Zinka Logistics IPO GMP Tanks As Public Issue Opens For Subscription

Zinka Logistics Solution IPO GMP Today: BlackBuck, the digital trucking services platform, launched its initial public offering on November 13. The company, officially known as Zinka Logistics Solutions Ltd., has set a price band of Rs 259-273 per share for its Rs 1,114.7-crore initial public offering.

According to the company's red herring prospectus, the IPO consists of a fresh issue of shares worth Rs 550 crore and an offer for sale of up to Rs 565 crore. The minimum lot size for an application is 54 Shares and the minimum amount of investment required by retail investors is Rs 14,742. The issue also includes a reservation of up to 26,000 shares for employees offered at a discount of Rs 25 to the issue price.

Axis Capital Limited, Morgan Stanley India Company Pvt. Ltd., JM Financial Limited and IIFL Securities Ltd. are the book-running lead managers of the BlackBuck IPO, while Kfin Technologies Ltd. is the registrar for the issue.

The grey market premium of Zinka Logistics IPO was Rs 0 as of 8:32 a.m. on November 13, indicating a flat listing over the upper end of the price band set at Rs 273, according to the InvestorGain website.

A day before the BlackBuck IPO opened for subscription the grey market premium had remained steady for four consecutive days at Rs 24, indicating an 8.79% gain over the issue price. On November 8, the GMP stood at Rs 8, when the shares began trading in the unlisted market.

Note: GMP or grey market price is not an official price quote for the stock and is based on speculation.

• Issue price: Rs 259-273 per share.

• Fresh issue size: Rs 550 crore.

• OFS size: Rs 565 crore.

• Total issue size: Rs 1,114.7 crore.

• Market value at the upper end of the price band: Rs 4,818 crore.

• Lot size: 54 shares.

The timeline for the BlackBuck IPO is as follows:

• IPO Open Date: November 13, 2024

• IPO Close Date: November 18, 2024

• Basis of Allotment Date: November 19, 2024

• Credit to Demat Accounts: November 20, 2024

• Share Listing Date: November 21, 2024

Zinka Logistics is the parent of digital trucking services platform Blackbuck, which is backed by Flipkart. It offers a variety of digital logistics services, including vehicle financing, fuel cards, FASTag services, and a marketplace connecting truck operators with businesses in need of transportation services.

Founded in 2015, BlackBuck entered the unicorn club in 2021, having raised over $350 million to date. The company has around 9.63 lakh customers on its platform.

As of Aug. 31, 2024, the company's outstanding borrowings on a consolidated basis aggregated to Rs 151.53 crore, as per their red herring prospectus.

Disclaimer: Investments in initial public offerings are subject to market risks. Please consult with financial advisors and read red herring prospectus thoroughly before placing bids.