Zinka Logistics Solutions Ltd IPO
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Zinka Logistics Solutions Ltd IPO Details
Details
| Total Shares Offered | Offer to Public | Retail Max (Shares) | Pre Issue Promoters Holding | Exchange | Issue size |
|---|---|---|---|---|---|
| ₹ 408.35 L | ₹ 206.86 L | ₹ 40.81 L | ₹ 536.59 L | BSE | ₹ 1114.72 Cr |
| IPO Open Date | Close Date | Lot Size | Min Investment | Issue Type | Listing Date |
| 13 Nov, 24 | 18 Nov, 24 | 54 | ₹ 13,986 | Book Building | 22 Nov, 24 |
Zinka Logistics Solutions Ltd IPO Dates
Details
| Sector | Type |
|---|---|
| Sector | Miscellaneous |
| Sub Sector | NA |
| Issue Type | Book Building |
Subscription Status
*Values are in Lakhs
| Investor Type | Subscription Times | Shares Offered* | Shares Bid* |
|---|---|---|---|
| QIB | 1.09x | 30606526 | 33268698 |
| NII | 0.24x | 6121305 | 1490292 |
| Retail | 1.7x | 4080870 | 6941808 |
| Employee | 9.88x | 26000 | 256878 |
| Total | 1.03x | 40834701 | 41957676 |
Subscription Status
Investor Type
QIB
NII
Retail
Employee
Total
*Values are in Lakhs
Zinka Logistics Solutions Ltd Financial Status
Income Statement
Balance Sheet
| Particulars (in Rs. Crores) | FY23 | FY22 | FY21 |
|---|---|---|---|
| Revenue from operations | 175.68 | 119.33 | -222.37 |
| EBITDA | -256.23 | -263.06 | -211.06 |
| PAT | -297.15 | -293.42 | -233.68 |
| Total Assets | 363.82 | 559.41 | 642.74 |
| Share Capital | 0.01 | 0.01 | 0.01 |
| Total Borrowings | 243.38 | 370.76 | 531.97 |
| Operating Activities (Net Cash) | -276.69 | -278.24 | -222.37 |
| Investing Activities (Net Cash) | 221.78 | 243.07 | 56.26 |
| Financing Activities (Net Cash) | 243.38 | 370.76 | 531.97 |
| Net Cashflow | 159.72 | 179.86 | 225.50 |
Particulars (in Rs. Crores)
Revenue from operations
EBITDA
PAT
Total Assets
Share Capital
Total Borrowings
Operating Activities (Net Cash)
Investing Activities (Net Cash)
Financing Activities (Net Cash)
Net Cashflow
About Zinka Logistics Solutions Ltd
Our Company was incorporated as `Zinka Logistics Solutions Private Limited' at Bengaluru, Karnataka as a private limited company under the Companies Act, 2013, pursuant to a certificate of incorporation dated April 20, 2015, issued by the Registrar of Companies, Karnataka at Bengaluru (RoC). Subsequently, our Company was converted to a public limited company and the name of our Company changed from `Zinka Logistics Solutions Private Limited' to `Zinka Logistics Solutions Limited' pursuant to a Shareholders' resolution dated June 11, 2024 and a fresh certificate of incorporation dated June 19, 2024 was issued by the RoC.
India's rapid economic growth sets the stage for an expanding trucking sector. The Indian trucking sector is a US$ 18-25 billion revenue pool as of Fiscal 2024 and is expected to grow to US$ 35billion by Fiscal 2028. Trucking is one of the fastestgrowing sectors in logistics in India. High fragmentation in this industry is a result of multiple operationally complex processes required to run the business efficiently. Given the complexity of trucking operations, an operator's oversight can significantly impact profitability. Consequently, managing ownership beyond a few trucks becomes increasingly cumbersome. The trucking industry offers vast revenue potential for companies that solve challenges and inefficiencies and enhance value for truck operators.
We are India's largest digital platform for truck operators (in terms of number of users), with 963,345 truck operators in the country transacting on our platform in Fiscal 2024, which comprises 27.52% of India's truck operators (Source: RedSeer Report). Using our platform, our customers (primarily comprising truck operators) digitally manage payments for tolling and fueling, monitor drivers and fleets using telematics (i.e., vehicle tracking and fuel monitoring solutions), find loads on our marketplace and get access to financing for the purchase of used vehicles.
Zinka Logistics Solutions Ltd IPO Key Points
Strengths
- We are India's largest digital platform for truck operators.
- We have strong network effects of platform resulting in robust customer retention rates and higher monetization.
- We have a repeatable playbook of creating and launching new offerings.
- We have an omnichannel distribution network with robust sales and service strategy driving customer adoption.
- We have a scalable and reliable in-house technology integrating with multiple stakeholders.
Risk
- Some of its Investors have transferred 266,644 Equity Shares to Rajesh Kumar Naidu Yabaji, one of the company Promoters in the month of October 2024 as a gift/Rs.1 per Equity Share. These transfers did not involve any quid pro quo arrangements and were not contingent on the Company achieving certain business / financial milestone or listing of Equity Shares on the Stock Exchanges. There was no agreement subsisting prior to the DRHP to effect these transfers and accordingly were not disclosed in the DRHP. The said transfers will result in a gain of Rs.[*] million at the upper end of the price band to Rajesh Kumar Naidu Yabaji.
- The Company and its Subsidiary, TZF Logistics Solutions Private Limited have incurred losses and witnessed negative operating cash flows in the past. Further, its Subsidiary, BlackBuck Finserve Private Limited, has witnessed negative operating cash flows in the past three financial years.
- The company depends on its business partners in its payments and vehicle financing offerings. The company partners in its payments offering contribute to a significant portion of its revenues (41.04% and 42.50% of total revenue from continuing operations in the three months ended June 30, 2024 and Fiscal 2024, respectively) and one of its FASTag Partner Banks contributed to 29.62% and 33.51% of total revenue from continuing operations in the three months ended June 30, 2024 and Fiscal 2024, respectively. The loss of any such partners may adversely affect its business, results of operations and financial condition.
Strategy
- Deepen distribution and continue strengthening the truck operator base.
- Continue investing in our core verticals of payments and telematics.
- Focus on growing our loads marketplace and vehicle finance verticals.
- Continue to innovate, launch new offerings and solve problems for truck operators.
- Continue to scale and invest in technology infrastructure and data science capabilities.
- We are India's largest digital platform for truck operators.
- We have strong network effects of platform resulting in robust customer retention rates and higher monetization.
- We have a repeatable playbook of creating and launching new offerings.
- We have an omnichannel distribution network with robust sales and service strategy driving customer adoption.
- We have a scalable and reliable in-house technology integrating with multiple stakeholders.
How To Apply for Zinka Logistics Solutions Ltd IPO Online?
Step 1:
Log in to the BlinkX stock market app and click ‘IPO’ in the Xplore section.
Step 2:
From the list of open IPOs, select the IPO you want to invest.
Step 3:
Go through the IPO details like lot size, price band, about the company, etc.
Step 4:
Click ‘Apply IPO’ to apply and enter the number of lots and bidding price along with your UPI ID.
Step 5:
Confirm your bid and accept the payment mandate sent to your UPI App for completing the IPO application.