09-Nov-2023
2 mins read
The IPO date for Gandhar Oil Refinery India is November 22, 2023 to November 24, 2023. The issue pertains to the sale of 11,756,910 equity shares of Rs 2 each and fresh issue worth Rs 302.00 crore. Thanks to approval from the capital markets regulator SEBI, Gandhar Oil Refinery India Ltd. is now eligible to raise capital through an initial public offering (IPO).
Gandhar Oil Refinery India Limited IPO Product Portfolio
Gandhar Oil Refinery India Limited is a prominent manufacturer specializing in the production of white oils, which are essential components in various end industries, with a focus on consumer care, healthcare, lubricants, and process and insulating oils. Their extensive product line, counting over 350 offerings, is marketed under the “Divyol” brand. These products are essential in creating a wide range of end products in sectors such as consumer goods, healthcare, automotive, industrial, power, tire and rubber industries. Furthermore, their customer base includes leading companies both in India and globally, with a presence in more than 100 countries as of June 2022. Among their distinguished clientele are well-known companies like Procter & Gamble (“P&G”), Unilever, Marico, Dabur, Encube, Patanjali Ayurved, Bajaj Consumer Care, Emami, and Amrutanjan Healthcare, with a total of over 3,500 clients served.
The Objectives of Gandhar Oil Refinery India Limited IPO
The Offer consists of the Fresh Issue and the Offer for Sale. It’s important to note that the company will not receive any proceeds from the Offer for Sale, and these proceeds will not be included in the Net Proceeds. The company’s intended use for the Net Proceeds from the Fresh Issue is as follows:
- Providing financial support to Texol through a loan to assist in repaying or pre-paying a loan facility obtained from the Bank of Baroda.
- Allocating funds for capital expenditure, which includes the acquisition of equipment and necessary construction work for three purposes: a) expanding the capacity for automotive oil at the Silvassa Plant, b) increasing the capacity for petroleum jelly and related cosmetic product divisions at the Taloja Plant, and c) expanding the capacity for white oils by installing blending tanks at the Taloja Plant.
- Meeting the company’s working capital requirements.
- Utilizing the funds for general corporate purposes.
Financial Performance of Gandhar Oil Refinery India Limited (In Crore)
| Period Ended | 30-Jun-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 1,795.57 | 1,613.44 | 1,318.21 | 1,097.70 |
| Revenue | 1,071.52 | 4,101.79 | 3,397.98 | 2,069.58 |
| Profit After Tax | 54.28 | 213.18 | 184.3 | 161.14 |
| Net Worth | 810.79 | 760.21 | 560.71 | 375.76 |
| Reserves and Surplus | 763.99 | 719.19 | 529.07 | 355.68 |
| Total Borrowing | 335.62 | 169.53 | 158.16 | 176.78 |
Key Performance Indicator
| KPI | Values |
| Post P/E (x) | 6.16 |
| Market Cap (Rs in Cr.) | 1654 |
| ROE | 32.28% |
| ROCE | 41.19% |
| Debt/Equity | 0.22 |
| EPS (Rs) | 23.77 |
| RoNW | 32.28% |
Important Dates for Gandhar Oil Refinery India Limited IPO
| IPO Date | November 22, 2023 to November 24, 2023 |
| Listing Date | 5-Dec-23 |
| Face Value | Rs 2 per share |
| Price | Rs 160 to Rs 169 per share |
| Lot Size | 88 Shares |
| Total Issue Size | 29,626,732 shares (aggregating up to Rs 500.69 Cr) |
| Fresh Issue | 17,869,822 shares (aggregating up to Rs 302.00 Cr) |
| Offer for Sale | 11,756,910 shares of Rs 2 (aggregating up to Rs 198.69 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Shareholding pre issue | 80,000,000 |
| Shareholding post issue | 97,869,822 |
Gandhar Oil Refinery India Limited IPO Reservation
| Investor Category | Shares Offered |
| QIB Shares Offered | Not less than 75% of the Net Issue |
| Retail Shares Offered | Not more than 10% of the Net Issue |
| NII (HNI) Shares Offered | Not more than 15% of the Net Issue |
Gandhar Oil Refinery India Limited IPO Lot Size
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 88 | Rs 14,872 |
| Retail (Max) | 13 | 1144 | Rs 193,336 |
| S-HNI (Min) | 14 | 1,232 | Rs 208,208 |
| S-HNI (Max) | 67 | 5,896 | Rs 996,424 |
| B-HNI (Min) | 68 | 5,984 | Rs 1,011,296 |
Promoters of the Company
Mr. Ramesh Babulal Parekh, Mr. Samir Ramesh Parekh and Mr. Aslesh Ramesh Parekh are the promoters of the company.
