Aegis Vopak Terminals IPO: India's largest third-party tank storage operator raises ₹1,260 cr from anchor investors; issue to open on May 26

Ahead of the opening of its IPO on May 26, Aegis Vopak Terminals has raised ₹1,260 crore from anchor investors. The chemicals and oil storage and logistics solutions provider has allotted 53,617,021 equity shares to 32 funds at the upper price band of ₹235 per equity share.

A subsidiary of Aegis Logistics, the company saw participation from American Funds Insurance, HDFC MF, Smallcap World Fund, 360 One, Motilal Oswal, SBI General Insurance, and Think India, among others, in its anchor book.

Aegis Vopak Terminals, a joint venture between Aegis Logistics of India and Royal Vopak of the Netherlands, proposes to raise ₹2,800 crore via the IPO route, which is entirely a fresh issue of 119.1 million shares.

The IPO price band has been fixed at ₹223-235 per share, and the minimum lot size for an application is 63. The company is valued at around ₹26,000 crore at the upper end of the price band.

The public issue will open for subscription on May 26 and will close on May 28, 2025. The allotment of shares is expected to be finalised on May 29, while the tentative date for listing of stocks on the BSE and the NSE is June 2, 2025.

According to the red herring prospectus (RHP) filed with Sebi, the company has reserved 75% of the issue for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs), and the remaining 10% for retail investors.

In an exclusive interaction with Fortune India, Murad Moledina, Non-executive Director at Aegis Vopak Terminals, said the capital raised from the IPO will be used to fully repay ₹2,016 crore of debt, while ₹671 crore will be utilised for capital expenditure for cryogenic LPG storage terminals at Mangaluru. A part of the capital will be used to meet general corporate purposes. 

When asked why there is no offer for sale (OFS) component in the IPO, Moledina said, “The promoters do not intend to dilute any of their shares. OFS is when the promoter wants to liquidate a shareholding. But both the promoters are very excited about this opportunity. They don't intend to sell any shares.”

ICICI Securities Limited, BNP Paribas, IIFL Capital Services Limited (formerly known as IIFL Securities Limited), Jefferies India Private Limited, and HDFC Bank Limited are the book-running lead managers to the issue.