Bengaluru-based Bonfiglioli Transmissions is one of India’s leading technology-driven companies providing mechanical and electro-mechanical power transmission and industrial drive solutions. It designs and manufactures high-precision, mission-critical gearboxes and drive systems that are used across a wide range of industries.
Ahead of its IPO, Bonfiglioli raised Rs 759.26 crore from 73 anchor investors as it allocated 1,29,56,712 equity shares at Rs 586 apiece. It anchor book included names like SBI MF, ICICI Pru MF, HDFC MF, ISIF Hybrid Fund, Nippon Life India Trustee, Axis MF, Kotak India Equity Fund, Government Pension Fund, Blackrock, Aditya Birla Sun Life, Abu Dhabi Investment Authority, Invesco India and more.
Bonfiglioli reported a net profit of Rs 148.58 crore with a revenue of Rs 1,139.16 crore for the quarter ended on June 30, 2026. The company reported a net profit of Rs 237.87 crore with revenue of Rs 2,023.59 crore for the financial year 2025-2026. At the current valuations, Bonfiglioli is commanding a market capitalization of more than Rs 11,000 crore.
Bonfiglioli has reserved 50 per cent of the net issue for qualified institutional bidders, while non-institutional investors will get 15 per cent allocation. Retail investors will get 35 per cent reservation in the IPO. Last heard, Bongliofioli was commanding a grey market premium (GMP) of Rs 175-180 per shares, suggesting 30-31 per cent listing gains for the investors.
Axis Capital, BNP Paribas, Jefferies India and ICICI Securities are the book running lead managers and MUFG Intime India is the registrar of the issue. Shares of the company shall be listed on both NSE Ltd and BSE Ltd on Friday, October 23. Here's what brokerage firms have to say on the IPO of Bonfiglioli Transmissions:
Anand Rathi Share & Stock Brokers
Rating: Subscribe for long-term
Bonfiglioli is well positioned to capitalise on the growing demand for industrial automation, advanced power transmission solutions and renewable energy. Its diversified product portfolio, established manufacturing capabilities, strong industry positioning and extensive sales and service network provide a platform for sustainable growth, said Anand Rathi Share & Stock Brokers.
"Increasing industrial modernisation and automation adoption offer long-term growth opportunities. However, cyclical end-market demand, competitive intensity and input cost volatility remain key risks. Going forward, industrial capital expenditure, automation adoption and renewable energy expansion could support business growth. We assign 'subscribe for long term' rating for the issue," it said
SBI Securities
Rating: Subscribe
Bonfiglioli benefits from a strong and loyal dealer network comprising 44 dealers as of June 2026, of which 16 have been associated with it for over 20 years and 36 operate on an exclusive basis, providing deep market reach and customer stickiness. It delivered revenue, EBITDA and PAT CAGR of 9.2 per cent, 23.3 per cent and 27.4 per cent respectively, during CY23-CY25 period, said SBI Securities.
"It also delivered RoCE and RoE of 33.5 per cent and 24 per cent respectively in CY25 which is better than its peers. Given its diversified business model, strong return profile, established distribution network, and favorable industry tailwinds across industrial automation, off highway, and wind energy segments, we recommend investors to 'subscribe' to the issue," it added.
Canara Bank Securities
Rating: Subscribe for long-term
Bonfiglioli's manufacturing footprint and rising share of domestic sourcing may support shorter lead times and supply-chain resilience. Its India R&D Centre adds testing and development capabilities. Planned investment in heavy-duty gearboxes, e-mobility products and digitalised operations could broaden its addressable markets, said Canara Bank Securities with a 'subscribe for long-term' tag.
Swastika Investmart
Rating: Subscribe
The valuation of Bonfiglioli 46.3 times FY26 EPS leaves limited room for immediate, multi-fold expansion on day one, but it accurately reflects its market-leading position, strong parentage, and clean balance sheet. The balance sheet maintains a low debt-to-equity ratio, allowing internal accruals to fund expansion without diluting return ratios, said Swastika Investmart.
"EBITDA margins have expanded to 19.8 per cent in Q1 FY27, driven by higher localization of gear components and growing demand in high-margin wind turbine drives. Strong financial metrics, market leadership in gearboxes, high return ratios, and direct exposure to India's industrial automation and renewable energy tailwinds make it a high-quality compounder for long-term industrial portfolios," it said.
Master Capital Services
Rating: Subscribe for long-term
Bonfiglioli's products serve industrial machinery, material handling, construction and mining equipment, agricultural machinery and wind turbines. It is positioned to benefit from rising industrial automation, demand for energy-efficient drives, infrastructure development, equipment electrification and renewable energy expansion, said Master Capital with a 'subscribe for long-term rating.
KC Securities
Rating: Subscribe for long-term
Bonfiglioli's established OEM relationships, advanced product portfolio and localisation-led margin improvement provide support for sustainable growth. The valuation at 46.3 times FY26 P/E, its global technology backing, competitive positioning and exposure to structural industrial and renewable energy growth drivers offer justification for a premium valuation, said KC Securities with a 'subscribe for long-term' rating.
SMIFS
Rating: Subscribe
Bonfiglioli’s established manufacturing infrastructure, increasing domestic sourcing and access to the parent group’s global R&D capabilities position it to capitalise on these opportunities, said SMIFS. "We recommend subscribe to the IPO from a long-term investment perspective, supported by the company’s established market position, technological capabilities, global parentage and exposure to structural growth in industrial automation."
BP Equities
Rating: Subscribe
Bonfiglioli Transmissions is valued at 46.32 times CY25 earnings, with EPS of Rs. 12.65. The valuation is below the peer average of 51.61 times, said BP Equities. "Its market leadership in selected product categories, particularly its 67.9 per cent share in domestic yaw and pitch drives, alongside its strong return ratios and improving profitability, support its positioning," it said with a 'subscribe' rating,
Ventura Securities
Rating: Subscribe
Bonfiglioli is strategically positioned to capitalize on automation, infrastructure, and clean energy tailwinds across India. To address the expanding heavy-duty gearbox market—projected to reach Rs 5,790.00 crore by Fiscal 2031— it is establishing a dedicated facility in Talegaon, Maharashtra. It is also broadening its technological footprint into e-mobility solutions while deepening component localization and expanding aftermarket services.
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