Om Freight Forwarders Launches Rs 122 Crore IPO with 8% Grey Market Premium
Om Freight Forwarders, a Mumbai-based logistics company, opens its IPO to raise Rs 122.32 crore with a price band of Rs 128-135 per share. The issue includes a fresh issue of Rs 24.44 crore and an offer for sale of Rs 97.88 crore. The company operates across five continents, owns 135 vehicles, and handled 66.86 million metric tons of cargo. Its revenue increased by 17% to Rs 494.05 crore, while profit after tax more than doubled to Rs 21.99 crore. The IPO closes on October 3, with listing expected on October 8. The grey market premium suggests an 8% potential listing gain.
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Om Freight Forwarders, a Mumbai-based integrated logistics solutions provider, has opened its Initial Public Offering (IPO) to raise Rs 122.32 crore. The company has set the price band for its shares at Rs 128-135, with the three-day issue set to close on October 3.
IPO Details
The IPO comprises a fresh issue of Rs 24.44 crore and an offer for sale of Rs 97.88 crore by existing shareholders. Investors can expect the listing of Om Freight Forwarders shares on October 8.
Grey Market Premium
The stock is currently trading at an 8% premium in the grey market, suggesting potential listing gains of Rs 11 per share. This indicates positive investor sentiment towards the company's market debut.
Company Overview
Om Freight Forwarders has established a significant presence in the logistics industry:
- Operations span across five continents with over 700 global locations
- Owns a fleet of 135 vehicles
- Handled 66.86 million metric tons of cargo
Financial Performance
The company has demonstrated strong financial growth:
| Metric | Amount | Change |
|---|---|---|
| Revenue | 494.05 | 17% increase |
| Profit After Tax | 21.99 | More than doubled |
| Debt-to-Equity Ratio | 0.17 | - |
Use of Proceeds
The fresh issue proceeds will be allocated as follows:
- Rs 17.15 crore for commercial vehicle and equipment acquisition
- The remainder for general corporate purposes
Investors interested in the logistics sector may find Om Freight Forwarders' IPO an opportunity worth considering, given its established operations and recent financial performance. However, as with all investments, it's crucial to conduct thorough research and consider personal financial goals before making any investment decisions.
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