Italian power transmission manufacturer Bonfiglioli S.p.A. is advancing plans to list its Indian arm, Bonfiglioli Transmissions Limited, through an IPO expected to raise approximately ₹2,500 crore, following the submission of draft offer documents with SEBI.
The proposed issue is structured entirely as an Offer for Sale (OFS) of up to 46,998,959 equity shares of face value ₹10 each by the promoter, Bonfiglioli S.p.A. Since there is no fresh issue, all proceeds go to the selling shareholder. The merchant banking syndicate includes Axis Capital, BNP Paribas, ICICI Securities and Jefferies India.
The Indian subsidiary is punching well above its weight: it currently accounts for roughly 31% of the global group's EBITDA, cementing India's position as both a critical manufacturing hub and a primary growth engine for the Bologna-headquartered engineering company.
Financially, the Indian business has shown robust expansion — revenue from operations reached ₹1,864 crore in FY24, growing at a CAGR of over 9% from ₹1,558 crore in FY22, with operating EBITDA of ₹293 crore at margins of nearly 16%.
Why it matters for founders
When an Indian subsidiary drives 31% of a global group's EBITDA, an India listing becomes a value-unlocking event — not an exit of convenience. Bonfiglioli's ₹2,500 crore OFS signals that global industrials now see Indian manufacturing arms as their growth engines, and public markets are where that value gets priced.