TVS Supply Chain Solutions Debuts with Modest Start at Rs 207

23 Aug 2023 , 10:08 AM

TVS Supply Chain Solutions has made a subdued debut in the market, commencing trading at Rs 207.05, which represents a 5% premium compared to the issue price of Rs 197 on NSE, and at Rs 206.30 on the BSE.

During the period of August 10-14, the public issue of this Chennai-based company witnessed a subscription of 2.78 times. The total bids for equity shares amounted to 6.99 crore, exceeding the IPO size of 2.51 crore shares. Among the investor categories, retail investors were particularly active, subscribing 7.61 times their allotted quota. High net worth individuals and qualified institutional buyers also participated, bidding 2.35 times and 1.35 times respectively, against their respective allocations.

The final issue price was established at Rs 197 per share, resulting in a market capitalization of Rs 8,746 crore based on the issue price.

TVS Supply Chain Solutions, a provider of comprehensive supply chain solutions, achieved a revenue growth at a Compound Annual Growth Rate (CAGR) of 21.5% between FY21 and FY23, reaching Rs 10,235 crore in FY23.

In terms of profitability, the company recorded a profit of Rs 41.8 crore in FY23, a notable improvement from the loss of Rs 45.8 crore in FY22 and a loss of Rs 76.34 crore in FY21. The Profit After Tax (PAT) margin for FY23 stood at 0.41%, a positive shift from the -0.5% in FY22 and -1.1% in FY21.