Operating in the logistics and transportation sector, Rapid Fleet Management Services Limited is set to debut in the market with an IPO valued at ₹43.87 crores, consisting entirely of a fresh issue of 22.85 lakh shares. The subscription window opens on March 21, 2025, and closes on March 25, 2025. Investors can track the company's journey as it prepares for its NSE SME listing on March 28, 2025.
The IPO offers equity shares with a face value of ₹10, priced within a band of ₹183 to ₹192 per share, with a lot size of 600 shares. Retail investors can enter with a minimum investment of ₹1,09,800 (1 lot), while HNIs must subscribe to at least 2 lots (₹2,30,400). The company follows a structured post-subscription timeline, with share allotment expected by March 26, 2025, and its market debut soon after. As a leading logistics and road transportation provider, Rapid Fleet Management Services Limited presents an opportunity for investors to tap into India’s expanding logistics sector.
Rapid Fleet Management Services Limited IPO is a fundraise worth ₹43.87 crores comprising purely of a fresh issue with 22.85 lakh shares reserved for the market maker MLB Stock Broking Private Limited. Qualified Institutional Buyers are being offered not more than 50% of the net issue, retail investors are being offered not less than 35% of the net issue and Non-Institutional Investors (NIIs) / High Net-worth Individuals (HNIs) are being offered not less than 15% of the net issue. The IPO will be available for subscription from March 21, 2025, to March 25, 2025, providing an opportunity for investors looking to gain a stake in the biofuels space.
| Rapid Fleet Management Services IPO date | March 21, 2025 - March 25, 2025 |
| Price band | ₹183 to ₹192 per share |
| Face value | ₹10 per share |
| Lot size | 600 shares |
| Issue type | Book Built Issue IPO |
| Fresh issue size | 22,84,800 shares amounting to ₹43.87 crores |
| Total issue size | 22,84,800 shares amounting to ₹43.87 crores |
| Listing at | NSE SME |
| Market maker portion | 4,21,800 - MLB Stock Broking Pvt Ltd |
| Shareholding post-issue | 74,34,800 shares |
| Shareholding pre-issue | 51,50,000 shares |
The Rapid Fleet Management Services Limited IPO opens for subscription on March 21, 2025, and closes on March 25, 2025, with allotment scheduled for March 26, 2025.
| IPO open date | March 21, 2025 (Friday) |
| IPO close date | March 25, 2025 (Tuesday) |
| Basis of allotment | March 26, 2025 (Wednesday) |
| Initiation of refunds | March 27, 2025 (Thursday) |
| Credit of shares to Demat account | March 27, 2025 (Thursday) |
| Listing date on NSE SME | March 28, 2025 (Friday) |
| Cut-off time for UPI mandate confirmation | 5 PM on March 25, 2025 (Tuesday) |
Incorporated in 2006, Rapid Fleet Management Services Limited specializes in providing end-to-end logistics and road transportation solutions for both B2B and B2C clients. With a fleet of over 200 vehicles, the company serves diverse industries, including FMCG, automobile, and electronics. To enhance operational efficiency, it has developed its own mobile app, enabling 24/7 business operations and seamless client compliance through e-bidding, portal RFQs, e-POD, invoicing, and customer TMS management.
The company offers Full and Partial Load services, ensuring cost-effective and efficient transportation of goods and raw materials. It also provides Exim services, handling customs clearance, cross-border transactions, and inland transport for seamless connectivity between ports and production facilities. Expanding into renewable energy logistics, the company specializes in transporting Wind Turbine Generators (WTG) using extendable telescopic trailers to efficiently move large wind turbine blades.
The Rapid Fleet Management Services IPO aims to utilize the net proceeds for key business objectives, including the purchase of goods carriage vehicles with an allocation of ₹130 million, meeting working capital requirements amounting to ₹191.2 million, and funding general corporate purposes to support overall business growth and expansion.
