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The Behari Lal Engineering Limited IPO is a ₹302 crore public issue comprising a fresh issue of ₹209 crore and an offer for sale (OFS) of ₹93 crore. The Punjab-based company is an integrated steel manufacturer supplying customised metal rolls, engineering castings, alloy steel products and other specialised components to industrial and engineering customers.
The Behari Lal Engineering IPO opens on August 12, 2026, and closes on August 14, 2026, with the shares proposed to list on both BSE and NSE on August 19, 2026.
From an investment perspective, the company stands out for its improving profitability, strong return ratios, integrated manufacturing model and ₹178.57 crore order book. However, investors also need to consider customer concentration, raw material cost sensitivity and unhedged foreign exchange exposure.
Swastika Investmart has assigned a "SUBSCRIBE" rating to the Behari Lal Engineering IPO, citing the company's steady financial growth, expanding EBITDA margins, healthy order book and attractive valuation relative to several companies in the broader engineering and steel segment.
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Behari Lal Engineering IPO: Key Highlights
The Behari Lal Engineering IPO is a combination of a Fresh Issue and an Offer for Sale (OFS). The company is looking to raise approximately ₹302 crore through the public issue, with the majority of the issue comprising shares offered by existing shareholders.
The IPO is scheduled to open on August 12, 2026, and close on August 14, 2026. The equity shares are proposed to be listed on both the BSE and NSE.
At the upper price band of ₹285, the OFS component of 73,20,001 shares translates to approximately ₹208.62 crore, taking the overall issue size to around ₹301.62 crore.
What Does Behari Lal Engineering Do?
Behari Lal Engineering is an integrated B2B steel manufacturing company based in Punjab. Unlike consumer-oriented steel businesses, the company focuses on customised products used in demanding industrial and engineering applications.
Its manufacturing process covers activities from melting and refining to the production of finished customised products. This integrated approach allows the company to manufacture products in accordance with its customers' technical requirements. Its product portfolio includes:
- Metal rolls
- Engineering castings
- Alloy steel products
- Forging ingots
- Shafts
- Blocks
These products are used across industries such as mining, cement, infrastructure, automotive, wind energy and steel. The company's registered office is located in Mandi Gobindgarh, Punjab, a major steel manufacturing hub, while its corporate office is in East Delhi.
Behari Lal Engineering's Business Model
The company's business model is primarily based on supplying specialised steel and engineering products to industrial customers. Its integrated manufacturing capabilities are particularly important because customised products often require control over multiple stages of production. BLEL's operations cover the manufacturing chain from raw material processing through melting, refining and rolling to finished products.
The company has also established relationships with customers across multiple industries. However, investors should note that the top 10 customers contributed around 38% of revenue, while the company does not have long-term contracts with these customers.
This creates both an opportunity and a risk: established customer relationships can support repeat business, but the absence of long-term contracts means future orders cannot be taken for granted.
Behari Lal Engineering IPO Dates
The complete Behari Lal Engineering IPO timeline is as follows:
Investors applying to the IPO should ensure that their application and UPI/ASBA processes are completed within the issue window.
Behari Lal Engineering IPO Issue Size and Structure
One of the important corrections to the earlier information is the Fresh Issue and OFS composition.
The IPO comprises a Fresh Issue of up to ₹93 crore, while the Offer for Sale consists of 73,20,001 equity shares. At the upper price band of ₹285, the OFS is worth approximately ₹208.62 crore.
This distinction is important because the proceeds from the Fresh Issue will go to the company, whereas the money raised through the OFS will accrue to the respective selling shareholders.
Read more About Behari Lal Engineering IPO Updates: Behari Lal Engineering IPO Review: Should You Apply?
Offer for Sale: Selling Shareholders
The revised OFS comprises shares offered by promoters, promoter-group shareholders and an investor shareholder.
- Fresh Issue: ₹209 crore
- Offer for Sale: ₹93 crore
The fresh issue will bring new capital into the company, while the OFS represents shares being sold by existing shareholders.
The largest portion of the OFS is being offered by SG Tech Engineering Private Limited, followed by Yogita Garg and Rajesh Garg.
Behari Lal Engineering IPO: What Will the Fresh Issue Proceeds Be Used For?
The ₹93 crore Fresh Issue is intended to support the company's expansion and financial requirements.
Approximately ₹63.04 crore is proposed to be used for purchasing new plant, machinery and equipment, including rooftop solar panels at Manufacturing Facilities 1 and 2. Another ₹20 crore is earmarked for repayment or prepayment of specified borrowings.
The remaining amount is intended for general corporate purposes, subject to applicable limits.
The proposed capital expenditure could help the company increase manufacturing capacity and improve operational efficiency, while the debt repayment component may help reduce its financing burden.
Behari Lal Engineering Financial Performance
Behari Lal Engineering has reported consistent improvement in revenue and profitability over FY24-FY26.
