Ashapura Logistics makes market debut with at 28.5% premium on NSE SME

AHMEDABAD : Ashapura Logistics Limited‘s Initial Public Offering (IPO) made a strong debut on the NSE SME on August 6, with its shares listing at 28.5 percent premium. The shares began trading at Rs 185 apiece, above the issue price of Rs 144.

The Rs 52.66-crore IPO includes a fresh issue of 36.57 lakh shares. The IPO, with a price band set between Rs 136 and Rs 144 per share, was subscribed 185.75 times.

The bidding period for the IPO ran from July 30 to August 1. The issue was oversubscribed in all categories, with retail investors subscribing 174.21 times, Qualified Institutional Buyers (QIBs) 128.23 times, and Non-Institutional Investors (NIIs), 289.33 times.

The IPO also saw strong backing from anchor investors by raking in Rs 14.98 crore before the public offering.

Ashapura, established in 2009, is a key player in the logistics sector, specialising in cargo handling, freight forwarding, project logistics, third-party logistics, and warehousing. The company plans to use the IPO proceeds for capital expenditure on new trucks and equipment, constructing warehouses in Mundra, Gujarat, and enhancing working capital.

In FY24, Ashapura’s revenue declined by 10 percent to Rs 199 crore. However, its profit after tax (PAT) increased by 30 percent to Rs 12.4 crore.