IPO Overview
Ellenbarrie Industries Pte. Ltd., a Kolkata-based manufacturer of industrial gases, is set to launch its Initial Public Offering (IPO). Established in 1973, the company has carved a niche as one of the largest fully indigenous suppliers of gases in India. It serves critical sectors like steel, pharma, railways, defence, and healthcare.
The company's offerings are extensive, covering a wide range of gas products and services, including on-site generation, piped delivery, and project engineering, underscoring its deep-rooted presence in India's industrial landscape.
Issue Size Breakdown
Use of IPO Proceeds
Key IPO Highlights
| Element | Details |
|---|---|
| Industry | Industrial Gases (Oxygen, Argon, Nitrogen, CO2, etc.) |
| IPO Type | Book Built Issue |
| Fresh Issue | ₹400 Cr – For repayment of debt and expanding plans |
| Offer for Sale (OFS) | ₹452.53 Cr – Promoter offloading stake |
| Total Issue Size | ₹852.53 Cr |
| Price Band | ₹380 – ₹400 per share |
| Lot Size | 37 shares per lot |
| Face Value | ₹2 per share |
| Listing Exchange | NSE and BSE |
| Promoters | Padam Kumar Agarwala and Varun Agarwal |
IPO Timeline
The IPO process is structured with key dates to ensure a transparent and orderly process for all classes of investors.
Event Timeline (2025)
| Event | Date (2025) | Description |
|---|---|---|
| Anchor Allotment | June 23 | Shares allotted to institutional investors one day prior to IPO opening. |
| IPO Opens | June 24 | First day for retail, HNI, and QIB investors to place bids. |
| IPO Closes | June 26 | Final day to submit bids; applications close by 5 PM. |
| Allotment Finalisation | June 27–28 (Tentative) | Registrar finalizes allotments and informs successful bidders. |
| Refunds Initiated / Shares Credited | June 30 | Refunds for unallotted applications and credit of shares to Demat accounts. |
| Listing Date | July 1 | Shares commence trading on NSE and BSE. |
IPO Allotment Structure
The issue is divided among different investor categories as per SEBI guidelines, ensuring a balanced participation structure.
Investor Category Allocation
QIB Category Breakdown
Anchor Investors are a subset of the QIB portion, allotted one day before the IPO opens.
IPO Subscription (Live on Day 1)
Initial subscription figures provide a glimpse into early market demand. Institutional bidding typically surges on the final day.
Day 1 Subscription Status
Grey Market Premium (GMP)
The Grey Market Premium (GMP) is an unofficial indicator of market sentiment and potential listing gains. While speculative, it is closely watched by investors.
IPO Risk – What You Should Watch Out For
While the company's fundamentals appear strong, potential investors must consider the inherent risks associated with its business model and industry. These factors are crucial for making an informed long-term investment decision.
- ️ Customer Concentration: Overdependence on a few large clients may affect stability if contracts are lost.
- Tender Dependency: Reliance on government contracts brings uncertainty due to long bidding cycles.
- Hazardous Operations: Industrial gases are flammable and toxic, requiring strict safety controls.
- ️ Regulatory Compliance: Non-compliance with safety or environmental laws can lead to shutdowns or fines.
- Delisting History: Previously delisted, which may raise governance or liquidity concerns for some investors.
- Capital-Intensive Model: Requires heavy upfront investment for capacity and technology expansion.
IPO Review – What Are Analysts Saying?
Expert opinions are largely positive, pointing to strong fundamentals and clear growth strategies. However, some analysts have raised concerns about the valuation, suggesting it is fully priced.
Brokerage Recommendations
| Brokerage | Recommendation | Key Rationale |
|---|---|---|
| SBICAP Securities | Subscribe | Long-term contracts, strong balance sheet, post-IPO debt reduction plan. |
| Anand Rathi | Subscribe | Healthy return ratios and efficient operations. |
| Bajaj Finserv | Neutral | Concerns on sector cyclicality and valuation nearing upper range. |
| Chola Securities | Subscribe | Expansion backed by capex and growing regional market leadership. |
IPO Financials - High Growth, Efficient Execution
Ellenbarrie's financial performance is a key attraction. The company has demonstrated impressive double-digit revenue growth, significant profit expansion, and excellent return ratios. A notable positive is the expanding margins coupled with a decreasing debt-to-equity ratio.
Revenue & Net Profit Growth (₹ Cr)
Margin Expansion Trend
Return on Equity (RoE %)
EPS Growth (₹)
Debt to Equity Ratio
Peer Comparison - Where Does Ellenbarrie Stand?
Compared to industry titans like GAIL or Linde, Ellenbarrie is smaller but stands out with its healthy profitability and high RoE. This IPO offers a unique opportunity to invest in a focused, high-growth midcap player in the industrial gases sector.
