Feb, 18 : Axiom Gas Engineering Limited, a Company engaged in the distribution and retailing of Auto Liquefied Petroleum Gas (Auto LPG), announced that it has received statutory licence from the Petroleum & Explosives Safety Organisation to establish and operate new Auto LPG Dispensing Station located at Noor Colony, Shastripuram Road, in Hyderabad.
Commenting on the development, Mr. M.S. Banani, Promoter, Axiom Gas Engineering Limited, said,
“This regulatory approval is a testament to our unwavering commitment to safety, compliance, and service excellence. The new facility will serve as a vital distribution hub, catering to the growing energy demands of Hyderabad’s southern region.”
Axiom Gas Engineering Limited has received in-principle approval from NSE Emerge for its proposed Initial Public Offering (IPO) and is currently in the process of filing the Red Herring Prospectus (RHP) with the Registrar of Companies and NSE Emerge, incorporating updated information.
According to DRHP, Axiom Gas Engineering Limited intends to utilise approximately ₹27 crore of the net IPO proceeds towards capital expenditure requirements and ₹7 crore towards prepayment or repayment of a portion of certain outstanding borrowings availed by the Company. The Company plans to deploy the remaining funds towards general corporate purposes and issue expenses.
The Company operates 11 Auto LPG Dispensing Stations in Telangana, 8 in Maharashtra and 2 in Karnataka under its flagship brand ‘PrimeFuel’. On the back of increased consumption of Auto LPG across the country, the Company is planning to launch its IPO to accelerate its expansion plans to set up 12 ALDS outlets in Telangana, Maharashtra and Karnataka.
Axiom Gas Engineering Limited follows a retail-centric business model, wherein Auto LPG is sold directly to end consumers through its ALDS network. It procures Auto LPG from suppliers and undertakes storage, transportation, and distribution to its dispensing stations. The revenues are primarily derived from the retail sale of Auto LPG at these outlets.
The proposed IPO comprises a fresh issuance of up to 94,92,000 Equity Shares each with a face value of ₹5, through the book-building route. SKI Capital Services Limited is the sole Book Running Lead Manager to the issue, and KFIN Technologies Limited is the Registrar.
Axiom Gas Engineering Limited was founded by its promoter Mr. Alpeshkumar Naginbhai Patel and he was subsequently joined by Mr. Sadique Abdul Kadar Banani in 2012. The promoters 48+ years of cumulative experience in the Oil and Gas industry.
Disclaimer: AXIOM GAS ENGINEERING LIMITED is proposing, subject to applicable statutory and regulatory requirements, receipt of requisite approvals, market conditions and other considerations, to make an initial public offer of its Equity Shares and has filed the DRHP with the NSE Emerge. The DRHP is available on the website of BRLM and the website of NSE. Any potential investors should note that investment in equity shares involves a high degree of risk, and for details relating to the same, please refer to the DRHP, including the section titled “Risk Factors”, beginning on page 24 of Draft Red Herring Prospectus.
The Equity Shares have not been and will not be registered under the U.S. Securities Act of 1933, as amended or any state securities laws in the United States, and unless so registered, and may not be issued or sold within the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in accordance with any applicable U.S. state securities laws. The Equity Shares are being issued and sold outside the United States in ‘offshore transactions in reliance on Regulation “S under the Securities Act and the applicable laws of each jurisdiction where such issues and sales are made. There will be no public offering in the United States.