Last Updated on September 18, 2024 by Wenivesh Team
The Western Carriers India Ltd IPO is generating buzz in the stock market, offering investors a unique opportunity to invest in one of India’s largest private logistics companies. With the subscription period running from September 13 to September 18, 2024, and a listing date expected on September 23, 2024, here’s everything you need to know about the Western Carriers India Ltd IPO.
Western Carriers India Ltd IPO Status
The Western Carriers India Ltd IPO is open for subscription and aims to raise approximately ₹492.88 crore. This includes a fresh issue of ₹400 crore and an offer for sale of ₹92.88 crore.
| Key IPO Details | Data |
|---|---|
| IPO Date | September 13-18, 2024 |
| Issue Size | ₹492.88 crore |
| Fresh Issue | ₹400 crore |
| Offer for Sale | ₹92.88 crore |
| Price Band | ₹163 to ₹172 per share |
| Minimum Investment | ₹14,964 (87 shares per lot) |
| Listing Date | September 23, 2024 |
The IPO’s initial subscription status has been moderate, with 0.03 times subscribed on its opening day. While this indicates a slow start, interest might pick up as the subscription deadline approaches.
Western Carriers India Ltd IPO GMP Today
The Grey Market Premium (GMP) for the Western Carriers India Ltd IPO stands at approximately ₹58 as of September 18, 2024. This indicates a positive market sentiment and suggests that the stock may list at a premium when it hits the market.
| Date | GMP |
|---|---|
| September 18, 2024 | ₹58 |
A higher GMP is generally seen as a positive sign, meaning investors expect the shares to perform well once listed.
Western Carriers India Ltd IPO Subscription Details
Investors looking to participate in the Western Carriers India Ltd IPO can do so by applying for a minimum of 87 shares per lot, which amounts to an investment of around ₹14,964 at the lower price band of ₹163 per share. The IPO will remain open for subscription until September 18, 2024.
| Category | Subscription Status |
|---|---|
| Retail Investors | 7.84 times (as of Day 2) |
| Qualified Institutional Buyers (QIB) | 0.03 |
| Non-Institutional Investors (NII) | 5.62 |
What to Watch For
As the subscription deadline nears, it will be crucial to monitor how much demand grows, particularly from retail investors, QIBs, and NIIs.
Use of Proceeds from Western Carriers India Ltd IPO
The company plans to use the funds raised from the Western Carriers India Ltd IPO for the following purposes:
- Debt Repayment: A portion will be used to repay or prepay outstanding borrowings.
- Capital Expenditure: The company plans to purchase new commercial vehicles and containers.
- General Corporate Purposes: The remaining funds will go towards supporting business operations.
Financial Overview of Western Carriers India Ltd
Western Carriers India Ltd has shown impressive financial performance over the past few years, making it an attractive investment opportunity. Below is a breakdown of their key financial metrics:
| Financial Year | Revenue (₹ crore) | Net Profit (₹ crore) | EBITDA (₹ crore) | EBITDA Margin (%) |
|---|---|---|---|---|
| FY2024 | 1,691.41 | 80.35 | 1,088.87 | 9% |
| FY2023 | 1,637.84 | 71.57 | 794.21 | 7% |
| FY2022 | 1,475.79 | 61.29 | 611.29 | 7% |
Return Ratios
The company’s return ratios are another important factor for investors to consider:
| Metric | FY2024 |
|---|---|
| Return on Equity (ROE) | 20.17% |
| Return on Capital Employed (ROCE) | 29.23% |
These robust financial metrics indicate strong profitability and efficient use of capital.
Growth Rates
Western Carriers has shown consistent growth over the last few years, as demonstrated by the following growth rates:
| Growth Metric | CAGR (Last 3 Years) |
|---|---|
| Revenue Growth | 17.39% |
| Profit Growth | 30.57% |
The steady rise in revenue and profit, along with improving margins, makes Western Carriers India Ltd a solid choice for investors looking at long-term growth in the logistics sector.
FAQs on Western Carriers India Ltd IPO
1. What is the price band for the Western Carriers India Ltd IPO?
The price band is set between ₹163 and ₹172 per share.
2. What is the lot size for the Western Carriers India Ltd IPO?
The lot size is 87 shares, and the minimum investment is around ₹14,964.
3. What is the subscription period for the Western Carriers India Ltd IPO?
The IPO is open for subscription from September 13 to September 18, 2024.
4. When will Western Carriers India Ltd shares be listed?
The shares are expected to be listed on the BSE and NSE on September 23, 2024.
5. What is the Grey Market Premium (GMP) for the Western Carriers India Ltd IPO today?
As of September 15, 2024, the GMP is ₹57.
6. What is the company’s revenue growth rate?
Western Carriers India Ltd has shown a CAGR of 17.39% in revenue over the last three years.
7. How are the return ratios for Western Carriers India Ltd?
For FY2024, the company’s ROE stands at 20.17%, and ROCE is 29.23%.
8. How are the funds from the IPO going to be used?
The funds will be used for debt repayment, purchasing commercial vehicles, and general corporate purposes.
9. Is the Western Carriers India Ltd IPO a good investment?
With its strong market position, solid financial performance, and positive GMP, the Western Carriers India Ltd IPO appears to be a good investment, especially for those looking to enter the logistics sector.
The Western Carriers India Ltd IPO is an exciting opportunity for investors looking to tap into India’s rapidly growing logistics market. With a strong financial track record, solid return ratios, and a positive market outlook, this IPO is definitely worth considering.
Hope this blog On Western Carriers India Ltd IPO has been informative and insightful.
Please feel free to leave a comment below if you have any questions or thoughts.