Ellenbarrie Industrial Gases IPO

About Ellenbarrie Industrial Gases IPO

Ellenbarrie Industrial Gases Limited IPO is an IPO of ₹852.53 crores. It consists of an offer for sale of up to 14,427,620 equity shares and a fresh issue aggregating up to ₹400 crores. The price band is between ₹380 and ₹400. The lot size is 37.

The listing of shares will take place on July 1, 2025. The shares will be allotted on June 27, 2025. The credit of shares to the demat account will take place on June 30, 2025 and the initiation of refunds will take place on June 30, 2025.

Objective of Ellenbarrie Industrial Gases IPO

• Repayment/prepayment, in full or in part, of certain outstanding borrowings availed by the company.
• Setting up of an air separation unit at their Uluberia-II plant with a capacity of 220 TPD.
• General corporate purposes.

Industry Outlook

The market size of industrial gases in India was valued at USD 120 crores in 2023. The demand has been increasing at a CAGR of 6% over the last five years, driven by rapid industrialisation and infrastructure development, a growing emphasis on hydrogen as a clean energy source, and innovations in gas production, storage, and distribution that enhance efficiency and reduce costs.

Individually, demand for gases like hydrogen, nitrogen, oxygen, CO2 in urea production and CO2 in refineries has grown over the years as per the growing needs of different industries like steel, food packaging, beverage, health, automotive, etc.

In terms of volume, the Indian industrial gases market grew from 0.96 crore tons in 2018 to 1.14 crore tons in 2023. The industrial gases market is projected to reach 14.1 crore tonnes by 2028.

Company Information

Ellenbarrie Industrial Gases Limited manufactures a wide variety of industrial gases, including oxygen, nitrogen, argon, helium, hydrogen, carbon dioxide, nitrous oxide and acetylene, through which they service a diverse set of industries, with their products finding use in shipbuilding, glass manufacturing, steel manufacturing, pharmaceuticals, welding, fabrication, among others, making their consistent supply important to different industries. (Source: F&S Report) They have also been able to cater to the specific requirements of industries such as steel, pharmaceuticals and chemicals, healthcare, engineering and infrastructure, railways, aviation, aerospace and space, petrochemicals, food and beverages, energy, electronics, manufacturing, defence, through use cases.

They operate eight facilities across East, South and Central India, of which four facilities are located in West Bengal, two in Andhra Pradesh, one in Telangana and one in Chhattisgarh, as of March 31, 2024.

Risks of Ellenbarrie Industrial Gases IPO

• Their business and the demand for their products is dependent on the demand for certain end-use industries, and any decline in the demand for the end-products in such industries could have an adverse impact on their business, results of operations, cash flows and financial condition.

• Four of their eight facilities are located in West Bengal. Any adverse developments in the region could impact their manufacturing operations, and consequently, business, results of operations, cash flows and financial condition.

• Their facilities rely on an adequate and uninterrupted supply of electricity, fuel, and water. Any shortage or disruption in electricity, fuel, or water supply may lead to disruption in operations, higher operating costs, and a consequent decline in operating margins.

Anchor Investor Information

The Anchor Investor Bid/Offer Period shall be one Working Day prior to the Bid/Offer Opening Date. The anchor investor bid/offer period shall take place on June 23, 2025.

IPO Registrar and Book Running Lead Managers

Book running lead managers: Motilal Oswal Investment Advisors Limited IIFL Capital Services Limited JM Financial Limited

Registrar for the IPO : KFin Technologies Limited

Business Model

The company earns its revenue through the following sources:

Manufacturing and supplying industrial gases including oxygen, carbon dioxide, acetylene, nitrogen, helium, hydrogen, argon and nitrous oxide, as well as dry ice, synthetic air, fire-fighting gases, medical oxygen, liquid petroleum gas, welding mixture and speciality gases catering to a wide range of end-use industries.

Company Growth Trajectory

Ellenbarrie Industrial Gases Limited has witnessed revenue growth during the last three fiscals. Their revenue from operations has increased to ₹269.48 crores for fiscal 2024 from ₹244.58 crores for fiscal 2022 at a CAGR of 4.97%. Their total revenues also increased from ₹255.903 crores in FY 22 to ₹290.203 crores in FY 24.

In fiscal 2023, they had a market share of approximately 2.01% in terms of revenue, (Source: F&S Report) positioning them well to capitalise on the expected growth in the industry.

Company Market Position

Ellenbarrie Industrial Gases Limited is the largest 100% Indian-owned industrial gases company in terms of installed manufacturing capacity as of March 31, 2024, revenues and profitability in fiscal 2024. (Source: F&S Report) In an industry dominated by multinational organisations, they are one of the oldest operating industrial gases companies in India, with a rich legacy of over 50 years.

They are one of the largest manufacturers of industrial gases in East India and South India, and the market leader in the states of West Bengal, Andhra Pradesh and Telangana, each in terms of installed manufacturing capacity, as of March 31, 2024.

How To Check Allotment Status of Ellenbarrie Industrial Gases IPO?

You can check the allotment status of shares either on the website of the Bombay Stock Exchange (BSE) or on the website of the registrar KFin Technologies Limited. To check the status on the BSE website:

• Visit the BSE website
• Click on “Investor Services” and choose “Application Status Check”
• Choose the issue type — Equity or Debt (Equity in this case)
• Select the Issue Name from the drop-down. The issue name is the company’s name, which is Ellenbarrie Industrial Gases Limited
• Enter your application number or PAN number
• Check the box which says “I’m not a Robot” and click on “Search” to know the allotment status

Follow these steps to know the allotment status on the registrar’s website:

• Visit the KFin Technologies Limited website
• Choose “Public Issues” from the “Investor Services” drop-down
• Select Ellenbarrie Industrial Gases Limited from the drop-down
• Enter your PAN number or Application number
• Click on “Submit” to know the allotment status

How To Apply for Ellenbarrie Industrial Gases IPO?

• Step 1: Log in to your Kotak Securities Demat account: Log in to your Demat account to access IPO investments. Next, select the current IPO section.
• Step 2: Specify IPO details: Enter the number of lots and the price you wish to apply for.
• Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
• Step 4: Mandate Notification: Your UPI app will receive a mandate notification to block funds.
• Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.