Brace Port Logistics is a service-based logistics company, comprising of 50 plus trained and experienced professionals. The organization has rich industry expertise of more than two decades. Their aim is to provide highly optimized and customized supply chain solutions to their customers with unified technology systems.

Brace Port, an Book Built Issue amounting to ₹24.40 crores, consisting entirely a Fresh Issue of 30.51 Lakh Shares. The subscription period for the Brace Port IPO opens on August 19, 2024, and closes on August 21, 2024. The allotment is expected to be finalized on or about Friday, August 23, 2024, and the shares will be listed on the NSE SME with a tentative listing date set on or about Monday, August 26, 2024.

The Share price band of Brace Port IPO is set at ₹76 to ₹80 equity per share, with a minimum lot size of 1,600 shares. Retail investors are required to invest a minimum of ₹128,000, while the minimum investment for High-Net-Worth Individuals (HNIs) is 2 lots (3,200 shares), amounting to ₹256,000.

Holani Consultants Private Limited is the book-running lead manager, Link Intime India Private Limited is the registrar for the Issue. Holani Consultants Private Limited will act as the Market Maker for the Brace Port IPO.

Brace Port Logistics Limited IPO GMP Today
The Grey Market Premium of Brace Port Logistics Limited IPO is expected in the range of ₹70 to ₹72 based on the financial performance and subscription status of the company. No real trading is done on the basis of Grey Market Premium that's why no real discovery of price can be done before the listing of shares on the stock exchange. The Grey Market Premium totally depends upon the Demand and Supply of the shares of the company in unorganized manner which is not recommended. The Grey Market Premium is mentioned for educational and informational purposes only.

Brace Port Logistics Limited IPO Live Subscription Status Today
As of 01:19 PM on 21 August 2024, the Brace Port Logistics Limited IPO live subscription status shows that the IPO subscribed 314.16 times on on the first day of subscription period. Check the Brace Port Logistics Limited IPO Live Subscription Status Today at NSE.

Brace Port Logistics Limited IPO Allotment Status
Brace Port IPO allotment date is 23 August, 2024, Friday. Brace Port IPO Allotment will be out on 23rd August 2024 and will be live on Registrar Website from the allotment date. Check Brace Port Logistics Limited IPO Allotment Status here. Here's how you can check the allotment status:
- Navigate to the IPO allotment status page.
- Select Brace Port Logistics Limited IPO from the dropdown list of IPOs.
- Enter your application number, PAN, or DP Client ID.
- Submit the details to check your allotment status.
By following either of these methods, investors can quickly determine their allotment status and proceed accordingly with their investments.

Objectives of Brace Port Logistics Limited IPO
Brace Port Issue Proceeds from the Fresh Issue will be utilized towards the following objects : 
1. ₹1,610.00 Lakhs is required for funding the working capital of the Company; and 
2. General corporate purposes.

Refer to Brace Port Logistics Limited RHP for more details about the Company.

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About Brace Port Logistics Limited

Brace Port Logistics is a service-based logistics company primarily engaged in the business of providing Ocean cargo logistics services to their clients operating in the various sectors of the economy. They also provide various value-added services like Air Freight, Warehousing facilities, special cargo services such as handling cargo in foreign country and delivery the same in other foreign country and custom clearance services. The company along with their group companies and holding company have an extensive network across the globe. They provide their services at a worldwide level where they cater for clients across the globe and even provide cross-border shipment facilities as well.

They have a strong pan-India and global network to meet the needs of their customers across a wide range of industries including medical supplies and pharma, sports goods, perishables, electronics, consumer durables and automotive etc. Their experienced team can handle all logistics movements using advanced systems and processes to overcome any challenges. They are flexible in their approach to managing the supply chains effectively, along with the identification of the best routes to move shipments and at best pricing options.

INDIAN LOGISTIC MARKET
While India is a very small market in global express industry with less than 2% of the global market size, India has one of the fastest growing express industry. The Indian express industry started in very unorganized way few centuries ago, where traders used to send urgent and high value cargo to destination by ‘Angadia’ i.e., someone who carriers the high value cargo with him in person. The first organized player to start its operation in India was Government of India itself. Government launched Speed Post in 1980. Subsequently, in 1980s, few international express companies entered the Indian market in joint venture with Indian companies. DHL started operation in India in the year 1979 to help make exports easier for SMEs. Whereas, FedEx started its operation in 1984 in India. TNT had started its services much later in 2006. UPS entered India in the year 2001 with its acquisition of Fritz Inc in 2001.

In case of domestic landscape, Gati as a division of TCI was the first player that started express distribution in India by surface mode. Gati started its operation between Madras and Madurai. Almost at the same time, Bluedart started with express services for documents. Later on, Bluedart entered the air cargo and surface express distribution services. As market size and scope for growth kept on increasing, other players such as Safexpress entered the market.

