Zinka Logistics Solution IPO: The initial public offering (IPO) of Zinka Logistics Solution Limited hit the Indian primary market on 13th November 2024 and will remain open until 18th November 2024. This means investors have just one day to apply for the public issue worth ₹1,114.72 crore. The digital platform for truck operations, which owns the BlackBuck App, has fixed the Zinka Logistics Solution IPO price band at ₹259 to ₹273 per equity share. After two days of bidding, Zinka Logistics Solution's IPO subscription status suggests that investors have shown tepid interest in the book build issue, a mix of fresh shares and offers for sale (OFS). Meanwhile, Zinka Logistics Solution Limited shares are still trading at par in the grey market. According to stock market observers, Zinka Logistics Solution shares are neither trading at a premium nor discount.
As mentioned above, Zinka Logistics Solution IPO GMP (Grey Market Today) is zero. This means company shares are trading at par in the grey market today. Observers said that weak sentiments on Dalal Street and weak global cues have weighed the grey market sentiments regarding Zinka Logistics Solution IPO. Market observers added that at-par trade in the grey market is a good sign because the stock may move upside down when there is a trend reversal on Dalal Street. They said that par listing should not worry investors as Zinka Logistics Solution IPO GMP has tumbled from around ₹25 after the opening of the Zinka Logistics Solution IPO subscription.
By 3:30 PM on day 3 of bidding, the public issues had been subscribed 1.70 times, the retail portion 1.51 times, and the NII segment 0.21 times. The QIB portion of the public issue had been booked 2.53 times.
Anand Rathi has given a 'subscribe' tag to the public offer, saying, "In terms of the financial aspect, from being a loss-making entity, the company turned profitable in Q1FY25. At the upper price band, the company is valuing at Mcap/Sales of 16.2x on an FY24 basis with a market cap of ₹48,178 million post-issue of equity shares. On the valuation front, the company is fairly priced. Therefore, we recommend a "SUBSCRIBE - Long term" rating for the IPO."
Marwadi Shares and Finance has also assigned a 'buy' tag to the book build issue, saying, "Considering the FY24 Sales of ₹2,969 Cr, the company is going to list at an MCap/Sales of 16.2x with a market cap of ₹4,818 Cr, whereas its peer namely C.E. Infosystems is trading at MCap/Sales of 28.6x. We assign a "Subscribe" rating to this IPO as the company has India's largest digital platform for truck operators and an omnichannel distribution network that drives sales. Also, it is available at a reasonable valuation compared to its peer."
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
