Indian Gas Exchange Limited Unlisted Shares

About Company

Indian Gas Exchange Limited (IGX) is India's first and only authorised national-level, physical delivery-based gas trading exchange. It was incorporated in November 2019 and began commercial operations as a gas exchange on December 10, 2020, after securing authorisation from the Petroleum and Natural Gas Regulatory Board (PNGRB).

The following table shows a 10-point analysis of Indian Gas Exchange Limited. We will discuss each point in detail after this table.

IGX is a subsidiary of Indian Energy Exchange Limited (IEX), India's largest electricity trading platform, listed on the BSE and NSE. The National Stock Exchange (NSE), through NSE Investments, is IGX's co-promoter. The exchange operates a fully automated electronic marketplace that enables buyers and sellers, such as city gas distributors, fertiliser plants, power generators and industrial consumers, to trade standardised, physical delivery-based natural gas contracts across hubs connected to India's national gas pipeline network.

Challenges in Indian Gas Exchange's Business

The following are the key challenges faced by the company:

• Early-stage market adoption: Exchange-based buying and selling of natural gas is still a relatively new concept in India, so growth in trading volumes may take time.
• Customer concentration: A large part of IGX's revenue comes from a small number of large customers.
• Small scale of operations: The exchange executed only 1,924 trades in all of FY26, and only about 2.82% of India's total natural gas consumption is currently traded through IGX.
• Regulatory dependence: IGX's business depends on PNGRB's regulatory framework for gas exchanges, and IEX's shareholding reduction (from about 47% to 25%) is itself being driven by PNGRB shareholding norms.
• Mix of income: A meaningful share of total income comes from treasury income on its cash pool rather than core trading operations, and the company has reported negative operating cash flow in at least one past fiscal year (FY24).

Financial Review of Indian Gas Exchange

IGX has reported consistent growth in revenue and profitability over the last three financial years, as disclosed in its DRHP filed with SEBI on July 14, 2026.

• Revenue and profit: Revenue from operations rose from ₹34.85 Cr in FY24 to ₹48.80 Cr in FY25 and further to ₹61.05 Cr in FY26, a 25% year-on-year increase. Profit after tax (PAT) rose from ₹23.05 Cr in FY24 to ₹30.79 Cr in FY25 and to ₹42.02 Cr in FY26, a 36.5% year-on-year increase. Profit before tax stood at ₹55.8 Cr in FY26, up from ₹40.3 Cr in FY25.
• Total income: Total income (which includes treasury and other income in addition to operating revenue) was ₹84.84 Cr in FY26, up nearly 23% from ₹69.08 Cr in FY25.
• Operating metrics (FY26): Cumulative traded volumes grew at a 37.12% CAGR to 76.79 Mn MMBtu, from 40.84 Mn MMBtu in FY24. The exchange recorded 1,924 total trades, 360 registered participants, and a trade value of ₹71,815.36 Mn in FY26.

Recent Developments

• IPO (DRHP filed): IGX filed its Draft Red Herring Prospectus with SEBI on July 14, 2026, for a proposed listing on the BSE. The issue is structured entirely as an offer for sale (OFS) of up to 1.67 crore equity shares by promoter IEX, with no fresh issue; proceeds from the OFS will go to IEX, not to IGX. Axis Capital and Motilal Oswal Investment Advisors have been appointed as book-running lead managers. As of this update, SEBI's observations and the IPO timeline (RHP filing, price band, issue dates) have not yet been announced.
• Shareholding changes ahead of the IPO: As of the DRHP, IEX held about 47.3% in IGX and is required, under PNGRB norms, to bring this down to 25%. NSE Investments sold about 1% of its IGX stake on April 7, 2026, to comply with a regulatory cap limiting any single entity's holding in such an exchange to 25%, bringing its stake down to around 25%. Other shareholders include GAIL (India), ONGC, Indian Oil Corporation, Adani Total Gas and Torrent Gas, each holding minority stakes.
• Planned product expansion: MD & CEO Rajesh Kumar Mediratta has said IGX plans to launch longer-tenure contracts (one-year and two-year), subject to regulatory approval, in addition to its existing day-ahead and term-ahead (daily, weekday, weekly, fortnightly, monthly) contracts. The company has also indicated plans to expand into R-LNG booking and hydrogen trading platforms.
• Listing timeline guidance: Management had earlier indicated it was targeting a listing by December 2026, though this depends on SEBI's observations on the DRHP and subsequent regulatory steps.

Quick Summary

Indian Gas Exchange is India's only PNGRB-authorised national gas trading exchange and a subsidiary of the listed Indian Energy Exchange (IEX). It runs an asset-light, transaction-fee-based business that has shown steady growth, with FY26 revenue from operations of ₹61.05 Cr and PAT of ₹42.02 Cr, both up strongly over the prior year. The company has filed its DRHP for a pure offer-for-sale IPO by parent IEX, driven mainly by regulatory shareholding requirements rather than a need for fresh capital.

However, the exchange remains small in absolute terms, with only 1,924 trades in FY26 and a significant share of total income coming from treasury income rather than core trading activity, so investors should track IPO timelines, trading-volume growth and customer diversification.

Visit the official website of the Indian Gas Exchange.