Peer Comparison: Key Metrics
Peer P/E & RoE Matrix
Conclusion
Ellenbarrie Industrial Gases represents a rare indigenous player in a capital-intensive industry with high entry barriers. Its rising revenues, expanding margins, and long-term contracts position it well for steady growth. The IPO proceeds will strengthen the balance sheet, and a solid anchor book indicates strong institutional confidence.
However, the business requires continuous investment, and the valuation is on the higher side. This makes the issue a potentially compelling choice for long-term investors seeking value in a niche, stable industry, or for those targeting moderate listing gains.
Frequently Asked Questions
The IPO price band is set at ₹380 – ₹400 per share.
A retail investor must apply for a minimum of one lot, which consists of 37 shares. At the upper price band of ₹400, the minimum investment is ₹14,800.
The total IPO size is ₹852.53 crore. This includes a fresh issue of ₹400 crore and an Offer for Sale (OFS) of ₹452.53 crore by the promoters.
Proceeds from the fresh issue will be primarily used to repay debt, fund working capital requirements, and for general corporate purposes to support future growth.
The IPO opens for subscription on June 24, 2025, and closes on June 26, 2025.
The basis of allotment is expected around June 27-28, 2025. Shares will be credited to the Demat accounts of successful applicants by June 30, 2025.
The shares are expected to be listed on both the NSE and BSE on July 1, 2025.
Yes, as of the latest reports, the GMP is trading around ₹7 to ₹10 per share, suggesting a possibility of a modest listing premium.
Currently, there is no reported Kostak rate. The Subject-to-Sauda rate is approximately ₹250 per application. These are unofficial and speculative rates.
This depends on your risk appetite and investment goals. It may be suitable for investors with a long-term horizon who are comfortable with sector-specific risks like customer concentration and capital intensity. Others might consider it for potential listing gains.
Most analysts have a "Subscribe" rating, citing strong financials and growth prospects. However, a few have noted that the valuation is high, which may limit upside potential.
You can apply for the IPO through your bank's ASBA (Application Supported by Blocked Amount) service or via your stockbroker's mobile app or website using UPI. The process is entirely digital.
The book-running lead managers for this IPO are Motilal Oswal, IIFL Capital, and JM Financial. KFin Technologies is the registrar to the issue.
It's advisable to apply early to avoid last-minute technical glitches with UPI mandates. While GMP is a popular metric, focus more on the company's fundamentals, financial health, and your personal risk tolerance before investing.
Ellenbarrie's main competitive advantage lies in being one of the largest fully indigenous players in a high-entry-barrier industry dominated by multinational corporations. This allows for greater operational flexibility and a strong foothold in serving diverse domestic sectors, including government and defence contracts.
The IPO price band is set at ₹380 – ₹400 per share.
A retail investor must apply for a minimum of one lot, which consists of 37 shares. At the upper price band of ₹400, the minimum investment is ₹14,800.
The total IPO size is ₹852.53 crore. This includes a fresh issue of ₹400 crore and an Offer for Sale (OFS) of ₹452.53 crore by the promoters.
Proceeds from the fresh issue will be primarily used to repay debt, fund working capital requirements, and for general corporate purposes to support future growth.
The IPO opens for subscription on June 24, 2025, and closes on June 26, 2025.
The basis of allotment is expected around June 27-28, 2025. Shares will be credited to the Demat accounts of successful applicants by June 30, 2025.
The shares are expected to be listed on both the NSE and BSE on July 1, 2025.
Yes, as of the latest reports, the GMP is trading around ₹7 to ₹10 per share, suggesting a possibility of a modest listing premium.
Currently, there is no reported Kostak rate. The Subject-to-Sauda rate is approximately ₹250 per application. These are unofficial and speculative rates.
This depends on your risk appetite and investment goals. It may be suitable for investors with a long-term horizon who are comfortable with sector-specific risks like customer concentration and capital intensity. Others might consider it for potential listing gains.
Most analysts have a "Subscribe" rating, citing strong financials and growth prospects. However, a few have noted that the valuation is high, which may limit upside potential.
You can apply for the IPO through your bank's ASBA (Application Supported by Blocked Amount) service or via your stockbroker's mobile app or website using UPI. The process is entirely digital.
The book-running lead managers for this IPO are Motilal Oswal, IIFL Capital, and JM Financial. KFin Technologies is the registrar to the issue.
It's advisable to apply early to avoid last-minute technical glitches with UPI mandates. While GMP is a popular metric, focus more on the company's fundamentals, financial health, and your personal risk tolerance before investing.
Ellenbarrie's main competitive advantage lies in being one of the largest fully indigenous players in a high-entry-barrier industry dominated by multinational corporations. This allows for greater operational flexibility and a strong foothold in serving diverse domestic sectors, including government and defence contracts.
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