Zinka Logistics Solution Limited IPO (BlackBuck IPO) Detail Review –
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Detail is set to open from 13th Nov 2024 to 18th Nov 2024. In this article we will analyze the financials , strengths and weaknesses of the Zinka Logistics Solution Limited IPO (BlackBuck IPO). Keep scrolling below to read more!
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Overview –
Established in 2015, Zinka Logistics Solution Limited offers a digital platform, the BlackBuck app, for truck operators. In the fiscal year 2024, 963,345 truck operators in the country conducted their business through the platform, representing 27.52% of all Indian truck operators.
Zinka Logistics Solution’s BlackBuck app is a platform that offers payments, telematics, a freight marketplace, and vehicle financing services to help truck operators achieve their goals efficiently.
As of March 31, 2024, the company had processed a Gross Transaction Value (GTV) of Rs. 173,961.93 million in payments.
As of March 31, 2024, the company had a monthly average of 356,050 active telematics devices and has facilitated 4,035 loans with a total value of Rs. 1,967.88 million.
As of March 31, 2024, the company offered vehicle financing to customers in 48 districts across seven states in India.
Competitive strength
- India’s largest platform for digital truck operators.
- A wide network of truck operators built over the nine years of its existence.
- New offerings to address market gaps and fulfill customer needs.
- A strong multi-channel sales network and an effective sales and service strategy promote customer acceptance.
- High-growth business with operational leverage and high profitability.
- Experienced management team.
As of March 31, 2024, the company had 4,289 employees
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Synopsis-
Zinka Logistics Solution Limited IPO (BlackBuck IPO) is set to be open from 13th Nov 2024 to 18th Nov 2024, offering combination of fresh issue of 2.01 crore shares aggregating to Rs 550.00 crores and offer for sale of 2.07 crore shares aggregating to Rs 564.72 crores. This NSE,BSE IPO follows a Book Built Issue IPO with tentative listing date fixed as Thursday, November 14, 2024.
The total issue size of this IPO amounts to Rs. 1,114.72 Crores. The company has allocated shares 10% to retail investors, 75% to institutional and 15% to non institutional investors.
| Particulars | Details |
| Opening Date | 13th Nov 2024 |
| Closing Date | 18th Nov 2024 |
| Lot Size | 54 Shares |
| Face Value | Rs 1 |
| IPO Size | Rs. 1,114.72 Cr |
| Fresh Issue | Rs. 550 Cr |
| IPO Price Range | Rs. 259 – 273 |
| Min. Investment | Rs. 14,742 |
| Offer for Sale (OFS) | Rs. 564.72 Cr |
| Employee Discount | Rs 25 per share |
| Basis of Allotment | 19th Nov 2024 |
| Refunds | 20th Nov 2024 |
| Listing Date | 21th Nov 2024 |
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | Click Here |
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Market Lot
Zinka Logistics Solution Limited IPO (BlackBuck IPO) minimum market lot is 54 shares with ₹14,742 application amount. The retail investors can apply up to 13 lots with 702shares or ₹191,646 amount.
| Application | Lot Size | Shares | Amount |
| Retail Minimum | 1 | 54 | ₹14,742 |
| Retail Maximum | 13 | 702 | ₹191,646 |
| S-HNI Minimum | 14 | 756 | ₹206,388 |
| S-HNI Maximum | 67 | 3,618 | ₹987,714 |
| B-HNI Minimum | 68 | 3,672 | ₹1,002,456 |
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Book Running Lead Managers –
- Axis Capital Limited
- Morgan Stanley India Company Pvt Ltd
- Jm Financial Limited
- Iifl Securities Ltd
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Registrar to the offer –
The registrar for the Zinka Logistics Solution Limited IPO (BlackBuck IPO) is Kfin Technologies Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
The Objective Of The Issue –
The company desires to use the Net Proceeds from the Issue to fulfill its following goals:
- Funding towards sales and marketing costs;
- Investment in Blackbuck Finserve Private Limited, its NBFC subsidiary, for financing the augmentation of its capital base to meet its future capital requirements;
- Funding of expenditure about product development; and
- General corporate purposes.
Key Performance Indicator –
The market capitalization of Zinka Logistics Solution Limited is Rs 4817.81 Cr.
KPI as of June 30, 2024.
| KPI | Values |
| ROE: | N/A |
| ROCE: | N/A |
| EBITDA Margin: | N/A |
| PAT Margin: | N/A |
| Debt to equity ratio: | N/A |
| Earning Per Share (EPS): | -₹10.52 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | –53.64% |
| Net Asset Value (NAV): | ₹16.89 |
Financial Status –
Zinka Logistics Solution Limited’s revenue increased by 62.24% and profit after tax (PAT) rose by 33.24% between the financial year ending with March 31, 2024 and March 31, 2023.
