Landmark Cars IPO to open on December 13th

8 Dec 2022 , 11:08 AM

On December 13, Landmark Cars, a premium vehicle dealership chain, plans to launch its initial public offering (IPO). The range for the offer’s pricing is set at Rs481 to Rs506 per unit, and it will end on December 15.

Investors may make a minimum bid of 29 shares and a maximum bid in multiples of 29 shares.

The Rs552-crore float consists of an offer for sale for Rs402 crore and a fresh issue at Rs150 crore. TPG Growth II SF, Aastha Ltd, Garima Misra, and promoter Sanjay Thakker are the selling shareholders.

For regular investors, the corporation has set aside 35% of the issue size, high-net-worth individuals have been given 15%, and eligible institutional buyers have been given the remaining 50%.

According to the IPO prospectus, the proceeds from the fresh offering will be utilized for general company objectives as well as the repayment or prepayment of some borrowings.

In India, Group Landmark operates Mercedes-Benz, Honda, Jeep, Volkswagen, and Renault dealerships as part of its premium vehicle retail business. It also serves Ashok Leyland’s retail commercial vehicle industry.

It is present throughout the whole value chain of automotive retail, including new car sales, after-sale servicing and repairs (including the selling of spare parts, lubricants, and accessories), used car sales, and the facilitation of third-party financial and insurance products.

The company’s overall revenue for the fiscal year that ended on March 31, 2022, was Rs2989 crore, an increase of 52% from the previous year. The net profit was Rs66 crore or six times the Rs11 crore earned in FY21. Revenue was Rs802 crore and profit was Rs18 crore for the three months ending in June 2022.

The issue’s lead managers by book running are Axis Capital and ICICI Securities.

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