Deccan Transcon Leasing IPO opens today: Check issue size, GMP, price band and other details

The SME IPO of Envirotech Systems opens for subscription today and will close on September 18. The company aims to raise approximately Rs 65.04 crore through this IPO and list the shares on the NSE SME platform. Here are 10 key things investors need to know about the public offer before subscribing.

1) Deccan Transcon IPO size

The IPO includes a fresh equity issue of 55.24 lakh shares and an offer for sale (OFS) valued at Rs 5.4 crore.

2) Deccan Transcon IPO price band

The company is offering its shares at Rs 102-108 apiece, and investors can bid for 1,200 shares in one lot.

3) Deccan Transcon GMP

In the unlisted market, the company’s shares have a GMP of Rs 45, indicating a premium of 42%.

4) About Deccan Transcon

The company offers end-to-end solutions for freight and shipping services, including domestic logistics for tank containers, tank fleet management, customs clearance and transportation, and Non-Vessel Operating Common Carrier (NVOCC) services.

5) Industry overview

The global freight and logistics market is forecast to grow to $18.69 billion by 2026, with a compound annual growth rate (CAGR) of 4.4%. Focusing specifically on logistics, the global logistics market is expected to reach $6.55 trillion by 2027, growing at a CAGR of 4.7% from 2022 to 2027.

6) Envirotech Systems financial performance

For the year ended March 2024, the company clocked total revenues of Rs 152 crore and net profit of Rs 14.12 crore.

7) Objects of the offer

The net proceeds from the public offer will be used to fund capital expenditure for the procurement of tank containers, working capital requirements, and general corporate purposes.

8) Lead managers and Registrar

Unistone Capital is acting as the lead manager to the issue and Link Intime India is the registrar.

9) Issue structure

About 50% of the offer is reserved for QIB investors, 35% for retail investors, and the remaining 15% for non-institutional investors.

10) Important dates

The IPO opens on September 13 and closes on September 18. The final allotment will likely be made on September 19. The company’s shares will likely be listed on September 23.