AVTL IPO to open on May 26, price band fixed at ₹223-235 per share

The initial public offering of Aegis Vopak Terminals (AVTL) will open on Monday, May 26, with the company aiming to raise Rs 2,800 crore.

The offer will close on Wednesday, May 28, while anchor investors can bid by May 23, the company said on Wednesday.

The price band of the offer has been fixed at Rs 223 to Rs 235 per equity share. Bids can be made for a minimum of 63 equity shares and in multiples of 63 equity shares thereafter.

The total offer size of equity shares with a face value of Rs 10 each comprises only a fresh issue.

The company aims to utilise the net proceeds from the issue towards repayment of all or certain outstanding borrowings, estimated at Rs 2,015.95 crore; funding capital expenditure for the contracted acquisition of the cryogenic liquefied petroleum gas (LPG) terminal at Mangalore, estimated at Rs 671.30 crore; and the balance towards general corporate purposes.

AVTL is a joint venture between Aegis Logistics in India, which holds a 50.1 per cent stake, and Vopak India BV, a part of the Netherlands-based Royal Vopak, which holds a 47.31 per cent stake. The other shareholders include 360 One Special Opportunities Fund and others.

The company currently owns and operates two LPG storage terminals across two Indian ports and 18 liquid storage terminals across six Indian ports, where it handles coastal movement of goods along with imports and exports.

Its terminals have an aggregate storage capacity of about 1.68 million cubic metres for liquid products, representing a 25.53 per cent market share, and 70,800 metric tonnes of static capacity for LPG, with an 11.5 per cent market share.

AVTL is the largest Indian third-party owner and operator of tank storage terminals for LPG and liquid products in terms of storage capacity as of December 31, 2024.

AVTL’s liquid storage business contributes 54.36 per cent to its overall revenue, while the rest comes from the gas segment.

The company’s revenue from operations in the nine months of FY25 stood at Rs 464.2 crore, compared to Rs 375.42 crore in the same period of FY24.

The company further aims to expand its existing network of terminals, enter new locations, and explore potential inorganic growth opportunities.

AVTL has been allotted 30 acres of land at the Jawaharlal Nehru Port Authority (JNPA) and 7 acres at Kandla Port by the respective port authorities for operational expansion.

According to Murad Moledina, non-executive director at AVTL, the company is banking on India’s energy transition and the rising demand for liquid and gas products for growth.

On being asked whether the company plans to foray into container logistics, Moledina said, “No way! This (liquid and gas) business is a niche business, and it requires full attention. It has a huge potential.”