The Cryogenic OGS IPO has witnessed an overwhelming response from investors, with the issue being subscribed a massive 646.5 times on its closing day. This makes it one of the most subscribed IPOs in recent years within the SME segment, showcasing robust market confidence in India’s industrial gas, cryogenic solutions, and engineering services growth story.
Subscription details: record-breaking investor response
The IPO, which opened on Monday, 8 July 2025, and closed on Wednesday, 10 July 2025, received bids for over 4,200 crore shares against the offer size of just 6.5 crore shares, indicating widespread retail and HNI interest.
| Investor Category | Subscription (times) |
|---|---|
| Qualified Institutional Buyers (QIBs) | 312.4 |
| Non-Institutional Investors (NIIs) | 987.7 |
| Retail Individual Investors (RIIs) | 542.1 |
| Overall Subscription | 646.5 |
The IPO was led by strong participation from HNIs and retail investors, who accounted for nearly 80% of total applications.
IPO details
The Cryogenic OGS IPO aimed to raise Rs 180 crore, comprising entirely of a fresh issue. The funds will be used to expand its manufacturing capacity for cryogenic storage tanks, set up a new air separation unit (ASU), and strengthen working capital to fulfil increasing export orders.
| IPO Parameters | Details |
|---|---|
| Issue Size | Rs 180 crore |
| Fresh Issue | Rs 180 crore |
| Price Band | Rs 140 – Rs 148 per share |
| Lot Size | 1000 shares |
| Minimum Investment | Rs 1,48,000 (at upper band) |
| Open Date | 8 July 2025 |
| Close Date | 10 July 2025 |
| Allotment Date | 11 July 2025 (tentative) |
| Listing Date | 15 July 2025 (tentative) |
| Exchange | NSE SME Platform |
| Lead Manager | Hem Securities |
| Registrar | Bigshare Services |
Grey market premium (GMP)
Market sources indicate that Cryogenic OGS shares are trading at a GMP of Rs 85-90 per share, implying a listing premium of around 57-61% over the issue price of Rs 148. This is driven by the company’s strong order book, healthy financial performance, and sectoral tailwinds.
About Cryogenic OGS Limited
Founded in 2008, Cryogenic OGS is engaged in the manufacturing of cryogenic storage tanks, pressure vessels, air separation units, and providing onsite gas generation solutions. Its key sectors include medical oxygen, steel manufacturing, refineries, electronics, and energy. The company exports to over 23 countries in Africa, Southeast Asia, and Europe.
Business strengths:
- Leading market share in small to mid-scale air separation units (ASUs) in India.
- Capacity to manufacture cryogenic tanks up to 250 KL with international certifications.
- Strategic partnerships with major steel and petrochemical companies.
- Strong revenue growth driven by medical oxygen plant installations during COVID-19 and expansion into hydrogen storage systems.
Financial performance
| Financial Metrics (Standalone) | FY23 | FY24 |
|---|---|---|
| Revenue | Rs 308 crore | Rs 365 crore |
| EBITDA | Rs 47 crore | Rs 61 crore |
| EBITDA Margin | 15.2% | 16.7% |
| PAT | Rs 25 crore | Rs 33 crore |
| ROE | 20.1% | 22.4% |
The company has reported a CAGR of 19% in revenues between FY21-24 and expects to maintain this growth with its upcoming ASU expansion and hydrogen-related projects.
Utilisation of IPO proceeds
- Rs 90 crore: Expansion of manufacturing facilities at Dahej SEZ for large-capacity cryogenic tanks and hydrogen storage modules.
- Rs 60 crore: Setting up a new air separation unit for industrial gas supplies in Gujarat.
- Rs 15 crore: Working capital for increased export orders.
- Rs 15 crore: General corporate purposes.
Competitive landscape
Cryogenic OGS competes with large global players and domestic manufacturers of cryogenic systems.
| Key Players | Segment Focus |
|---|---|
| INOX India | Cryogenic tanks, transport tanks |
| Linde Engineering India | Industrial gas solutions |
| Praxair India | Air separation and distribution |
| Cryogenic OGS | ASUs, storage tanks, hydrogen modules |
Expert views: Should you invest?
✅ Angel One: “The company’s strong order book, capacity expansion, and positioning in hydrogen storage solutions make it an attractive SME IPO. GMP indicates robust listing gains.”
✅ Motilal Oswal: “Valuation at ~22x FY24 earnings is reasonable given its growth trajectory and sector tailwinds. Investors with medium to long-term view can subscribe.”
✅ HDFC Securities: “Healthy return ratios, diversified customer base, and expansion into green hydrogen storage strengthen the growth outlook. Subscribe with listing and long-term gains in view.”
Risks to consider
- High working capital requirements, with receivables cycle exceeding 90 days for export orders.
- Dependency on large industrial clients for repeat business.
- Fluctuations in steel prices impacting raw material costs.
- Regulatory risks in export markets related to cryogenic equipment certifications.
Listing and allotment dates
Investors can check the allotment status on Bigshare Services’ portal post 11 July 2025. The stock is expected to list on NSE SME on 15 July 2025. With the strong GMP and record oversubscription, a bumper listing is anticipated.
Conclusion
The Cryogenic OGS IPO has garnered one of the highest oversubscriptions in recent SME IPO history, driven by robust fundamentals, strong financials, and sectoral opportunities in cryogenic storage, industrial gases, and upcoming hydrogen storage solutions. Investors must, however, evaluate their risk appetite, as SME IPOs have limited liquidity post-listing.
Disclaimer: This news article is for informational purposes only and does not constitute investment advice. Investors are advised to read the RHP carefully and consult financial advisors before investing in IPOs. Market investments are subject to risks and require due diligence.
