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Schedule of Infraprime Logistics Technologies IPO
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About Infraprime Logistics Technologies Ltd IPO
The IPO of Infraprime Logistics Technologies Ltd comprises a fresh issue of up to 39,66,400 equity shares. It has no offer for sale and is a 100% book-built issue.
Objectives of Infraprime Logistics Technologies Ltd IPO
- Funding capital expenditure requirement of the company towards security deposit for finance lease of trucks and ancillary equipment
- Building up technology infrastructure for its existing business
- To meet working capital requirements
- General corporate purposes
Infraprime Logistics Technologies Ltd IPO Valuation
Infraprime Logistics Technologies Ltd Share Offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs | Not more than 50% of the net issue size |
Non-institutional Investors | Not less than 15% of the net issue size |
Retail Individual Investors | Not less than 35% of the net issue size |
Industry Outlook
The logistics industry in India is diverse, with over 1,000 active entities including local firms, global leaders, government express services, and startups. The sector has a low entry barrier and is shifting towards organised players to meet market needs efficiently. The rise of multimodal players, 3PL providers, and NextGen Transporters using technology like GPS and mobile solutions is reshaping the industry for cost- effectiveness and improved services.
The overall market size of the logistic industry in India is estimated to reach USD 517 Bn by 2030, registering a CAGR of 8.5% between 2024-2030. The growth in coming years would be majorly backed by growing freight traffic, substantial government spending planned under the PM Gati Shakti scheme, Comprehensive Logistics Action Plan, the National Logistics Policy, and other projects like Sagarmala and Bharatmala.
Company Information
Infraprime Logistics Technologies Ltd operates as a technology-driven logistics solutions provider, integrating electric vehicles (EVs) into heavy-duty transport. Its services primarily cater to the logistics needs of various industries, including infrastructure, construction, steel, cement and mining.
The company bridges the gap in a fragmented and unorganised logistics sector by offering end-to-end transportation solutions, efficiently managing operations at loading points, unloading points, fuelling stations, and checkpoints along predetermined routes.
Infraprime Logistics Technologies Ltd Strengths
Tech-based Platform for Logistics Management
Infraprime Logistics Technologies Ltd is a logistics and heavy-duty EV operations service provider, catering to industries such as infrastructure, construction, steel, and mining. Its key differentiator lies in the strategic integration of technology into its logistics processes, ensuring greater efficiency, transparency, and customer satisfaction.
The company’s in-house IT portal is developed for internal operations, provides a comprehensive solution for managing the transportation of bulk and heavy materials.
Higher Utilisation of the Trucks
The company has moved toward sustainability and cost efficiency with electric trucks. It has embraced heavy-duty electric trucks (EVs) to revolutionise the logistics sector. It has established electric charging stations at key locations, ensuring continuous operation of EVs and minimising downtime.
This sustainable approach strengthens its position as an environmentally conscious and forward-thinking logistics provider.
Higher Reliability of Clients
Infraprime Logistics Technologies Ltd is one of the very few transporters in the sectors who uses technology to keep track of all the activities of the transportation, loading, unloading in the sectors especially construction, mining, and heavy material transportation. This provides it a significant advantage in regard to earning and building the trust of its present customers as well as its future prospective customers.
Risks of Infraprime Logistics Technologies Ltd
- Inability to Secure New Contracts
Infraprime’s business is heavily reliant on securing contracts through competitive bidding processes, which are fundamental to maintaining its operations, financial condition, results, prospects, and cash flows.
The nature of its logistics operations requires it to consistently qualify for and win contracts, particularly from project owners in key industries. If the company is unable to qualify for or secure new contracts from project owners, it could have a detrimental impact on its business, financial health, operational results, prospects, and cash flow.
- Dependence on Government Contracts
The company’s business heavily relies on contracts awarded by government and government-owned customers, including central and state governments, governmental organisations, and public sector undertakings (PSUs). A significant portion of its order book is derived from these entities, and any changes in government policy, budget allocations, or tender processes could adversely impact its operations.
- Reliance on Third-party Fleet Providers
Infraprime’s business execution relies heavily on third-party fleet providers and operators across various regions. Any adverse developments in these relationships, such as delays, non-performance, or disruptions, could negatively impact its operations, lead to project delays, and adversely affect its business, financial condition, and results of operations.
All Financial Information about Infraprime Logistics Technologies
Comparison with peers
| Company Name | Revenue from Operations (in ₹ crores) | EPS in ₹ | Return on Net Worth (in %) | NAV per Equity Share (in ₹) |
|---|---|---|---|---|
Infraprime Logistics Technologies Ltd | 109.7316 | 16.05 | 35.29 | 39.30 |
Premier Roadlines Ltd | 228.5431 | 7.50 | 31.77 | 23.60 |
AVG Logistics Ltd | 479.8886 | 26.66 | 15.97 | 166.99 |
Anchor Investor Bidding Date TBA
IPO Registrar and Book Running Lead Manager
- IPO Registrar: MAS Services Ltd
- Book Running Lead Manager: Beeline Capital Advisors Pvt Ltd
Business Model
Functioning on an asset-light model, strategically outsourcing fleet operators and vehicles while focusing on core competencies such as technology development, operational management, and customer satisfaction, Infraprime’s offerings include tailored logistics services.
