Trualt Bioenergy Ltd is launching its Initial Public Offering (IPO) to raise capital primarily for Funding our working capital requirements and funding capital expenditure towards increasing capacity.
The IPO comprises a fresh issue of 1.51 crore shares worth Rs. 750 crore and an offer for sale of 0.18 crore shares worth Rs. 89.28 crore, bringing the total issue size to Rs. 839.28 crore.
The Trualt Bioenergy Ltd IPO opens on September 25, 2025, and closes on September 29, 2025, with shares set to be listed on NSE and BSE on Friday October 3, 2025. Here’s a complete overview of the issue.
Trualt Bioenergy Ltd’s IPO is priced between Rs. 472 and Rs. 496 per share with a lot size of 30 shares. Retail investment is Rs. 14,880 (30 shares at the upper price). For S-HNI, the investment is 14 lots (420 shares) totaling Rs. 2,08,320, and for B-HNI, a minimum of 68 lots (2,040 shares) totaling Rs. 10,11,840.
GMP of Trualt Bioenergy Ltd IPO
As of September 24, 2025, the shares of Trualt Bioenergy Limited in the grey market were trading at a 14.31 percent premium. The shares in the Grey Market traded at Rs. 567. This gives it a premium of Rs. 71 per share over the cap price of Rs. 496.
Overview of Trualt Bioenergy Ltd Limited
Trualt Bioenergy Limited, incorporated in 2021, is a leading biofuel producer in India, primarily focused on ethanol production, with an installed capacity of 2,000 KLPD, accounting for a 3.6 percent market share in Fiscal 2025.
The company operates five distillery units in Karnataka, four of which use molasses and syrup-based feedstocks, and its business spans ethanol and compressed biogas (CBG) production.
Its subsidiary, Leafinity, runs a CBG plant with a capacity of 10.20 TPD and has entered into MoUs with a Japanese gas company and Sumitomo Corporation Asia & Oceania to expand CBG capacity.
The company is also exploring growth into other verticals, including second-generation ethanol, sustainable aviation fuel, and Mevalonolactone (MVL) and allied biochemicals, positioning itself for diversification and long-term expansion in the biofuels and biochemicals sector.
Promoters of Trualt Bioenergy Limited
Trualt Bioenergy Limited’s promoters are Vijaykumar Murugesh Nirani, Vishal Nirani And Sushmitha Vijaykumar Nirani, who together play a key role in guiding the company’s vision, strategy, and growth.
Trualt Bioenergy Ltd Selling Shareholders
The IPO of Trualt Bioenergy Ltd includes a substantial Offer for Sale, with promoters Dhraksayani Sangamesh Nirani and Sangamesh Rudrappa Nirani each offloading 9 lakh shares.
Lead Managers of Trualt Bioenergy Ltd
DAM Capital Advisors Limited, SBI Capital Markets Limited are the book-running lead managers for the IPO. Bigshare Services Private Limited is the registrar handling the offer process.
Objectives of the IPO Offer
Trualt Bioenergy Ltd intends to use the net proceeds from its IPO for three main purposes: around Rs. 150.68 crore to fund capital expenditure for setting up multi-feed stock operations at TBL Unit 4 with a 300 KLPD ethanol plant capacity, around Rs. 425 crore to meet working capital requirements; and remaining for general corporate purposes.
Financial Analysis of Trualt Bioenergy Ltd
Trualt Bioenergy Limited’s revenue from operations has increased from Rs. 1,223.40 crore in FY24 to Rs. 1,907.72 crore in FY25, which represents a growth of 55.94 percent. The net profit has increased by 360.98 percent, from Rs. 31.81 crore in FY24 to Rs. 146.64 crore in FY25.
The basic earnings per share increased by 392.71 percent and stood at Rs. 20.94 in FY25 as against Rs. 4.25 recorded in FY24.
In terms of return ratios, the company reports a Return on Capital Employed (ROCE) of 10.88 percent and a Return on Net Worth (RoNW) of 19.07 percent. The company has a debt-to-equity ratio of 2.02x.
Trualt Bioenergy Limited Vs Peers
Trualt Bioenergy Limited reported an EPS of Rs. 20.94 and a RoNW of 19.07 percent. In comparison, Balrampur Chini Mills Ltd’s EPS of Rs. 21.65 and its RoNW of 11.51 percent. Triveni Engineering & Industries Ltd reported Rs. 10.88 EPS, and a RoNW of 7.66 percent.
Trualt Bioenergy Limited’s net asset value per share is Rs. 108.87, compared to Rs. 399.62 for Dalmia Bharat Sugar & Industries Ltd and Rs. 187.99 for Balrampur Chini Mills Limited.
Strengths of Trualt Bioenergy Limited
- The company has the largest installed capacity for ethanol production in India.
- The company focuses on integrated resource management to develop scalable operations.
- The company has strategically located production infrastructure, emphasizing technological innovation and sustainability.
- The company is well-positioned to capitalize on favourable industry tailwinds.
- The company has entrenched customer relationships, fostering a strong demand pipeline.
Weaknesses of Trualt Bioenergy Limited
- Our business heavily relies on ethanol sales, and any decline in production, sales volume, or selling price could negatively impact our operations, cash flows, and financial condition.
- Our business is highly reliant on Government of India policies, and any changes could affect our revenue, operations, and financial condition.
- Our company has a limited operating history, having started ethanol production in September 2022 through business transfer agreements, and may face risks or liabilities from these agreements, potentially affecting the expected benefits.
- Our former group companies’ allotments to over 49 persons were regularized through the National Company Law Tribunal, Bengaluru, and a SEBI settlement has addressed any related proceedings.
- Our business relies on production units in Bagalkot, Karnataka, and any unplanned or prolonged disruptions in these units could significantly impact our operations, financial condition, and cash flows.
Conclusion
Trualt Bioenergy Limited is a leading biofuel producer in India with strong production capacity and growth potential. While it benefits from strategic infrastructure and established customer relationships, it faces risks from policy changes, ethanol dependence, and limited operating history.
Overall, the company is well-positioned to grow and expand into new areas while managing these challenges. The IPO presents strong long-term growth potential, but investors should carefully consider the associated risks before investing.
Written By Akshay Sanghavi
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