Current Infraprojects IPO...
20 Aug, 2025
Gem Aromatics IPO
Gem Aromatics IPO is available for bidding from August 19, 2025, to August 21, 2025. Closing price band is ₹309–325 per equity share. The total issue size amounts to ₹451.25 crore, comprising a fresh issue of ₹175 crore and ₹276.25 crore through an Offer for Sale (OFS). The shares have a par value of ₹2 each and the retail investor minimum bid is 46 shares (approximately ₹14,950). For the intended listing on the BSE and NSE, Kfin Technologies is the registrar and Motilal Oswal is the lead manager.
Company Background
Gem Aromatics Ltd was established in 1997 in Mumbai, Maharashtra. The company has a track record of over two decades of specialty ingredient manufacturing, including essential oils, aroma chemicals & value-added derivatives. With time, Gem Aromatics has emerged as one of the leading processors of major aroma chemicals such as DMO, Clove Oil, Eugenol and Eucalyptus Oil, maintaining a dominant position in the domestic and international market segment.
Operations & Product Range
Facility & Production
The company started its journey with a focus on mint derivatives and eventually expanded into clove and its derivatives. Gem Aromatics employs advanced chemical processing techniques and has strong R&D facilities in Maharashtra (team of 13 scientists). They produce 70 products under four broad categories—mint & its derivatives, clove & its derivatives, phenols and other synthetic and natural oils. With both manufacturing & trading/distribution facilities and exports achieving a status of “Three Star Export House”.
Brands & Market Presence
Gem Aromatics supplies to over 200 customers in 13 countries. They serve several leading Indian and global brands, including Colgate-Palmolive, Dabur, Patanjali Ayurved, SH Kelkar and Rossari Biotech, as well as multinationals such as dōTERRA, with whom they have a global supply agreement.
Revenue Channels
The company derives revenues through the sale of its products in India to established FMCG, pharmaceutical and fragrance companies and also through the export of its products globally. The product mix serves sectors such as oral care, cosmetics, wellness, nutraceuticals, flavour and fragrances. The revenue from operations has increased over the years: FY23 — ₹424.79 crore, FY24 — ₹452.45 crore, FY25 (projected/ analysed) — ₹503.95 crore. Export sales are a large chunk of the overall turnover of the company.
Management & Shareholding
Promoters & Shareholding
Vipul Parekh, Kaksha Vipul Parekh, Yash Vipul Parekh and the Parekh Family Trust are the promoters of the Gem Aromatics IPO. Kaksha Parekh, the director and Vipul Parekh, the managing director, will offer extensive exposure in the flavor and aroma sector. Current promoters are holding 75% of the equity of the company before the IPO.
Board Members Detail
The Board also includes Ajay Sahai, Shrenik Kishorbhai Vora, Parag Ratnakar Gogate, Shubhangi Bhalchandra Umbarkar and Vishakha Hari Bhagvat alongside promoter directors. Their expertise covers production, finance, marketing and operations.
WHAT IS GMP?
GMP (Grey Market Premium) is the difference between the IPO price and the grey market price. It is the premium amount paid for the traded IPO shares. It plays an important role in IPOs as it reflects how the IPO would react on the listing day.
A grey market is a place where shares/stocks are traded before being listed officially on the stock exchange.
