WESTERN CARRIERS (INDIA) IPO ENDS WITH STRONG SUBSCRIPTION

Published on Sep 20, 2024 17:49

The initial public offer (IPO) of Western Carriers (India) received bids for 63,78,53,898 shares as against 2,08,68,467 shares on offer. The issue was subscribed 30.57 times.

The Non Institutional Investors (NIIs) category was subscribed 44.71 times. The Qualified Institutional Buyers (QIBs) category was subscribed 27.99 times. The Retail Individual Investors (RIIs) category was subscribed 25.95 times.

The issue opened for bidding on 13 September 2024 and it closed on 19 September 2024. The price band of the IPO was fixed between Rs 163 to 172 per share.

The offer consisted of fresh issue of equity shares aggregating to Rs 400 crore and an offer for sale (OFS) of 54,00,000 equity shares of Rs 5 face value. Rajendra Sethia, the promoter of the company, is selling his entire stake.

Of the net proceeds from fresh issue, about Rs 163.50 crore will be used for prepayment or scheduled re-payment of a portion of certain outstanding borrowings and Rs 151.71 crore for funding of capital expenditure requirements such as purchase of CVs, 40-feet specialized containers; 20-feet normal shipping containers, and reach stackers.

The outstanding consolidated borrowings stood at Rs 352.731 crore as on 31 July 2024.

Ahead of the IPO, Western Carriers (India) on 12 September 2024, raised Rs 147.86 crore from anchor investors. The board allotted 85.96 lakh shares at Rs 172 each to 15 anchor investors.

Western Carriers (India) provides end-to-end, customized, multi-modal logistics solutions across the supply chain integrating road, railway, water and air logistics along with a customized suite of value-added services. The rail-focused logistics business of Rajendra Sethia, which commenced in 1972, was acquired in 2012 to evolve into the largest private, multi-modal, rail focused, 4PL asset-light logistics company in India in terms of container volumes handled and operated by private players in FY2023.

Key services are 3- and 4-PL supply chain and value-added services (Vas), warehousing and stock management, CHA and stevedoring, project logistics, rail transport, road transport as well as courier, air, water freight. End-to-end services solutions are offered at every stage in the logistics value chain.

The firm reported a consolidated net profit of Rs 80.35 crore and sales of Rs 1,685.77 crore for the twelve months ended on 31 March 2024.