Behari Lal Engineering IPO: Date, Price, GMP & Review

Behari Lal Engineering IPO Details

Behari Lal Engineering IPO is a Mainboard IPO with an issue size of Rs. 301.62 Cr by Behari Lal Engineering Limited, comprising a combination of fresh issue of 0.33 crore shares (Rs. 93 Cr) and offer for sale of 0.73 crore shares (Rs. 208.62 Cr).

The Behari Lal Engineering IPO opening date is 12 Aug 2026; its initial public offering will end on 14 Aug, IPO allotment on Aug 17, and refund initiation on Aug 18, 2026, and the listing date (expected) might be on Wednesday, Aug 19, 2026, on the BSE and NSE. 

The Behari Lal Engineering IPO price band is Rs. 271 to Rs. 285.

If you are also looking to apply in this IPO and are confused about whether you should proceed or not, then we have made an analysis in which we will be covering the company’s business, financials, industry trends, valuation, strengths and weaknesses, its current GMP indications, etc that can help you in taking a decision. Keep scrolling.

Behari Lal Engineering IPO- Company Analysis

Behari Lal Engineering is a comprehensive steel and iron production business with a focus on specialized engineering solutions. Metal rolls, engineering castings, alloy steel products, forging ingots, and shafts are among the precision-engineered parts that the company produces for vital industrial uses.

• Metal rolls of various grades, including S.G. iron pearlitic, graphitic steel, alloy cast steel, and alloy steel base adamite.

• 500 kg to 20 MT of engineering castings are used in the steel, iron, mining, aggregate crusher, electricity, and sugar sectors.

• Alloy steel products include tool and valve steel as well as carbon, alloy, and stainless steel bars in sections like rounds, flats, hex, and round corner squares, with sizes ranging from 6 mm to 230 mm.

• Forging Blocks and Shafts and Ingots 

What I find relevant here is that the company does not depend on just one industrial application. If you are evaluating its business quality, exposure across automobile, infrastructure, mining, steel, and industrial equipment industries provides useful diversification context.

IPO Timetable (Tentative) 

Industry Growth and Industry Outlook

The domestic steel demand has logged a significant 11.6% CAGR between fiscals 2022 and 2026. Demand is expected to accelerate to 225-250 MT by fiscal 2031 at a CAGR of 6.5-8.5%.

For you as an investor, this provides a supportive industry backdrop. However, I would not automatically translate industry growth into company growth. The real question is how effectively Behari Lal Engineering can capture this demand while protecting its margins and controlling costs.

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The Objective of the Issue

• Funding capital expenditure requirement for purchase and installation of new equipment/machinery (including computers, printers and computer peripherals) along with civil work for such installation at Manufacturing Facility 1. ~ Rs. 19.59 Cr.

• Purchase and installation of new roof-top solar panels at Manufacturing Facility 1. ~ Rs. 3.40 Cr.

• Purchase and installation of new equipment/machinery along with civil work for such installation at Manufacturing Facility 2. ~ Rs. 36.65 Cr.

• Purchase and installation of new roof-top solar panels at Manufacturing Facility 2. ~ Rs. 3.40 Cr.

• Repayment and/ or pre-payment, in full or part, of certain borrowings availed by the Company. ~ Rs. 0.57 Cr.

• General Corporate Purposes.
  
  

Promoters And Management of Behari Lal Engineering Ltd.

• Parkash Chand Garg

• Rajesh Garg

• Dinesh Garg

• Lovlish Garg 

• Bhuvnesh Garg.
  
  

Company Financials

• The Total Assets (everything the company owns, such as land, machines, cash, and materials) have shown steady growth over the last three years. They stood at ₹2,620.81 million as at March 31, 2024, increased to ₹2,959.77 million as at March 31, 2025, and further rose to ₹3,678.73 million as at March 31, 2026.

