TVS Supply Chain Solutions IPO Subscribed 1.03 Times On Day 2

TVS Supply Chain Solutions launched its initial public offering on Aug. 10. The transportation, logistics, and warehousing firm plans to raise up to Rs 600 crore from fresh issues, as against Rs 750 crore decided earlier. The reduction in the fresh issue size was due to the pre-IPO placement carried out by the company.

The IPO was subscribed 55% on day 1.

It also plans to offload 1.42 crore equity shares offered by selling shareholders via a Rs 280 crore offer-for-sale. On the upper band price, the total issue size will stand at Rs 880 crore. The price band is fixed in the range of Rs 187–197 per share.

The bidding process for the Chennai-headquartered company will begin on Aug. 10 and end on Aug. 14, while the anchor book will begin on Aug. 9.

In the OFS segment, Omega TC Holdings PTE plans to sell up to 1.07 crore shares, Tata Capital Financial Services Ltd. up to 9.84 lakh shares, Sargunaraj Ravichandran up to 5.80 lakh shares, Andrew Jones up to 4 lakh shares, Ramalingam Shankar up to 3.15 lakh shares, and Ethirajan Balaji will sell around 2.5 lakh shares.

Out of the total IPO size, 75% is reserved for qualified institutional buyers, 15% for non-institutional investors, and the remaining 10% is to be allotted to retail individual investors.

TVS Supply Chain Solutions raises Rs 396 crore from anchor investors ahead of IPO. Two crore equity shares allotted at Rs 197 apiece. Key investors include Societe Generale, BNP Paribas, Franklin India, SBI Life Insurance, Sundaram MF, Tata Business Cycle Fund.

• Issue opens: Aug.10.

• Issue closes: Aug. 14.

• Fresh issue size: Rs 600 crore.

• OFS Size: Rs 280 crore.

• Total issue size: Rs 880 crore.

• Face value: Re 1 apiece.

• Fixed price band: Rs 187–197 per share.

• Lot size: 76 shares.

• Issue type: Book-built issue IPO.

• Listing: NSE, BSE.

The funds raised will be employed for the following purposes:

• Prepayment or repayment of all or a portion of outstanding borrowings owed by the company and its subsidiary, TVS Logistics Investment U.K.

• General corporate purposes.

The IPO has been subscribed 1.03 times as of 5:00 p.m. on Friday.

• Institutional investors: 0.15 times or 15%.

• Non-institutional investors: 1.02 times

• Retail investors: 3.62 times.