The company offers end-to-end transportation solutions, efficiently managing operations at loading points, unloading points, fuelling stations, and checkpoints along predetermined routes. In line with global sustainability goals, it has incorporated EVs into its fleet.
Company’s Growth Trajectory
Infraprime’s revenue from operations increased from ₹57.0793 crores in FY 22 to ₹109.7316 crores in FY 24. Its net profit margin rose from -9.73% in FY 22 to 13.91% in FY 24. EBITDA margin also rose from -6.15% in FY 22 to 22.28% in FY 24.
The company has significantly increased its fleets and fleet operators. The number of fleets owned as on the six months ended September 30, 2024 and financial year ending on March 31, 2024, 2023 and 2022 stood at 12,12,6,6, respectively.
The firm’s ability to consistently deliver exceptional logistics and transportation solutions is evident not only in its operational achievements but also in its financial performance over the years. The steady year-on-year growth in its revenues underscores its execution capabilities and industry experience.
Market Position
Among its peers, Infraprime Logistics Technologies Ltd generated the highest revenue from operations at ₹109.7316 crores, showcasing its strong market position. Moreover, the company also achieved the highest growth rate in revenue at 74.24%, reflecting its robust expansion efforts. As per the PAT margins, Infraprime Logistics Technologies Ltd. led with a margin of 13.91%, reflecting its business efficiency amongst the considered peer companies.
Infraprime Logistics Technologies Ltd Profit and Loss
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Total Income (in ₹ crores) | 109.8332 | 63.0931 | 57.2170 |
Profit /(Loss) Before Tax (in ₹ crores) | 20.1634 | 1.8221 | (5.0963) |
Profit After Tax (in ₹ crores) | 15.2585 | 1.3539 | (5.5540) |
EPS in ₹ | 16.05 | 1.47 | (6.03) |
Infraprime Logistics Technologies Ltd Cash Flow Statement
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Profit /(Loss) Before Tax (in ₹ crores) | 20.1634 | 1.8221 | (5.0963) |
Net Cash Flows from Operating Activities (in ₹ crores) | (3.6231) | 8.5303 | (13.0295) |
Net Cash Used in Investing Activities (in ₹ crores) | (2.4789) | (10.3422) | (0.6742) |
Net Cash Generated from Financing Activities (in ₹ crores) | 19.6542 | 4.9257 | (3.4973) |
Cash and Cash Equivalents at the End of Year (in ₹ crores) | 19.9972 | 6.6857 | 4.1646 |
How to Check Allotment Status of Infraprime Logistics Technologies Ltd?
1. Visit the Registrar’s Website
- Visit the official website of MAS Services Ltd
- Click on ‘IPO Allotment Status’ on the left-hand side
- Choose the IPO Name
- Enter the client ID or PAN
- Click on ‘Search’ to know the allotment status
2. Check on the Bombay Stock Exchange Website
The Bombay Stock Exchange (BSE) also has an IPO allotment status page. Go to www.bseindia.com and find the 'Investor Services' tab. Under 'Investors Services', click on 'Status of Issue Application'. This will take you to the IPO allotment status page. On the BSE IPO page, follow these steps:
- Choose the Issue Type
- Select the Issue Name from dropdown
- Put in either your application number or PAN number
- Check the box ‘I’m not a robot’
- Click on ‘Search’ to know allotment status
How to Apply for Infraprime Logistics Technologies Ltd?
- Log in to your Kotak Securities Demat account - Log in to your Demat account to access IPO investments. Next, select the current IPO section.
- Specify IPO details - Enter the number of lots and the price you wish to apply for.
- Enter UPI ID - After entering your UPI ID, click submit. This will place your bid with the exchange.
- Mandate Notification - Your UPI app will receive a mandate notification to block funds.
- Approve Request - Your funds will be blocked once you approve the mandate request on your UPI.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please read the SEBI-prescribed Combined Risk Disclosure Document before investing. Brokerage will not exceed SEBI’s prescribed limit.
Infraprime Logistics Technologies IPO FAQs
Where can I read more about Infraprime Logistics Technologies business?
You can read more about Infraprime Logistics Technologies and its IPO from the company’s red herring prospectus (RHP) here.
What is the Infraprime Logistics Technologies Ltd IPO?
The IPO of Infraprime Logistics Technologies Ltd comprises only a fresh issue with no offer for sale. The fresh issue is up to 39,66,400 equity shares.
When will the IPO of Infraprime Logistics Technologies Ltd go live?
The exact dates of the IPO are yet to be announced.
Who is the Chairman and MD of Infraprime Logistics Technologies Ltd?
Chetan Singhal is the Chairman and MD of Infraprime Logistics Technologies Ltd.
From where can I read more about the IPO of Infraprime Logistics Technologies Ltd?
You can read more about the IPO of Infraprime Logistics Technologies Ltd from the company’s draft red herring prospectus here.