According to our research, the industry registered CAGR of close to 15% to reach USD 5.5 Bn in 2020. FY 21 witnessed a dip in momentum of growth due to pandemic. The surface expressindustry accounts for 3% of the total surface transportation market. However, in future this segment is expected to maintain the momentum of growth at more than 15% per annum. The Indian Express industry is fragmented and has an estimated 1000 active players. There are around 15 major players in the domestic express market. The rest are a combination of small and medium sized players. In case of domestic express business, most of the players are home grown and some of them have been acquired by global logistics players. However, as compared to Full Truck Load and Part Truck Load industry, express industry is highly organized. Large players contribute to around 75% of the market while the rest is a combination of medium and small sized players.

INDUSTRY VERTICAL
Express logistics transportation delivers value in terms of time and safe handling of product verses conventional transportation. Very high time sensitive shipment uses air mode, while other time sensitive material requiring relatively faster delivery in order to drive efficiency through reduced TAT, uses surface express mode for logistics. Although almost every industry uses express logistics service but the quantum of usage varies significantly. Some of the major users of this service include Apparel, Pharma, Auto, ecommerce and electronics. Pharmaceuticals and Auto has been major contributor to Express logistics since beginning.

In pharmaceuticals sector express logistics is not used for bulk transfers from plant to CFA / regional distribution center, instead it is used in shipping of smaller volume stock transfer, inter depot transfer and physician sample. In automobile sector express mode is not for logistics of finished vehicle transportation, instead its more for aftermarket spare movements. Express logistics usage in apparel industry has increased in last decade with the growth of multi brand and single brand retail industry, wherein apparel companies utilize express service to directly ship the products to retail outlets. Volume contribution from e-commerce players have seen a steep jump in express logistics. Its premaritally a stock transfer from one distribution center to other distribution center.

On the other hand, industry that has very high volume and low value products does not use express distribution i.e: FMCG. Even in case of very high value and moderate volume, express is not preferred over dedicated transportation mode.

Ocean Freight
Waterways account for a total of only 8% of cargo movement in India. Water transportation has a definite edge over other modes, in terms of possessing the highest carrying capacity and being the best suited for long distance carriage of bulky goods at lowest cost. India has a huge coastline of 7517 KM and is surrounded on three sides by the sea. India has in total 11 major and 168 minor/intermediate ports across the country. This creates huge scope for movement of cargo along the Indian coast. There are many advantages of coastal shipping ranging from cost saving to the shipper to reduction of road traffic and carbon emission. According to government, India has witnessed a growth of 11.3% of cargo movement on coastal routes from 2015-16 to 2018-19. The total cargo movement is expected to reach 250 MTPA by 2025. Coastal shipping is ideal for commodities like Petroleum, Oil, lubricant, construction material, dry bulk cargo like food grains, fertilizers, steel, coal and minerals.

To improve the share of coastal shipping and inland waterways, government has taken several major initiatives, which in turn will increase the share in terms of total modal mix cargo movement. India has approximately 14,500 km of navigable waterways comprising of rivers, canals, backwaters, creeks etc which has significant growth potential, as a mode of transportation. To develop this mode Government of India established Inland Waterways Authority of India (IWAI) under Ministry of Shipping in 1986 to develop and regulate the inland waterways for shipping and navigation. Huge investment is being planned to develop National Waterways with nearly `2,000 crore invested in National Waterway-1. Of the three multimodal terminals to be built on the Ganga River under JMVP, the one at Varanasi in UP and Sahibganj in Jharkhand are already operational. Work on the third terminal at Haldia and a new navigation lock at Farakka (both in West Bengal) is on in full swing. Government data shows that cargo movement by IWT has increased to 72.31 MT in fiscal 2019 from 55.03 MT in fiscal 2018 with plans to push it up to 150 MT by 2025.

Air Freight
While the focus has been mostly on-air passenger market in India, air cargo segment is also an important part of India’s growth story. The airways share of the modal mix accounts for less than 2% of the total. The materials which are carried by the air for cargo movement are mostly items which are time sensitive in nature like Pharmaceuticals, Healthcare, Electronics, wireless telephony, and Automotive Spares etc apart from horticulture and perishable. For non-time sensitive cargo movement of goods, airways are not preferred as it is expensive when compared to other modes of transport. The cargo movement by air takes place by following ways:

• Dedicated Air cargo: These are dedicated freighter for air cargo. 
• Belly Cargo Movement: This movement of cargo usually takes place in the belly of the commercial planes.

Role of air cargo is very critical due to its efficiency in transit times. Despite being multiple times costlier than other modes, it proves to inevitable for many product categories. The international air cargo industry is highly organized due to regulations of international body (IATA). More than 75% of the air freight market in India is with organized players.

