Gem Aromatics IPO

30.10x

subscribed

Gem Aromatics IPO

Chemicals
listed
₹14,214Min. investment
  1. Pre-apply
    16 Aug
  2. Bid start
    19 Aug
  3. Bid end
    21 Aug
  4. Allotment
    22 Aug
  5. Release of funds
    25 Aug
  6. Demat transfer
    25 Aug
  7. Listing
    26 Aug

About Gem Aromatics Limited

SectorChemicals
Price range₹309 – ₹325
IPO type
Regular
Lot size46 shares
Issue size₹451Cr
Red Herring Prospectus
Read
Market Cap
₹1,697.7CrLower than sector avg
RevenueApr 2024 - Mar 2025
₹503.9CrLower than sector avg
Growth rate3Y CAGR
5.86%

Gem Aromatics Limited IPO Overview

Gem Aromatics Limited IPO date

Gem Aromatics Limited IPO will open for subscription on August 19, 2025, and the closing date for the IPO is August 21, 2025. After this, investors are expected to be updated about the allotment status on August 22, 2025.

Investors who have been allotted shares can expect them to be credited to their demat account on August 25, 2025. The shares will be listed on the NSE and the BSE on Tuesday, August 26, 2025.

Gem Aromatics Limited IPO price band

The IPO includes a fresh issue of shares and an offer for sale. The IPO price band has been set between ₹309 to ₹325 per share. Interested investors can choose a price within this band to apply for the IPO. The IPO is a book-building issue, comprising a fresh issue of ₹175 crore and an offer for sale of ₹276.25 crore.

Gem Aromatics Limited IPO listing price will be determined on Aug 26, 2025. The listing price is the price at which a company’s shares debut on the stock exchanges.

Gem Aromatics Limited IPO lot size

Gem Aromatics Limited IPO details have been declared. The minimum lot size for an application is 46 shares, and the investor would have to apply for a minimum of 1 lot. Meanwhile, the IPO issue size is approximately ₹451.25 crore.

Checklist

Quality analysis
Revenue growth
Company valuation
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Risk analysis
Debt to Equity ratio
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Revenue
Higher revenue means strong sales and good market demand
This IPO
₹503.9Cr
This sector
₹778.53Cr
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PAT
Higher PAT means strong profitability and efficient cost management
This IPO
₹533.84Cr
This sector
₹63.39Cr
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Market cap
Higher market cap means strong confidence but may suggest overvaluation
This IPO
₹1,697.7Cr
This sector
₹4,831.31Cr
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P/E ratio
Lower ratio usually means stock is undervalued
This IPO
28.53
This sector
115.61
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D/E ratio
Lower ratio usually means fewer liabilities
This IPO
0.78
This sector
0.47
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Objectives

Repayment of loans
80.00%
General corporate purposes
20.00%

Strength and Weakness

Strategically located manufacturing facilities

Its 3 facilities are well-positioned: Budaun in the heart of India’s mint belt, Silvassa near JNPT port for export efficiency, and Dahej close to raw material sources and logistics hubs. This geographic advantage reduces input costs and supports export growth.

Established market leadership in speciality ingredients

The company holds a dominant share in products like DMO (12%), eugenol (65%), and over 58% in the Indian eucalyptus oil market. Its strong market position in 3 of the 4 largest essential oil segments - mint, clove, and eucalyptus provides a competitive edge and industry credibility.

Capacity expansion in high-growth segments

Ongoing expansion at the Dahej facility, including plans to have one of India’s largest capacities for cooling agents (~500 MT) and the second-largest capacity for anisole (7,000 MT), positions the company to capture a higher market share and improve margins.

Long-standing customer relationships

The company serves marquee clients such as Colgate-Palmolive, Dabur, Patanjali, Symrise, and dōTERRA, with repeat customers contributing over 94% of FY25 revenues. This reflects high customer stickiness and revenue visibility.

Export growth potential

With presence in major international markets including the USA, China, Brazil, and Europe, and plans to expand warehousing in American, Asian, and Australian markets, the company can enhance its export revenues and reduce domestic demand dependence.

