The GB Logistics Commerce IPO, an SME issue, opened for subscription on January 24, 2025, and has attracted significant investor interest. With a target to raise ₹25 crore, the IPO is priced between ₹95 and ₹102 per share and is set to list on the BSE SME platform on January 31. Here’s a detailed breakdown of the IPO, including its GMP, subscription status, and key objectives.
Why Is GB Logistics Commerce IPO Generating Buzz?
1. Strong Subscription Status
Within hours of opening, the IPO witnessed strong investor participation:
- Overall Subscription: 2.98 times by 11:50 AM on Day 1.
- Retail Portion: Subscribed 1.81 times.
- Qualified Institutional Investors (QII): Subscribed 7 times, reflecting high demand among institutional investors.
- Non-Institutional Investors (NII): Subscribed 0.36 times.
2. Grey Market Premium (GMP)
The GMP for the IPO stands at ₹21 per share, indicating strong listing potential. With the upper price band at ₹102, the IPO is expected to list at ₹123 per share, offering a 21% premium to investors.
3. SME Sector Growth
As an SME issue, GB Logistics Commerce taps into the booming small and medium enterprise sector, with a focus on logistics and agriculture, two industries that are pivotal to India’s economy.
Key Details About GB Logistics Commerce IPO
| Detail | Information |
|---|---|
| IPO Open Date | January 24, 2025 |
| IPO Close Date | January 28, 2025 |
| Price Band | ₹95 to ₹102 per share |
| Issue Size | ₹25 crore (24.58 lakh shares) |
| Lot Size | 1,200 shares (minimum investment ₹1,22,400) |
| GMP Today | ₹21 per share |
| Listing Date | January 31, 2025 |
| Book Running Lead Manager | SKI Capital Services |
| Registrar | Maashitla Securities |
| Allotment Date | January 29, 2025 |
| Refund Initiation Date | January 30, 2025 |
| Listing Platform | BSE SME |
What Are the Objectives of the IPO?
The proceeds from the GB Logistics Commerce IPO will be utilized for:
- Repayment of Borrowings: Reducing the company’s debt burden.
- Working Capital Requirements: Strengthening the company’s financial base for operations.
- Purchasing Trucks: Expanding its logistics fleet by buying truck chassis and bodies.
- General Corporate Purposes: Supporting day-to-day business needs and operational improvements.
What Is GB Logistics Commerce Known For?
GB Logistics Commerce operates in two primary sectors:
- Logistics Services:
- Offers full truckload transportation services to medium and large businesses.
- Provides specialized services, including warehouse-to-warehouse deliveries, above-ground-floor shipments, and deliveries in remote locations.
- Agricultural Commodities Trading:
- Trades agricultural products, leveraging opportunities from its logistics operations.
- Strengthens its position in both the agriculture and logistics industries, offering diverse revenue streams.
Why Should Investors Consider This IPO?
Strong Grey Market Sentiment
The GMP of ₹21 per share suggests potential listing gains of 21%, making it attractive for short-term investors.
Robust Demand from Institutional Investors
The 7x subscription by QIIs on the first day reflects strong confidence in the company’s growth prospects.
Sectoral Potential
The logistics industry is poised for growth, driven by increased infrastructure development and demand for efficient supply chain solutions. The company’s dual focus on logistics and agriculture gives it an edge.
FAQs
What is the GB Logistics Commerce IPO price band?
The IPO price band is set between ₹95 and ₹102 per share.
How many shares are available in the GB Logistics Commerce IPO?
The IPO involves a fresh issue of 24.58 lakh shares, aiming to raise ₹25 crore.
What is the GMP for GB Logistics Commerce IPO?
The Grey Market Premium (GMP) is ₹21 per share, indicating a potential listing price of ₹123, up 21% from the upper price band.
When will GB Logistics Commerce IPO shares list?
The shares are scheduled to list on the BSE SME platform on January 31, 2025.
What is the minimum investment for retail investors?
The minimum lot size is 1,200 shares, requiring a minimum investment of ₹1,22,400 at the upper price band.
What are the key objectives of this IPO?
The funds will be used for repayment of borrowings, working capital requirements, purchase of truck chassis, and general corporate purposes.
Who is the lead manager for this IPO?
SKI Capital Services is the book-running lead manager for the issue.
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