Synopsis: A recently listed stock that saw a 10 percent listing gain has now entered the high-growth aerospace sector by acquiring a UK firm that supplies to the world’s largest aircraft, space OEMs, and a leading French engine manufacturer.
A small-cap stock in the business of automotive components and precision engineering has announced a strategic UK acquisition, marking its entry into aerospace and defense. The deal brings high-precision capabilities and global OEM exposure and expands its international footprint while strengthening its position in advanced manufacturing segments.
With a market cap of more than Rs 16,300 Cr, Belrise Industries Ltd saw its stock hit an intraday high of Rs 185 which is 1 percent higher than the previous close of Rs 183.
The stock, listed on 28th May 2025 at Rs 100, along with a listing gain of 11 percent. It now trades at a PE of 34, significantly above the industry average of 25, indicating a premium valuation. The stock price has surged by 85 percent since it got listed on the exchange.
News
On 18th March 2026, Belrise Industries announced that the company, through its UK subsidiary Belrise UK Holdings Limited, has signed a definitive agreement to acquire a 100 percent stake in Chester Hall Precision Engineering Holdings, marking its strategic entry into the global aerospace and defence manufacturing ecosystem while strengthening its capabilities in high-precision engineering and expanding its international footprint further significantly.
The Target company
Chester Hall Precision Engineering, is a UK based specialist in machining aerostructures, aero engine components and satellite parts, serving world’s largest aircraft & space OEMs and Tier 1 suppliers, including Airbus, Collins Aerospace and even Safran which is a leading french aircraft engine OEM, while maintaining relationships as a single source supplier across critical aerospace programs with high entry barriers.
Financially, In CY25 the company generates £18.5 million GBP in revenue and about £2.2 million GBP in EBITDA. With an ROCE of more than 20 percent, the enterprise value and purchase consideration stood at £13.2 million, and the acquisition was valued at about 6 times the EV to EBITDA, indicating an attractive valuation.
What the management says
According to the Head of Strategy, acquisition represents a step in Belrise’s journey, enabling expansion beyond automotive into high growth sectors of aerospace and defence, while combining Chester Hall’s precision engineering strengths with Belrise’s manufacturing scale to build a diversified global engineering platform.
Business & Financial Overview
Belrise Industries Ltd is a leading Indian Tier-1 automotive component manufacturer specializing in precision sheet metal fabrication and polymer solutions. It commands a 24 percent market share in the two-wheeler segment, supplying critical systems like chassis and exhausts to global OEMs. Recently, it has diversified into high-growth EV components and defense.
In the latest quarter, the company saw a YoY revenue growth of 8 percent, going from Rs 2,167 Cr in Q3FY25 to Rs 2,341 Cr in Q3FY26, while the QoQ fell by 1 percent from Rs 2,354 Cr in Q2FY26. The YoY Net Profits growth is at 21 percent, going from Rs 101 Cr in Q3FY25 to Rs 122 Cr in Q3FY26, while the QoQ fall stood at 8 percent from Rs 133 Cr in Q2FY26.
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
The post Auto Ancillary Stock Enters into Global Aerospace and Defence After UK Firm Acquisition appeared first on Trade Brains.