The initial public offering (IPO) of TVS Supply Chain Solutions will open for subscription August 10 and will close on August 14. The price band of the offer has been fixed between Rs 187 per equity share to Rs 197 per equity share.
The bidding for anchor investors will open on August 9, the company said. It comprises a fresh issue of equity shares aggregating up to ₹600 crore and an Offer for Sale (OFS) component of 1.42 crore equity shares by existing shareholders. Link Intime India Private Ltd is the IPO registrar.
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In the OFS, Omega TC Holdings PTE Ltd will sell up to 1.07 crore shares, Tata Capital Financial Services Ltd will sell up to 9.84 lakh shares, Sargunaraj Ravichandran up to 5.80 lakh shares, Andrew Jones up to 4 lakh shares, Ramalingam Shankar up to 3.15 lakh shares and Ethirajan Balaji will sell up to 2.5 lakh shares.
The IPO is expected to fetch Rs 880 crore at the upper price band. The company plans to use the fresh issue worth ₹600 crore to repay its debt and its subsidiaries’ TVS LI UK and TVS SCS Singapore and for general corporate purposes.
The grey market premium (GMP) of TVS Supply Chain Solutions today is Rs 30 per share, according to data on IPO Watch. GMP indicates that TVS Supply Chain shares are trading higher by ₹30 than its issue price in the grey market.
Considering the GMP today and the issue price of ₹197 per share, the shares of TVS Supply Chain Solutions are expected to be listed at ₹227 per share, as per market observers. TVS Supply Chain Solutions is present in over 25 countries. The company is promoted by erstwhile TVS Group and is now part of TVS Mobility Group, which has four business verticals — supply chain solutions, manufacturing, auto dealership, and aftermarket sales and service.