• The Total Income (money earned from main business plus any other income) has also improved consistently. It was ₹4,499.58 million for the year ended March 31, 2024, grew to ₹5,162.99 million for the year ended March 31, 2025, and reached ₹5,465.19 million for the year ended March 31, 2026.

• The Profit After Tax (final profit left after paying all costs and taxes) has recorded strong growth. It stood at ₹357.91 million for the year ended March 31, 2024, increased to ₹529.51 million for the year ended March 31, 2025, and further improved to ₹646.36 million for the year ended March 31, 2026.

• The EBITDA (operating profit before deducting interest, taxes, and asset wear-and-tear costs) has shown significant improvement over the same period. It was ₹609.86 million for the year ended March 31, 2024, rose to ₹813.12 million for the year ended March 31, 2025, and further increased to ₹1,013.28 million for the year ended March 31, 2026.

• The Net Worth (total value belonging to the owners/shareholders of the company) has strengthened considerably. It stood at ₹1,939.40 million as at March 31, 2024, increased to ₹2,416.16 million as at March 31, 2025, and further rose to ₹3,060.99 million as at March 31, 2026.

• The Reserves (profits saved and kept inside the company for future use)  have also grown steadily. They were ₹1,861.33 million as at March 31, 2024, increased to ₹2,338.08 million as at March 31, 2025, and further rose to ₹2,670.60 million as at March 31, 2026.

• The Total Borrowings (total loans and debt taken by the company) have shown a mixed trend. They stood at ₹412.13 million as at March 31, 2024, declined sharply to ₹75.77 million as at March 31, 2025, and stood at ₹177.77 million as at March 31, 2026.

For me, one of the more important points is that profitability has increased faster than total income. If you are analysing the IPO, I would therefore look beyond revenue growth and evaluate margins, return ratios, debt, and cash flow together.

Financials Snapshot

(Amount in Cr)

Cash Flows

• The Net Cash Flow from Operating Activities (cash generated from the company’s main day-to-day business after adjusting for working capital and taxes) stood at ₹371.44 million for the year ended March 31, 2024, increased significantly to ₹618.86 million for the year ended March 31, 2025, and was ₹275.38 million for the year ended March 31, 2026.

• Net Cash Flow from Investing Activities (cash used for buying/selling long-term assets like machinery, property, or investments) remained negative across the three years. It was ₹(523.78) million for the year ended March 31, 2024, improved to ₹(196.75) million for the year ended March 31, 2025, and stood at ₹(375.65) million for the year ended March 31, 2026.

• Net Cash Flow from Financing Activities (cash from loans, repayments, share issuance, and interest payments) was ₹137.65 million for the year ended March 31, 2024, turned negative to ₹(402.23) million for the year ended March 31, 2025, and again became positive at ₹87.10 million for the year ended March 31, 2026.

This is one section I would not skip. Positive profits are important, but actual cash generation tells you another part of the story. Operating cash flow remained positive, although the FY2026 figure was considerably below FY2025, so I would keep an eye on this trend going forward.

Cash Flows Snapshot

(Amount in Mn)

Revenue Bifurcation and How the Company Makes Money

The company buys steel scrap and other raw materials, converts them into high-quality specialised steel products (especially alloy steel bars, metal rolls and heavy engineering castings), and sells them mainly to automobile, infrastructure, mining/crusher and industrial equipment companies. This is how Behari Lal Engineering makes its money.

Alloy Steel Products is the largest contributor (around 46% of revenue).

Metal Rolls and Engineering Castings together contribute about 46% of revenue.

These three main product categories (Alloy Steel + Metal Rolls + Engineering Castings) contribute more than 90% of the total revenue.

(Source: RHP)

From an investor’s perspective, I would look at this from both sides. The company has exposure to multiple end-user industries, but a significant portion of its revenue is still concentrated within three main product categories

Listed Peers of Behari Lal Engineering Ltd. 

Valuation

• The Return on Equity (ROE), which measures the profitability of the Company in relation to the equity invested by its shareholders, stood at 22.83% for the year ended March 31, 2024, improved to 24.31% for the year ended March 31, 2025, and was 23.60% for the year ended March 31, 2026.