Gandhar Oil Refinery India Limited IPO Promoter Holding
| Shareholding Pre Issue | 87.50% |
| Shareholding Post Issue | 64.63% |
Gandhar Oil Refinery India Limited IPO Lead Manager(s)
The lead managers of the IPO are:
- Nuvama Wealth Management Limited
- ICICI Securities Limited
How to Apply for Gandhar Oil Refinery India Limited IPO?
Wait for the public issue to open for subscription, then click on this link to apply for the Gandhar Oil Refinery India Limited IPO with Bigul https://ipo.bonanzaonline.com/.
How to Check the Allotment Status of Gandhar Oil Refinery India Limited IPO?
The registrar for Gandhar Oil Refinery India Limited IPO is Link Intime India Private Ltd. To check your allotment status, please click on this link https://linkintime.co.in/
FAQs
- What is the Gandhar Oil Refinery India Limited IPO?
The Gandhar Oil Refinery India Limited IPO is a forthcoming public offering comprising a fresh issuance worth Rs 302.00 crore and an offer for the sale of about 11,756,910 shares.
- Who are the main coordinators for this IPO?
The lead managers for the IPO are Nuvama Wealth Management Limited and ICICI Securities Limited.
- How can I apply for the Gandhar Oil Refinery India Limited IPO?
Once the public issue opens for subscription, you can apply for the Gandhar Oil Refinery India Limited IPO through the given link: https://ipo.bonanzaonline.com/.
- How do I check my allotment status for the Gandhar Oil Refinery India Limited IPO?
The registrar for Gandhar Oil Refinery India Limited IPO is Link Intime India Private Ltd. To check your allotment status, please click on this link https://linkintime.co.in/
- Who are the promoters of Gandhar Oil Refinery India Limited?
The company is promoted by Mr. Ramesh Babulal Parekh, Mr. Samir Ramesh Parekh and Mr. Aslesh Ramesh Parekh.
- What is the financial performance of Gandhar Oil Refinery India Limited?
Financial highlights include growth in total assets, total revenue, profit after tax, net worth, reserves and surplus, and total borrowings from 2021 to 2023, as provided in the provided data. Gandhar Oil Refinery India’s revenue increased by 20.71%, and PAT grew by 15.67% between the financial year ending with March 31, 2023 and March 31, 2022.
- What will be the use of the net proceeds from the IPO?
The Offer consists of the Fresh Issue and the Offer for Sale. The company won’t receive proceeds from the Offer for Sale, and those proceeds won’t be considered in the Net Proceeds. The Net Proceeds from the Fresh Issue will be used for:
- Supporting Texol with a loan for loan repayment to the Bank of Baroda.
- Capital expenditure for expanding automotive oil capacity in Silvassa, enhancing the petroleum jelly and cosmetic product division in Taloja and increasing white oil capacity with blending tanks in Taloja.
- Covering working capital needs.
- General corporate purposes.
- What is the expected listing date for the Gandhar Oil Refinery India Limited IPO?
The exact listing date is December 5, 2023.
- What is the issue type of the IPO?
It’s a Book Built Issue IPO.
- How many shares are being offered for sale?
The offer for sale consists of 11,756,910 shares of Rs 2 each.