Gem Aromatics IPO
| GMP Date | IPO Price | GMP | Last Updated |
|---|---|---|---|
| - | - | - | - |
**The GMP prices displayed here are solely for informational purposes related to the grey market news. India IPO does not engage in or facilitate grey market trading, nor are these rates (sub2) indicative of any trading activity. We also do not recommend or endorse participation in the grey market.**
Gem Aromatics IPO Details
| Detail | Description |
|---|---|
| IPO Date | August 19, 2025 to August 21, 2025 |
| Listing Date | - |
| Face Value | ₹2 per share |
| Issue Price Band | ₹309 to ₹325 per share |
| Lot Size | 46 Shares |
| Sale Type | Fresh Capital-cum-Offer for Sale |
| Total Issue Size | 1,38,84,615 shares (aggregating up to ₹451.25 Cr) |
| Fresh Issue | 53,84,615 shares (aggregating up to ₹175.00 Cr) |
| Offer for Sale | 85,00,000 shares of ₹2 (aggregating up to ₹276.25 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 4,68,52,523 shares |
| Share Holding Post Issue | 5,22,37,138 shares |
Gem Aromatics IPO Timeline
| Detail | Description |
|---|---|
| IPO Open Date | Tue, Aug 19, 2025 |
| IPO Close Date | Thu, Aug 21, 2025 |
| Tentative Allotment | Fri, Aug 22, 2025 |
| Initiation of Refunds | Mon, Aug 25, 2025 |
| Credit of Shares to Demat | Mon, Aug 25, 2025 |
| Tentative Listing Date | Tue, Aug 26, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on August 21, 2025 |
Gem Aromatics IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 46 | ₹14,950 |
| Retail (Max) | 13 | 598 | ₹1,94,350 |
| S-HNI (Min) | 14 | 644 | ₹2,09,300 |
| S-HNI (Max) | 66 | 3,036 | ₹9,86,700 |
| B-HNI (Min) | 67 | 3,082 | ₹10,01,650 |
Gem Aromatics IPO Promoter Holding
| Share Holding Pre Issue | Share Holding Post Issue |
|---|---|
| Share Holding Pre Issue | 75% |
| Share Holding Post Issue | 55.06% |
Competitive Strength:
- Some of the key strengths of the Gem Aromatics IPO are its leadership position in core products such as Eugenol and DMO, a strong export network, long-standing relations with renowned clients and strong R&D capabilities. The company's advantage includes the strength of its promoters and product innovation, in addition to being a "Three Star Export House.
Gem Aromatics IPO Financial Information
| Period Ended | Assets | Revenue | Profit After Tax | Net Worth | Total Borrowing | |||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 31 Mar 2025 | 534.52 | 505.64 | 53.38 | 283.98 | 222.37 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2024 | 368.57 | 454.23 | 50.1 | 231 | 111.13 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2023 | 295.76 | 425.09 | 44.67 | 179.53 | 89.36 | |||||||||||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||||||||||||
Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 18.80% |
| ROCE | 16.02% |
| Debt/Equity | 0.78 |
| RoNW | 18.80% |
| PAT Margin | 10.56% |
| EBITDA Margin | 17.55% |
| Price to Book Value | 5.36 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 11.39 | 10.22 |
| P/E (x) | 28.52 | 31.8 |
IPO Objectives
The business plans to use the money raised from the IPO for the following purposes:
- Funding capital expenditure requirements.
- Repayment or prepayment of certain borrowings.
- General corporate purposes to support future growth and working capital needs.
Conclusion
Gem Aromatics is a well-known brand in the essential oil and fragrance chemical industries, with strong financials and market dominance. This IPO allows investors to ride on the wave of the growth of a company providing services to top-notch domestic and global brands, based on a strong experience and innovative solutions to the clients.
RHP:
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Frequently asked Questions (FAQs )
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1. What are the Gem Aromatics IPO dates?
The initial public offering (IPO) will take place between August 19, 2025, and August 21, 2025.
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2. How big is the Gem Aromatics IPO offering?
Up to ₹451.25 crore is the issue size, of which ₹175 crore is a new issue and the remaining amount is up to ₹276.25 crore as an OFS.
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3. Who are the promoters of Gem Aromatics Ltd.?
The company is promoted by Vipul Parekh, Kaksha Vipul Parekh, Yash Vipul Parekh and the Parekh Family Trust.
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4. What does Gem Aromatics manufacture?
It makes essential oils, aroma chemicals & value-added derivatives—primarily mint derivatives, clove derivatives, phenol and other natural/synthetic oils.
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5. Who are Gem Aromatics’ main clients?
Clients include Colgate-Palmolive, Dabur, Patanjali Ayurved, SH Kelkar, Rossari Biotech and dōTERRA, among others.
