Upcoming IPO: Gem Aromatics Files Draft Papers with SEBI To Issue Public Offering

Gem Aromatics, a Mumabi-based manufacturer of speciality ingredients, has filed its draft red herring prospectus (DRHP) with the market regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).

Gem Aromatics IPO Details

Gem Aromatics IPO consists of a fresh issue of equity shares worth up to ₹175 crore and an offer for sale (OFS) of up to 89.24 lakh shares. The offer for sale includes shares from both the promoter and an investor, as per the DRHP filed on December 28. Among the promoters, Vipul Parekh will offload 33.96 lakh equity shares, Kaksha Vipul Parekh will sell up to 16.26 lakh shares, and Yash Vipul Parekh will offload up to 16.70 lakh shares.

The shares of Gem Aromatics are planned to be listed on both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).

Use of IPO Proceeds

The proceeds of this upcoming IPO will be used for debt repayment and general corporate purposes.

About Gem Aromatics Limited

Gem Aromatics Ltd, established over two decades ago, is a leading manufacturer of speciality ingredients in India, including essential oils, aroma chemicals, and value-added derivatives. The company’s foundation dates back to 1915, providing it with a solid base to capitalize on the growing market demand, as noted in a F&S report.

Gem Aromatics boasts an impressive client portfolio, which includes major names such as Colgate-Palmolive, Dabur, Patanjali, SH Kelkar, Rossari Biotech, and Symrise, among others. The company operates three advanced manufacturing facilities in Uttar Pradesh, Dadra and Nagar Haveli, and Gujarat.

For the six months ending September 30, 2024, Gem Aromatics reported revenue from operations of ₹204.89 crore and a profit after tax of ₹18.32 crore.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in securities market are subject to market risks, read all the related documents carefully before investing.