TVS Supply Chain Solutions IPO Set to Commence on August 10: Key Details to Note

7 Aug 2023 , 12:31 PM

The initial public offer of TVS Supply Chain IPO will be opening for subscription on August 10 and will conclude on August 14. 

TVS Supply Chain Solutions provides supply chain management services for international organizations, government departments, and large and medium-sized businesses. TVS SCS’ provided supply chain solutions to over 10,531 and 8,115 customers during Fiscal 2022 and the nine-month period ended December 31, 2022, globally. And to over 1,044 and 733 customers, respectively, in the same periods, in India. In December 2022, the company’s global customers included 72 ‘Fortune Global 500 2022’ companies, while its Indian customers included 25 ‘Fortune Global 500 2022’ companies.

Important details of TVS Supply Chain Solutions IPO:

• Issue Size: The company want to raise Rs 880 crore from the maiden public offer. This includes fresh issue of equity shares worth Rs 600 crore and an offer for sale of 14,213,198 shares by promoters and shareholders.
• Price Band: TVS Supply Chain has fixed price band at Rs 187-197 per share for its initial public offering.
• Lot size: Investors who want to apply for the IPO can bid for 76 shares and its multiples in a lot.
• Minimum investment: Retail investors are required to make a minimum investment of Rs 14,972 per lot, which consists of 76 shares. On the other hand, the maximum investment permitted for retail investors is Rs 194,636, which corresponds to 988 shares (equivalent to 13 lots), as they are allowed to invest up to Rs 2 lakh in the IPO.
• The IPO offer is divided into three categories: 75% of the offer is reserved for qualified institutional buyers (QIBs), 15% is allocated to high-net-worth individuals (HNIs), and the remaining 10% is reserved for retail investors.
• Anchor book: The anchor investment for the IPO will take place on August 9.
• IPO objectives: The company will use net proceeds from the IPO towards payment of debt availed by the company and subsidiaries and for other general corporate purposes.
• Basis of allotment: The company will finalise the allotment of shares on August 22.
• Listing date: The shares of TVS Supply Chain Solutions Limited are expected to list on BSE and NSE on August 24.

After discussions with the book running lead managers, the company has conducted a pre-IPO placement, leading to a reduction in the size of the fresh issue from the initially planned Rs 750 crore.

ICICI Securities, Axis Capital, and Kotak Mahindra Capital Company have been appointed as the book-running lead managers (BRLM) for the offer, while KFin Technologies will serve as the registrar.

In the fiscal year ending March 2023, the company achieved revenues totaling Rs 10,235 crore, along with a profit of Rs 41.76 crore.