| Price | Lot Size | Issue Date | Issue Size |
|---|---|---|---|
| ₹ 472 to ₹ 496 | 30 | 25th Sep, 2025 –29th Sep, 2025 | ₹839.28 Cr |
Trualt Bioenergy Ltd
Trualt Bioenergy Ltd. is one of India’s largest and most diversified biofuels producers, with a leading position in the ethanol segment and an installed capacity of 2,000 KLPD (operational capacity of 1,800 KLPD) as of March 31, 2025, representing a 3.6% market share in ethanol production (Source: CRISIL Report). It operates five distilleries in Karnataka and plans to convert 1,300 KLPD of mono-feed capacity to dual-feed (grain-based) by March 2026, while progressively scaling operations to the full 2,000 KLPD capacity. The company also produces extra neutral alcohol, dry ice, and liquid CO₂ as by-products. Through its subsidiary Leafiniti, it is among the early producers of compressed biogas (CBG) under the SATAT scheme and is expanding CBG capacity through strategic tie-ups, including a shareholding agreement with GAIL and partnerships with global players such as Sumitomo Corporation and Japanese entities to set up multiple CBG plants and explore carbon credit opportunities. Future growth avenues include second-generation (2G) ethanol production using bagasse, sustainable aviation fuel (SAF) with a planned capacity of 10 crore litres annually, and production of high-value biochemicals such as Mevalonolactone (MVL). The company also operates five biofuel dispensing stations in Karnataka and has received government approval to market motor spirit and high-speed diesel, positioning it as a private OMC with plans to set up 100 retail outlets offering ethanol blends, bio-CNG, EV charging, and non-fuel retail services. Aligned with key government initiatives like the National Biofuels Policy 2018, Ethanol Blending Program, SATAT, and PLI schemes, the company benefits from multiple incentives, supporting its transition-focused green energy model and reinforcing its leadership in India’s rapidly growing bioenergy sector.
Objective of the Trualt Bioenergy Ltd IPO
The net proceeds from the fresh issue will be used towards the following purposes:
- Funding capital expenditure towards setting up multi-feed stock operations to pave-way for utilizing grains as an additional raw material in ethanol plants at TBL Unit 4 of 300KLPD capacity;
- Funding our working capital requirements; and
- General corporate purposes.
Rationale To Trualt Bioenergy Ltd IPO
India’s largest ethanol producer by installed capacity provides a competitive advantage
The company is India’s largest ethanol producer by installed capacity, with a well-defined strategy for capacity expansion, feedstock diversification, and product innovation that positions it at the forefront of India’s biofuels growth story. It has demonstrated exceptional growth since its incorporation in 2021, when it entered the ethanol industry through strategic acquisitions, expanding from a combined installed capacity of just 590 KLPD in FY22 to 2,000 KLPD in FY25, aided by strategic acquisitions and capacity expansions. Backed by strong government support through interest subvention schemes and approvals to expand manufacturing capabilities to 4,600 KLPD, the company is positioned to benefit from India’s Ethanol Blending Program and rising demand for non-fossil fuels. Having recently completed a 600 KLPD capacity expansion across three locations, the company targets further enhancement of its feedstock flexibility by converting 1,300 KLPD of its existing mono-feed (molasses/sugar syrup/sugarcane juice) capacity into dual-feed facilities capable of processing grain-based raw materials by FY26. This feedstock diversification reduces dependency on sugarcane-based inputs, helps manage seasonal fluctuations, and optimises production based on price dynamics across multiple feedstocks. Furthermore, the company plans to integrate a 200 KLPD unit for second-generation (2G) ethanol production using 800,000 MT of bagasse from promoter group companies, offering additional cost and supply flexibility while enhancing sustainability. The company believes that its large installed ethanol production capacity, combined with a well-structured expansion strategy focused on diversifying its raw material base and developing additional sustainable energy solutions, provides a strong competitive advantage to capitalise on the significant growth opportunities in the ethanol and biofuels sector.
Poised to capitalise on strong biofuel industry tailwinds including favorable government policies and demand-supply gap
The company is well-positioned to capitalise on strong industry tailwinds driven by India’s accelerating shift toward biofuels, braced by government incentives, favourable policies, and rising demand for sustainable energy. The domestic biofuel market, dominated by ethanol and complemented by compressed biogas (CBG) and biodiesel, is expected to see significant growth, with the Indian biogas market alone projected to reach USD 2.25 bn by 2029, at a CAGR of 6.3% between 2022 and 2029 (Source: CRISIL Report). As a leading producer of both ethanol and CBG, the company stands to benefit from multiple policy initiatives, including the Ethanol Blended Petrol (EBP) program, which promotes ethanol blending to reduce fossil fuel dependence and incentivises production through interest subvention schemes, excise duty exemptions, production-linked incentives, and a growing market for CBG producers. Through its subsidiary, the company is among the first movers in the CBG space and is rapidly expanding capacity with multiple upcoming plants, further supported by authorisation to sell fermented organic manure (FOM) directly to farmers. Backed by these structural growth drivers, regulatory incentives, and a robust expansion pipeline, the company is strategically positioned to strengthen its leadership in ethanol and CBG space, bridge the demand-supply gap in India’s biofuel market, and deliver sustained long-term growth.
