Are you ready for the Zinka Logistics Solutions Private Limited IPO? The initial public offering worth ₹1,114.72 crores will open for subscription on November 13, 2024 and will close on November 18, 2024. Zinka Logistics Solutions’ IPO is popularly known as the Blackbuck IPO amongst the investing community because of its digital platform for truck drivers called Blackbuck App. It comprises of a fresh issue of 2.01 crore shares amounting to ₹550.00 crores and an offer for sale of 2.07 crore shares worth ₹564.72 crores.
The price band for the Blackbuck IPO has been set between ₹259 to ₹273 per share with a lot size of 54 shares. Thus the minimum investment amount for retail investors is ₹14742. Allotment of shares is anticipated to be completed on November 19, 2024 with listing on BSE and NSE tentatively scheduled for November 21, 2024. Seize today's IPO opportunity! Stay ahead with our curated list of upcoming public offerings.
Zinka Logistics Solutions Limited IPO is a fundraise worth ₹1,114.72 crores comprising fresh issue as well as offer for sale with a reservation of up to 26,000 shares for employees offered at a discount of ₹25 to the issue price. The IPO will be available for subscription from November 13, 2024, to November 18, 2024, providing an opportunity for investors looking to gain a stake in the flourishing logistics sector.
| Blackbuck IPO Date | November 13, 2024 - November 18, 2024 |
| Price Band | ₹259 to ₹273 per share |
| Face Value | ₹1 per share |
| Lot Size | 54 shares |
| Issue Type | Book-built issue |
| Fresh Issue | 20,146,520 shares of ₹1 per share, amounting to ₹550.00 crores |
| Offer For Sale | 20,685,800 shares of ₹1 per share, amounting to ₹564.72 crores |
| Total Issue Size | 40,832,320 shares of ₹1 per share amounting to ₹1,114.72 crores |
| Employee Discount | ₹25 per share |
| Listing at | BSE, NSE |
| Share Holding Post Issue | 176,476,680 |
| Share Holding Pre Issue | 156,330,160 |
The Zinka Logistics Solutions Limited (Blackbuck) IPO opens for subscription on November 13, 2024, and closes on November 18, 2024, with allotment slated for November 19, 2024.
| IPO Open Date | November 13, 2024 (Wednesday) |
| IPO Close Date | November 18, 2024 (Monday) |
| Basis of Allotment | November 19, 2024 (Tuesday) |
| Initiation of Refunds | November 20, 2024 (Wednesday) |
| Credit of Shares to Demat Account | November 20, 2024 (Wednesday) |
| Listing Date on Exchanges | November 21, 2024 (Thursday) |
| Cut-off Time for UPI Mandate Confirmation | 5 PM on November 18, 2024 |
Zinka Logistics Solution Limited, established in April 2015, has emerged as India's leading digital platform for truck operators through its BlackBuck app. The platform serves an impressive 963,345 truck operators, representing over 27% of India's total truck operator base, and offers comprehensive services including payments, telematics, freight marketplace, and vehicle financing. By March 2024, the company achieved significant milestones, processing a Gross Transaction Value (GTV) of ₹173,961.93 million in payments, maintaining 356,050 monthly active telematics devices, and facilitating 4,035 loans worth ₹1,967.88 million across 48 districts in seven states.
With a workforce of 4,289 employees, the company has established itself as a market leader through its competitive advantages developed over nine years of operations. Its strengths include India's largest digital truck operator platform, an extensive operator network, innovative service offerings addressing market gaps, and a robust multi-channel sales network. The company's success is further reinforced by its high-growth business model demonstrating operational leverage and profitability, guided by an experienced management team focused on fulfilling customer needs efficiently.
The company plans to utilise its IPO proceeds for strategic growth initiatives across multiple areas. A significant portion will be directed towards sales and marketing efforts, while also strengthening its NBFC subsidiary, Blackbuck Finserve Private Limited, by augmenting its capital base. The remaining funds will be allocated for product development and general corporate purposes to support the company's overall expansion plans.
The Zinka Logistics Solutions (Blackbuck) IPO showcases a healthy market capitalization of ₹4817.81 crores as on June 30, 2024. Key performance indicators reflect the company's financial health, with a Return on Equity (ROE) at 9.39% and a Debt-to-Equity ratio of 0.47, indicating that the company does not rely heavily on debt financing.
The RoNW stands at 9.39%, while the Price-to-Book Value (P/BV) is seen at 14.6. On an annual basis, the company's Profit After Tax (PAT) surged by 33.24% while the revenue zoomed up by 62.24% in the financial year ending on March 31, 2024. A comparison of earnings per share (EPS) reveals a pre-IPO EPS of -₹12.41, which drastically increases to ₹7.34 post-IPO, reflecting the significant changes in shareholding and capital structure.
| Period Ended | June 30, 2024 | March 31, 2024 | March 31, 2023 | March 31, 2022 |
| Revenue | 98.33 | 316.51 | 195.09 | 156.13 |
| Assets | 629.41 | 654.32 | 654.25 | 899.68 |
| Net Worth | 344.98 | 311.29 | 352.66 | 585.08 |
| Profit After Tax | 32.38 | -193.95 | -290.50 | -284.56 |
| Total Borrowing | 161.01 | 173.74 | 165.84 | 199.00 |
| Reserves & Surplus | 399.07 | 311.03 | 66.55 | 377.58 |
Amount in ₹ crores
The company boasts an unparalleled omnichannel distribution network among digital trucking platforms, with a remarkable presence across 80% of India's districts. Its extensive infrastructure includes coverage of major transportation hubs, 76% of toll plaza networks, and 9,374 digitally-enabled touchpoints for seamless onboarding and service delivery. This comprehensive network creates significant entry barriers for competitors and enables efficient service delivery nationwide.
Despite its extensive operational footprint, the company's financial performance raises concerns, marked by consistent losses over FY22-24. This pattern of negative financial results suggests challenges in achieving profitability despite the scale of operations, potentially indicating issues with the business model's sustainability or the need for significant operational optimisations to achieve break-even.
The opportunity of being an early investor in the company’s journey as a publicly listed firm and the potential for making profits makes the Zinka Logistics Solutions (Blackbuck) Limited IPO an attractive opportunity among upcoming IPOs. However, as with any IPO investment, it's crucial to evaluate the company's fundamentals, market conditions, and personal investment strategy before committing funds. Conduct thorough research to determine if this IPO aligns with your future financial goals and risk tolerance.
What is the Zinka Logistics Solutions (Blackbuck) Limited IPO?
The Zinka Logistics Solutions (Blackbuck) Limited IPO is a main-board offering consisting of 40,832,320 equity shares with a face value of ₹1, aiming to raise to ₹1,114.72 crores. The share price is set between ₹259 and ₹273, with a minimum order quantity of 54 shares. This IPO will be open for subscription from November 13, 2024, to November 18, 2024. Kfin Technologies Limited is the registrar while Axis Capital Limited, Morgan Stanley India Company Private Limited, JM Financial Limited and IIFL Securities Limited are the book-running lead managers.
When will the Zinka Logistics Solutions (Blackbuck) Limited IPO open?
The Zinka Logistics Solutions (Blackbuck) Limited IPO will open for subscription on November 13, 2024, and will close on November 18, 2024.
When is the Zinka Logistics Solutions (Blackbuck) Limited IPO listing date?
The tentative listing date for the Zinka Logistics Solutions (Blackbuck) Limited IPO is Thursday, November 21, 2024.
For android only