Cryogenic OGS Limited, a rising player in India's industrial equipment manufacturing space, is set to launch its Initial Public Offering (IPO) on July 3, 2025, with an aim to raise ₹17.76 Crores. This Book Built Issue consists entirely of a Fresh Issue of 37.80 lakh shares, signaling the company’s intent to raise fresh capital to support its growth rather than provide an exit for existing shareholders.

Cryogenic OGS is known for its specialized equipment manufacturing catering to a wide range of industries including oil and gas, chemicals, petrochemicals, and liquor. The company has earned a reputation for engineering excellence and product reliability, supplying its systems to several terminal automation companies and large industrial enterprises ranked among the top 500 in India.

IPO Timeline and Key Details:

• IPO Open Date: July 3, 2025

• IPO Close Date: July 7, 2025

• Allotment Finalization: July 8, 2025

• Tentative Listing Date: July 10, 2025

• Exchange: BSE SME

• IPO Size: ₹17.76 Crores (Fresh Issue Only)

• Price Band: ₹44 – ₹47 per equity share

• Lot Size: 3,000 shares

• Minimum Retail Investment: ₹1,41,000

• Minimum HNI Investment: ₹2,82,000 (2 lots or 6,000 shares)

• Market Capitalisation (at upper band): ₹67.11 Crores

Lead Managers, Registrar & Market Maker

• Book Running Lead Manager: Beeline Capital Advisors Private Limited

• Registrar: MUFG Intime India Private Limited (formerly Link Intime India)

• Market Maker: Spread X Securities Private Limited

GMP and Subscription Sentiment

As per the latest update on June 30, 2025, the Grey Market Premium (GMP) for Cryogenic OGS IPO stands at ₹13, implying an expected listing price of ₹60 per share against the issue price of ₹47. This translates into a listing gain of approximately 18.59%, generating early excitement among speculative investors.

While GMP is unofficial and unregulated, it serves as an early indicator of investor sentiment and can offer clues about potential short-term performance.

Anchor Investor Participation

On June 30, 2025, Cryogenic OGS raised ₹5.04 Crores from Anchor Investors by allotting 10,74,000 shares at ₹47 per share. These shares were allotted from the QIB quota, reflecting preliminary institutional interest. The presence of anchor investors often provides credibility and a strong base for the IPO, especially in SME listings.

Financial Performance Overview

Cryogenic OGS has shown consistent growth in revenue and profitability over the past three fiscal years, reflecting operational efficiency and sector demand:

Revenue from Operations:

• FY2022–23: ₹2,270.92 Lakh

• FY2023–24: ₹2,567.36 Lakh

• FY2024–25: ₹3,379.14 Lakh

EBITDA:

• FY2022–23: ₹633.55 Lakh

• FY2023–24: ₹780.54 Lakh

• FY2024–25: ₹884.83 Lakh

Profit After Tax (PAT):

• FY2022–23: ₹407.65 Lakh

• FY2023–24: ₹534.50 Lakh

• FY2024–25: ₹612.26 Lakh

The company’s bottom-line has grown at a CAGR of over 22%, underscoring both its profitability and scalability.

Key Valuation Metrics and Ratios

At the upper end of the IPO price band:

• Pre-Issue EPS (FY24): ₹5.83

• Post-Issue EPS (FY24): ₹4.29

• Pre-Issue P/E Ratio: 8.06x

• Post-Issue P/E Ratio: 10.96x

• Industry P/E Benchmark: 26.00x

• ROCE (FY24): 28.93%

• ROE (FY24): 23.62%

• RoNW: 21.12%

Despite being fully priced, the IPO is still reasonably valued compared to industry averages, leaving some upside potential. The company's high return on capital employed (ROCE) and return on equity (ROE) reflect sound capital management and profitability.

Promoter Background and Expertise

Cryogenic OGS Limited is promoted by Mr. Nilesh Natvarlal Patel, Mrs. Kiranben Patel, and Mr. Dhairya Patel. Mr. Nilesh Patel brings over 22 years of domain experience in oil & gas equipment design and manufacturing. His leadership in product innovation, engineering, and production has contributed significantly to the company's brand strength.

Mrs. Kiranben Patel has more than 13 years of experience in human resources and logistics management, which has helped build a strong internal ecosystem. Collectively, the team brings deep industry insight, operational discipline, and client-centric execution.

Objects of the IPO

The net proceeds of ₹17.76 Crores will be used for the following:

1. ₹11.50 Crores (₹1,150 Lakhs): Working capital requirements

2. Balance: General corporate purposes

No part of the issue will go to promoters or selling shareholders, as this is a pure capital-raising effort for business expansion.

Allotment Status: How to Check

After July 8, 2025, investors can check their IPO allotment status on the registrar’s website (MUFG Intime India):

1. Go to the IPO allotment page

2. Select Cryogenic OGS Limited IPO

3. Enter Application Number, PAN, or DP Client ID

4. Click Submit to view allotment status

IPO Recommendation

Based on the company’s:

• Consistent growth in revenue and profit

• Healthy margins and return ratios

• Strong industry positioning in high-demand sectors

• Moderate IPO pricing compared to industry P/E

• Positive Grey Market Premium of ₹13 (~18.6%)

We recommend that risk-tolerant investors consider applying to the Cryogenic OGS Limited IPO for potential listing gains. However, it is important to note that SME IPOs are inherently volatile, and listing performance may vary based on overall market sentiment.

Conclusion

Cryogenic OGS Limited’s IPO brings a compelling mix of industrial strength, financial growth, and reasonable pricing, supported by anchor investments and a positive grey market buzz. While the valuation is at fair levels, its consistent performance and sector exposure offer optimism.

For investors with moderate-to-high risk appetite, this IPO may provide attractive short-term returns, especially given the 18%+ GMP visibility. However, due diligence and proper diversification should be maintained before allocating capital to SME listings.

Disclaimer: The above content is intended for educational and informational purposes only. It does not constitute financial advice or an investment recommendation. Investors must consult a SEBI-registered advisor before making any investment decisions.

The Upcoming IPOs in this week and coming weeks are Anthem Biosciences, Chemkart India, Meta Infotech, Happy Square Outsourcing Services, Cryogenic OGS, Crizac, .

The Current active IPO are Silky Overseas, Vandan Foods, Pushpa Jewellers, Cedaar Textile, Marc Loire Fashions, Neetu Yoshi, Adcounty Media India.

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