BMW Ventures Limited is a Patna-based, diversified steel-related business that markets and distributes long and flat steel products, tractor engines and spare parts, manufactures PVC pipes under the “BMW Polytube” brand, and fabricates pre-engineered buildings (PEB) and steel girders. The company operates an extensive dealer network of more than 1,250 dealers across 29 of Bihar’s 38 districts, giving it a dominant foothold in the state’s construction materials market.
Offer Details of the IPO
Total Offer Size: Up to 2,34,00,000 equity shares of face value INR 10 each, aggregating to up to INR 231.7 crore.
Issue Type: Entirely a fresh issue; there is no offer-for-sale component.
Price Band: INR 94 to INR 99 per equity share
Book Running Lead Manager (BRLM): Sarthi Capital Advisors Private Limited
Indian Steel Industry – Overview
India’s steel sector is the backbone of the country’s manufacturing and infrastructure ecosystem. In FY 2024, finished steel consumption reached 136 Mt, up from 100 Mt in FY 2020, and is projected to climb to approximately 220 Mt by FY 2030 (≈8–10 % CAGR). The industry is highly cyclical, tracking GDP growth; however, the post-pandemic recovery has left a steel-to-GDP multiplier of approximately 1.7–1.9, well above the pre-COVID level of 1.1–1.2.
Table: Key Segments
| Segment | Core Products / Applications | Typical End users |
| Long steel | TMT reinforcement bars, wire rods, structural sections, railway rails, hollow section pipes | Building & construction, infrastructure (roads, bridges, railways), housing, agricultural structures |
| Flat steel | Hot rolled (HR) & cold rolled (CR) coils/sheets, galvanised plain (GP) sheets, colour coated (GC) sheets, coated/colour roofing sheets | Automotive, appliances, packaging, roofing & cladding, industrial equipment |
| Specialty flat | Galvanised Corrugated (GC) sheets, Colour roofing sheets, Electrical steel, High-strength/wear-resistant grades | Rural warehousing, residential roofing, power equipment, aerospace & defence |
| Fabrication & Engineering | Pre-engineered Buildings (PEB), steel girders, and fabricated structural components. | Commercial & industrial construction, railway bridges, logistics hubs |
| Ancillary / Downstream | PVC pipes, roll-formed GP sheets, agrico tools, doors & windows | Water distribution, irrigation, rural housing, and consumer goods |
| TMT Reinforcement Bars (sub-segment of long steel) | Thermo Mechanically Treated (TMT) bars – the dominant reinforcement product | Residential & commercial construction, government housing schemes |
Source: RHP
Long‑steel drives the bulk of volume (≈55 % of total finished‑steel demand in FY 2024) and is closely linked to infrastructure spending. Flat‑steel, especially coated and colour‑roofing variants, is gaining share as housing‑and‑warehouse construction intensifies in eastern states such as Bihar. Fabrication (PEB & girders) and PVC‑pipe markets are still nascent but exhibit the highest projected growth rates because they are directly tied to government-backed logistics and irrigation programmes.
Table: Growth‑Rate Summary
| Segment | Past CAGR (FY 2018 FY 2024) | Future CAGR† (FY 2024 FY 2030/28) | Comment |
| Long steel (overall) | 8.1 % (FY 2018, FY 2023) | 8.5 9.5 % (FY 2024 FY 2028) | Growth powered by continued road & rail projects (Bharatmala, Gati Shakti) and a rebound in private housing. |
| Flat steel (overall) | 9.8 % (FY 2018, FY 2023) | 7.5 8.5 % (FY 2024 FY 2028) | Flat steel demand is shifting toward higher value coated products; a modest slowdown as the base expands. |
| TMT reinforcement bars | 10.8 % (FY 2019, FY 2024) | 8.5 9.5 % (FY 2024 FY 2028) | Strong post-pandemic construction rebound; future growth anchored to PM Awas Yojana & rural housing. |
| Galvanised Corrugated (GC) sheets | 10.8 % (FY 2018, FY 2023) | 6 7 % (FY 2024 FY 2028) | Recent dip ( 13 % FY 24) as customers shift to colour roofing; long run growth steadies with warehouse building schemes. |
| Galvanised Plain (GP) sheets | 9.8 % (FY 2018, FY 2023) | 4.5 5.5 % (FY 2024 FY 2028) | GP sheets are price sensitive; growth is mainly driven by stronger demand in the construction, agriculture, and automobile sectors in Bihar. |
| Colour roofing sheets | 14 15 % (FY 2018 FY 2023) | 16.5 17.5 % (FY 2024 FY 2028) | Aesthetic preference and better corrosion resistance drive a faster-than-inflation expansion, especially in Bihar’s residential market. |
