The Iware Supplychain Services IPO, a Fixed Price Issue, is set to raise ₹ 27.13 Crores through the issuance of 28.56 Lakh fresh equity shares. The IPO subscription period opens on April 28, 2025, and closes on April 30, 2025, with the allotment expected to be finalized on May 02, 2025. The shares will be listed on the NSE SME, with a tentative listing date set for May 06, 2025. The IPO price is set at ₹ 95 per equity share, and the market capitalization at this price will be ₹ 101.80 Crores.

Retail investors are required to invest a minimum of ₹ 1,14,000 for 1,200 shares, while High-Net-Worth Individuals (HNIs) are required to purchase 2 lots, amounting to ₹ 2,28,000. The lot size of the IPO is 1,200 shares, and the market maker for the issue is SMC Global Securities Limited, with KFin Technologies Limited serving as the registrar.

Iware Supplychain Services IPO Grey Market Premium (GMP)

The Grey Market Premium (GMP) of Iware Supplychain Services IPO stands at ₹ 18, which indicates a potential 18.94% listing gain. However, it is important to note that the GMP is not a reliable method for price discovery, as it is based on the unregulated trading of shares in the grey market, which can be volatile and speculative.

Subscription Status and Day-Wise GMP Trend

The subscription for the Iware Supplychain Services IPO has been robust, with the IPO subscribed 2.86 times on its final day of subscription, indicating a strong demand from investors. The IPO's GMP has been consistently positive, reflecting strong market interest.

• IPO Price: ₹ 95 per equity share

• Expected Listing Price: ₹ 113

• GMP: ₹ 18 (18.94%)

IPO Allotment Status

The allotment date for the Iware Supplychain Services IPO is May 02, 2025. To check the allotment status, investors can visit the registrar’s website, select the Iware Supplychain Services IPO from the dropdown list, and enter their application number, PAN, or DP Client ID. This process will allow investors to determine if they have been allotted shares in the IPO.

Objectives of the Iware Supplychain Services IPO

Iware Supplychain Services intends to utilize the net proceeds from the IPO for the following purposes:

1. ₹ 1,406.43 Lakh for the construction of a new industrial shed to expand operations.

2. ₹ 680.00 Lakh for funding working capital requirements.

3. ₹ 386.77 Lakh for general corporate purposes.

Company Overview and Financial Performance

Iware Supplychain Services is a leading logistics provider in India, offering integrated services such as warehousing, transportation, and rake handling. The company operates across multiple states, including Gujarat, West Bengal, Uttar Pradesh, Rajasthan, Punjab, Haryana, and Delhi, ensuring extensive coverage.

The company’s financial performance has shown consistent growth, with revenues of ₹ 4,372 Lakh in the fiscal year ended March 31, 2025, compared to ₹ 5,876.86 Lakh in 2024 and ₹ 8,610.9 Lakh in 2023. The EBITDA for FY2025 stands at ₹ 638.88 Lakh, showing a steady growth trajectory.

In terms of profitability, Iware reported a profit after tax (PAT) of ₹ 42.29 Lakh for FY2025, which represents a dip from the previous year’s ₹ 416.96 Lakh but reflects the long-term potential of the company.

Key Performance Metrics and IPO Valuation

• Pre-Issue EPS: ₹ 5.3

• Post-Issue EPS: ₹ 3.89

• Pre-Issue P/E Ratio: 17.92x

• Post-Issue P/E Ratio: 24.42x

• Industry P/E Ratio: 15x

Iware Supplychain Services has a solid return on capital employed (ROCE) of 30.34% and return on equity (ROE) of 58.52% for FY2024. The company also shows a high return on net worth (RoNW) of 49.54%, indicating effective utilization of shareholders' equity.

Investment Recommendation

The Iware Supplychain Services IPO is priced fairly, and while the grey market premium suggests some short-term gains, investors should exercise caution due to the company’s fluctuating financial performance. Risk-tolerant investors looking for potential listing gains might consider applying for the IPO, but long-term investment decisions should be made after further analysis.

Overall, this IPO presents a moderate-risk opportunity, suitable for those with an appetite for risk and those interested in the logistics sector's long-term growth in India.

The Upcoming IPOs in this week and coming weeks are Srigee DLM, Manoj Jewellers.

The Current active IPO are Wagons Learning, Kenrik Industries, Arunaya Organics.

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