GEM Enviro Management IPO

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19th – 21st Jun 2024
26 Jun 2024
₹71 – ₹75
1600 shares (₹120000)
45cr

Schedule

Issue open date 19 Jun 2024
Issue close date 21 Jun 2024
UPI mandate deadline 21 Jun 2024 (5 PM)
Allotment finalization 24 Jun 2024
Refund initiation 25 Jun 2024
Share credit 25 Jun 2024
Listing date 26 Jun 2024
Mandate end date 06 Jul 2024
Lock-in end date for anchor investors (50%) 24 Jul 2024
Lock-in end date for anchor investors (remaining) 22 Sep 2024

About

GEM Enviro Management’s IPO is launching on June 19, 2024, with subscriptions closing on June 21, 2024. GEM Enviro Management Limited, established in 2013, initially focused on collecting and recycling various packaging waste, including plastic. Over time, it expanded its services, becoming a leader in implementing Plastic Extended Producer Responsibility Programmes.

These programs contributed significantly to its revenue. In addition to plastic waste collection and recycling, the company now offers EPR consultancy, industrial plastic waste collection, sales of recycled products, and ESG consulting. It also conducts awareness programs on proper plastic waste disposal. With expertise in plastic waste management, the company secured favorable terms for trading plastic waste.

Funds Raised in the IPO Amount
Overall ₹44.93 crores
Fresh Issue ₹11.23 crores
Offer for sale ₹33.70 crores

Financial Snapshot

Financial Year Ended March 2021 March 2022 March 2023 December 2023
Total Assets 18.95 26.84 35.74 39.94
Revenue 25.51 32.80 42.53 26.20
Profit After Tax 5.38 7.45 10.01 8.40
EPS 2.76 3.53 4.75 3.99

*All figures except EPS are in ₹ Crores

Risk factors

  • Lack of long-term client agreements poses operational uncertainty: The absence of long-term agreements exposes GEM Enviro Management Limited to demand uncertainties. Managing plastic waste for clients involves collection, reporting, and SOP formulation. Future challenges in retaining clients could impact operational results.
  • Adapting to regulatory changes in Indian plastic waste management: GEM operates in a highly regulated environmental sector, governed by various laws. Swift adaptability is crucial for compliance. Government policy shifts could impact market dynamics.
  • Reliance on third-party service providers in operations: Operations involve collaboration with third-party service providers to deliver waste management and recycling services. These partnerships expose the company to risks associated with potential disruptions or lapses in its services.

Note:

  • The above schedule is tentative. The anchor lock-in period ends 30 days after the actual allotment date for 50% of the shares and 90 days after for the remaining portion.
  • The allotment status will be available by June 25, 2024, on the Registrar’s website and the BSE website.