₹ 14750 / 50 shares
IPO Details
RHP/DRHPIssue Date
12 Mar - 14 Mar'24
Investment/lot
₹ 14750
Price Range
280 - 295
Lot Size
50
IPO Size
₹ 601.62 Cr
IPO Listing Details
Listing On
19 Mar'24
Issue Price
295
Listed Price
₹ 289.2
Retail Gain/Listing Gain
▼-1.97%
IPO Timeline
Popular Vehicles and Services IPO Review
Kotak Securities
•3m 25s
Popular Vehicles & Services Company Background
Popular Vehicles and Services is a diversified automobile dealership in India in terms of revenue as of Fiscal 2023, having a fully integrated business model (Source: CRISIL Report).
The company caters to the complete life cycle of vehicle ownership, right from the sale of new vehicles, servicing and repairing vehicles, distributing spare parts and accessories, to facilitating the sale and exchange of pre-owned vehicles, operating driving schools and facilitating the sale of third-party financial and insurance products.
Popular Vehicles & Services Competitive Strengths
Proven ability to identify and capture inorganic as well as organic growth opportunities
As part of the company’s strategic plan to expand the business into other territories and states, the company acquired the entire operations of a sizeable spare parts distributor in Karnataka, in Fiscal 2019, which helped establish business channels and a steady foothold in Karnataka. The acquired business division contributed to a total turnover of Rs. 174.60 million and contributed to 12.02% of the company’s total turnover and 7.26% of the total EBITDA of the Company during the six months ended September 30, 2023.
Consistent track record of profitable financial performance and increasing growth
The company’s profit was Rs. 400.44 million, Rs. 640.74 million, Rs. 336.69 million and Rs. 324.55 million for the six months ended September 30, 2023 and Fiscals 2023, 2022, and 2021, respectively.
Long-standing presence in the automobile industry and well-established relationships with leading OEMs
The company set up the first Maruti Suzuki showroom in Trivandrum, Kerala in 1984 under the “Popular” brand. Since then, they have strategically expanded their dealership network across the value chain, from economy to premium to luxury vehicles, by partnering with Honda and JLR in 2008 and 2010, respectively, and subsequently collaborating with Ather and Piaggio in 2021. The entry into the commercial vehicle dealership space occurred in 1997 through a partnership with Tata Motors (Commercial). Operations within the automobile dealership space were further diversified by commencing the spare parts and accessories distribution business in 2005.
Risk Factors
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The automotive industry is sensitive to changing economic conditions and various other factors.
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The company is subject to the significant influence of its OEMs.
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Non-renewal, termination or any adverse material modifications made by OEMs to the dealership agreements, will adversely affect business prospects and results of operations.
Key Strategies
- Continue to increase sales at existing dealerships.
- Expansion of the network and diversification of the product portfolio.
- Grow through strategic acquisitions.
Popular Vehicles & Services Key Financials
Here are the key financials for Popular Vehicles & Services Limited:
Particulars (in Rs. million)
Particulars (in Rs. million)
How to apply for IPO through ASBA
Kotak Securities
•04m 01s
How to apply for an IPO using UPI
Kotak Securities
•01m 19s
Opening of account will not guarantee allotment of shares in IPO. Investors are requested to do their own due diligence before investing in any IPO.
How To Apply for Popular Vehicles & Services Ltd IPO?
Here are the steps to apply for Popular Vehicles & Services Ltd IPO:
Step 1: Log in to your Kotak Securities Demat account Log in to your Demat account to access IPO investments. Next, select the current IPO section.
Step 2: Specify IPO details Enter the number of lots and the price you wish to apply for.
Step 3: Enter UPI ID After entering your UPI ID, click submit. This will place your bid with the exchange.
Step 4: Mandate Notification Your UPI app will receive a mandate notification to block funds.
Step 5: Approve Request Your funds will be blocked once you approve the mandate request on your UPI.
Popular Vehicles & Services IPO FAQs
When is Popular Vehicles & Services IPO listing date?
Popular Vehicles & Services IPO will list on 2024-03-19.
What is the issue size of Popular Vehicles & Services IPO?
601.62 is the issue size of Popular Vehicles & Services IPO.
What is the minimum lot size required for Popular Vehicles & Services IPO?
The minimum lot size is 50 shares and the investment required is ₹14750.
What is the price band of the Popular Vehicles & Services IPO?
The price band of Popular Vehicles & Services IPO is ₹280 to ₹295.
Where can I read more about Popular Vehicles & Services business?
You can read more about Popular Vehicles & Services and its IPO from the company’s red herring prospectus (RHP) here.
What is the Popular Vehicles and Services Limited IPO?
The Popular Vehicles and Services Limited IPO has an issue size of Rs. 601.55 crores. The IPO opens for subscription on 12th March 2024 and closes on 14th March 2024.
Who is the Registrar for Popular Vehicles and Services Limited IPO?
Link Intime India Private Limited is the registrar for this IPO.