About Gem Aromatics Limited

Gem Aromatics Limited is an established manufacturer of speciality ingredients, including essential oils, aroma chemicals and value-added derivatives in India since 1999. The company offers a diversified portfolio of 70 products across 4 main categories: mint and mint derivatives, clove and clove derivatives, phenol, and other synthetic and natural ingredients, serving industries such as oral care, cosmetics, nutraceuticals, pharmaceuticals, wellness and personal care.
The company was one of the largest procurers of Piperita oil and processors of DMO (Dementholised Mint Oil), clove oil, eugenol and eucalyptus oil in India during FY25. As of FY25, Gem Aromatics commanded a 65% market share in Eugenol and 12% in DMO by volume manufactured in India, while controlling over 58% of the Indian Eucalyptus Oil production market. Mint and mint derivatives contributed 69.12% followed by clove and clove derivatives 18.90%, phenol 2.80%, and other synthetic and natural ingredients 7.39% to revenue as of FY25.
The company operates 3 manufacturing facilities with a combined production capacity of 5,346 MTPA as of March 31, 2025. The facilities are located in Budaun, Uttar Pradesh (3,800 MTPA), Silvassa, Dadra and Nagar Haveli (1,500 MTPA), and Dahej, Gujarat (46 MTPA capacity through subsidiary Krystal Ingredients Private Limited).
The company serves a diverse customer base, including Colgate-Palmolive (India) Limited, Dabur India Limited, Patanjali Ayurved Limited, SH Kelkar and Company Limited, and international clients like dōTERRA and Symrise Private Limited. In FY25, it supplied products to 225 domestic customers and 44 international customers across 18 countries, covering the Americas, Asia, Africa and Australia. Export sales constituted 50.66% of total revenue, while domestic sales accounted for 47.55%.
The Global Flavours & Fragrances market is expected to grow from USD 41 billion to USD 57 billion at a 6.9% CAGR over 2025 to 2030; fragrances form 57% of the market. India’s F&F market is expected to grow from $2.7 billion to $4.1 billion at an 8.5% CAGR in the same period, with approximately 67% share from fragrances. The essential oils & aroma chemicals segment in India has high entry barriers due to R&D needs, quality consistency, and supplier stickiness. The global mint oil market is valued at USD 796 million in 2025, growing at 6% CAGR; India produces ~75% of the global supply.
The company is expanding into new product categories, particularly citral-based products, and is in the process of expanding capacity at its Dahej Facility. It has developed advanced processes for producing downstream products using Citral as a base through its R&D facility and has placed orders for specialised equipment to manufacture the full range of Citral-based products. GEM Aromatics holds ~65% share of eugenol and 12% of DMO production in India. Market leadership in high-demand natural oil derivatives ensures pricing power, export potential and gives it access to high-growth global demand.
Now, Gem Aromatics Ltd is launching its initial public offering (IPO), which consists of a fresh issue worth up to ₹175 crore and an offer for sale of ₹276.25 crore. The total issue size of the IPO is ₹451.25 crore. Its shares will be listed on the NSE and BSE.

IPO Analysis

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Gem Aromatics IPO
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IPO Subscription Status

Date
QIB
NII
Retail
Total
19-Aug-25
0.61 times (X)
0.86 times (X)
1.09 times (X)
1.03 times (X)
20-Aug-25
1.1X
3.9X
3.2X
2.91X
21-Aug-25
34.61X
44.33X
10.05X
30.1X

Latest News on IPO

news logo
Gem Aromatics ₹451.2 crore IPO opens on August 19. The public issue will be a mix of fresh issue and OFS. The company plans to use net IPO proceeds for debt repayment and general corporate purposes. Gem Aromatics is a manufacturer of speciality ingredients, including essential oils, aroma chemicals and value-added derivatives in India with a track record of over two decades.

3 min read

news logo
Gem Aromatics IPO: The ₹451.25 crore initial share sale, with a price band of ₹309 to ₹325 per share, aims to raise ₹175 crore through the issuance of new equity shares and ₹276.25 crore via the offer for sale (OFS) component.

2 min read

news logo
Gem Aromatics IPO allotment: The issue, which sought to raise ₹451.25 crore, was a mix of fresh issuance of shares aggregating to ₹175 crore and an offer for sale (OFS) of 85 lakh shares valued at ₹276.25 crore.

3 min read

Frequently asked questions

How to invest in the IPO?

Investors can apply for the IPO through their Demat account via the stock exchange or through their broker.

What is the issue size of Gem Aromatics IPO ?

The issue size of the Gem Aromatics IPO is 451 Cr.

What is 'pre-apply' for Gem Aromatics IPO ?

Pre-applying for an IPO allows you to submit your application before the official subscription period begins.

Which exchanges will Gem Aromatics IPO shares list on?

The IPO shares will typically list on major stock exchanges such as the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), as specified in the IPO prospectus.