Bharat Forge Limited announced the successful completion of its Qualified Institutional Placement (QIP), raising Rs 1,650 crores on December 9, 2024. The offering saw substantial interest from both domestic and international qualified institutional investors, resulting in demand exceeding the issue size by more than 10 times.
Over 90% of the allocation was made to prominent domestic and foreign long-only funds and insurance companies. The QIP was priced at Rs 1,320 per share, slightly below the floor price of Rs 1,323.54 per share set by SEBI. The funds raised will be used for debt reduction and to support previously announced inorganic growth initiatives.
Amit Kalyani, Vice Chairman and Joint Managing Director, expressed gratitude to the investors for their strong response, reaffirming their confidence in the company’s management and its ongoing transformation. “We are committed to driving sustained growth and value for all stakeholders,” he said.
Kotak Mahindra Capital Company Limited and Morgan Stanley India Company Private Limited served as the Book Running Lead Managers (BRLM) for the offering. Khaitan & Co. acted as Bharat Forge’s legal counsel, while Shardul Amarchand Mangaldas & Co. and Freshfields Bruckhaus Deringer provided legal counsel to the BRLMs.
Bharat Forge, headquartered in Pune, is a global leader in providing high-performance, safety-critical components across industries including automotive, power, oil and gas, construction, mining, rail, marine, defense, and aerospace. With a presence in five countries, the company offers a comprehensive range of services, from product design and engineering to manufacturing, testing, and validation.
