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Trualt Bioenergy IPO: Powering India’s Green Revolution with Ethanol & Biofuels
Trualt Bioenergy Ltd, a Karnataka-based ethanol and biofuel producer, is launching its IPO to fund multi-feedstock expansion. With strong promoter backing and a growing focus on renewable fuels, this IPO highlights India’s accelerating push toward sustainable energy and green investments.
Written by: SERNET Research Team
Table of Content
Trualt Bioenergy Ltd.
Trualt Bioenergy Ltd is into the business of producing biofuels, with a predominant focus on ethanol production. The company has an installed ethanol capacity of 2,000 Kilolitres per day. Trualt Bioenergy Ltd also has a subsidiary, Leafinity, that is into the production of compressed bio-gas with a capacity of 10.20 tonnes per day (tpd). The company has 5 distillery units in the state of Karnataka, largely based on molasses as feedstock.
The IPO is a combination of fresh issue and OFS. Fresh funds will be used for capex to set-up multi-feed stock operations, and use grain-based ethanol. Trualt Bioenergy Ltd was promoted by Vijaykumar Nirani, Vishal Niran, and Sushmitha Nirani. The IPO will be lead-managed by DAM Capital and SBI Capital Markets; while Bigshare Services Private Ltd will be the registrar. The company is headquartered at Bagalkot, in the state of Karnataka.
Highlights of the IPO Issue
Here are the key highlights of the public issue of Trualt Bioenergy Ltd.
- The IPO of will be open from September 25th, 2025 to September 29th, 2025. It has a face value of ₹10 per share and IPO price band is set in range of ₹472 to ₹496 per share.
- The IPO of Trualt Bioenergy Ltd will be a combination of a fresh issue of shares and an offer for sale (OFS) by early shareholders.
- The fresh issue portion comprises the issue of 1,51,20,967 shares (151.21 lakh shares), which at the upper price band of ₹496 per share translates into ₹750 crore.
- The OFS of the IPO comprises the sale of 18,00,000 shares (18.00 lakh shares), which at the upper price band of ₹496 per share translates into ₹89.28 crore.
- The overall IPO will comprise of a fresh issue and an OFS of 1,69,20,967 shares (169.21 lakh shares) worth ₹839.28 crore at the upper band price of ₹496 per share.
The IPO of Trualt Bioenergy Ltd will be listed on the NSE and the BSE on the IPO mainboard.
Key Dates, Investor Allocation, And Lot Sizes
Here are the key dates pertaining to the IPO of Trualt Bioenergy Ltd
| Event | Tentative Date |
| IPO Open Date | Thursday, 25 September, 2025 |
| IPO Close Date | Monday, 29 September, 2025 |
| Basis of Allotment | Tuesday, 30 September, 2025 |
| Initiation of Refunds to non-allottees | Wednesday, 1 October, 2025 |
| Credit of Shares to Demat | Wednesday, 1 October, 2025 |
| Listing Date on NSE and BSE | Friday, 3 October, 2025 |
Data Source: Company RHP
Investors can apply either through their existing trading account or the ASBA application can be directly logged through the internet banking account. This can only be done through the authorized list of self-certified syndicate banks (SCSB).
The table below captures the gist of the allocation to various categories.
| Category of Investors | Allocation of shares | % Share |
| Reservation for Employees | Nil Shares | Not Applicable |
| Anchor Allocation | 50,76,289 shares | 29.12% of total IPO size |
| QIB Shares Offered | 35,10,508 shares | 20.14% of total IPO size |
| NII (HNI) Shares Offered | 26,53,475 shares | 15.22% of total IPO size |
| Retail Shares Offered | 61,91,441 shares | 35.52% of total IPO size |
| Total Shares Offered | 1,74,31,713 shares | 100.00% of Total IPO size |
Data Source: Security Parameters Filing (NSE)
The anchor portion, is carved out of the QIB portion and the QIB portion available in the IPO offer has been reduced proportionately. Please note that the above shares are final and may differ marginally from the original announcement. Here is a quick look at the lot sizes applicable for the IPO of Trualt Bioenergy Ltd for various categories of investors.