• The Return on Capital Employed (ROCE), which measures the Company’s efficiency in generating returns from the capital employed in the business, stood at 21.98% for the year ended March 31, 2024, increased to 28.24% for the year ended March 31, 2025, and was 27.11% for the year ended March 31, 2026.

• The Debt to Equity Ratio, which indicates the proportion of debt used to finance the Company’s assets relative to equity, stood at 0.21 times as at March 31, 2024, reduced significantly to 0.03 times as at March 31, 2025, and was 0.06 times as at March 31, 2026.

• The Return on Net Worth (RoNW), which measures the Company’s ability to generate profit from its net worth, stood at 22.83% for the year ended March 31, 2024, improved to 24.31% for the year ended March 31, 2025, and was 23.60% for the year ended March 31, 2026.

• The Profit After Tax (PAT) Margin, which indicates the overall profitability of the Company as a percentage of total income, stood at 8.02% for the year ended March 31, 2024, improved to 10.43% for the year ended March 31, 2025, and further increased to 12.10% for the year ended March 31, 2026.

• The EBITDA Margin, which indicates the operational profitability of the Company as a percentage of total income, stood at 13.67% for the year ended March 31, 2024, improved to 16.01% for the year ended March 31, 2025, and further increased to 18.97% for the year ended March 31, 2026.
  
  

Valuation Snapshot

Is Valuation Expensive?

The company’s P/E of around 17.21x at the upper band is lower than most of the listed peers mentioned above, while its return ratios (ROE and ROCE) remain reasonably healthy and the debt levels are low.

This is where the IPO becomes more interesting to me. A lower P/E than most listed peers looks favourable at first glance, particularly when ROE and ROCE remain healthy and debt is low.

But if you are evaluating the IPO, I would not call it cheap solely because its P/E is below peers. The more important question is whether the company can sustain its earnings growth, margins, and return ratios after listing.

Evaluation of P/E Ratio

Considering the period ended FY 2026 with an EPS of Rs. 16.56 from the last year, the resulting P/E ratio is 17.21x.

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IPO's Strengths/ Bull Case

If I look at the positive side of the issue, these are the factors that stand out:

• Long-standing relationships with a large number of customers spread across a wide array of end-user industries

• Diversified product portfolio catering to varied application industries

• Strategically located Manufacturing Facilities with advanced equipment and robust overlapping processes

• Experienced promoters and management team.

IPO's Weaknesses/ Bear Case

On the other hand, you should not look at the growth story without considering these risks:

• Dependence on raw material prices

• High fixed operational costs

• Challenges in expanding the international market.

Raw material dependence is one risk I would particularly keep on the watchlist. If input costs increase sharply and those costs cannot be passed on to customers quickly enough, profitability and margins could come under pressure.

Future Opportunities

• Global supply chain de-risking strategy, making India a preferred alternative in global supply chains

• Global market expansions

• Engagement in high-value tenders

• Forward Integration and Product Customisation

• Increasing demand for high-quality steel

• Strategic collaborations with leading Industry Players.

I would treat these as opportunities rather than guaranteed growth drivers. If you are considering the company from a long-term perspective, the important thing will be to see how effectively management converts these opportunities into revenue, margins, and cash flow.

Behari Lal Engineering IPO GMP

If you are tracking short-term market sentiment around the issue, GMP is one indicator you may be watching. I would still treat it as a sentiment indicator rather than the only reason to apply. 

Behari Lal Engineering IPO GMP today is Rs. 25 as of 10 Aug 2026, while writing this information. With the upper price band of Rs. 285, Behari Lal Engineering IPO's estimated listing price is Rs. 310. The expected listing gain/loss per share is 8.77%.

I would still not make the entire IPO decision based on GMP. GMP mainly indicates short-term grey-market sentiment and can change. For me, valuation, business fundamentals, financial performance, subscription demand, and risks deserve greater weight when analysing the overall issue.

