Bonfiglioli Transmissions IPO: GMP, Price, Lot Size, Financials & Review

Bonfiglioli Transmissions Ltd., the Indian arm of Italy's Bonfiglioli group, came to market with a ₹2,533.81 crore IPO. The entire issue is an offer for sale (OFS) by its Italian parent, Bonfiglioli S.p.A., so the company itself raises nothing. Bidding ran from 15 October 2026 to 19 October 2026 at a price band of ₹558 to ₹586 per share. Allotment is scheduled for 21 October 2026 and listing on BSE and NSE for 23 October 2026. The business is profitable and growing. The main questions are valuation, and what it means when a parent sells part of its stake while keeping control.

Bonfiglioli Transmissions IPO Details

The net offer of 4,31,89,042 shares is split 50% to qualified institutional buyers, 15% to non-institutional investors and 35% (1,51,16,165 shares) to retail investors. Small HNI (sNII) bids start at 14 lots (350 shares, ₹2,05,100) and big HNI (bNII) bids at 69 lots (1,725 shares, ₹10,10,850). Half the anchor shares are locked in until 20 November 2026 and the rest until 19 January 2027.

About Bonfiglioli Transmissions

The company makes the parts that turn a motor's spin into usable, controlled motion. Its products include gearboxes, gear motors, variable frequency drives, servo drives and precision drives for robotics. Customers fall into three broad groups:

• Industry and automation: drives and gearboxes for factory machinery and automated equipment
• Off-highway mobility: drive systems for heavy mobile machines that work away from roads
• Wind: gear and drive systems for wind turbines

As disclosed in its offer documents, the company runs three manufacturing plants in India, two in Tamil Nadu and one in Maharashtra. As of 30 June 2026 it had 1,032 personnel, 285 suppliers and 71 sales and service touchpoints. A research report commissioned for the IPO ranks it India's largest maker, by revenue from operations, of gearboxes below 15 kNm and drives for these three segments. The wider Bonfiglioli group operates in about 80 countries, with 18 production sites and seven R&D centres.

Financial Performance

The company follows a January–December financial year, like its parent. Restated figures, ₹ crore:

Revenue from operations was ₹2,013.52 crore in CY2025. For the first half of 2026 it was ₹1,131.87 crore, against ₹960.36 crore in the first half of 2025.

• Profit has grown faster than sales. Total income rose about 9% in each of CY2024 and CY2025. Profit after tax rose about 31% and 22% in those years.
• Margins have widened every year. EBITDA as a share of total income went from about 14.3% in CY2023 to 15.9% in CY2024 and 18.3% in CY2025. Net margin moved from about 8.7% to 11.8% over the same period.
• The first half of 2026 was stronger. Compared with the first half of 2025, total income was up about 18% (₹1,139.17 crore vs ₹966.50 crore) and profit up about 29% (₹148.58 crore vs ₹114.97 crore).

Key Ratios & Valuation

Because no new shares are issued, the share count stays at 18,79,95,834 and the IPO does not dilute EPS. The two P/E figures differ only in which earnings they use. The 46.32x multiple is based on full-year CY2025 profit. The 37.07x multiple doubles the first-half 2026 profit, which assumes the second half matches the first. On our calculation, the market cap is about 5.5 times CY2025 revenue from operations. No listed peer comparison was available in the source data, so we have not offered one. Our guide to IPO valuation ratios explains how to weigh P/E against margins and return ratios.

Objects of the Issue: What a 100% OFS Means

Because this is a pure offer for sale, the company receives no money from the IPO. Every rupee raised, less the selling shareholder's share of issue costs, goes to Bonfiglioli S.p.A. in Italy. Nothing goes towards new plants, debt reduction or working capital at the Indian company.

What changes is the ownership:

• Before the IPO, the promoter group owned 100% of the company.
• The 4,32,39,042 shares being sold are 23% of the total share capital, so the promoter group's stake falls to 77%.
• The number of shares does not change, so existing per-share earnings are not diluted.

A pure OFS is common when a multinational lists its Indian subsidiary. The parent turns part of its holding into cash and gets a market price for the business, while keeping firm control. For a public shareholder, this means buying into a business whose day-to-day decisions, technology, brand use and group dealings remain with the parent. Indian listing rules generally require a company to reach at least 25% public shareholding within a set period, so a further small sale by the parent at a later date is likely. The RHP explains how the company plans to comply. Our explainer on fresh issue vs offer for sale covers this in more depth.

Shareholding & Promoters

The promoters are Bonfiglioli S.p.A., Bon-FI S.R.L., Sonia Bonfiglioli, Luciano Bonfiglioli and Luisa Lusardi. Promoter and promoter group holding falls from 100% before the issue to 77% after it, and the public will hold 23%. Bonfiglioli S.p.A. is the only selling shareholder.

Subscription Status

As of 5:07 pm on 16 October 2026 (end of day 2), the issue had been subscribed 0.99 times overall. QIBs stood at 0.16 times, NIIs at 1.71 times, retail at 1.16 times and employees at 2.10 times. These are mid-issue figures, and institutional bids often come in on the last day. Final numbers after the 19 October close are on our Bonfiglioli Transmissions IPO page. See IPO subscription status explained for how to read them.

Bonfiglioli Transmissions IPO GMP Today

As of 17 October 2026, our tracked grey market premium for Bonfiglioli Transmissions was ₹129, about 22.01% over the upper band of ₹586. It peaked at ₹178 on 14 October 2026 and has eased since. GMP is unofficial and unregulated and can change quickly. It is not a reliable predictor of the listing price, as our analysis of how accurate IPO GMP is shows.

Strengths (as stated by the company)

• End-to-end, technology-led drive and transmission solutions
• A diversified product range across several industries and end markets
• The parent's brand, global R&D and local engineering support
• Relationships with large customers
• Modern manufacturing infrastructure
• An experienced management team and a record of steady financial performance

Risks to Consider

• No money for the company: as a 100% OFS, the IPO does not fund any growth, capacity or debt reduction at Bonfiglioli Transmissions.
• Rich valuation: at 46.32x CY2025 earnings and 11.09x book value, the price already assumes margins stay high and growth continues.
• Modest top-line growth: total income grew only about 9% a year in CY2024 and CY2025. Much of the profit growth came from wider margins, which may not keep expanding at the same pace.
• Parent control and group dealings: with the parent at 77%, minority shareholders have limited influence. Readers should check the RHP's related-party transactions section for payments to and purchases from group companies.
• Cyclical end markets: wind power, off-highway machinery and industrial capital spending tend to move with economic and policy cycles.
• Future share supply: the parent may need to sell more shares to meet public shareholding rules, and anchor lock-ins end on 20 November 2026 and 19 January 2027 (see anchor investor lock-up expiry).

How to Check Allotment Status

The basis of allotment is expected on 21 October 2026, with refunds and share credit on 22 October 2026. MUFG Intime India is the registrar. You can check your status on our Bonfiglioli Transmissions allotment page, or follow the steps in how to check IPO allotment status by registrar.

Disclaimer: This article is for educational purposes only and is not investment advice. GMP is unofficial and can change quickly. Read the RHP and consult a SEBI-registered adviser before investing.