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 30 | ₹ 14,880 |
| Retail (Max) | 13 | 390 | ₹ 1,93,440 |
| S-HNI (Min) | 14 | 420 | ₹ 2,08,320 |
| S-HNI (Max) | 67 | 2,010 | ₹ 9,96,960 |
| B-HNI (Min) | 68 | 2,040 | ₹ 10,11,840 |
It may be noted here that for the B-HNI category and for the QIB (qualified institutional buyer) category, there are no upper limits applicable. (1 Lot = 30 shares)
Financial Highlights
The table captures the key financials of Trualt Bioenergy Ltd for last 3 financial years.
| Particulars | FY25 | FY24 | FY23 |
| Net Revenues (₹ in crore) | 1,907.72 | 1,223.40 | 762.38 |
| Sales Growth (%) | 55.94% | 60.47% | |
| Profit after Tax (₹ in crore) | 146.64 | 31.73 | 35.46 |
| PAT Margins (%) | 7.69% | 2.59% | 4.65% |
| Total Equity (₹ in crore) | 769.00 | 264.61 | 240.49 |
| Total Assets (₹ in crore) | 3,029.73 | 2,419.08 | 1,855.98 |
| Return on Equity (%) | 19.07% | 11.99% | 14.74% |
| Return on Assets (%) | 4.84% | 1.31% | 1.91% |
| Asset Turnover Ratio (X) | 0.63 | 0.51 | 0.41 |
| Earnings per share (₹) | 20.94 | 4.25 | 7.10 |
Data Source: Company RHP filed with SEBI (FY refers to Apr-Mar period)
The company has shown robust sales growth as well as well as growth in net profits and the net margins in the last 3 years. However, the company has a large base of equity and assets, which has impacted the ROE and the asset turnover ratio, despite the top line growth.
Valuation Metrics
At the current issue price of ₹496 per share, the valuation of the company is at a P/E ratio of 23.7X in terms of latest year EPS of ₹20.94. The good news is that the company has been growing its top line at a rapid pace, and the government is also serious about putting more focus on ethanol blending to reduce the cost of fuel.
The company also brings some distinct advantages to the table. It has the economies of scale as it is a dominant player in ethanol production with nearly 4% market share. It is not too clear how the grain-based ethanol concept will pick up regulatorily due to the sensitive nature of food usage for fuel. The company is also vertically integrated in that; they also own the sugar mills that supply the ethanol. However, the performance will be subject to the vagaries of sugar output (which is water intensive), which is a risk for investors.
A Brief on the Anchor Allocation
The anchor issue of Trualt Bioenergy Ltd saw a very strong response on 24th September 2025 with 29.12% of the IPO size absorbed by anchors. Out of 1,74,31,713 shares (174.32 lakh shares) on offer, anchors picked up 50,76,289 shares (50.76 lakh shares) accounting for 29.12% of the total IPO size. The entire anchor allocation was made at the upper end of the price band of ₹496 per share. This includes the face value of ₹10 per share plus a share premium of ₹486 per share. The anchor bidding process opened and closed on 24th September 2025.
Key Points to Note in the Anchor Allocation Process
Here are the key details pertaining to the anchor bidding of Trualt Bioenergy Ltd
| Bid Date | September 24, 2025 |
| Shares Offered | 50,76,289 shares |
| Anchor Portion Size (₹ in crore) | ₹251.78 crore |
| Anchor lock-in period end date for 50% shares (30 Days) | October 30, 2025 |
| Anchor lock-in period end date for remaining shares (90 Days) | December 29, 2025 |
An anchor investor in an IPO is a qualified institutional buyer (QIB) like a foreign portfolio investor or mutual fund or insurance company or a sovereign fund which invests before the IPO is made available to the public as per SEBI regulations. It helps in price discovery.
Anchor Allocation Investors
On 24th September 2025, Trualt Bioenergy Ltd allotted 50,76,289 shares to 19 anchor investors. The allocation was done at the upper IPO price band of ₹496 per share which resulted in overall anchor allocation of ₹251.78 crore. The anchors have already absorbed 29.12% of the total issue size of ₹864.61 crore. Listed below are the Top 10 IPO anchor investors who accounted for anchor collection of ₹195.00 crores, or, 77.45% of anchor allocation.
| Anchor Investors |
No. of Shares |
% of Anchor Portion |
Value Allocated |
|
| 01 | Tata Aggressive Hybrid Fund | 5,64,510 | 11.12% | ₹ 28.00 |
| 02 | HDFC Balanced Advantage Fund | 5,04,030 | 9.93% | ₹ 25.00 |
| 03 | Invesco India Small Cap Fund | 5,04,030 | 9.93% | ₹ 25.00 |
| 04 | Bandhan Small Cap Fund | 5,04,030 | 9.93% | ₹ 25.00 |
| 05 | SBI General Life Insurance | 5,04,030 | 9.93% | ₹ 25.00 |
| 06 | Rajasthan Global Securities | 4,03,200 | 7.94% | ₹ 20.00 |
| 07 | Tata Infrastructure Fund | 3,42,720 | 6.75% | ₹ 17.00 |
| 08 | Abakkus Growth Fund – I | 2,01,630 | 3.97% | ₹ 10.00 |
| 09 | Founders’ Collective Fund | 2,01,630 | 3.97% | ₹ 10.00 |
| 10 | Tata Investment Corporation | 2,01,630 | 3.97% | ₹ 10.00 |
| Grand Total | 39,31,440 | 77.45% | ₹ 195.00 |
Data Source: BSE Filings (Value Allocated in ₹ in Crore)
The detailed and comprehensive report on the anchor allocation with the mutual fund portion separated can be accessed on BSE by clicking on the link below.