Below is the synopsis of the company’s financial data for the financial year that concluded on 31 March 2024.
The company’s total assets are Rs. 654.32 crore.
The company’s total revenue is Rs. 316.51 crore.
The company’s PAT is Rs. -193.95 crore.
The company’s net worth is Rs. 311.29 crore
| Particulars(in Rs. Crores) | 30 June 2024 | 31 MAR 24 | 31 MAR 23 | 31 MAR 22 |
|---|---|---|---|---|
| Revenue From Operations | 98.33 | 316.51 | 195.09 | 156.13 |
| PAT | 32.38 | -193.95 | -290.50 | -284.56 |
| Net Worth | 344.98 | 311.29 | 352.66 | 585.08 |
| Total Assets | 629.41 | 654.32 | 654.25 | 899.68 |
| Total Borrowings | 161.01 | 173.74 | 165.84 | 199.00 |
Evaluation of P/E Ratio :
Its EPS is negative so the P/E ratio can not be determined.
Comparative Analysis with Listed Peers
The average P/E Ratio of the industry is 305.96x.
Peers of Zinka Logistics Solution Limited IPO (BlackBuck IPO) –
| Company Name | EPS (Basic) | EPS (Diluted) | NAV (per share) (Rs) | P/E (x) | RoNW (%) | Financial statements |
|---|---|---|---|---|---|---|
| Zinka Logistics Solution Limited | -10.52 | -10.52 | 16.89 | -53.64 | Consolidated | |
| C.E.Info Systems Ltd | 24.78 | 24.78 | 12.09 | 92.9 | 0.2 | Consolidated |
| Fleetcor Technologies Limited | 1,118.83 | 1,100.48 | 36,78,737.8 | 20.2 | 0.3 | Consolidated |
| Full Truck Alliance Co. Ltd | 0.83 | 0.83 | 19.76 | 804.77 | 0.06 | Consolidated |
Dividend Policy
The company has not paid any dividends in the last three fiscals.
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Strengths –
- India’s largest digital platform for truck operators
- Strong network effects of platform result in robust customer retention rates and higher monetization
- Repeatable playbook for creating and launching new offerings
- Omnichannel distribution network with robust sales and service strategy driving customer adoption
- Scalable and reliable in-house technology integrating with multiple stakeholder
- Promoter-led management team and an experienced board
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Weakness –
The business has previously experienced losses and negative operating cash flows, as has its subsidiary TZF Logistics Solutions Private Limited. Furthermore, Blackbuck Finserve Private Limited, a subsidiary, has previously had negative operating cash flows.
According to the company’s RHP, a sizable amount of its vehicle tracking solutions are sourced from a few main providers. The business of the company could suffer if the connection were to end.
Its car finance business exposes it to several risks that could negatively impact its operations, including high-risk borrowers and collateral recovery.
Zinka Logistics further stated that changes in the road transportation sector and the price of fuel could have an impact on its business operations.
Zinka Logistics Solution Limited IPO (BlackBuck IPO) Status –
Zinka Logistics Solution Limited allotment status will be available on Kfin Technologies Limited.
Click on Link Kfin Technologies Limited to get allotment status.
Zinka Logistics Solution Limited IPO (BlackBuck IPO) GMP Today –
IPO’s last GMP is ₹0, last updated 8th Nov 2024. With the price band of 273.00, IPO’s estimated listing price is ₹273(cap price + today’s GMP). The expected percentage gain/loss per share is 0.00%.
Note : The GMP prices shown here are only news related to the grey market. We do not trade/deal in grey market or subject to rates, nor do we recommend trading in grey market.
Disclaimer:
- IPO Grey Market Premium (Zinka Logistics Solution Limited GMP) mention is valid for the specific date as mentioned in the header.
- We are not buying and selling IPO forms on IPO Grey Market.
- Don’t decide to subscribe to an IPO just based on the initial price, as it can change before the listing.Subscribe only considering Fundamentals of the companies.
Conclusion –
Hope the details presented in this blog will assist you in learning about the financial performance of the company. Before making an investment in the company’s upcoming initial public offering (IPO), thoroughly research the company, its finances, business prospects, and market trends.
Also, investors should consult their financial advisor, conduct further due diligence, analyze industry trends and the competitive landscape, and consider risk factors before making an investment decision.
For all such latest information on upcoming IPOs, keep visiting our website.