Valuation of Trualt Bioenergy Ltd IPO
TruAlt Bioenergy Limited operates five distillery units in Karnataka, producing ethanol primarily from molasses and sugar syrup, along with by-products such as extra neutral alcohol (ENA), dry ice, and liquid CO₂. With a diversified portfolio that spans ethanol, CBG, and plans for sustainable aviation fuel (SAF), second-generation (2G) ethanol, and high-value biochemicals like Mevalonolactone (MVL), the company benefits from strong policy support, including the National Biofuels Policy 2018, the Ethanol Blending Program, and various state and central government incentives. The company is centred around scaling capacity, diversifying feedstock, and expanding into high-value green energy solutions. By FY26, the company aims to convert 1,300 KLPD of its existing mono-feed ethanol capacity to dual-feed, enabling production from both grain-based and sugarcane-based feedstocks. The company has also received approvals to expand its ethanol manufacturing capacity to 4,600 KLPD and plans to integrate a 200 KLPD unit for 2G ethanol production using 800,000 MT of bagasse. On the financial front, the company has delivered healthy CAGR growth over FY2023–25 period, with Revenue/EBITDA/PAT CAGR of 58.2%/71.5%/66.0%. Overall, the company’s strong capacity base, diversified feedstock strategy, and entry into new biofuel verticals provide significant growth visibility. India’s ethanol blending targets, mandatory CBG blending initiatives, and the expected demand for SAF driven by global carbon reduction requirements create a favourable market environment. At the upper price band of Rs. 496 per share, the company is valued at a P/E multiple of 23.7x FY25 earnings. We, thus, recommend a “SUBSCRIBE” rating for this issue.
What is the Trualt Bioenergy Ltd IPO?
The initial public offer (IPO) of Trualt Bioenergy Ltd offers an early investment opportunity in Trualt Bioenergy Ltd . A stock market investor can buy Trualt Bioenergy Ltd IPO shares by applying in IPO before All Trualt Bioenergy Ltd shares get listed at the stock exchanges. An investor could invest in Trualt Bioenergy Ltd IPO for short term listing gain or a long term.
How to apply for the Trualt Bioenergy Ltd IPO through StoxBox?
To apply for the Trualt Bioenergy Ltd IPO through StoxBox one can apply from the website and also from the app. Click here
When will the Trualt Bioenergy Ltd IPO open?
Trualt Bioenergy Ltd IPO is opening on 25th Sep 2025. Apply Now
What is the lot size of the Trualt Bioenergy Ltd IPO?
The Lot Size of Trualt Bioenergy Ltd IPO is 30 equity shares. Login to your account now.
When is the Trualt Bioenergy Ltd allotment date?
The allotment Date for Trualt Bioenergy Ltd IPO is 30th Sep 2025. Login to your account now.
When is the Trualt Bioenergy Ltd IPO listing date?
The listing Date for Trualt Bioenergy Ltd IPO is 3rd Oct 2025. Login to your account now
What is the minimum investment required for the Trualt Bioenergy Ltd IPO?
In the Retail segment the minimum investment required is Rs. 14,880. Login to your account now
What is the maximum investment allowed for the Trualt Bioenergy Ltd IPO?
In the Retail segment the maximum investment requirement is Rs. 1,93,440. Login to your account now
What are the risks associated with investing in the Trualt Bioenergy Ltd IPO?
The company is heavily dependent on the export market and derives majority of its revenue from the export trading of construction machines. High dependency on export revenues exposes the company to regulatory uncertainty, geopolitical risks, tariff & non-tariff barriers and trade policy volatility. The company’s revenue from operations is dependent upon a limited number of customers, and the loss of any of these customers or loss of revenue from any of these customers could have a material adverse effect on its business.
The company is dependent on third-party suppliers, and any disruptions in the supply or an increase in the prices of requisite construction machines could adversely affect its operations
When will the Trualt Bioenergy Ltd IPO shares be credited to my Demat account?
The Trualt Bioenergy Ltd IPO be credited to the account on allotment date which is 03rd Oct 2025. Login to your account now
Where can I find the Trualt Bioenergy Ltd IPO prospectus?
The prospectus of Trualt Bioenergy Ltd IPO prospectus can be find on the website of SEBI, NSE and BSE