Out of the 50,76,289 shares allocated to the anchors in the IPO, there were a total of 26,20,950 shares allocated to mutual funds registered with SEBI. The allocation was made to 7 mutual fund schemes across 5 AMCs. Mutual funds accounted for 51.63% of the total anchor allocation of the IPO. Most of the other anchor shares were allocated to alternative investment funds (AIFs), FPIs and ODIs.
Next Step in the IPO
Post the closure of the IPO subscription on 29th September 2025, the basis of allotment will be finalized on 30th September 2025 and the refunds will be initiated on 01st October 2025. In addition, the demat credits are expected to also happen on 01st October 2025 and the stock will list on 03rd October 2025 on the NSE and the BSE. The credits to the demat account to the extent of shares allotted will happen by the close of 01st October 2025 under ISIN (INE0MWH01014).
IPO Subscription Status On Day-1
As of 5.10 pm on 25th September 2025, out of the 123.55 lakh shares on offer in the IPO (excluding anchor portion), Trualt Bioenergy Ltd saw bids for 54.94 lakh shares. This implies an overall subscription of 0.44X at a macro level. The granular break-up of subscriptions as of the close of Day-1 of the IPO of Trualt Bioenergy Ltd was as under:
| Employees (N.A.) | QIBs (0.86X) | HNI / NII (0.24X) | Retail (0.30X) |
The subscriptions were led by the QIB Investors followed by the Retail investors and the HNI / NII investors in that order. QIB bids and NII bids typically gather most of the momentum on the last day, and that would be the case in this issue also. Both the QIB and the NII bids pick up momentum on the last day since that is when the bulk HNI funding bids, corporate bids, and the bulk QIB bids come in. Here is the category-wise subscription. The overall subscription ratio excludes anchor portion.
| Investor Category |
Subscription (times) |
Shares Offered |
Shares bid for |
Total Amount (₹ in Crore) |
| Anchor Investors | 1.00 | 50,76,289 | 50,76,289 | 251.78 |
| Employee Quota | N.A. | 0 | 0 | 0.00 |
| QIB Investors | 0.86 | 35,10,508 | 30,28,290 | 150.20 |
| HNIs / NIIs | 0.24 | 26,53,475 | 6,27,630 | 31.13 |
| Retail Investors | 0.30 | 61,91,441 | 18,38,070 | 91.17 |
| Total | 0.44 | 1,23,55,424 | 54,93,990 | 272.50 |
Data Source: NSE / BSE (as of close of Day-1 of the IPO)
The IPO is open up to September 29, 2025, at which point we will know the final subscription status of the IPO.
IPO Subscription Status On Day-2
As of 5.15 pm on 26th September 2025, out of the 123.55 lakh shares on offer in the IPO (excluding anchor portion), Trualt Bioenergy Ltd saw bids for 100.60 lakh shares. This implies an overall subscription of 0.81X at a macro level. The granular break-up of subscriptions as of the close of Day-2 of the IPO of Trualt Bioenergy Ltd was as under:
| Employees (N.A.) | QIBs (0.87X) | HNI / NII (0.80X) | Retail (0.79X) |
The subscriptions were led by the QIB Investors followed by the HNI / NII investors and the Retail investors in that order. QIB bids and NII bids typically gather most of the momentum on the last day, and that would be the case in this issue also. Both the QIB and the NII bids pick up momentum on the last day since that is when the bulk HNI funding bids, corporate bids, and the bulk QIB bids come in. Here is the category-wise subscription. The overall subscription ratio excludes anchor portion.
| Investor Category |
Subscription (times) |
Shares Offered |
Shares bid for |
Total Amount (₹ in Crore) |
| Anchor Investors | 1.00 | 50,76,289 | 50,76,289 | 251.78 |
| Employee Quota | N.A. | 0 | 0 | 0.00 |
| QIB Investors | 0.87 | 35,10,508 | 30,40,590 | 150.81 |
| HNIs / NIIs | 0.80 | 26,53,475 | 21,21,990 | 105.25 |
| Retail Investors | 0.79 | 61,91,441 | 48,96,990 | 242.89 |
| Total | 0.81 | 1,23,55,424 | 1,00,59,570 | 498.95 |
Data Source: NSE / BSE (as of close of Day-2 of the IPO)
The IPO is open up to September 29, 2025, at which point we will know the final subscription status of the IPO.
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