| Pre Engineered Buildings (PEB) | – (commercial launch FY 2022) | 18 19 % (FY 2024 FY 2028) | Rapid uptake in warehousing & cold storage driven by agricultural logistics incentives. |
| Steel girders | – (commercial launch FY 2023) | 25 27 % (FY 2024 FY 2028) | High-value railway bridge & overpass contracts under the RDSO-approved programme. |
| PVC pipes | – (small-scale start FY 2018) | 5 6 % (FY 2024, FY 2028) | Growth linked to rural irrigation (PM KSY) and urban water distribution projects. |
| Overall finished steel demand | ≈7 % (FY 2018 FY 2024) | 8 10 %* (FY 2024 FY 2030) | The sector’s GDP multiplier remains above 1.6, reflecting strong structural investment momentum. |
Source: RHP
Key takeaways:
BMW Ventures Limited – Company Overview
BMW Ventures Limited, incorporated on 7 October 1994, is led by Bijay Kumar Kishorepuria (Chairman), Nitin Kishorepuria (MD), Sabita Devi Kishorepuria (Non‑Executive Director), and Rachna Kishorepuria (Whole Time Director). Headquartered in Patna, Bihar, the company operates across three segments: Marketing & Distribution of long & flat steel products and tractor parts; Manufacturing PVC pipes under BMW Polytube (≈800 MT pa); and Fabrication of Pre-Engineered Buildings (PEB) and RDSO‑approved steel girders (≈12,000 MT pa). The company has established a strong presence in the steel distribution and fabrication market, serving infrastructure, construction, and industrial sectors across India.
BMW Ventures Limited maintains strong relationships across its business ecosystem. Its primary steel supplier provides all long and flat steel products under an exclusive long-term distribution agreement. The company has a robust dealer network with over 1,250 dealers across 29 of 38 districts in Bihar, including approximately 938 dealers for TMT bars, with 73 % of sales via exclusive dealers.
The company’s group companies include Jai Basukinath Traders, BMW Logistics, Jagdamba Value Steels, BMW Project, Rachna Heights, Nupur Heights, Mediversal Healthcare, and BMW Height LLP. Financial partners include Punjab National Bank (providing corporate guarantees) and various NBFCs such as BMW Fin Invest and Ridhisidhi Fincon. In terms of competition, Shiv Aum Steels Limited, with a similar product mix and operational capability, is used as a benchmark in profitability and leverage analysis.
Competitive Positioning
Strengths
Weaknesses
Financial Profile
Robust Revenue Growth:
BMW Ventures Limited’s growth is driven by several operational levers. The company has deepened its dealer network, with over 1,250 dealers across 29 of Bihar’s 38 districts, where exclusive dealers account for 73 % of TMT bar sales. It has captured significant market share in high-margin steel products, including GP sheets (≈55 % of Bihar’s 0.027 MTPA market), TMT reinforcement bars (≈19 % of 1.08 MTPA market), and GC sheets (≈40–43 % of 0.045 MTPA market). Infrastructure-driven demand from government schemes such as PM Gati Shakti and highway and railway projects has boosted construction activity, particularly for TMT bars and hot rolled sheets.
Product diversification, including roll forming of GP/GC/HR/CR sheets, PVC pipe manufacturing (≈800 MT/yr), and PEB/steel girder fabrication, has added higher realisation streams. Additionally, one-off adjustments, such as restatement of PAT for FY 19–FY 21 after CSR-related provisions, are already reflected in the revenue trends. No material acquisitions were disclosed in the prospectus, indicating that growth is primarily organic, powered by these operational levers.
Stable Margins:
Key take‑aways
BMW Ventures Limited reported a 138 % growth in PAT from FY 19 to FY 22, driven by higher sales volumes, improved price realisations—particularly in the GP sheet and HR sheet segments—and tighter cost control. Margins expanded modestly, with PAT margin rising from 1.1 % to a peak of 2.0 % in FY 22, before settling at 1.5 % in FY 24; the slight contraction in FY 24 reflects a minor revenue dip and a temporary increase in logistics costs, not a structural weakness. EBITDA margin remained stable within a 3.0–3.9 % band, highlighting consistent operating efficiency despite rapid dealer network expansion. The operating profit margin consistently stayed above 3 % (peaking at 3.9 % in FY 22), while the peer Shiv Aum Steels showed more fluctuation, underscoring BMW Ventures’ predictable cost structure.
