Ellenbarrie Industrial Gases Limited IPO: 10 Key Things to Know Before Investing

Ellenbarrie Industrial Gases Ltd (EIGL) has a long-standing reputation in the industrial and medical gas industry. The company produces and supplies gases such as oxygen, nitrogen, carbon dioxide, acetylene, LPG, and other specialty gases used across various industrial sectors.

It also undertakes engineering projects for large air separation units and installs medical gas pipeline systems in hospitals. With reputed clients including AIIMS and the Indian Armed Forces, a modern fleet of cryogenic tankers, and investments in robust infrastructure, EIGL holds a competitive position in the market. 

Here are the key details of the IPO:

• IPO dates: June 24 - 26, 2025

   

• Listing date: July 01, 2025

• Price band: ₹380 - ₹400 per share

• Total issue size: ₹852.5 Cr (₹400 Cr fresh issue + ₹452.5 Cr OFS)

• Face value: ₹2 per share

• Listing Exchange: BSE, NSE

• Lot Size: 37 Shares

• Promoters: Padam Kumar Agarwala and Varun Agarwal 

The minimum investment required to apply for the Ellenbarrie Industrial Gases IPO is ₹14,060, based on the lot size of 37 shares at the lower price band of ₹380 per share. However, to increase your chances of allotment, we recommend applying at the upper price band, which would require ₹14,800 (37 shares at ₹400 per share). 

Founded over five decades ago, Ellenbarrie Industrial Gases Ltd manufactures and supplies a wide range of gases and related engineering services.

• Product Range: Oxygen, carbon dioxide, nitrogen, LPG, acetylene, and speciality gases

• Engineering Services: Project execution of large air separation units

• Medical Solutions: Installation of medical gas pipeline systems and supply of medical equipment

• Clientele: Includes AIIMS, Indian Armed Forces, and various manufacturing industries

• Reach: Strong presence in East and South India 

The Ellenbarrie IPO aims to:

• Repay or prepay certain borrowings amounting to ₹210 Cr

• Set up a new 220 TPD air separation unit at the Uluberia-II plant, costing ₹104.5 Cr

• Use the balance funds for general corporate purposes 

While the exact split hasn’t been disclosed, IPOs of this size typically follow this structure:

• QIB Shares Offered: Not less than 50% of the issue

• Retail Shares Offered: Not more than 35% of the issue

• NII (HNI) Shares Offered: Not more than 15% of the issue 

Strengths:

• Strong presence in emerging industrial hubs of East and South India

• Ownership of critical customer-facing infrastructure like cylinders and equipment

• Modern logistics fleet with cryogenic tankers and filling stations

• Trusted by reputed clients like AIIMS and Indian defence forces

• Over 50 years of operating experience with long-term client relationships

Risks:

• High capital investment needed for gas production infrastructure

• Exposure to raw material and energy price fluctuations

• Operational risks from transporting hazardous gases

• Strict regulatory compliance for safety and environmental standards

• Competitive market with pressure on margins and customer retention 

The company has shown consistent financial growth over the past three years (INR Cr): 

• Basis of allotment: June 27, 2025

• Refund initiation: June 30, 2025

• Shares credited to demat accounts: June 30, 2025

• Listing date: July 01, 2025 

EIGL offers a stable and mature investment opportunity in a niche but essential sector. With a strong track record, reputed clients, and expanding infrastructure, it is well-placed to benefit from industrial growth and rising demand for medical and industrial gases.

However, investors should also consider the capital-intensive nature of the business and competition from larger players like Linde Ltd.

Evaluate your risk appetite and long-term goals carefully before investing in the IPO.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult your financial advisor before investing.