Gem Aromatics' IPO Thrives with Robust Investor Subscription

Gem Aromatics, a prominent specialty ingredients manufacturer, is experiencing strong investor interest in its Rs 451-crore initial public offering. As of the second day, the IPO has been oversubscribed by nearly three times, with investors showing a keen appetite for the offering.

According to data from the National Stock Exchange (NSE), a total of 2,83,51,410 shares have been bid against an available offering of 97,82,363 shares. Non-institutional investors led the charge with a subscription of 3.95 times, while retail individual investors subscribed 3.19 times. The qualified institutional buyers' segment reached 1.54 times subscription.

The IPO will close on Thursday, offering a price range of Rs 309 to Rs 325 per share. Proceeds from the fresh issue aspect of the IPO, which amounts to Rs 175 crore, will be allocated for debt repayment and general corporate expenses. Gem Aromatics specializes in essential oils and aroma chemicals and serves clients such as Colgate-Palmolive and Dabur from its manufacturing sites across India.