Earthood Services Files DRHP For IPO

Mumbai, 16 June 2025: Earthood Services Limited has submitted its Draft Red Herring Prospectus (DRHP) dated June 13, 2025, to the Securities and Exchange Board of India (SEBI), proposing a 100% book-built initial public offering. The offer comprises a complete Offer for Sale (OFS) of up to 62.90 lakh equity shares by the company’s promoters, with the objective of listing on both the BSE and NSE mainboards.

IPO Overview

About Earthood Services Limited

Established in 2012 and headquartered in Gurgaon, Earthood Services Limited is a globally reputed consultancy specialising in ESG and carbon certification. The company offers services across:

• Validation and verification of carbon projects for both Voluntary and Regulatory Carbon Markets
• ESG-related advisory and independent assurance services
• Farmer Producer Organisation (FPO) advisory services (contributing a smaller share of revenue)

Earthood has gained significant recognition, including being named the “Best Verification Company” in the Voluntary Carbon Market Rankings for both 2023 and 2024 by Environmental Finance.

With an international presence in over 40 countries, Earthood operates through its subsidiaries located in the United Kingdom, United Arab Emirates, Turkey, and Russia. It collaborates with key carbon registries including Verra, Gold Standard, American Carbon Registry, and Climate Action Reserve.

Key Financial Metrics (Restated Consolidated)

Offer Structure and Objectives

This IPO is a complete Offer for Sale, meaning no new equity is being issued. The sale is entirely driven by the promoters—Dr. Kaviraj Singh and Ashok Kumar Gautam—who are offering 42.9 lakh and 20 lakh shares, respectively.

Post-offer, the promoter shareholding will reduce from the current 94.55%, with the exact revised stake to be disclosed upon finalisation.

The primary objective of the issue is to facilitate listing and provide a partial exit route for the existing shareholders. No fresh capital will be raised for the company through this offering.

Key Advisors

• Book Running Lead Manager (BRLM): Unistone Capital Pvt. Ltd.
• Registrar to the Issue: MUFG Intime India Pvt. Ltd.

Market Perspective & Watchpoints

• The offer is purely secondary in nature, with no fund infusion into the company.
• Earthood boasts a rapidly expanding global footprint and serves a broad client base across the ESG and carbon certification sector.
• The ESG domain is positioned for long-term growth amid increasing global regulatory emphasis and climate commitments.
• However, Earthood’s fortunes are closely tied to international climate policies and verification demand trends.

No Grey Market Premium (GMP) data has been disclosed so far in the DRHP.

Final Thoughts

Earthood’s IPO aims to unlock shareholder value and secure a listing on both major Indian exchanges. With a compelling track record, robust profitability, and a strong global presence in a high-growth sector, the offer is expected to attract significant market attention once the price band and IPO dates are announced.

Keep watching this space for the latest updates on subscription opening dates and pricing following SEBI’s approval.

REF: https://www.bseindia.com/corporates/download/396956/IPO Prior/1EarthoodServicesLimited_20250614134912.pdf

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