Revenue from operations increased from ₹446 crore in FY24 to approximately ₹534.03 crore in FY26, while net profit increased from ₹35.79 crore to ₹64.64 crore during the same period.
The improvement in margins is one of the key factors supporting the investment case. EBITDA margin increased from 13.67% in FY24 to 18.97% in FY26, indicating improved operating profitability.
Behari Lal Engineering IPO Valuation
At the upper price band of ₹285, the company's pre-IPO P/E ratio is 17.21x based on the FY26 information provided. The valuation compares with the following companies:
The company states that it does not have a directly listed peer operating in the same business. Therefore, the comparison should be viewed in the broader context of specialised steel, casting and engineering companies.
At 17.21x earnings, BLEL's valuation is below the P/E multiples of most companies in the comparison set. However, valuation should not be considered in isolation. The company's smaller revenue base, customer concentration and exposure to raw material and foreign exchange movements also need to be considered.
Behari Lal Engineering IPO Financial Ratios
The company's FY26 return ratios also remain noteworthy.
The 0.06x debt-to-equity ratio indicates that the company had a relatively low level of financial leverage as of FY26.
Behari Lal Engineering IPO Order Book
As of May 31, 2026, Behari Lal Engineering had an order book of approximately ₹178.57 crore.
The order book provides visibility into future business and can support revenue generation over the coming periods. However, investors should also consider the nature of the company's customer relationships and the absence of long-term contracts with customers.
The company plans to further increase capacity and focus on higher-value and value-added products. It also intends to deepen relationships with existing customers by introducing additional products and grades while expanding its export presence.
Behari Lal Engineering IPO Growth Strategy
The company's growth strategy revolves around four broad areas:
Capacity Expansion
The company plans to augment its installed manufacturing capacity to accommodate expected business growth.
Higher-Value Products
Behari Lal Engineering intends to increasingly focus on higher-value and value-added products, which could support product mix improvement and profitability.
Increasing Customer Wallet Share
The company aims to introduce additional products and grades to existing customers, potentially increasing the share of business generated from its established customer base.
Export Expansion
The company currently exports to 21 countries and intends to expand its international market presence.
Behari Lal Engineering IPO: Key Strengths Investors Should Know
Integrated Manufacturing Capabilities
The company's ability to manage the production process from melting and refining to customised finished products provides greater control over manufacturing.
Improving Profitability
EBITDA margin increased from 13.67% in FY24 to 18.97% in FY26, while PAT margin improved from 8.02% to 12.10%.
Strong Return Ratios
The company reported 23.60% ROE and 27.11% ROCE for FY26, reflecting healthy capital efficiency.
Order Book Visibility
The ₹178.57 crore order book as of May 31, 2026, provides visibility into upcoming business.
Relatively Low Leverage
The FY26 debt-to-equity ratio stood at just 0.06x, indicating a relatively conservative leverage position.
Behari Lal Engineering IPO: Key Risks Investors Should Consider
Despite the positive financial trajectory, investors should consider several risks before subscribing to the issue.
Customer Concentration
The top 10 customers contributed approximately 38% of revenue. The company also does not have long-term contracts with its customers, which could create revenue visibility risks if major relationships change.
Raw Material Price Volatility
Raw materials account for approximately 61% of total expenses. Any significant increase in input prices could therefore affect margins if the company is unable to pass the higher costs on to customers.
Foreign Exchange Risk
Behari Lal Engineering exports to 21 countries but does not currently hedge its currency exposure. Changes in exchange rates could therefore affect its reported financial performance.
Execution of Expansion Plans
A portion of the Fresh Issue is intended for new machinery and equipment. Investors should monitor how effectively the company deploys this capital and converts the additional capacity into revenue.
Behari Lal Engineering IPO: Promoters and Corporate History
Behari Lal Engineering was originally incorporated on May 23, 1995, as Behari Lal Ispat Private Limited in Punjab.
The company subsequently changed its name to Behari Lal Engineering Private Limited on September 4, 2024, before converting into a public limited company on September 21, 2024.
The company's core promoters include Parkash Chand Garg, Rajesh Garg, Dinesh Garg, Lovlish Garg and Bhuvnesh Garg. A recent regulatory update also added Anchorman Consultancy Private Limited and Kunj Forgings Private Limited to the company's Promoter Group.
Behari Lal Engineering IPO: Swastika Investmart Rating
Swastika Investmart Rating: SUBSCRIBE
Swastika Investmart has assigned a "SUBSCRIBE" rating to the Behari Lal Engineering IPO.
The positive view is supported by the company's steady revenue and profit growth, expanding EBITDA margins, healthy return ratios and its ₹178.57 crore order book.
The valuation is also a key consideration. At a P/E of 17.21x, the IPO is positioned at a lower valuation than several companies included in the broader peer comparison.
However, the SUBSCRIBE rating should be considered alongside the company's customer concentration, raw-material sensitivity and unhedged foreign-exchange exposure.