Anchor Investors

Details of anchor participation (if any) would be available in filings; pre-IPO investors include entities like Anchorage Capital and Baring PE.

Subscription Status (Live)

Subscription data will be available during/after the issue period on BSE/NSE websites. Check official sources for real-time updates.

Behari Lal Engineering IPO Lesser Known Facts

This is a section I would not skip if you are seriously evaluating the issue, because these details provide context that may not be obvious from the headline IPO numbers.

• The Weighted Average Cost of Acquisition (WACA) of the Equity Shares being offered by the Selling Shareholders in the Offer for Sale is quite low for the Promoter Selling Shareholders. Rajesh Garg’s weighted average cost of acquisition is ₹1.12 per share, while Lovlish Garg’s is ₹2.72 per share. In comparison, the Investor Selling Shareholder (SG Tech Engineering Private Limited) has a much higher cost of acquisition of ₹89.65 per share.

• At an offer price of ₹285 per Equity Share, the Promoter Selling Shareholders stand to make substantial gains. Rajesh Garg is offering up to 1,943,623 Equity Shares. At a cost of ₹1.12 per share, his profit per share would be ₹283.88, resulting in a total profit of approximately ₹55.18 crore. Similarly, Lovlish Garg is offering up to 350,000 Equity Shares at a cost of ₹2.72 per share, giving him a profit of ₹282.28 per share and a total profit of around ₹9.88 crore.

• Together, the two Promoter Selling Shareholders (Rajesh Garg and Lovlish Garg) are expected to make a combined profit of approximately ₹65.06 crore from the Offer for Sale at the price of ₹285 per share.

I would not classify this information as automatically positive or negative. But if you are evaluating an IPO seriously, knowing who is selling shares, how large the OFS is, and their acquisition costs gives you additional context.

Behari Lal Engineering IPO Summary

IPO Lot Details

Behari Lal Engineering IPO Allotment Status

To check the Behari Lal Engineering IPO Allotment Status, visit the official Registrar’s website or the BSE website. Below are the website links for you.

Using BSE Website - ​BSE IPO allotment status

IPO Lead Managers

• Emkay Global Financial Services Ltd.
  
  

Dividend Policy

The company has not paid a Dividend during the last three FYs.

Should You Apply for Behari Lal Engineering IPO?

If you ask me whether the Behari Lal Engineering IPO should be judged purely on its GMP, my answer would be no.

The company has shown growth in total income, PAT, EBITDA, net worth, and margins. FY2026 ROE stood at 23.60%, ROCE at 27.11%, Debt-to-Equity at 0.06, PAT Margin at 12.10%, and EBITDA Margin at 18.97%. At the upper price band, the IPO is valued at approximately 17.21x P/E.

At the same time, you should factor in dependence on raw material prices, high fixed operating costs, international expansion challenges, cash-flow movements, and execution of future expansion plans.

If your objective is short-term listing gains, GMP and subscription trends may naturally matter more to you. If your horizon is longer, I would give greater importance to earnings sustainability, margins, cash generation, debt, business diversification, and management execution.

Instead of asking only “Should I apply?”, a better question is: “Does the valuation, financial performance, growth potential, and risk profile of this IPO fit my investment objective?”

Conclusion

Behari Lal Engineering IPO presents a strong financial profile, supported by improving profitability, healthy ROE/ROCE, low debt, and a P/E of around 17.21x at the upper price band.  

Growth opportunities include global expansion, high-value tenders, product customisation, and rising demand for high-quality steel, while raw material volatility and fixed operating costs remain key risks. 

Finowings IPO Analysis

Hope you enjoyed the Finowings IPO Analysis. We tried our best to provide all the required details about the company you should know before applying for the IPO.

You must consult your financial advisor before making any financial decisions.

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To read the Prospectus of the company, click here to download the DRHP.

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DISCLAIMER: This blog is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions.