Aegis Logistics Unit Plans Rs 4,000-Crore IPO, To Raise Rs 800 Crore Via Private Placement

Aegis Vopak Terminals Ltd. on Monday announced that its board of directors have approved its proposal to raise Rs 4,000 crore through an initial public offering and Rs 800 crore through private placement.

The Aegis Logistics subsidiary's IPO will comprise a fresh issue of equity shares with a face value of Rs 10 each, the company's exchange filing stated.

The company added that the IPO is subject to regulatory approvals and market conditions.

The preferential issue will be for an amount of Rs 800 crore on a private placement basis, the company added.

Aegis Logistics reported a 1% year-on-year rise in net profit at Rs 152.02 crore for the second quarter of this financial year, meeting analysts' estimates. This was slightly above the Rs 151 crore estimate given by analysts tracked by Bloomberg.

Revenue rose by 41.8% year-on-year for the three months ended September, reaching Rs 1,750.42 crore. Analysts had projected revenue of Rs 1,856 crore.

Operating income, or Ebitda, rose 8% year-on-year to Rs 223.94 crore. The Ebitda margin contracted to 12.8% from 16.9% in the same period the previous year. Analyst estimates for Ebitda and Ebitda margin tracked by Bloomberg were at Rs 266 crore and 14.40%, respectively.

Shares of Aegis Logistic were trading lower on Monday. The shares fell as much as 3.18% during the day to Rs 723.65 apiece on the NSE.

However, the stock closed 1.02% lower at Rs 739.80 apiece. This compares to a 0.70% advance in the NSE Nifty 50 Index.

It has risen 149.81% in the last 12 months and 111.64% year-to-date.

Out of the eight analysts tracking the company, six maintain a "buy" rating, one recommends a "hold," while one suggests a "sell," according to Bloomberg data. The average 12-month consensus price target implies an upside of 14%.