Warehousing
The warehousing market in India is estimated to be worth 12 billion USD in 2020^ and is growing at a faster pace. The warehousing has attracted more than $ 6.5 Bn investment since 2017 and market is expected to attract more investment in next 5 years. In terms of land availability for development, warehousing has a potential FSI of 500 mn sq ft across the major 8 cities in India, while existing stock across these cities is 307 mn sq ft. The growth in warehousing market is driven by various factors such as rising share of India’s businesses in the international markets, demand for greater storage, rise in e-commerce businesses, etc. Post GST implementation, companies which had a network of small warehouses due to tax efficiencies, have started shifting and prioritizing larger warehouse in more strategic locations.

Warehousing market demand is driven by the growth in manufacturing, retail, FMCG, e-commerce and logistics sectors. Furthermore, supportive government policies such as GST, easy clearances for land, 100% FDI, establishment of logistic parks / MMLP and FTWZ are expected to be a major driver for the sector. GST implementation has led to the removal of check points thereby diminishing state boundaries and created a way for setting up large efficient warehouses.

3PL and e-commerce are the largest lessors of the warehousing space with more than 60% share. This is in line with the trend of more and more companies outsourcing their non-core business operations to experts and focusing on the core area for faster growth. This trend of outsourcing to 3 PL is expected to continue in future. E-commerce has risen significantly in India over the last 10 years and this unprecedented rise has made e-commerce a major user of the warehousing segment. The 3PL market is estimated to be worth around USD $8 Bn.

Road Freight
The surface transportation sector is expected to grow at a CAGR of more than 8% thereby becoming the fastest growing area of India’s infrastructure sector (not considering the short-term effects of COVID-19). The revenue of surface Transportation sector is $140 Bn. The transportation sector can be further divided into the following:
I. Full Truck Load 
II. Part Truck Load 
III. Express

The FTL market is the major contributor to the Transportation sector. The FTL market in terms of revenue is estimated to be at USD 120 Billion* and is expected to grow at the rate of 7-8% in coming year. There is a high level of competition in the FTL market which has resulted in declining profit margin over the years. The traditional players in the FTL market are facing increasing competition from the tech enabled startups.

After the FTL, PTL is the second largest contributor to the Indian Surface transportation sector in terms of revenue. It is estimated to be around $12 Bn and has an annual growth rate of 8-10%. There is a rising demand for Part truck load services across the country. The part truck load business is a complex business compared to FTL and has challenges linked to network and load pattern. In comparison to FTL, there are fewer PTL players with an established network and national presence. The trucking industry is also highly unorganized and fragmented. 70% of the truck owners have a fleet of less than five trucks. In last few years a shift has been noticed in FTL segment from unorganized to semi organized sector. In certain scenarios, few small truck owners joined together for adoption of technology and offering a fleet service to organized players. In other scenario, these small fleet owners are getting attached with some large aggregator or service provider as a vendor to them. Although this model commands a small share in overall pie as semi organized market, but trend is getting momentum.

Railway Freight
India has the world’s fourth largest rail network after US, China, and Russia. Railways after roadways account for second highest percentage of goods moved in terms of volume. As can be seen from the cargo movement-modal mix, railways nearly account for 31% of the entire modal movement across the country. While the railways can be one of the cheapest option in terms of long-distance movement of goods, concerns regarding time sensitivity and safety of the goods remain. Also, there has been an underinvestment in the railways and its share in terms of total freight carried has declined over the years whereas the share of roadways has increased over the years. This is since there has been a substantial private investment in commercial vehicles. Whereas in the railways sector, private players are permitted only in container transportation, the Indian railways has a monopoly when it comes to rail network, operation, and other infrastructure. In India, passenger trains receive preference on railway routes and as a result, container trains usually end up clocking paltry 25-35 kmph mileage. This is because freight trains share the same railway infrastructure as the passenger trains. However, during covid lockdown period, average speed of freight trains increased significantly. With start of Dedicated Freight Corridor (DFC) average speed of freight trains on DFC will be more than double. Improvement in efficiency and reduction in transit time will boost to rail freight market in future.

BRACE PORT LOGISTICS LIMITED STRENGTHS
1. Accomplished Leadership Team and qualified workforce
2. Long Lasting Business Relationships
3. PAN India and Global Reach
4. Comprehensive Solutions for Transportation Requirements
5. Diverse Customer Base Across Many Sectors
6. Technology integrated services
7. Quality of Services
8. Supplier Relationship

BRACE PORT LOGISTICS LIMITED STRATEGIES
1. Expanding their presence across the globe
2. Focus on quality
3. Focus on onboarding competent and efficient talent pool
4. Capitalize on the growth of the third-party logistics industry in India

BRACE PORT LOGISTICS LIMITED RISK FACTORS & CONCERNS
1. They depend on certain key customers for their revenues.
2. Their freight forwarding business depends upon their network of overseas agents for fulfilment of logistics needs of their customers.
3. They rely extensively on their IT systems to provide connectivity across their business functions through their software, hardware and network systems.
4. They are subject to risks associated with expansion into new geographic regions.