Ellenbarrie Industrial Gases IPO Opens on June 24 with Price Band at Rs 380-400/Share
Ellenbarrie Industrial Gases, a leading manufacturer and supplier of industrial gases, has announced the price band for its initial public offering (IPO). The company has set the price band at Rs 380-400 per share for its Rs 852-crore initial share sale. The IPO will open for public subscription on June 24 and conclude on June 26, according to the company's announcement.
The IPO is a combination of a fresh issue of shares worth Rs 400 crore and an offer for sale (OFS) of 1.13 crore shares valued at Rs 452.53 crore, at the upper end of the price band, by promoters Padam Kumar Agarwala and Varun Agarwal. This brings the total issue size to Rs 852.53 crore.
Proceeds from the fresh issue will be used for several key purposes. Rs 210 crore will be allocated for debt repayment, Rs 104.50 crore for setting up an air separation unit at the Uluberia-II plant in West Bengal, and the remaining funds will be used for general corporate purposes.
Ellenbarrie Industrial Gases manufactures and supplies a wide range of industrial gases, including dry ice, synthetic air, fire-fighting gases, medical oxygen, liquid petroleum gas, welding mixtures, and specialty gases. These products cater to various industries, making the company a significant player in the sector.
The company's financial performance has been robust. In the fiscal year 2025, revenue from operations increased by 16% to Rs 312.48 crore from Rs 269.48 crore in the previous fiscal year. Profit after tax surged by 84% to Rs 83.29 crore in the 2024-25 financial year, up from Rs 45.29 crore in the year-ago period.
The IPO has been structured to cater to different types of investors. Half of the offer size has been reserved for qualified institutional buyers, 35% for retail investors, and the remaining 10% for non-institutional investors. Investors can bid for a minimum of 37 shares and in multiples thereof.
Motilal Oswal Investment Advisors, IIFL Capital Services, and JM Financial are the book-running lead managers for the IPO, while KFin Technologies is the registrar of the issue. This strategic approach aims to ensure a smooth and successful IPO process, aligning with the company's growth and expansion plans.
With a strong market presence and a diversified product portfolio, Ellenbarrie Industrial Gases is well-positioned to capitalize on the growing demand for industrial gases across various sectors. The IPO is expected to provide a significant boost to the company's financial strength and market standing, enabling it to further expand its operations and enhance its offerings.