Behari Lal Engineering IPO: Should You Subscribe?
The Behari Lal Engineering IPO presents a combination of steady financial growth, improving operating margins, healthy return ratios, low leverage and an established industrial customer base. At the same time, investors should not overlook the risks associated with customer concentration, raw-material costs and foreign-exchange fluctuations.
The ₹93 crore Fresh Issue is primarily intended for capacity expansion, rooftop solar installation and debt repayment, while the larger OFS component of approximately ₹209 crore represents an exit by existing shareholders. Investors should therefore evaluate the IPO based on their risk appetite, investment horizon and assessment of the company's ability to sustain its growth and margins after listing.
Behari Lal Engineering IPO Frequently Asked Questions
When will the Behari Lal Engineering IPO open and close?
The Behari Lal Engineering IPO will open for subscription on August 12, 2026, and close on August 14, 2026.
What is the Behari Lal Engineering IPO price band?
The IPO price band has been fixed at ₹271 to ₹285 per equity share.
What is the Behari Lal Engineering IPO lot size?
The minimum application lot is 52 shares. Investors can bid in multiples of 52 shares thereafter.
What is the total issue size of the Behari Lal Engineering IPO?
The total IPO size is approximately ₹301.62 crore, comprising a Fresh Issue of up to ₹93 crore and an OFS of up to 73,20,001 equity shares, worth approximately ₹208.62 crore at the upper price band.
How much is the Fresh Issue in the Behari Lal Engineering IPO?
The Fresh Issue is up to ₹93 crore. The proceeds will primarily be used for capital expenditure, repayment or prepayment of borrowings and general corporate purposes.
How much is the OFS in the Behari Lal Engineering IPO?
The Offer for Sale comprises up to 73,20,001 equity shares. At ₹285 per share, the OFS is worth approximately ₹208.62 crore.
What will Behari Lal Engineering use the IPO proceeds for?
The company plans to use the Fresh Issue proceeds for purchasing plant, machinery and equipment, including rooftop solar panels, repayment or prepayment of certain borrowings and general corporate purposes.
What is the order book of Behari Lal Engineering?
As of May 31, 2026, the company had an order book of approximately ₹178.57 crore, providing visibility for future revenue.
What is Behari Lal Engineering's FY26 revenue and profit?
For FY26, Behari Lal Engineering reported approximately ₹534.03 crore in revenue from operations and ₹64.64 crore in net profit.
What is Behari Lal Engineering's EBITDA margin?
The company's EBITDA margin improved to 18.97% in FY26, compared with 13.67% in FY24.
What is the P/E ratio of the Behari Lal Engineering IPO?
At the upper price band of ₹285, the pre-IPO P/E ratio is 17.21x based on the provided FY26 financial information.
What are the ROE and ROCE of Behari Lal Engineering?
For FY26, the company reported ROE of 23.60% and ROCE of 27.11%.
What are the major risks of the Behari Lal Engineering IPO?
Key risks include customer concentration, raw-material price volatility and unhedged foreign-exchange exposure. The top 10 customers contributed around 38% of revenue, while raw materials accounted for approximately 61% of expenses.
What is the Swastika Investmart rating for the Behari Lal Engineering IPO?
Swastika Investmart has assigned a "SUBSCRIBE" rating to the Behari Lal Engineering IPO, citing the company's financial growth, improving margins, healthy return ratios, order-book visibility and valuation.
When will Behari Lal Engineering IPO shares be listed?
The shares are expected to be listed on August 19, 2026, on both the BSE and NSE, subject to the completion of the IPO process.
Where is Behari Lal Engineering based?
The company's registered office is in Mandi Gobindgarh, Punjab, a prominent steel manufacturing hub. It also has a corporate office in East Delhi.
What products does Behari Lal Engineering manufacture?
The company manufactures specialised metal rolls, engineering castings, alloy steel products, forging ingots, shafts and blocks for industrial and engineering applications.
Is Behari Lal Engineering a consumer steel company?
No. Behari Lal Engineering primarily operates as a B2B industrial manufacturer, supplying customised steel and engineering products to sectors such as mining, cement, infrastructure, automotive, wind energy and steel.
What is the minimum investment for the Behari Lal Engineering IPO?
At the upper price band of ₹285, one lot of 52 shares requires an investment of ₹14,820, excluding applicable charges.
When is the Behari Lal Engineering IPO allotment expected?
The basis of allotment is expected on August 17, 2026, followed by the unblocking of funds and credit of shares to demat accounts on or around August 18, 2026.
Behari Lal Engineering IPO: Conclusion
The Behari Lal Engineering IPO offers investors exposure to a specialised B2B steel and engineering manufacturer with improving profitability, healthy return ratios and a visible order book. Its low leverage and valuation provide additional positives, although customer concentration, raw-material volatility and forex risks remain important factors to monitor. For more IPO-specific updates, subscription details, analyst views and other market insights, visit Swastika Investmart.
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