CJ Darcl Logistics Files IPO Papers to Raise Capital

29 Sep 2023 , 02:19 PM

CJ Darcl Logistics Limited, a multifaceted logistics company based in India, has submitted draft papers to the capital market regulator for an upcoming initial public offering (IPO).

The IPO consists of a fresh issue of Rs 340 crore, along with an offer for sale of up to 54.31 lakh shares by the company’s existing shareholders and promoters. The offer for sale includes:

– Up to 3.69 lakh shares by Krishan Kumar Agarwal

– Up to 2.03 lakh shares by Roshan Lal Agarwal

– Up to 2.31 lakh shares by Narender Kumar Agarwal

– Up to 5.78 lakh shares by Vineet Aggarwal

– Up to 5.3 lakh shares by Sushma Agarwal

– Up to 4.47 lakh shares by Puneet Agarwal

– Up to 2.89 lakh shares by Tek Chand Agarwal

The company plans to utilize the proceeds from the fresh issue, amounting to Rs 240 crore, for debt repayment, with an additional Rs 10 crore allocated for the purchase of electric vehicles. As of July 2023, CJ Darcl Logistics had a consolidated debt of Rs 803.82 crore.

CJ Darcl Logistics offers a wide spectrum of logistics services, including road and rail transportation, warehousing, distribution, integrated logistics solutions (such as project logistics, 3PL, and freight forwarding), as well as specialized services like air cargo and coastal transportation.

As of March 2023, the company boasted a network of 820,333 partner fleets, benefiting from longstanding vendor relationships. Additionally, they owned 990 commercial vehicles of various types and operated 3 containerized rakes with 40 wagons each, along with a portfolio of 1,358 containers. With a presence spanning the nation, CJ Darcl Logistics serves clients across 5,249 locations through its 187 branch offices.

Leading the IPO are ICICI Securities, Axis Capital, and Mirae Asset Capital Markets.

For the fiscal year 2023, the company reported revenues of Rs 4,215.83 crore, marking a 14.5 percent increase from the previous year. Net profit for the same period amounted to Rs 67.70 crore, up from Rs 61.37 crore the prior year. EBITDA reached Rs 184.80 crore, compared to Rs 154.58 crore in the preceding year.