Business · Companies · 2 hrs ago

Bonfiglioli Transmissions plans Rs2,534 crore IPO

Bonfiglioli Transmissions plans Rs2,534 crore IPO

Bonfiglioli Transmissions plans a Rs2,534 crore IPO in India, selling shares held by its promoter group rather than issuing new shares.

The Italian promoter group's stake is expected to fall from 100% to 77% after the offer.

The company makes gearboxes and drive systems for industries including automation, construction, mining and wind power, and runs three factories in Tamil Nadu and Maharashtra.

It has a leading position in some markets, including a 67.9% share of domestic manufacturers' yaw and pitch drives for wind turbines in 2025.

Revenue and profit have grown, and its operating margin expanded from 2023 through the six months ending June 2026.

About 30% of its raw materials come from overseas, leaving the business exposed to currency movements; it also pays royalties to its promoter for intellectual property.

The IPO may suit investors willing to take high risks, while its valuation and exposure to currency changes are factors to weigh.

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