Table: Peers Comparison
| Company | Sales (₹ in Million) | PAT (₹ in Million) | EPS (₹) | P/E Ratio | CMP (₹) |
| BMW Ventures Limited | 20,673.32 | 328.23 | 5.18 | 19.11 | -99* |
| Shiv Aum Steel Limited | 5,546.59 | 96.66 | 7.11 | 43.46 | 309 |
Source: RHP; * – upper end of price band
Table: KPI Comparison
| Company | Particulars (Units) | FY 2023 | FY 2024 | FY 2025 | CAGR |
| BMW Ventures Limited
|
Revenue from Operations (₹ in Million) | 20,150.97 | 19,381.96 | 20,620.35 | – |
| Total Revenue (₹ in Million) | 20,181.22 | 19,420.32 | 20,673.32 | 1% | |
| EBITDA (₹ in Million) | 678.46 | 725.57 | 873.93 | 14% | |
| EBIT (₹ in Million) | 638.91 | 683.60 | 824.02 | – | |
| EBT (₹ in Million) | 432.39 | 403.67 | 446.15 | – | |
| PAT (₹ in Million) | 326.59 | 299.35 | 328.23 | 0% | |
| EBITDA Margin (%) | 3.37% | 3.74% | 4.24% | – | |
| EBIT Margin (%) | 3.17% | 3.52% | 3.99% | – | |
| EBT Margin (%) | 2.14% | 2.08% | 2.16% | – | |
| PAT Margin (%) | 1.62% | 1.54% | 1.59% | – | |
| Net Worth (₹ in Million) | 1,564.77 | 1,867.08 | 2,101.18 | – | |
| Total Borrowing (₹ in Million) | 2,835.84 | 3,952.97 | 4,283.86 | – | |
| Debt / Equity (x) | 1.81 | 2.12 | 2.04 | – | |
| Interest Coverage Ratio (x) | 3.09 | 2.44 | 2.88 | – | |
| RoE (%) | 20.87% | 16.03% | 15.62% | – | |
| RoCE (%) | 14.31% | 11.68% | 12.80% | – | |
| Net Debt / EBITDA (x) | 4.18 | 5.44 | 4.76 | – | |
| Shiv Aum Steel Limited
|
Revenue from Operations (₹ in Million) | 4,959.27 | 5,475.28 | 5,481.95 | – |
| Total Revenue (₹ in Million) | 4,972.40 | 5,495.18 | 5,546.59 | 6% | |
| EBITDA (₹ in Million) | 250.39 | 210.37 | 211.08 | -8% | |
| EBIT (₹ in Million) | 244.65 | 204.98 | 205.44 | – | |
| EBT (₹ in Million) | 193.53 | 136.47 | 127.90 | – | |
| PAT (₹ in Million) | 143.18 | 101.69 | 96.66 | -18% | |
| EBITDA Margin (%) | 5.05% | 3.84% | 3.85% | – | |
| EBIT Margin (%) | 4.92% | 3.73% | 3.70% | – | |
| EBT Margin (%) | 3.89% | 2.48% | 2.31% | – | |
| PAT Margin (%) | 2.88% | 1.85% | 1.74% | – | |
| Net Worth (₹ in Million) | 957.53 | 1,059.22 | 1,155.87 | – | |
| Total Borrowing (₹ in Million) | 588.73 | 691.80 | 931.77 | – | |
| Debt / Equity (x) | 0.61 | 0.65 | 0.81 | – | |
| Interest Coverage Ratio (x) | 4.79 | 2.99 | 2.65 | – | |
| RoE (%) | 14.95% | 9.60% | 8.36% | – | |
| RoCE (%) | 15.82% | 11.71% | 9.84% | – | |
| Net Debt / EBITDA (x) | 2.34 | 3.22 | 4.06 | – |
Source: RHP
Related Tags
IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000
IIFL Capital Services Support WhatsApp Number
+91 9892691696
Download The App Now
Follow us on
2025, IIFL Capital Services Ltd. All Rights Reserved
IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248, DP SEBI Reg. No. IN-DP-185-2016, BSE Enlistment Number (RA): 5016
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)
This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.
