Aegis Vopak Terminals Limited: Everything You Need to Know
India’s IPO market in 2025 has seen 90 companies filing draft papers with SEBI between January and May, with 28 filings in January, 15 in February, 11 in March, 24 in April, and 12 in May. Despite this surge, only nine companies debuted on the mainboard, compared to 25 in the same period in 2024. Among the notable IPOs, today we will discuss Aegis Vopak Terminals, raising ₹2,800 crore at a price band of ₹223–₹235 per share, listing on June 2, 2025.
Overview of Aegis Vopak Terminals Limited
Aegis Vopak Terminals Limited (AVTL) is a strategic joint venture between Aegis Logistics Limited of India and Royal Vopak of the Netherlands to deliver storage and handling solutions for India’s liquid and gas needs. The company operates a network of 20 tank terminals across six key Indian ports, including Haldia, Kandla, Pipavav, JNPT, Mangalore, and Kochi. AVTL specialises in storing and handling over 40 products, including oil, liquid chemicals, petrochemicals, LPG, gases, and vegetable oil products.
The company has a liquid storage capacity of 1.7 million cubic metres and 201,000 metric tonnes for LPG. AVTL facilities include product tanks, jetty connectivity, truck loading stations, and pipelines.
Aegis Vopak Terminals Limited: Key IPO Details
The primary goal of the Aegis Vopak Terminals IPO is to channel the funds raised into specific areas that support the company’s growth and financial stability. A portion of the proceeds will be used to repay or prepay the company’s existing loans. Another part is earmarked for capital investment, particularly for the planned purchase of the cryogenic LPG terminal located in Mangalore. The remaining funds will be allocated towards general corporate needs. Here is some key information regarding IPO:
| Particular | Details |
|---|---|
Fresh Issue | 11,91,48,936 shares (aggregating up to ₹2,800 Cr) |
Lot Size | 63 Shares |
Face Value | ₹10 per share |
Issue Price Brand | ₹223 to ₹235 per share |
Issue Type | Bookbuilding IPO |
Listing at | BSE, NSE |
Shareholding Pre-issue | 98,88,42,553 shares |
Shareholding Post Issue | 1,10,79,91,489 shares |
| Particular | Details |
|---|---|
IPO Open Date | 26 May 2025 |
IPO Close Date | 28 May 2025 |
Cut-off time for UPI mandate confirmation | 5 PM on 28 May 2025 |
Allotment Date (Tentative) | 29 May 2025 |
Credit of Shares to Demat | 30 May 2025 |
Initiation of Refunds | 30 May 2025 |
Listing Date (Tentative) | 2 June 2025 |
Aegis Vopak Terminals Limited: Key Company Financials
As of 31 March 2024, Aegis Vopak Terminals’ market capitalisation stood at ₹26,737.80 crore. For this period, the company recorded a return on equity (ROE) of 8.68% and a return on capital employed (ROCE) of 8.39%, showcasing efficient use of shareholders’ funds and overall capital. The debt-to-equity ratio stands at 2.59, suggesting a relatively high reliance on borrowed funds. Meanwhile, the return on net worth (RoNW) is at 7.51%, and the profit after tax (PAT) margin is a healthy 15.18%. Other key details are outlined below:
| Parameters | 31 March 2022 (₹ Crores) | 31 March 2023 (₹ Crores) | 31 March 2024 (₹ Crores) | 31 December 2024 (₹ Crores) |
|---|---|---|---|---|
Assets | ₹102.56 | ₹3,481.48 | ₹4,523.40 | ₹5,855.60 |
Revenue | 0.00 | ₹355.99 | ₹570.12 | ₹476.15 |
Profit After Tax | (₹1.09) | (₹0.08) | ₹86.54 | ₹85.89 |
Net Worth | (₹0.53) | ₹1,098.20 | ₹1,151.94 | ₹2,037.61 |
Reserves & Surplus | 0.00 | 0.00 | 0.00 | 0.00 |
Total Borrowing | ₹98.10 | ₹1,745.17 | ₹2,586.42 | ₹2,485.75 |
Aegis Vopak Terminals Limited: Strengths and Weaknesses
Strengths:
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Aegis Vopak Terminals operates two LPG storage terminals and 18 liquid storage terminals across six major Indian ports. The company’s Terminals handle 23% of India’s liquid imports and 61% of total LPG import volumes.
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India’s LPG consumption reached 30 million metric tons (MMT) in 2024, growing at a CAGR of 6.5% over the past five years. The demand for liquid bulk storage, including petroleum and chemicals, is expected to grow by 8% annually, driven by industrial expansion.
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The Indian government aims to reduce carbon emissions by 45% by 2030, increasing demand for cleaner fuels like LPG.
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New safety regulations mandate double-walled cryogenic storage for hazardous chemicals, driving investment in advanced storage solutions.
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The company plans to invest ₹671.3 crore in acquiring a cryogenic LPG terminal in Mangalore to improve storage capacity.
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India’s port infrastructure investment is projected to exceed ₹1.5 trillion by 2026, improving logistics efficiency.
Weaknesses:
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The sector is highly dependent on global supply chains. In 2024, disruptions in the Middle East increased LPG import costs, impacting profitability.
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Global oil and gas markets are experiencing significant fluctuations due to geopolitical tensions and supply-demand imbalances. For instance, the US has seen a surge in crude oil storage demand, reminiscent of the COVID-19 pandemic era, as traders anticipate increased supply from OPEC+ and potential price recoveries. This heightened demand strains existing storage capacities.
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As the storage sector adopts advanced technologies and stricter safety standards, there’s a growing need for skilled professionals. However, the industry faces a shortage of trained personnel, particularly in specialised areas like cryogenics and hydrogen handling.
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There is increasing pressure on the storage industry to adopt environmentally sustainable practices. However, transitioning to these greener solutions requires significant investment and innovation.
Conclusion
Aegis Vopak Terminals Limited stands at the forefront of India’s energy storage and logistics sector. With its strategic expansion plans and a solid financial foundation, the company is well-positioned to capitalise on the country’s growing energy needs. The upcoming IPO offers investors an opportunity to participate in AVTL’s growth journey, contributing to the development of a more strong and efficient energy infrastructure in India.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their own research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in securities market are subject to market risks, read all the related documents carefully before investing. Brokerage will not exceed SEBI prescribed limit. The securities are quoted as an example and not as a recommendation. SEBI Registration No-INZ000200137 Member Id NSE-08081; BSE-673; MSE-1024, MCX-56285, NCDEX-1262.
