According to reports from The Hindu BusinessLine and Moneycontrol, Torrent Gas has filed an updated draft red herring prospectus for its initial public offering, with parent company Torrent Investments set to sell up to 33.5 crore shares of face value ₹10 each. The company filed this updated document on September 8, 2026, marking the first public IPO document after India's markets regulator approved the confidential IPO filing in June. The IPO structure involves 100% offer for sale by promoter Torrent Investments, with the company not receiving any proceeds from the offering. As per Moneycontrol, the filing comes after the company received approval from the capital markets regulator for its confidentially filed draft offer document in June 2026, with the IPO papers initially filed through the confidential route in March 2026. The shares on offer amount to 20% of the company's paid-up capital of 167.5 crore shares, with Torrent Investments currently owning 100% of Torrent Gas.
As reported by The Hindu BusinessLine and Moneycontrol, Torrent Gas demonstrated strong financial growth in the year ended March 31. The company's profit jumped 108% to ₹2.81 billion, while revenue climbed nearly 35% to ₹59.33 billion. The latest quarter ended June 2026 showed even stronger performance with profit reaching ₹129.9 crore, up 133.2% from ₹55.7 crore in the year-ago period, while revenue increased 28% to ₹1,788 crore from ₹1,396.8 crore during the same period. For the fiscal year ended March 2026, profit more than doubled to ₹280.85 crore from ₹135 crore in the previous year, with revenue jumping 34.8% to ₹5,933.4 crore from ₹4,401.7 crore. Earnings per share stood at ₹1.68 in fiscal 2026, with net asset value per share at ₹13.25 as of June 30. The company declared a dividend of ₹142.4 crore, or ₹0.85 per share, for fiscal 2026 and paid it in fiscal 2027, marking its first dividend payment.
According to Moneycontrol, Torrent Gas operates across 34 districts in seven states and one Union Territory, connecting natural gas producers and suppliers with end-users including domestic households, commercial establishments, industrial consumers and vehicles. The company has licenses granted by the Petroleum and Natural Gas Regulatory Board for these operations. As of June 2026, Torrent Gas operates 557 CNG stations and supplies PNG to 2,71,983 consumers. The company has laid more than 11,385 kilometres of pipeline and generates revenue from the sale of compressed natural gas (CNG), piped natural gas (PNG) and compressed biogas (CBG). CNG accounted for 72.37% of revenue in the June quarter, while industrial piped gas contributed 21.66%. The company's licensed footprint spans 121,214 square kilometres, or 4% of India's land mass.
According to the updated prospectus, Torrent Gas faces several key operational challenges that investors should consider. Gas allocation through the administered price mechanism fell to 25.14% of total gas procured in the June quarter from 49.77% in fiscal 2024, with gross margin per standard cubic metre declining to ₹15.93 in fiscal 2026 from ₹18.53 in fiscal 2024, before recovering to ₹18.05 in the June quarter. Customer concentration remains high, with the ten largest customers accounting for 59.25% of revenue in the June quarter, including Indian Oil Corp., Hindustan Petroleum Corp. and Bharat Petroleum Corp. alone contributing 52.74%. The company's arrangements with oil marketing companies generated 52.47% of June quarter revenue, with 463 of its 557 CNG stations operating at OMC retail outlets. Marketing exclusivity has expired on areas contributing 31.12% of volumes as of June 30, with areas accounting for a further 68.88% losing exclusivity between September 2028 and March 2030.
The IPO is structured as a 100% book-built issue with not more than 50% reserved for qualified institutional buyers, not less than 15% for non-institutional bidders and not less than 35% for retail individual bidders. Axis Capital Ltd., Citigroup Global Markets India Pvt. and Kotak Mahindra Capital Co. are the book running lead managers, with MUFG Intime India Pvt. serving as the registrar. The shares will list on both BSE and NSE. The promoters include Torrent Investments, four Mehta family trusts, and the Mehta family members Sudhir Mehta, Samir Mehta, Jinal Mehta and Varun Mehta. The company reported total peak gas sales of 3.34 MMSCMD as of the UDRHP date, representing a CAGR of 32.09% from February 2022 till June 2026. The offering comes as India pushes to boost adoption of piped cooking gas, with the U.S.-Iran conflict disrupting fuel shipments and driving up import costs.
