Rays of Belief Ltd. IPO: price band, issue size, subscription, financials and use of proceeds

Rays of Belief Limited (brand: Mom’s Belief) came to the mainboard with a ₹125.00 crore IPO priced in a band of ₹227 to ₹239 per share (lot size: 62 shares). The issue opened on 01 September 2026 and closed on 03 September 2026, with listing dated 08 September 2026. The IPO was entirely a fresh issue of ₹125.00 crore with no offer for sale (OFS), so the proceeds are proposed to accrue to the company (not to selling shareholders).

What Rays of Belief does and how it delivers services

Rays of Belief Limited operates a distributed network of centres and digital programs for children with neurodevelopmental disorders (NDD), including autism, attention-deficit/hyperactivity disorder (ADHD) and developmental delays. The offering described by the company spans assessment, individualized plans such as individualized education plans and individualized growth plans (IEP/IGP), therapy services, and parent-empowerment support.

The operating model, as described in the offer documents, combines standardized screening tools and structured clinical protocols with a cloud-based technology backbone used across India. The company positions itself as technology-enabled and “asset-light” in the sense that centre expansion is designed around leased premises rather than owned real estate.

Delivery channels referenced by the company include centre-based services and digital programs, along with partnership-led formats (including collaborations through licensed professionals and schools). This multi-format approach is central to how Rays of Belief describes its geographic expansion and service reach.

Key milestones and expansion history

Rays of Belief was incorporated in 2017 as Rays of Belief Private Limited. A prominent early milestone cited by the company is receiving the Zero Project Award (“Breaking the Barriers”) at the United Nations headquarters in Vienna in 2018, alongside a founder keynote at the UN.

During 2020, the company introduced a “Pay As You Like” therapy model during COVID-19, launched “Mind Belief” (described as a corporate mental health support program), and established the Mom’s Belief Pediatric Hearing Centre. In 2021, it launched MB School of Moms, a structured parent training program.

The company’s centre footprint expanded materially over subsequent years. In 2022, it initiated Partnership Centres with paediatricians, introduced Mom’s Belief Care (described as an insurance plan), launched 19 new centres, partnered with The LEGO Foundation, and rolled out the Family Support Program (FSP). In 2023, it launched over 20 new centres and introduced Early Intervention Centres (EICs). In 2024, it launched 48 new centres and converted into a public company, changing its name to Rays of Belief Limited.

A further milestone disclosed for 2025 is its first overseas investment in the United States, including the formation/acquisition of a wholly owned subsidiary structure comprising Mom’s Belief US Inc. and a step-down subsidiary, Allergy & Immunology Virginia, LLC. The IPO description links this to geographic diversification beyond India.

Financial trajectory and reported profitability

Across FY2024 to FY2026, Rays of Belief reported growth in total revenue and total assets, while profit after tax (PAT) and PAT margin varied year to year. The financial profile in the offer materials is therefore best read as a trajectory across multiple years rather than a single-period snapshot.

In narrative terms, total revenue increased from ₹30.76 crore in FY2024 to ₹36.54 crore in FY2025 and then to ₹82.06 crore in FY2026, while total assets increased from ₹12.89 crore (FY2024) to ₹26.12 crore (FY2025) and ₹50.89 crore (FY2026). PAT was ₹0.85 crore in FY2024, ₹5.88 crore in FY2025, and ₹4.96 crore in FY2026, with PAT margins moving from 2.77% (FY2024) to 16.10% (FY2025) and 6.04% (FY2026).

The key performance indicators (KPIs) disclosed with the issue include an EBITDA margin of 14.59% (EBITDA presented as a margin percentage) and a reported PAT margin of 6.07% at the time of the offering. These metrics are typically tracked alongside how the company scales its centre network and how that scaling reflects in reported assets, revenue and net profit over time.

