• Zinka Logistics Solutions’ ₹1,114.72 crore IPO reached 32% subscription by Day 2, with retail participation at 92% and the GMP standing at ₹0.
  • The company reported improved FY24 financials with revenue increasing to ₹316.51 crore and net loss narrowing to ₹193.95 crore.

The ₹1,114.72 crore IPO of Zinka Logistics Solutions Ltd, operator of India’s largest digital truck operator platform through the BlackBuck App, has garnered lukewarm interest since opening for subscription on November 13. By Day 2 (November 14), the IPO reached only 32% subscription. The issue, set to close on November 18, has yet to pick up significant momentum, leaving investors cautious.

The grey market premium (GMP) for the IPO stands at ₹0, suggesting no premium or discount to the issue price of ₹259-₹273 per share. This indicates neutral sentiment in the unlisted market.

Breaking down the subscription data, the retail segment showed relatively strong interest with 92% subscription, while the Qualified Institutional Buyers (QIB) category saw 25%. Non-Institutional Investors (NII) subscribed only 4%, but the Employee category achieved a notable 5.37 times subscription. Overall, the IPO received bids for 72.40 lakh shares against the 2.25 crore shares available.

The offer comprises a fresh issue of ₹550 crore and an offer for sale of ₹564.72 crore. The company plans to use the proceeds for sales and marketing expenses, investment in its NBFC subsidiary, product development, and general corporate purposes.

Zinka Logistics, established in 2015, connects truck operators via its flagship BlackBuck App, providing services like payments, telematics, vehicle financing, and a load marketplace. The company reported improved financials for FY24, narrowing its net loss to ₹193.95 crore from ₹290.5 crore in FY23, with revenue rising from ₹195.09 crore to ₹316.51 crore.

Final share allotment is scheduled for November 19, with listing expected on November 21 on BSE and NSE. Market watchers will closely monitor the final bidding day to gauge investor sentiment and subscription levels.

Edited by Harshajit Sarmah