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Bonfiglioli Eyes $250M India IPO Via Parent's Sale
9 Feb
Summary
- Bonfiglioli aims to raise $250 million from its Indian subsidiary's IPO.
- The offering will be an Offer for Sale by the Italian parent company.
- The Indian arm has operated for over 25 years, serving multiple industries.
Bonfiglioli S.p.A., an Italian power transmission components manufacturer, is preparing to list its Indian arm, Bonfiglioli Transmissions, through an Initial Public Offering (IPO). The company anticipates raising around $250 million (₹2,200-2,300 crore) from this proposed public issue.
Sources indicate that the offer documents are expected to be filed later this month. This upcoming offering will be structured exclusively as an Offer for Sale (OFS), meaning the funds raised will go directly to the Italy-based parent company, which currently holds a majority stake in its Indian subsidiary. No new capital will be generated through this issuance.
Bonfiglioli Transmissions has a long-standing presence in India, with over 25 years of operational history. The company is recognized as a major domestic manufacturer of mechanical and electro-mechanical power transmission systems. Its product portfolio includes gearboxes, gearmotors, and drive solutions designed for sectors such as industrial automation, off-highway mobility, and wind energy.
In recent years, the parent company has significantly invested in its Indian operations, injecting approximately ₹300 crore to expand manufacturing capabilities and enhance local engineering and product development. This strategic investment aligns with India's 'Make in India' initiative, transforming India into a crucial hub for production and exports for the Bonfiglioli group.
The company operates advanced manufacturing facilities in Tamil Nadu, specifically in Chennai and Mannur, which are dedicated to producing gearboxes and gearmotors for mobile machinery, wind turbines, and industrial applications. Additionally, its plant in Pune serves a broad spectrum of industries, including cement, steel, food processing, pharmaceuticals, textiles, material handling, power generation, and water treatment.
Bonfiglioli Transmissions boasts a substantial customer base exceeding 1,000 clients across its various business segments. Product development tailored for the Indian market is actively supported by the group's dedicated Research and Development center located in Chennai. Industry sources suggest that Bonfiglioli Transmissions reported revenues of approximately ₹1,964 crore in calendar year 2025 and has maintained consistent profitability.
