Gem Aromatics’ IPO listing on the NSE and BSE is scheduled for tomorrow following a successful subscription period.
Shares allotment has been finalized by Gem Aromatics on 22 April 2024, and they will be credited to demat accounts today, Monday, August 25. The procedure of refunding those who have not yet received their shares is also likely to be completed today.
The manufacturer of specialty ingredients, including essential oils, aroma chemicals, and value-added derivatives in India, held its initial public offering for subscription from Tuesday, August 19, to Thursday, August 21.
By the end of the offer period on August 21, the Gem Aromatics IPO was subscribed 30.45 times. By August 21, 2025, the public issue had been subscribed 10.49 times in the retail category, 53.76 times in QIB (Ex Anchor), and 45.96 times in the NII category.
Gem Aromatics’ IPO price band was set at ₹325.00 per share. The lot size for an application was 46. Considering the price band and the lot size, the minimum investment for retail was ₹14,214 (for 46 shares). The lot size investment for small NII was 14 lots (644 shares) worth ₹209,300, while for big NII it was 67 lots (3,082 shares) worth ₹1,001,650.
Check here for what GMP is hinting ahead of the debut.
Gem Aromatics’ IPO Grey Market premium
After a strong subscription to the Gem Aromatics IPO, grey market sentiment has improved. The firm’s GMP can be ascribed to the bullish trend on Dalal Street, along with good subscription status.
The Gem Aromatics IPO, grey market premium, or GMP, stood at +28. This indicates Gem Aromatic share prices were trading at a premium of ₹28 in the grey market, according to investorgain.com.
The expected listing price for Gem Aromatics shares is ₹353 per share, 8.62% more than the IPO price of ₹325 based on the upper end of the IPO pricing band and the current grey market premium.
According on grey market activity over the last 15 sessions, the IPO GMP is now on the upswing and is expected to have a successful listing.
The ‘grey market premium’ reflects investors’ willingness to pay more than the issue price.
Analysts’ Views ahead of listing
Gem Aromatics’ ₹451.25 crore IPO, a mix of fresh equity worth ₹175 crore and an offer-for-sale of ₹276.25 crore, closed with strong investor appetite, being subscribed 30.5 times overall nd Qualified Institutional Buyers driving the demand as retail participation was healthy at over 10 times. This level of oversubscription indicates broad-based investor conviction in the company’s fundamentals, though the grey market premium has remained measured at around 7–9 percent, pointing to potential listing gains in the same range, said Harshal Dasani Business Head, INVasset PMS
The company, a long-established player in aroma chemicals and essential oils, reported steady performance in FY25 with revenue growth of 11 percent and net profit expansion of 7 percent. Its diversified product portfolio and focus on R&D have positioned it competitively in a niche but growing global specialty chemicals segment. Proceeds will be directed toward debt repayment and general corporate purposes, strengthening financial resilience. However, dependency on a limited set of clients and exposure to raw material price fluctuations remain notable risks, as per Dasani
The grey market’s tempered premium signals that investors are aligning expectations with fundamentals rather than speculation. While the IPO appears attractive for short-term participants eyeing listing gains, longer-term investors will need to track the company’s ability to broaden its customer base and maintain margin discipline before committing larger allocations, added Dasani
Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
