Gem Aromatics IPO Gem Aromatics Ltd, a leading manufacturer of essential oils and aroma chemicals, launched its Initial Public Offering (IPO) on August 19, 2025. The issue will close on August 21, 2025, while the allotment process is expected to be finalized by August 22, 2025. Shares are scheduled to be listed on both NSE and BSE with a tentative listing date of August 26, 2025.
🔹 Gem Aromatics IPO Details at a Glance
- IPO Size: ₹451.25 crore
- Fresh Issue: 0.54 crore shares (₹175.00 crore)
- Offer for Sale (OFS): 0.85 crore shares (₹276.25 crore)
- Price Band: ₹309 – ₹325
- Lot Size: 46 shares
- Minimum Investment (Retail): ₹14,214
- Lead Manager: Motilal Oswal Investment Advisors Ltd
- Registrar: Kfin Technologies Ltd
🔹 Day 2 Subscription Status (As of August 20, 2025, 10:35 AM)
The IPO has received good traction on the second day:
- Overall Subscription: 1.35 times
- Retail Category: 1.53 times
- Qualified Institutional Buyers (QIBs): 1.03 times (excluding Anchor investors)
- Non-Institutional Investors (NIIs): 1.35 times
👉 [Also Read: Gem Aromatics IPO Day 1 Subscription Status]
🔹 Grey Market Premium (GMP) Update
According to a report by Economic Times (dated August 20, 2025, 8:30 AM):
- Current GMP: ₹26
- Estimated Listing Price: ₹351 (against the upper price band of ₹325)
- Estimated Gain: ~8% per share
⚠️ Disclaimer: GMP is unofficial and based on grey market trends. Investors should not rely solely on GMP for investment decisions.
🔹 Utilisation of IPO Proceeds
Funds raised will be used for:
- Prepayment/repayment of certain borrowings (including subsidiary Krystal Ingredients Pvt. Ltd.).
- General corporate purposes.
🔹 Business Overview
Founded in 1997, Gem Aromatics Ltd is a prominent name in the flavors, fragrances, personal care, nutraceuticals, and pharmaceuticals industries.
- Supplies to reputed FMCG giants like Colgate-Palmolive, Dabur, and Patanjali.
- Has a subsidiary in the U.S. to strengthen its global reach.
- Financials:
- Revenue: ₹424.79 crore (FY23) → ₹503.95 crore (FY25)
- Net Profit: ₹44.67 crore (FY23) → ₹53.38 crore (FY25)
📌 Key Takeaway
The Gem Aromatics IPO has witnessed a positive response from retail investors and is trading at a premium in the grey market. With strong financial performance, reputed client base, and international presence, the IPO looks attractive for investors keeping a medium-to-long-term perspective.