Western Carriers (India)’s initial public offering (IPO) will begin bidding on Friday, September 13, and will end on Wednesday, September 18.
Western Carriers (India) Ltd. plans to raise ₹492.88 crore from the IPO, which would entail the issue size of 2.87 crore shares. This includes a fresh offering of up to 2.33 crore shares worth ₹400 crore and an offer to sell 0.54 crore shares worth ₹92.88 crore.
The IPO price band of Western Carriers (India) is ₹163 to ₹172 per share, with a lot size of 87 shares for individual investors. At the top of the price range, one lot costs ₹14,964. Retail investors can apply for up to 13 units.
Western Carriers India Ltd Details
The company is one of India’s leading private, multimodal, rail-focused, 4PL asset-light logistics firms in terms of container volumes handled or operated by private operators in Fiscal 2023.
In its DRHP report, citing 1Lattice Report, the company stated that its domestic and EXIM market shares, based on container volumes handled, were 6% and 2%, respectively, in Fiscal 2023. It follows a scalable, asset-light business model, allowing it to offer differentiated 3PL and 4PL solutions.
Western Carriers India Ltd IPO Objectives
The objective of the IPO is to prepay or arrange repayment of a portion of the company’s outstanding borrowings.
The funds will also be used for capital expenditures, specifically purchasing commercial vehicles, specialty 40-foot containers, standard 20-foot shipping containers, and reach stackers.
Financials
The revenue of Western Carriers from operations went from ₹14,708.75 million in FY 2022 to ₹16,857.69 million in FY 2024, with a CAGR of 4.65%. EBITDA increased from ₹1,088.87 million in FY 2022 to ₹1,518.24 million in FY 2024, with a CAGR of 11.72 percent.
The Western Carriers’s earnings increased from ₹611.29 million in FY 2022 to ₹803.47 million in FY 2024, representing a 9.54 percent CAGR. The company’s EBITDA margin increased from 7.40% in FY 2022 to 9.01% in FY 2024.
During this era, both return on equity (RoE) and return on capital employed (RoCE) were stable, with RoE at 22.41 percent in FY 2024, compared to 26.92 percent in FY 2022, and RoCE at 29.23 percent in FY 2024, down slightly from 33.40 percent in FY 2022.
Listing and allotment details
The Western Carriers (India) IPO allotment date is scheduled for September 19, 2024. The shares will be listed on both the NSE as well as the BSE. The tentative listing date of the IPO is September 23, 2024.
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