Western Carriers IPO day 4: Issue sees nearly 14 times subscription with NII, retail support

The IPO subscription will close on September 19.

The maiden public issue of Western Carriers India has seen 13.89 times subscription with investors buying 28.98 crore equity shares against the offer size of 2.08 crore shares on September 18, the fourth day of bidding.

The IPO subscription will close on September 19.

The logistics company aims to mop up Rs 492.88 crore through initial public offering, comprising fresh issue of Rs 400 crore worth shares and an offer-for-sale of 54 lakh shares worth Rs 92.88 crore. Promoter Rajendra Sethia is the selling shareholder in the offer-for-sale.

Non-institutional investors have bought 20.93 times the allotted quota, and retail investors picked 18.61 times the reserved portion, while qualified institutional buyers bid 0.14 times the part set aside for them.

The multi-modal, rail-focused, 4PL asset-light logistics company has raised Rs 147.86 crore via anchor book on September 12. Kotak Mutual Fund, Motilal Oswal Mutual Fund, Aditya Birla Sun Life AMC, BNP Paribas Arbitrage, Copthall Mauritius Investment, Citigroup Global Markets, and Societe Generale were some of the participants in the anchor book.

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Kolkata-based Western Carriers will utilise fresh issue funds for repaying debt, purchase of commercial vehicles as well as containers and reach stackers, and general corporate purposes.

The Rajendra Sethia-owned company has long-standing relationships with several customers including Tata Steel, Hindalco Industries, Jindal Stainless, JSW Steel Coated Products, Vedanta, Hindustan Unilever, Hindustan Coca Cola Beverages, Tata Consumer Products, Cipla, Sheela Foam, and DHL Logistics.

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JM Financial, and Kotak Mahindra Capital Company are the book running lead managers to the issue.