TVS Supply Chain Solutions Ltd’s initial public offering (IPO) worth Rs 880 billion has received a positive response from investors. BSE data shows all three pieces were fully booked on the last day of bidding. Investors ordered 6,99,00,544 equity shares, or 2.78 times, compared with 2,51,22,289 equity shares offered for sale. The retail investor portfolio was registered 7.61 times, while the allocation to non-institutional bidders received 2.35 times the total bid. The Quota of Qualified Institutional Bidders (QIBs) was registered 1.35 times. The IPO, which ends today, opened for registration on August 10.
The company sold its shares at Rs 187-197 per share. A minimum bid consists of 76 equity shares and then multiples. The initial offering consisted of a new equity share sale of Rs 600 crore.
Prior to the IPO, TVS Supply Chain Solutions raised Rs 396 crore from 18 fixed investors by allocating 2.01 crore of equity shares at an issue price of Rs 197 per share. Anchor investors include Authum Investment, Winro Commercial, Societe Generale, BNP Paribas Arbitrage, Copthall Mauritius, Aurigin Master Fund and many more mutual funds.
JM Financial, Axis Capital, JP Morgan India, BNP Paribas, Equirus Capital and Nuvama Wealth Management are the lead managers in this regard, while Link Intime India was appointed as the registrar. The company’s shares will be listed on both the BSE and the NSE. And, the listing date could be 8/23.
TVS Supply’s profit in 2023 is encouraging for investors. The organization can expect continued growth in the coming years thanks to excellent internal technologies. Additionally, the company will focus on tier II cities, where it can increase market share and drive faster growth, said Arihant Capital Markets, with a ‘Register’ rating for the matter.
Brokers take a ‘contradictory’ view on the matter. Some analysts recommend a ‘Buy’ call, citing the asset’s light business model, strong roots and growth prospects. However, some clearly recommend ‘Avoiding’ this problem due to its very rich pricing, which looks more expensive than its peers.
The company provides supply chain management services to international organizations, government agencies and large and medium enterprises. It offers its services in two segments namely integrated supply chain solutions (ISCS) and network solutions (NS).
Latest gray market price (GMP)
On the gray market, Utkarsh SFB shares were last traded with a spread of just 1.52% from the issue price of Rs 197 (higher price range), indicating a relatively quiet Dalal Street debut. .
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