IPO timeline
The public offering will remain available for subscription till Friday, May 23, 2025. Following that, the basis of allotment of Belrise Industries shares is likely to take place on Monday, May 26, 2025. The successful allottees will receive the company's shares into their demat account tentatively on Tuesday, May 27, 2025.
Belrise Industries IPO objective
Belrise Industries proposes to 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
For the public offering, MUFG InTime India (formerly Link InTime India) serves as the registrar, while the book-running lead managers include Axis Capital, HSBC Securities and Capital Markets (India), Jefferies India, and SBI Capital Markets.
About Belrise Industries
Established in 1996, Belrise Industries is an Indian manufacturer of automotive components, specializing in safety-critical and precision-engineered solutions across vehicle segments, including two-, three-, and four-wheelers, commercial, and agricultural vehicles. In FY24, BIL held a 24 per cent market share in the two-wheeler metal components segment. Its diversified product portfolio spans chassis systems, polymer and suspension components, BIW structures, and exhaust systems for both EVs and ICE vehicles. As of 9MFY25, BIL has built strategic partnerships with 29 global OEMs, such as Bajaj Auto, Honda, Hero MotoCorp, Jaguar Land Rover, and Royal Enfield. The company operates 17 facilities across 10 cities in 9 states, processing 60,000 tons of steel annually.