The BlackBuck IPO, under Zinka Logistics Solutions, is set to open for subscription on November 13, 2024. With a favorable grey market premium (GMP) indicating positive investor sentiment, this article provides essential details for potential investors.
BlackBuck IPO Overview
Zinka Logistics Solutions aims to raise approximately ₹1,114.72 crore through its IPO, which consists of both a fresh issue and an offer for sale (OFS). The specifics are as follows:
- Issue Size: ₹1,114.72 crore
- Fresh Issue: 20,146,520 shares
- Offer for Sale (OFS): 20,685,800 shares
- Face Value: Re 1 per share
Prominent investors participating in the OFS include Accel India IV and International Finance Corporation.
Pricing and Lot Size
The price band for the BlackBuck IPO is set between ₹259 and ₹273 per share. Investors can apply for a minimum of 54 shares, making the minimum investment amount approximately ₹14,742. Here’s a breakdown of the lot sizes:
| Investor Type | Lot Size | Total Shares | Investment Amount |
|---|---|---|---|
| Retail Investors | 1 Lot | 54 | ₹14,742 |
| Small Non-Institutional Investors (sNII) | 14 Lots | 756 | ₹206,388 |
| Big Non-Institutional Investors (bNII) | 68 Lots | 3,672 | ₹1,002,456 |
Grey Market Premium (GMP)
As of now, the BlackBuck IPO GMP today stands at ₹24, reflecting an 8.79% premium over the upper end of the IPO price band. This positive sentiment in the grey market suggests that investors are optimistic about the company’s market debut.
Important Dates
The timeline for the BlackBuck IPO is as follows:
- IPO Open Date: November 13, 2024
- IPO Close Date: November 18, 2024
- Basis of Allotment Date: November 19, 2024
- Credit to Demat Accounts: November 20, 2024
- Listing Date: November 21, 2024
Use of Proceeds
BlackBuck plans to utilize the proceeds from the fresh issue for various purposes:
- Funding sales and marketing costs
- Investing in its subsidiary, BlackBuck Finserve
- Product development and general corporate purposes
Financial Performance
BlackBuck has shown significant growth in its financial performance:
- Q2 FY25 Revenue: ₹92.16 crore (up from ₹59.46 crore YoY)
- Restated Profit in Q2 FY25: ₹28.67 crore
- Despite reporting losses in previous years, the company is on a recovery path with increasing revenues.
About BlackBuck
Founded in 2015 and headquartered in Bengaluru, BlackBuck operates India’s largest digital platform connecting truck operators with shippers. The platform offers services such as payments processing, telematics, vehicle financing, and a freight marketplace.
Conclusion
With a favorable GMP and robust subscription metrics expected during the offering period, the BlackBuck IPO is generating considerable interest among investors. As the subscription opens on November 13, potential investors should carefully consider their options based on the company’s fundamentals and growth prospects.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should conduct their own research before making investment decisions.
