Ellenbarrie Industrial Gases Ltd, based in Kolkata, has received SEBI approval for an IPO to raise ₹400 crore, aiming to fund debt repayment and expand its operations.
Kolkata-based Ellenbarrie Industrial Gases Limited, a leading manufacturer and distributor of industrial gases, has received approval from the Securities and Exchange Board of India (SEBI) to launch its initial public offering (IPO). The company, which operates in West Bengal, produces and supplies a wide range of gases, including oxygen, carbon dioxide, nitrogen, hydrogen, helium, acetylene, argon, and nitrous oxide, serving various industries across India.
Ellenbarrie Industrial Gases’ IPO includes a fresh issue of up to ₹400 crore worth of shares with a face value of ₹2 per share, along with an offer-for-sale (OFS) component of up to 1.44 crore equity shares. The OFS component will involve the sale of 72 lakh equity shares by promoters Padam Kumar Agarwala and Varun Agarwal. The company is also exploring the possibility of raising an additional ₹80 crore through a pre-IPO placement.
The funds raised from the fresh issue will be used to repay outstanding borrowings (₹176.8 crore) and to set up an air separation unit at its Uluberia-II plant in West Bengal with a capacity of 220 TPD, which is expected to cost ₹130 crore. The remaining funds will be allocated for general corporate purposes.
Prominent clients of Ellenbarrie Industrial Gases include Vizag Steel, Dr. Reddy’s, HSL, Jupiter Wagon Ltd, AIIMS, Air India Engineering Services Limited, and the Indian Armed Forces, among others.
Motilal Oswal Investment Advisors Ltd, IIFL Securities Limited, and JM Financial Ltd are the book-running lead managers for the IPO, while KFin Technologies Ltd will serve as the registrar to the offer.
Ellenbarrie Industrial Gases filed its draft red herring prospectus (DRHP) with SEBI on September 18, 2024, marking a significant step towards its public debut on the Indian stock market.
