Gem Aromatics IPO: Here's What GMP Signals Ahead Of Launch Tomorrow
The price band for the Gem Aromatics IPO has been set between Rs 309 and Rs 325 per share.
Gem Aromatics Ltd. will launch its initial public offering (IPO) on Aug. 19. The company specialises in producing essential oils, aroma chemicals and value-added derivatives.
With the subscription window opening on Tuesday, here’s a look at the grey market premium (GMP) and other key details about the Gem Aromatics IPO.
Gem Aromatics IPO GMP Today
According to InvestorGain, the last GMP of Gem Aromatics IPO was Rs 35 as of 8:30 a.m. on August 18. With the upper limit of the price band at Rs 325, Gem Aromatics IPO's estimated listing price is Rs 360. This indicates a listing gain of 10.77%.
Note: GMP does not represent official data and is based on speculation.
Gem Aromatics IPO: Key Details
Gem Aromatics IPO is a book-built issue worth Rs 451.25 crore. The mainboard issue comprises a fresh issue of 54 lakh shares, totalling Rs 175 crore, and an offer-for-sale (OFS) component of 85 lakh shares, worth Rs 276.25 crore.
The price band for the Gem Aromatics IPO has been set between Rs 309 and Rs 325 per share. The minimum application size is 46 shares, requiring an investment of Rs 14,214 for retail investors. For sNII investors, the minimum bid is 14 lots (644 shares), amounting to Rs 2,09,300, while for big NII investors, it is 67 lots (3,082 shares), requiring an investment of Rs 10,01,650.
The IPO will remain open for subscription till Aug. 21. The IPO allotment status is scheduled to be finalised on Aug. 22. This will be followed by initiation of refunds to unsuccessful applicants and credit of shares to the demat accounts of successful applicants on Aug. 25.
Shares of Gem Aromatics Ltd. are tentatively scheduled to be listed on the BSE and NSE on Aug. 26.
Motilal Oswal Investment Advisors Ltd. is the book-running lead manager for the issue, while Kfin Technologies Ltd. is acting as the issue registrar.
Gem Aromatics: Business And Financials
Gem Aromatics Ltd. was founded in 1997. The company produces a range of products catering to oral care, cosmetics, nutraceuticals, pharmaceuticals, wellness, pain management and personal care industries. Its portfolio comprises 70 products across four main categories.
Use of Proceeds
Gem Aromatics Ltd. plans to use the net proceeds from the IPO to prepay or repay certain outstanding borrowings of the company and its subsidiary, Krystal Ingredients. A portion of the funds will be used for general corporate purposes.
Financials
Gem Aromatics’ total income increased from Rs 454.23 crore in FY 2024 to Rs 505.64 crore in FY 2025. The company’s profit after tax also improved marginally to Rs 53.38 crore in FY25 from Rs 50.1 crore in FY24.
Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read the red herring prospectus thoroughly before placing bids.
