Indian Gas Exchange Ltd (IGX) has lodged its Draft Red Herring Prospectus (DRHP) with the securities regulator SEBI, signalling the launch of its Initial Public Offering. The issue comprises up to 1.67 crore equity shares offered entirely as an Offer For Sale (OFS) by promoter Indian Energy Exchange Ltd (IEX).

Impact of the OFS Structure

Because the IPO is a pure OFS, IGX will not receive any of the capital raised; the entire amount will be transferred to the selling shareholder, IEX. While IGX’s balance sheet sees no immediate cash boost, the listing is expected to raise its market visibility, strengthen brand perception, and create a public market for its shares.

IEX’s Mandatory Stake Reduction

IEX currently holds over 47% of IGX, a figure that regulation forces to fall to a maximum of 25%. The OFS serves as the mechanism for IEX to offload the excess shareholding, offering investors a fresh entry point into the nascent gas trading platform.

Evolution of IGX

Incorporated in November 2019 as a wholly‑owned subsidiary of IEX, IGX inaugurated its electronic gas trading platform in June 2020. By December 2020, it secured authorization from the Petroleum and Natural Gas Regulatory Board (PNGRB) to operate as a gas exchange. Today, IGX runs a technology‑driven electronic marketplace that trades natural gas through standardized physical delivery contracts across multiple hubs linked to India’s national pipeline network.

Financial Highlights and Future Outlook

For the fiscal year ended March 2026, IGX reported revenue of ₹61 crore, up from ₹48.8 crore in FY25 and ₹34.8 crore in FY24, reflecting robust growth. CEO and Managing Director Rajesh Kumar Mediratta had earlier targeted a December 2026 IPO. Axis Capital and Motilal Oswal Investment Advisors are the book‑running lead managers, while KFin Technologies Ltd. acts as the registrar.