Issue structure, subscription outcome, and investor reservations

The IPO structure was straightforward: ₹125.00 crore as a fresh issue and ₹0.00 crore as OFS. This means any net proceeds from the fresh issue are proposed to be deployed for business objectives stated by the company.

On demand, the issue closed with an overall subscription of 3.63 times. The category-wise outcome reported was led by the retail individual investor portion, while the non-institutional investor portion subscribed above one time and the qualified institutional buyer portion subscribed below one time.

For allocation framework, the issue carried reservations of 75% for qualified institutional buyers (QIB), 15% for non-institutional investors (NII), and 10% for retail investors. The offer materials also disclose an anchor allocation framework, including an anchor portion as part of the QIB segment and a domestic mutual fund reservation within the anchor book.

Grey market premium (GMP) observations shared around the listing period (an unofficial indicator, not an exchange-traded measure) ranged from ₹7 to ₹20 against the referenced issue price of ₹239 across the latest 10 observations in the provided dataset, with the last recorded observation at ₹15 on 08 September 2026.

Proposed use of proceeds: expansion, leases, US subsidiary support and brand building

Because the IPO was entirely a fresh issue, the company has proposed to use net proceeds for business-led spending categories rather than shareholder exits. The stated objects of the issue (and net proceeds from any pre-IPO placements, after related expenses, as referenced in the offer documents) are centred on a combination of expansion capex, lease-linked outflows, overseas subsidiary funding for lease/license payments, and growth initiatives.

A major stated focus is establishing new centres on leased premises, with associated technology hardware. Within this umbrella, the company describes multiple centre formats, including company learning centres, centres in partnership with licensed professionals, school collaboration centres, a Centre for Excellence and Research (COER), and an upskilling academy meant for continuous learning and professional upskilling.

Separately, the company has also included lease payments for existing centres in India as a proposed object of the issue. For its overseas footprint, Rays of Belief has proposed investment in its subsidiary, Mom’s Belief US Inc., for making lease or license payments for existing centres in the United States.

In addition, the company proposes spend on brand awareness and inclusive outreach programs. The offer documents also include inorganic growth through an unidentified acquisition and general corporate purposes as part of the stated objects, without naming specific acquisition targets.

Valuation and KPIs disclosed with the issue, plus key risks and monitoring points

At the IPO price band, Rays of Belief disclosed EPS of ₹3.16 and a pre-IPO P/E of 75.63 times. It also disclosed ROE (return on equity) of 21.64%, ROCE (return on capital employed) of 29.74%, and RoNW (return on net worth) of 21.64%. Leverage was disclosed through a debt-to-equity ratio of 0.12. The company also reported a price-to-book value as 0 in the provided KPI set.

Key risks highlighted in the provided context focus on operational and concentration exposures typical to a centre-led, lease-based services model:

Many centres are on short leases, while fit-outs are location-specific; non-renewals can force write-offs and incremental spending that can affect profitability and cash flows.

Revenue dependence on a few regions can make earnings sensitive to local disruptions or changes in demand within those regions.

A large share of revenue is described as coming from related-party export services and newly acquired US centres, creating exposure to contract changes, collection patterns, and integration execution.

Monitoring points that follow from the stated strategy, objects of the issue and risk framing include:

Track the pace of new centre additions under leased formats, including renewals and fit-out outcomes as the network expands.

Track trade receivables and cash collection patterns, including collections linked to related-party export services.

Track operating execution in the US subsidiary structure (Mom’s Belief US Inc. and the step-down subsidiary) given the stated object of funding lease/license payments.

Track how any inorganic growth deployment evolves, since acquisition targets are described as unidentified in the stated objects.

Complete numeric snapshot

IPO terms and schedule

Key performance indicators and valuation

Category reservations and anchor allocation

Proposed use of fresh issue proceeds

Subscription status (19 Sep 2026)

Grey market premium (GMP) trend

GMP is an unofficial market indicator and can change; these are dated snapshot observations, not a listing forecast.