As of July 31, 2024, the key performance indicators reflect the company's financial health with a Return on Equity of 50.09%, Return on Capital Employed (ROCE) at 43.11% and a Debt-to-Equity ratio of 0.74. The Return on Net-Worth (RoNW) stands at 40.06%, and the PAT Margin was 6.98. The Price to Book Value was 4.76. The company’s market capitalisation is ₹142.75 crore.
| Period Ended | September 30, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
| Revenue | 87.39 | 116.32 | 106.03 | 114.02 |
| Assets | 101.3 | 70.66 | 71.81 | 75.37 |
| Net Worth | 28.89 | 20.15 | 12.08 | 7.41 |
| Profit After Tax | 7.01 | 8.07 | 4.71 | 3.4 |
| Reserves & Surplus | 23.74 | 20.05 | 11.98 | 7.31 |
| Total Borrowing | 34.07 | 14.93 | 15.79 | 27.43 |
Amount in ₹ crores
The pre-IPO EPS is at ₹15.67 while the post-IPO EPS will be ₹10.86. Similarly, the pre-IPO Price to Earnings ratio is 12.25 and will become 17.68 post-IPO.
The company has established itself as a reliable logistics and transportation provider with a strong presence across multiple regions, serving a diverse range of industries. With extensive experience in port-related logistics, bulk cargo transportation, and supply chain management, it ensures seamless operations for industrial clients. Its strategic location near major ports enhances efficiency by reducing transit times and optimizing costs for businesses dependent on freight services. Additionally, the company operates a well-maintained fleet of trucks, trailers, and container carriers, ensuring reliable and timely deliveries. Strong relationships with industrial clients in sectors such as steel, fertilizers, petrochemicals, and general cargo further contribute to stable revenue and consistent business growth.
To enhance operational efficiency, the company has implemented an integrated Transport Management System (TMS) called Digitify Book. It prioritizes vehicle fleet safety to ensure smooth transportation and delivery operations across the country. Its dynamic approach to market fluctuations allows it to adapt swiftly without compromising on service quality. With a commitment to excellence, the company takes pride in serving an esteemed clientele and maintaining high standards in logistics and transportation solutions.
The company’s operations heavily rely on the road network, making it susceptible to disruptions caused by political unrest, adverse weather conditions, natural calamities, driver fatigue, or accidents, all of which can lead to increased maintenance and operational costs. Additionally, regulatory challenges pose a risk, as the business requires multiple statutory approvals. Delays or failure to obtain these approvals could negatively impact operations and overall business growth.
Rising operational expenses, including fuel prices, toll charges, and lorry hire costs, may affect profitability if these costs cannot be passed on to customers. Economic fluctuations, changes in freight rates, and evolving government policies in the logistics and transportation sector could further impact revenue and financial stability. Moreover, cybersecurity threats, such as data breaches or disruptions in digital systems, pose risks to operational efficiency and the security of sensitive business information.
Investing early in Rapid Fleet Management Services Limited’s IPO offers an opportunity to be part of its growth in the logistics and transportation sector. However, potential investors should thoroughly evaluate key aspects such as the company's operational history, financial stability, industry trends, and expansion plans. It's essential to align this investment with personal financial goals and risk tolerance. Reviewing the offer document and seeking professional guidance can help in making a well-informed investment decision.
What is the Rapid Fleet Management Services Limited IPO?
The Rapid Fleet Management Services Limited IPO is an NSE SME offering consisting of 22.85 lakh equity shares with a face value of ₹10, aiming to raise ₹43.87 crore. The price band has been set between ₹183 to ₹192 per share, with a minimum order quantity of 600 shares. This IPO will be open for subscription from March 21, 2025, to March 25, 2025. Gretex Corporate Services Limited is the book-running lead manager, Bigshare Services Pvt Ltd is the registrar while MLB Stock Broking Private Limited is the market maker.
When will the Rapid Fleet Management Services IPO open?
The Rapid Fleet Management Services Limited IPO will open for subscription on March 21, 2025, and will close on March 25, 2025.
When is the Rapid Fleet Management Services IPO listing date?
The tentative listing date for the Rapid Fleet Management Services Limited IPO is Friday, March 28, 2025.
For android only