GEM Enviro IPO is a book built issue of Rs 44.93 crores. The issue is a combination of fresh issue of 14.98 lakh shares aggregating to Rs 11.23 crores and offer for sale of 44.93 lakh shares aggregating to Rs 33.70 crores.
GEM Enviro IPO opens for subscription on June 19, 2024 and closes on June 21, 2024. The allotment for the GEM Enviro IPO is expected to be finalized on Monday, June 24, 2024. GEM Enviro IPO will list on BSE SME with tentative listing date fixed as Wednesday, June 26, 2024.
GEM Enviro IPO price band is set at ₹71 to ₹75 per share. The minimum lot size for an application is 1600 Shares. The minimum amount of investment required by retail investors is ₹120,000. The minimum lot size investment for HNI is 2 lots (3,200 shares) amounting to ₹240,000.
Share India Capital Services Private Limited and Fintellectual Corporate Advisors Private Limited are the book running lead managers of the GEM Enviro IPO, while Skyline Financial Services Private Ltd is the registrar for the issue. The market maker for GEM Enviro IPO is Share India Securities.
Refer to GEM Enviro IPO RHP for detailed information.
GEM Enviro IPO Details
| IPO Date | June 19, 2024 to June 21, 2024 |
| Listing Date | [.] |
| Face Value | ₹5 per share |
| Price Band | ₹71 to ₹75 per share |
| Lot Size | 1600 Shares |
| Total Issue Size | 5,990,400 shares (aggregating up to ₹44.93 Cr) |
| Fresh Issue | 1,497,600 shares (aggregating up to ₹11.23 Cr) |
| Offer for Sale | 4,492,800 shares of ₹5 (aggregating up to ₹33.70 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE SME |
| Share holding pre issue | 21,052,800 |
| Share holding post issue | 22,550,400 |
| Market Maker portion | 342,400 shares Share India Securities |
GEM Enviro IPO Reservation
| Investor Category | Shares Offered |
|---|---|
| QIB Shares Offered | Not more than 50% of the Net Issue |
| Retail Shares Offered | Not less than 35% of the Net Issue |
| NII (HNI) Shares Offered | Not more than 15% of the Net Issue |
GEM Enviro IPO Timeline (Tentative Schedule)
GEM Enviro IPO opens on June 19, 2024, and closes on June 21, 2024.
| IPO Open Date | Wednesday, June 19, 2024 |
| IPO Close Date | Friday, June 21, 2024 |
| Basis of Allotment | Monday, June 24, 2024 |
| Initiation of Refunds | Tuesday, June 25, 2024 |
| Credit of Shares to Demat | Tuesday, June 25, 2024 |
| Listing Date | Wednesday, June 26, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on June 21, 2024 |
GEM Enviro IPO Lot Size
Investors can bid for a minimum of 1600 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1600 | ₹120,000 |
| Retail (Max) | 1 | 1600 | ₹120,000 |
| HNI (Min) | 2 | 3,200 | ₹240,000 |
| Lot Size Calculator | |||
GEM Enviro IPO Promoter Holding
The company’s promoters are Mr Sachin Sharma, Mrs Sangeeta Pareekh, Mr Dinesh Pareekh, Mr Sarthak Agarwal, and BLP Equity Research Private Limited.
| Share Holding Pre Issue | 100.00% |
| Share Holding Post Issue | 73.44% |
About GEM Enviro Management Limited
Incorporated in February 2013, GEM Enviro Management Limited is a waste management company specialising in recycling all packaging waste, including plastic waste. The company’s services can be divided into the following categories:
1. EPR consultancy and fulfilment for Plastic Waste
2. Collection and recycling of Industrial Plastic Waste
3. Sales and Marketing of recycled products
4. ESG Consulting and BRSR (Business Responsibility and Sustainability Reporting)
Through awareness programs, the company educates people about proper plastic waste disposal and recycling. It generates revenue from selling recycled products and markets these products to existing business customers, emphasizing their environmental benefits and cost-effectiveness.
In the fiscal year 2023-24, GEM began offering ESG consulting and BRSR services to clients. This encompasses comprehensive ESG consulting tailored to each client’s needs, including assessing current ESG practices, identifying areas for improvement, and integrating sustainability into core business operations through thorough ESG audits, stakeholder engagement, materiality assessments, and benchmarking.
GEM Enviro Management has a diverse portfolio with over 100 clients across various industries, including F&B, FMCG, Cement, Fertilizers, Packaging, and Consumer Goods. Some prominent clients are Bengal Beverages Private Limited and Varun Beverages Limited.
As of June 2024, the company has 51 full-time employees.
GEM Enviro Management Limited Financial Information (Restated)
GEM Enviro Management Limited’s revenue increased by 30.05% and profit after tax (PAT) rose by 34.43% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period Ended | 31 Dec 2023 | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
| Assets | 3,994.75 | 3,574.93 | 2,684.52 | 1,895.51 |
| Revenue | 2,639.11 | 4,280.57 | 3,291.48 | 2,560.58 |
| Profit After Tax | 840.42 | 1,001.82 | 745.23 | 583.38 |
| Net Worth | 3,103.32 | 2,411.51 | 1,713.57 | 1,015.14 |
| Reserves and Surplus | 2,050.68 | 2,380.55 | 1,677.57 | 979.14 |
| Total Borrowing | 2.00 | 2.00 | ||
| Amount in ₹ Lakhs | ||||
Key Performance Indicator
The market capitalization of GEM Enviro IPO is Rs 169.13 Cr.
KPI as of December 31, 2023.
| KPI | Values |
|---|---|
| ROE | 30.48% |
| ROCE | 36.55% |
| RoNW | 30.48% |
| P/BV | 5.09 |
| PAT Margin (%) | 31.84 |
Check GEM Enviro IPO Peer Comparison here.
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 4.76 | 4.97 |
| P/E (x) | 15.76 | 15.09 |
Note:
- The Pre IPO EPS is calculated based on Pre issue shareholding as on date of RHP and the latest FY earnings as of March 31, 2023 that is available in RHP.
- The Post Issue EPS is calculated based on the Post issue shareholding and annualized FY earnings of December 31, 2023 that is available in RHP.
Objects of the Issue (GEM Enviro IPO Objectives)
The Net Proceeds are proposed to be used in the manner
- To Meet Working Capital Requirements
- General corporate purpose.
GEM Enviro IPO Review (Apply)
[Dilip Davda] Though the company is engaged in plastic waste management (PWM) segment which is highly fragmented one, its more than decade experience and long term relations with the renowned customers is attributed to its performance so far. Annualized FY24 earnings the issue appears fully priced, but it indicates the likely trends in coming years with rising contribution of the company in PWM segment. Investors may park funds for the medium to long term rewards in this dividend paying company. Read detail review…
GEM Enviro IPO Prospectus
GEM Enviro Management Limited Contact Details
GEM Enviro Management Limited
Unit No.203, Plaza- P 3
Central Square, Bara
Hindu Rao, -New Delhi-110006
Phone: 011-49068377
Email: vijay.sharma@gemrecycling.com
Website: http://www.gemrecycling.com/
GEM Enviro IPO Registrar
Skyline Financial Services Private Ltd
Phone: 02228511022
Email: ipo@skylinerta.com
Website: https://www.skylinerta.com/ipo.php